Dirtt Environmental Solutions Ltd · TSX:DRT

Dirtt Environmental Solutions — Q1 2023 Earnings Presentation

13 slides from Dirtt Environmental Solutions's earnings presentation, May 10, 2023

  1. Slide 1: First Quarter 2023 Supplemental Information

    FIRST QUARTER 2023 SUPPLEMENTAL INFORMATION 2023 05 10 © DIRTT ALL RIGHTS RESERVED 1

  2. Slide 2: Advisory: Cautionary Statement Regarding Forward-Looking Statements

    ADVISORY CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS Certain statements contained in this presentation (this “presentation”) are “forward-looking statements” within the meaning of “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and Section

  3. Slide 3: Non-GAAP Financial Measures

    NON-GAAP FINANCIAL MEASURES Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These GAAP financial statements include non-cash charges and other charges and benefits that we believe are unusual or

  4. Slide 4: Benjamin Urban, CEO

    BENJAMIN URBAN, CEO We are responding to economic uncertainty “DIRTT is in a significantly better place than we were at this time last year. I am also encouraged by the level of enthusiasm from our partners and end customers regarding the future of DIRTT.” Key Highlights: • Seeing the benefit of com

  5. Slide 5: Brad Little, CFO

    BRAD LITTLE, CFO 1507bps improvement in gross profit YoY "Balance sheet health continues to be a priority. Our improved cost structure provides us with a solid platform from which to deliver profitable growth in the future." Key Financial Highlights: • Revenue decreased by 4% compared to Q1-2022 due

  6. Slide 6: Gross Profit and Adjusted Gross Profit Margin

    Gross Profit and Adjusted Gross Profit Margin 1 Gross Profit Margin and Adjusted Gross Profit1 Margin First Quarter 2023 Highlights: 35.0% • Price increases announced over the past year have served to 32.0% offset the prolonged inflationary impacts on nearly all input costs, 30.0% including wood, al

  7. Slide 7: Operating Expenses Breakdown

    Operating Expenses Breakdown1 First Quarter 2023 Operating Expense Summary: Quarterly Expense Breakdown • Reductions in Operating Costs across all categories as a $9,000 result of reorganization activities undertaken in 2022 and $8,000 $7,993 2023. 2022 includes costs associated with the $7,000 $7,2

  8. Slide 8: Adjusted EBITDA

    Adjusted EBITDA 1 Q1 2022 to Q1 2023 Adjusted EBITDA1 - (2.0) 4.7 (4.0) (3.5) (6.0) (8.0) 1.4 $ million 0.6 (10.0) 5.7 (12.0) (12.0) (14.0) (16.0) (3.9) (18.0) Adj EBITDA Q1 2022 Decreased Volume Increased Price Improved transportation Other cost of sale reductions Reduced Adj OpEx Adj EBITDA Q1 202

  9. Slide 9: Net Loss

    Net Loss Q1 2022 to Q1 2023 Net Loss - (5.0) (10.0) 0.6 0.5 $ million (11.4) 1.9 8.4 2.6 (15.0) (2.1) (0.4) (20.0) (23.0) (25.0) ss es s r ss o nc ses die tio n tio n FX he o tL ria en bsi iza cia Ot tL Ne Va exp Su an p re Ne 02 2 DA art y en t or g De 02 3 2 IT p r nm Re 2 Q1 j EB ted ve Q1 Ad r e

  10. Slide 10: Liquidity and Additional Financial Highlights

    Liquidity and Additional Financial Highlights Liquidity • $8.1 million of cash and cash equivalents as of March 31, 2023 due to improved operational performance and working capital conversion. ($ thousands) Mar 31, 2023 Dec 31, 2022 Cash and cash equivalents 8,146 10,821 • $5.2 million available on

  11. Slide 11: Summary of Consolidated Financial Results

    Summary of Consolidated Financial Results For the period-ended March 31 Three months ($ thousands, except per share amounts) 2023 2022 % Change Revenue 36,708 38,286 (4)% Gross profit 8,682 3,287 164% Gross profit margin 23.7% 8.6% 176% Adjusted Gross Profit1 10,465 6,759 55% Adjusted Gross Profit M

  12. Slide 12: Non-GAAP Financial Measures

    Non-GAAP Financial Measures The following tables present a reconciliation for the three months ended March 31, 2023 and March 31, 2022 of our non-GAAP measures to the most directly comparable GAAP measures, being Adjusted EBITDA to net loss and Adjusted Gross Profit to gross profit. For the period-e

  13. Slide 13: © DIRTT ALL RIGHTS RESERVED

    © DIRTT ALL RIGHTS RESERVED 13

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