Slide 1: Verra Mobility Q2 2022 Investor Presentation
Verra Mobility Q2 2022 Investor Presentation For the Quarter Ended June 30, 2022 Investor Overview Exhibit 99.3
Slide 2: Forward-looking Statements
Forward-looking Statements This presentation includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “forecast,” “intend,”
Slide 3: Verra Mobility At-a-Glance
Verra Mobility At-a-Glance 1 Based on historical financials 2 Based on company analysis 3 Represents Free Cash Flow divided by Adj. EBITDA for TTM 2Q22 TTM 2Q22 Key Metrics Total Revenue1 $690M Re-occurring Revenue2 90% Adj EBITDA1 $326M Adj. EBITDA Margin 47% Free Cash Flow1 $213M FCF/AEBITDA Conve
Slide 4: Business Segment
Business Segment Commercial Services (~42%1) Government Solutions (~46%1) Parking Solutions (~12%1) Market leader in toll and violation management for commercial fleets Industry leader in automated traffic enforcement for cities and school districts Leading technology provider of end-to-end parking
Slide 5: Key End Markets and Value Proposition
Key End Markets Verra Mobility Value Proposition Verra Mobility Business Segments Key Benefits to Customers Urban Mobility Traffic Management Parking & Curbside Management Road Usage Charging Solutions that enable government agencies to maximize new revenue sources and achieve safety and sustainabil
Slide 6: Commercial Services Leading Fleet Mobility Solutions Provider
Commercial Services Leading Fleet Mobility Solutions Provider Strategic Advantages Strategic moat based on large scale and deep integrations with our customers and key partners Proprietary cloud applications and processes that automate workflows and reduce complexity Well-positioned to deploy softwa
Slide 7: Government Solutions Leading Global Provider Poised for L/T Growth
Government Solutions Leading Global Provider Poised for L/T Growth 1) Includes revenue and adjusted EBITDA contributions from acquisition of Redflex Holdings effective June 17, 2021 7 Strategic Advantages Long-term relationships with state and local governments Complete solutions reduce risk and tim
Slide 8: T2 Systems Leading Parking Solutions Partner
T2 Systems Leading Parking Solutions Partner Strategic Advantages #1 market position in large universities Diversified product portfolio that scales and provides end-to-end solutions Well-positioned for market growth driven by urbanization Growth Playbook Capitalize On Emerging Opportunities Grow Co
Slide 9: M&A Supports Verra Mobility's Growth Strategy
1 Strengthen Core Market Positions Similar market, similar products Leverage “best of both” to optimize the combined business Key Value Driver: Cost synergies 2 Accelerate Growth in Adjacent Markets Enter new customer segment or geography Add to product portfolio for existing customers Key Value Dri
Slide 10: M&A Framework – A Repeatable Formula for Returns on M&A
M&A Framework – A Repeatable Formula for Returns on M&A Delivering shareholder value through disciplined M&A Strategic Fit Integration Focus Price Discipline Market Strong growth potential High barriers to entry Company Market leadership Revenue durability and predictability (e.g., recurring) Histor
Slide 11: Core Businesses Drive Strong Free Cash Flow Conversion and Consistent Organic Growth
$690 $551 Core Businesses Drive Strong Free Cash Flow Conversion and Consistent Organic Growth Total Revenue CAGR 19% 13% Organic 53% 54% 46% 47% Adj EBITDA CAGR 15%2 49% Redflex & T2 Systems Core Total Revenue ($M) Adjusted EBITDA & Margins ($M) Re-occurring Revenue1 90% Free Cash Flow % Adj. EBITD
Slide 12: Strong, Flexible Balance Sheet + Robust Cash Flow
Strong, Flexible Balance Sheet + Robust Cash Flow 2 0 2 1 I N V E S T O R D A Y – © B U I L D E R S F I R S T S O U R C E Capital Summary & Financial Highlights ($M) Net Leverage Improvement ($M) 1 Term Loan Debt has a 2028 Maturity; priced at LIBOR + 325 bps; $9 million mandatory debt amortization.
Slide 13: Demonstrated History of Disciplined Capital Allocation
M&A Capex Share Buybacks 1 Demonstrated History of Disciplined Capital Allocation 2017 – 2021 PF Capital Deployment1 ($M) Capital Allocation Snapshot ($M) Demonstrated ability to allocate capital across multiple accretive opportunities 1 Pro Forma for $125 million authorized May 2022 ~$1.5B Capital
Slide 14: 2022 Updated Financial Outlook
2022 Updated Financial Outlook Increasing 2022 full-year guidance as the business continues to deliver Total Revenue ($M) +2.1% Adjusted EBITDA ($M) +2.5% Strong secular trends driving service revenue growth…travel demand remained robust through the 1st half of 2022 Product revenue expected roughly
Slide 15: Appendix
15 Appendix
Slide 16: Verra Mobility Quarterly Results 2020 - 2022
Verra Mobility Quarterly Results 2020 - 2022 Unaudited ($ in millions) Full Year 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Full Year 2021 Q1 2022 Q2 2022 Service revenue $336.3 $89.8 $116.4 $141.8 $144.8 $492.8 $161.1 $174.5 Product sales 57.3 0.1 12.2 20.3 25.1 57.7 9.3 13.0 Total revenue $393.6 $89.9 $
Slide 17: Verra Mobility Quarterly Results Segment Results of Operations
Verra Mobility Quarterly Results Segment Results of Operations Unaudited ($ in millions) Full Year 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Full Year 2021 Q1 2022 Q2 2022 Total Revenue Commercial Services $180.9 $45.7 $66.5 $77.3 $71.5 $260.9 $73.5 $84.9 Segment Adj EBITDA Commercial Services $97.2 $22.
Slide 18: Free Cash Flow Reconciliation, incl. % of Adj. EBITDA
Verra Mobility Free Cash Flow Reconciliation, incl. % of Adj. EBITDA ($MM) 2018 2019 2020 2021 TTM 2Q22 Adjusted EBITDA $ 198 $ 241 $ 182 $ 271 $ 326 Net cash provided by operating activities $ 46 $ 134 $ 47 $ 193 $ 252 Transaction and other related expenses 57 - - - - Transformation expenses 9 - -
Slide 19: Thank You
Thank You L* Ss VERRA v ‘4 MOBILITY” wy54