Slide 1: Fiscal 2017 Q2 Financial Results
Fiscal 2017 Q2| Financial Results Lee D. Rudow President and CEO Michael J. Tschiderer Chief Financial Officer TRANSGAT Trust in every measure
Slide 2: Safe Harbor Statement
TRANSCAT nto snes Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions. For
Slide 3: Second Quarter Execution
TRANSAT nner snes Second Quarter Execution * Total consolidated revenue up 17% to record $34.5 million * Total operating income increased 15% to $1.6 million © Service segment revenue of $16.9 million, up 19% * 30" consecutive quarter of YOY revenue growth in Service segment * Segment sales up 15%:
Slide 4: Revenue
Revenue (S$ inmniiions) Q2 Service Segment TRANSCAT st inser mesure Consolidated — Annual gua sass giz3g $1222 $1907 $16.9 " lal = = = a a2Fy 2016 a2 Fy 2017 Q2 Distribution Segment $15.3 $17.5 a2 FY 2017 Frame prams Frame anF¥20%7 i Service al Distribution * Acquisition-related and organic growth d
Slide 5: Operating Income and Margin
TRANSCAT st inser mesure Operating Income and Margin (Sinmilions) Consolidated — Annual Q2 Service Segment De nee a2Fy 2016 a2 Fy 2017 Fv2013 © FY2014—FY2015«—FY.2016. QZ FY 2017 1™ li Service al Distribution * Distribution margin up 100 bps: customer mix and rental business $0.8 * Service margin do
Slide 6: Adjusted EBITDA and Margin
TRANSAT ‘natn non Adjusted EBITDA* and Margin ‘Sinmion) Consolidated — Annual Q2 Service Segment $12.6 $10.0 $10.3 $10.6 $1.6 CWE ern Fy2013 © FY2014 = FY2015—FY2016 QZ FY 2017 1™ lu Service Distribution 02 Distribution Segment * Total Adjusted EBITDA* up 38% — Service up 25% $13 — Distribution up 6
Slide 7: Net Income
TRANSCAT rss ovr mesure Net Income (S$ inmniliions) Annual Net Income & Diluted EPS Quarterly Net Income & Diluted EPS fram" pya0u e035 fang east an PEE enES + 5% CAGR for net income (ev 2013- @2 FY 2017 TT) + Expect tax rate to range between 34% and 36% in fiscal 2017* + FY 2017 tox rate guidance p
Slide 8: Balance Sheet Supports Growth Strategy
TRANSCAT toon noe Balance Sheet Supports Growth Strategy ($m mitions) Total Debt * Financial flexibility — Strong cash generation — $3.6 million debt pay down in Q2 — $15.6 million available from credit facility * FY 2017 CapEx — Assets for growing rental business — Lab capabilities/maintenance — So
Slide 9: FY 2017 Outlook
TRANSAT rte oun nsnue FY 2017 Outlook* Reaffirm double-digit Service segment revenue growth - Growth supported by recent acquisitions - Continued focus on organic growth = Remain selective and disciplined in acquisition approach Optimistic Distribution segment rebound will continue = Continue to exp
Slide 10: Upcoming Investor Relations Calendar
TRANSCAT rine noe Upcoming Investor Relations Calendar November 1 Sidoti Emerging Growth Conference (NYC) November 16 IDEAS Conference (Dallas) 10
Slide 11: Supplemental Information
Supplemental Information TRANSGAT Trust in every measure
Slide 12: Adjusted EBITDA Reconciliation
TRANSCAT tno non Adjusted EBITDA Reconciliation (Sin thousands) 2 Fr2017 fy203, | _ry20a__fv201s,_Fv2016 ™. Net income $ 3708 $ 3984 § 4026 $ 4am $4375 ‘interest 7 1320 2 27 465 + Other Expense / (Income) am a9 am 8 se ++ Tax Provision p14 2,462 2,397 14383 2,923 Operating income $ 598 $ 6705 § 6763
Slide 13: Segment Adjusted EBITDA Reconciliation
TRANSOAT nts nse Segment Adjusted EBITDA Reconciliation (Sin thousands) 2 Fv 2017 fr203,__pv20a__py201s,_Fv 2016, ™ Service Operating Income (los) Sia $2379 $3693 $4355 § (4.505 “#Depreciation & Amortization 4740 2104 2,362 3216 4203 +Other (Expense) / income (84) (aan) (133) (64) (6s) ‘Noncash Stoc