Slide 1: First Quarter 2026 Results Conference Call
First Quarter 2026 Results Conference Call May 6, 2026 vsecorp.com
Slide 2: Forward-Looking Statements
Introduction Forward-Looking Statements This document contains statements that, to the extent they are not recitations of historical fact, constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange A
Slide 3: VSE Completes Acquisition of Precision Aviation Group
Recent Developments VSE Completes Acquisition of Precision Aviation Group (“PAG”) COMBINED BUSINESS – VSE + PAG ★ >$15M Annualized Synergies Expected 61 48 11 8 ★ >20% Adj. EBITDA Repair Distribution Global Locations Facilities Centers Countries ● Margin Target Immediately Accretive to TRANSACTION S
Slide 4: VSE Completes Acquisition of NorthStar Technologies LLC
Recent Developments VSE Completes Acquisition of NorthStar Technologies LLC (“NorthStar”) Acquisition Overview Engine Aftermarket Services Expansion NorthStar is a provider of MRO and third-party Adds teardown, kitting, and additional technical logistics supporting the engine aftermarket. The capabi
Slide 5: First Quarter 2026 Highlights
Q1 2026 Highlights First Quarter 2026 Highlights Exclusive, life-of-program APU distribution agreement with Pratt & Whitney Canada 1 2,500+ SKUs; expands OEM-aligned aftermarket portfolio and lifecycle for three APUs supporting more than 15 different commercial, regional and business aviation aircra
Slide 6: Consolidated First Quarter 2026 Financial Performance Highlights
Financial Highlights Consolidated First Quarter 2026 Financial Performance Highlights 1Q’26 Delivered $325M in revenue, up 27% year-over-year Led by strong growth in Distribution, with continued expansion in MRO and contributions from recent acquisitions $325M Adjusted EBITDA(1) of $55M (17.1% margi
Slide 7: Consolidated First Quarter 2026 Results
Consolidated Results Consolidated First Quarter 2026 Results Revenue Revenue by Sales Channel 1Q’25 vs. 1Q’26 Distribution MRO $325M $256M +26% +28% $202M $122M +27% $161M $95M Revenue Growth 1Q’25 1Q’26 1Q’25 1Q’26 1Q’25 1Q’26 +37% Operating Income Adj. EBITDA(1) Adj. EPS(1) Adj. EBITDA Growth(1) $
Slide 8: Balance Sheet Review as of March 31, 2026
Balance Sheet Balance Sheet Review as of March 31, 2026 Adjusted Net Leverage(1) Total Debt outstanding was $366 million Revolver availability was ~$400 million Free Cash Flow was $(69) million, driven by investments to support new programs <3.0x 2.2x 2.0x <2.5x Pro forma Adjusted Net Leverage ratio
Slide 9: Updates 2026 Guidance to Include PAG; Reaffirms Core Outlook
FY 2026 Guidance Updates 2026 Guidance to Include PAG; Reaffirms Core Outlook Higher revenue growth and EBITDA margin driven by PAG; Underlying business expectations unchanged Revenue Consolidated Adjusted EBITDA % Includes PAG Acquisition Includes PAG Acquisition +57-61% 18.1-18.5% 16.8-17.3% +19-2
Slide 10: Refinancing Update – New Term Loan B and Upsized Revolver
Debt Refinancing Refinancing Update – New Term Loan B and Upsized Revolver $900M New Term Loan B + $500M Revolver (Undrawn at Close) Improved scalability and operating flexibility Revolver Undrawn $500M Enhanced cash flow Revolver $400M TEU Amortizing Notes $72M Expanded borrowing capacity Term Loan
Slide 11: 2026 Priorities
2026 Priorities 2026 Priorities 1 Execute acquisition integrations and accelerate synergy realization Implement newly awarded distribution and OEM programs across core 2 platforms 3 Expand engine focused MRO capacity to capture incremental demand 4 Advance and convert the organic growth pipeline 5 E
Slide 12: Appendix
Appendix vsecorp.com
Slide 13: 2026 Updated Guidance Modeling Items
FY 2026 Guidance 2026 Updated Guidance Modeling Items Additional FY’26 Modeling Items Interest Expense, Net (1) ~$37-$40 million Depreciation & Amortization ~$98-$103 million Tax Rate ~25% Stock-based Compensation ~$18-$19 million Capital Expenditures as a percentage of sales ~2-2.5% (1) Excludes in
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to the financial measures prepared in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"), this earnings presentation also contains non-GAAP financial measures. These measures provide useful information to investors. VSE considers Adjusted N
Slide 15: GAAP to Non-GAAP Reconciliations: EBITDA and Adjusted EBITDA
Appendix GAAP to Non-GAAP Reconciliations EBITDA and Adjusted EBITDA ($ in thousands, except per share data) Three months ended March 31, 2026 2025 % Change Net income from continuing operations $ 29,055 $ 13,968 108.0% Interest expense, net (1,402) 7,939 NM Provision for income taxes 5,095 2,597 96
Slide 16: GAAP to Non-GAAP Reconciliations: Adjusted Net Income and EPS
Appendix GAAP to Non-GAAP Reconciliations Adjusted Net Income and Adjusted EPS (Diluted) Three months ended March 31, ($ in thousands, except per share data) 2026 2025 % Change Net Income from continuing operations $ 29,055 $ 13,968 108.0% Adjustments to net income from continuing operations: Acquis
Slide 17: GAAP to Non-GAAP Reconciliations: Balance Sheet
Appendix GAAP to Non-GAAP Reconciliations Balance Sheet Reconciliation of Operating Cash Flow to Free Cash Flows ($ in thousands) March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 Net cash (used in) provided by operating activities $ (62,264) $ 37,642 $ 24,089 $ 11,891 Capital expend