Titan America Sa · NYSE:TTAM
Titan America Sa — FY2024 Earnings Presentation
28 slides from Titan America Sa's earnings presentation, 2025
Slide 1: Titan America 2024 Full Year and Q4 Results
Titan America 2024 Full Year and Q4 Results Photo Credit: Connecting Miami
Slide 2: Disclaimer
Disclaimer This presentation and the accompanying oral presentation include “forward-looking statements,” that reflect our current expectations and views of future events. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Ac
Slide 3: Today's Presenters
Today’s Presenters Bill Zarkalis President & CEO Years at Titan and TA: 17 Larry Wilt Chief Financial Officer Years at TA: 29 3
Slide 4: Key Investment Highlights
Key Investment Highlights 1 Leading Market Positions in the Eastern Seaboard Mega-Regions Supported by Large Economies and Population Growth 2 Vertically Integrated Business Model Providing Strategic Flexibility and Omnichannel Access to End Users 3 Comprehensive Logistics Network with Strategically
Slide 5: Leading, Fully-Integrated Building Materials Company in the Fast-Growing Mega-Regions of the U.S. East Coast
Leading, Fully-Integrated Building Materials Company in the Fast-Growing Mega-Regions of the U.S. East Coast Florida 2 Cement Plants ~31%(1) Cement market share in the Florida market 3 Import Terminals Mid-Atlantic 7 Construction Aggregate Mines ~30%(2) 82 Ready-Mix Plants Cement market share in the
Slide 6: Well-Positioned After More than Ten Years of Outperforming the Market
Well-Positioned After More than Ten Years of Outperforming the Market We Believe Our Industry Is Entering A New Multi-Year Growth Phase Titan America Cement Sales Volumes Titan America CAGR(1)(2) 2013 Market Size & TA Sales Index = 100 of 7% in a cement market that grew at 2% 215 220 213 from 2013 t
Slide 7: Capitalizing On the Trends Driving a Powerful Multi-Year Growth Phase in the United States
Capitalizing On the Trends Driving a Powerful Multi-Year Growth Phase in the United States 11% 6% 12% IIJA*: ~50m 39% ST over the next 5 years Our Attractive Infrastructure ➢ Operating in 3 U.S. population & Regions & Onshoring 15% economic mega-regions & Residential Spending 17% GROWTH ➢ U.S. Resid
Slide 8: Vertically Integrated Business Model Provides Strategic Flexibility
Vertically Integrated Business Model Provides Strategic Flexibility Integrated Downstream Product Lines Serve as Channels-To-Market for Upstream Products Upstream Clay Products Have Built A Comprehensive, Uniquely Fly-Ash Integrated, Interconnected Product Mix Slag Pozzolans Cement Cementitious Aggr
Slide 9: Hard to Replicate Comprehensive Logistics Network
Hard to Replicate Comprehensive Logistics Network Florida Business Regions “Book-ended” by an Upstream 61% ’24A Revenue Production and a Multi-Product Import Hub Cement Plants Comprehensive Network of Rail-Connected Marine Import Terminals Multi-Product Terminals, Loadouts, Supported by AI-powered L
Slide 10: Key Messages
Key Messages Record Full Year Revenue, Net Income, and Adjusted EBITDA Positive Pricing Momentum Across Product Lines Successfully Completed Initial Public Offering in Feb-2025 2025 Outlook and Guidance 10
Slide 11: 2024 Q4 & Full Year Financial Highlights
2024 Q4 & Full Year Financial Highlights Revenue Adj. EBITDA(1) >$1.6b in 2024 (~3% growth v. 2023) ~$370m in 2024 (~13% growth v. 2023) $390m 4Q24 / $399m 4Q23 $84m 4Q24 / $87m 4Q23 Revenue outperforms broader market conditions Profitability above revenue growth Net Income / EPS Free Cash Flow(2) ~
Slide 12: Solid 2024 Volumes Despite Q4 Disruption
Solid 2024 Volumes Despite Q4 Disruption External / Internal Volume Commentary 7.2 0.6 4.6 64.7 5.9 5.7 6.7 0.5 4.5 60.3 Full Year • In a U.S. market where cement consumption declined by 5.7%(2) in 2024, our cement 1.7% 7.3% 7.4% 4.9% volumes fared better at (3.3%). (3.3%) '23 '24 '23 '24 '23 '24 '2
Slide 13: Pricing Growth Across Product Lines
Pricing Growth Across Product Lines $24.2 $50.6 $149.9 $160.4 Commentary $22.3 $45.8 $152.7 $2.3 $2.4 $146.7 • Cement prices increased in a down volume market. • Aggregates prices grew strongly in Florida – benefitting from favorable supply/demand 2.2% 8.5% 10.5% 5.1% 1.7% dynamics. • Ready Mix pric
Slide 14: Florida Q4 and Full Year Segment Highlights
Florida Q4 and Full Year Segment Highlights External Sales ($mm) Adjusted EBITDA ($mm) 2.9% 12.8% Commentary • Florida’s population grew by 467K in 2024, driving economic expansion and demand with Full Year 2024 burgeoning finance, space and life sciences sectors complementing strong existing touris
Slide 15: Mid-Atlantic Q4 and Full Year Segment Highlights
Mid-Atlantic Q4 and Full Year Segment Highlights Revenue ($ Millions) Adjusted EBITDA ($ Millions) 2.5% 14.0% Commentary Full Year 2024 • Demand in Virginia and the Carolinas was supported by strong population growth and investment in manufacturing, infrastructure and data centers. • Major infrastru
Slide 16: CapEx Investments Aligned with Long-Term Growth Strategy
CapEx Investments Aligned with Long-Term Growth Strategy Capital Expenditures(1,2) ($ in millions) Commentary 90.9 • Executed DM Conner aggregate acquisition, Florida securing critical mineral reserves for kiln feed and 78.2 novel cementitious materials. 78.0 • Increased mining capacity with commiss
Slide 17: Net Debt to Adjusted EBITDA Remains at Attractive 1.2X Level
Net Debt to Adjusted EBITDA Remains at Attractive 1.2X Level; Increase in Net Debt Driven by Shareholder Returns 2024 Free Cash Flow 2024 Change in Net Debt 370 $ Millions 12/31/2024 12/31/2023 ∆ Net Debt $448.1 $387.4 $60.7 (44) Adjusted EBITDA $370.4 $328.4 $42.0 (68) Net Debt to Adj. EBITDA 1.21x
Slide 18: Debt and Liquidity Profile
Debt and Liquidity Profile Net Debt/ EBITDA ratio at 1.2X; No meaningful debt maturities before July 2027 Gross Debt and Net Debt Evolution Debt Maturity Profile $52M Return of 2025 - 2029 Capital $85M Dividend 473 462 460 456 197 452 444 463 7 439 447 428 448 162 443 435 432 6 406 409 427 419 401 3
Slide 19: Capital Allocation Strategy and Financial Policy
Capital Allocation Strategy and Financial Policy Robust balance sheet enables strategic flexibility to support growth and execute on shareholder-value enhancing opportunities Organic Growth / Greenfield M&A Shareholder Returns ▪ Capacity expansion and other ▪ Opportunities to build upon and ▪ Regula
Slide 20: 2025 Outlook: Solid Fundamentals Stronger Growth Expected in H2
2025 Outlook: Solid Fundamentals Stronger Growth Expected in H2 • In 2025 strong construction market dynamics remain, driven by infrastructure and non-residential. • Expected rebound in Residential impacted by affordability and elevated mortgage rates. • Positive pricing momentum. • 2025 results may
Slide 21: Full Year 2025 Outlook
Full Year 2025 Outlook •Mid-single digit revenue growth •Modest improvement in Adjusted EBITDA margin1 as compared to full year 2024 The Company’s 2025 outlook is based on a number of assumptions that are subject to change and many of which are outside the control of the Company. If actual results v
Slide 22: Appendix
Z TITAN’ = AMERICA Appendix 22
Slide 23: Condensed Income Statement
Condensed Income Statement P&L ($ Millions) Q4 2024 Q4 2023 Variance FY2024 FY2023 Variance Revenue 390 399 (2%) 1,634 1,592 3% Cost of Goods Sold (294) (308) (4%) (1,218) (1,228) (1%) Gross Margin 96 92 5% 417 363 15% SG&A (46) (35) 31% (163) (131) 24% Other Income / Expense 0 (1) (128%) (3) (7) (6
Slide 24: Condensed Balance Sheet
Condensed Balance Sheet ($ Millions) FY2024 FY2023 Variance Cash and cash equivalents $12 $22 ($10) Trade and other receivables, net 106 121 (15) Inventories 228 190 38 Other current assets 38 40 (1) Total current assets 384 373 11 Property, plant, equipment and mineral deposits, net 852 801 51 • PP
Slide 25: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation $ Millions Q4 2024 Q4 2023 Variance FY 2024 FY 2023 Variance Net income $37 $45 (19%) $166 $155 7% Finance cost, net 7 3 138% 26 22 18% Income tax expense 14 9 57% 58 47 22% Depreciation, depletion and amortization 31 27 13% 100 91 10% EBITDA $88 $84 5% $350 $316 11% L
Slide 26: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation ($ in millions) FY 2024 FY 2023 Variance Net cash provided by operating activities 248.0 227.1 9% Adjusted by: Investments in property, plant and equipment (135.4) (117.1) 16% Investments in identifiable intangible assets (1.6) (1.6) (1%) Proceeds from the sale of asset
Slide 27: 2024 Full Year Segment Volume and Pricing
2024 Full Year Segment Volume and Pricing(1) 2024 Florida Segment 2024 Mid-Atlantic Segment Change in Volume Change in Volume Change in Price Change in Price 16% 10% 8% 8% 7% 6% 5% 5% 3% 2% 2% 2% 3% 2% (3%) (6%) (3%) (1%) Cement Aggregates Fly Ash Ready Mix Block Cement Aggregates Fly Ash Ready Mix
Slide 28: Glossary of terms
Glossary of terms Adjusted EBITDA (Non-IFRS Measure): net income before finance cost, net, income Machine Learning ("ML") tax expense, depreciation, depletion and amortization, further adjusted to remove the impact of additional items such as (gain)/loss on disposal of fixed assets, asset Net Debt: