Dlh Holdings Corp. · NASDAQ:DLHC

Dlh — Q2 2023 Earnings Presentation

19 slides from Dlh's earnings presentation, May 4, 2023

  1. Slide 1: FY2023 Second Quarter Earnings Presentation

    FY2023 Second Quarter Earnings Presentation: Three Months Ended 3.31.2023 MAY 4, 2023 © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 1

  2. Slide 2: Call Participants

    CALL PARTICIPANTS Zach Parker President and CEO Kathryn JohnBull Chief Financial Officer © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 2

  3. Slide 3: Forward-Looking Statements

    Forward-Looking Statements “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events or DLH`s futur

  4. Slide 4: Financial Highlights

    Financial Highlights REVENUE OPERATING INCOME EBITDA1 $99.4M $6.0M $10.5M TERM LOAN BACKLOG DILUTED EPS $204.2M $940.6M $0.06 Reflects acquisition of GRSi As of March 31, 2023 1A reconciliation of EBITDA is available on slide 17. © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 4

  5. Slide 5: Second Quarter Headlines

    Second Quarter Headlines Awarded contract vehicle Senior GovCon financial DLH enhanced to leverage high-end IT executive joins Board of capabilities in line with and technical capabilities Directors government budget priorities DLH to provide leading-edge White House FY24 budget request Former indus

  6. Slide 6: Financials

    FINANCIALS © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 6

  7. Slide 7: Key Financial Results

    Key Financial Results FY23Q2 FY22Q2 Revenue $99.4 million $108.7 million Adjusted Revenue1 $99.4 million $69.0 million EBITDA1 $10.5 million $12.1 million Adjusted EBITDA1 $10.5 million $6.6 million Operating Income $6.0 million $10.3 million Adjusted Operating Income1 $6.0 million $4.7 million FY23

  8. Slide 8: Key Adjusted Financial Metrics

    Key Adjusted Financial Metrics $ millions $ millions $110.0 ADJ. REVENUE1 $11.0 ADJ. EBITDA1 $100.0 $10.0 $90.0 $9.0 $80.0 $8.0 $70.0 $7.0 $99.4 $10.5 $60.0 $6.0 $50.0 $69.0 $5.0 $6.6 $40.0 $4.0 $30.0 $3.0 FY22Q2 FY23Q2 FY22Q2 FY23Q2 $ millions $ millions ADJ. OPERATING INCOME1 $8.0 ADJ. CASH FROM $

  9. Slide 9: FY23 quarterly debt paydown targets

    FY23 quarterly debt paydown targets Management affirms aggressive debt repayment $ millions $210 $205 $200 $196.3 $195 $207.6 $190 $205.6 $199.2 $185 $192.8 $186.4 $180 $175 At GRSi closing 12/31/2022 3/31/2023 5/4/2023 6/30/2023 9/30/2023 Strategic Acquisition FY23 debt paydown targets by quarter A

  10. Slide 10: © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 10

    © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 10

  11. Slide 11: Appendix

    APPENDIX © Copyright 2023 DLH Holdings Corp. All Rights Reserved ► 11

  12. Slide 12: Non-GAAP Reconciliations

    Non-GAAP Reconciliations This document contains non-GAAP financial information including Adjusted Revenue, Adjusted Operating Income, EBITDA, Adjusted EBITDA, EBITDA Margin on Revenue, Adjusted EBITDA Margin on Adjusted Revenue, and Adjusted Cash from Operations are not recognized measurements under

  13. Slide 13: Track Record of Deploying Cash Flow to Pay Down Debt

    Track Record of Deploying Cash Flow to Pay Down Debt $ millions $80 3.5x $70 3.0x $60 2.5x $50 2.0x $40 $77.5 $70.0 $70.0 1.5x $30 $62.8 $56.0 $57.8 $55.0 $53.8 $44.5 $46.8 1.0x $20 $42.9 $37.5 $28.5 $22.0 0.5x $10 $0 0.0x 6/7/2019 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 12/31/2020 3/31/2

  14. Slide 14: Reconciliation of Leverage Ratio

    Reconciliation of Leverage Ratio (amounts in millions) 6/7/2019 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 12/31/2020 3/31/2021 6/30/2021 9/30/2021 12/30/2021 3/31/2022 6/30/2022 9/30/2022 Term Loan1 $ 70.0 $ 56.0 $ 56.0 $ 53.0 $ 44.5 $ 70.01 $ 68.3 $ 62.8 $ 53.8 $ 46.8 $ 42.9 $ 37.5 $ 28.5

  15. Slide 15: Historical Revenue

    Historical Revenue $ millions $450 12.0% $400 10.30% 10.40% 9.80% 10.0% $350 8.70% 8.30% $125.8 $300 8.0% 7.20% $250 $1.7 5.30% 6.0% $200 3.90% $150 4.0% $269.4 $244.4 $100 $209.2 1.40% $160.4 0.70% 2.0% $133.2 $50 $115.7 $85.6 $60.5 $65.3 $53.5 $0 0.0% FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 F

  16. Slide 16: Reconciliation of Trending EBITDA

    Reconciliation of Trending EBITDA Twelve Months Ended September 30, (amount in thousands) 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Net (loss)/income $ (159) $ 5,357 $ 8,728 $ 3,384 $ 3,288 $ 1,836 $ 5,324 $ 7,114 $ 10,145 $23,288 (i) Interest expense/other (income) 407 4 (744) 823 1,228 1,1

  17. Slide 17: Reconciliation of Non-GAAP Financial Results

    Reconciliation of Non-GAAP Financial Results Three Months Ended Six Months Ended (a): Represents revenue adjusted to exclude revenue from the short-term FEMA task March 31, March 31 orders during the three and six months ended March 31, 2022. (amount in thousands) 2023 2022 Change 2023 2022 Change A

  18. Slide 18: Reconciliation of Adjusted Cash from Operations

    Reconciliation of Adjusted Cash from Operations Six Months Ended March 31, (amount in thousands) 2023 2022 Operating activities Net income $2,352 $14,982 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 6,937 3,866 Amortization

  19. Slide 19: About DLH

    About DLH DLH enhances public health and national security readiness missions through science, technology, cyber, and engineering solutions and services. The Company’s experts solve some of most complex and critical missions faced by the federal government, leveraging digital transformation, artific

DLH Holdings — Q2 2023 Earnings Presentation on 6ix