Slide 1: Fiscal 2022 Second Quarter Results
Fiscal 2022 Second Quarter Results SEPTEMBER 13, 2022
Slide 2: Cautionary Statements
© Core & Main All Rights Reserved. Confidential and Proprietary Information. CAUTIONARY STATEMENTS 2 Cautionary Note Regarding Forward-Looking Statements This presentation and accompanying discussion may include “forward-looking statements” within the meaning of the Private Securities Litigation Ref
Slide 3: Today's Presenters
© Core & Main All Rights Reserved. Confidential and Proprietary Information. TODAY’S PRESENTERS 3 Steve LeClair Chief Executive Officer Mark Witkowski Chief Financial Officer Robyn Bradbury VP, Finance & Investor Relations
Slide 4: Business Update
© Core & Main All Rights Reserved. Confidential and Proprietary Information. BUSINESS UPDATE 4
Slide 5: Q2 2022 Business Update
© Core & Main All Rights Reserved. Confidential and Proprietary Information. Q2 2022 BUSINESS UPDATE 5 ✓ Delivered another record quarter as we continue to build on our momentum, achieving solid growth in both net sales and adjusted EBITDA ✓ Continue to drive market outperformance while navigating o
Slide 6: Driving Sustainable Growth Through M&A
© Core & Main All Rights Reserved. Confidential and Proprietary Information. Status Closed (June 2022) Closed (August 2022) Signed (August 2022) Number of Branches 3 1 4 Locations California California Ohio & Pennsylvania Product Line Geosynthetics Pipe, Valves & Fittings Storm Drainage Meters Pipe,
Slide 7: Growing Need for Water Infrastructure Repair & Replacement
© Core & Main All Rights Reserved. Confidential and Proprietary Information. GROWING NEED FOR WATER INFRASTRUCTURE REPAIR & REPLACEMENT 7 (1) Source: Mary Scott Nabers, Water Online (December 2020), “2021 Prime for Water Infrastructure Contracting Opportunities” (2) Source: Water Quality & Health Co
Slide 8: Financial Highlights
© Core & Main All Rights Reserved. Confidential and Proprietary Information. 8 FINANCIAL HIGHLIGHTS
Slide 9: Q2 2022 Operating Results
© Core & Main All Rights Reserved. Confidential and Proprietary Information. $61 $169 Q2'21 Q2'22 Q2 2022 OPERATING RESULTS 9 Net Sales Gross Profit Adjusted Net Income(1) Adjusted EBITDA(1) (1) Adjusted Net Income, Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures. Refer to
Slide 10: Cash Flow & Balance Sheet Highlights
© Core & Main All Rights Reserved. Confidential and Proprietary Information. CASH FLOW & BALANCE SHEET HIGHLIGHTS 10 Operating Cash Flow Net Debt Leverage(5) Q2’21 Q2’22 Y-o-Y $ Adjusted EBITDA $155 $277 $122 Investment in Operating Capital(1) (169) (274) (105) Cash Interest (52) (15) 37 Cash Taxes(
Slide 11: Fiscal 2022 Outlook
© Core & Main All Rights Reserved. Confidential and Proprietary Information. FISCAL 2022 OUTLOOK 11 Core & Main is strategically positioned for continued growth ▪ Demand trends remain positive despite weakening residential outlook and tough year- over-year comparisons ▪ Expect 26% to 32% net sales g
Slide 12: Appendix
| Appendix
Slide 13: Product & Service Offering
© Core & Main All Rights Reserved. Confidential and Proprietary Information. PRODUCT & SERVICE OFFERING 13 Geosynthetics
Slide 14: Growth Initiatives
© Core & Main All Rights Reserved. Confidential and Proprietary Information. GROWTH INITIATIVES 14 Sales Initiatives Margin Initiatives Private Label Pricing Analytics Innovation & Technology Category Management Optimization Greenfield Expansion Strategic Accounts Geosynthetics Smart Metering Treatm
Slide 15: Track Record of Acquisitions
© Core & Main All Rights Reserved. Confidential and Proprietary Information. TRACK RECORD OF ACQUISITIONS 15 Organic Growth Why We Succeed Acquisition Focus Acquirer of Choice ✓ Respected reputation in the industry ✓ Entrepreneurial culture ✓ Investment in our people ✓ Consolidate existing market po
Slide 16: Reconciliation of Non-GAAP Measures: Adjusted EBITDA
© Core & Main All Rights Reserved. Confidential and Proprietary Information. RECONCILIATION OF NON-GAAP MEASURES 16 Adjusted EBITDA & Adjusted EBITDA Margin ($ in Millions) (1) Includes depreciation of certain assets which are reflected in “cost of sales” in our Statement of Operations. (2) Represen
Slide 17: Reconciliation of Non-GAAP Measures: Adjusted Net Income
© Core & Main All Rights Reserved. Confidential and Proprietary Information. RECONCILIATION OF NON-GAAP MEASURES 17 Adjusted Net Income ($ in Millions) Three Months Ended Six Months Ended July 31, 2022 August 1, 2021 July 31, 2022 August 1, 2021 Net income attributable to Core & Main, Inc. $ 115 $ 2
Slide 18: Reconciliation of Non-GAAP Measures: Net Debt Leverage
© Core & Main All Rights Reserved. Confidential and Proprietary Information. RECONCILIATION OF NON-GAAP MEASURES 18 ($ in Millions) Net Debt Leverage As Of July 31, 2022 May 1, 2022 January 30, 2022 October 31, 2021 August 1, 2021 Senior ABL Credit Facility due July 2026 $ 142 $ 57 $ — $ — $ — Senio