Kelso Technologies Inc. · TSX:KLS
Kelso Technologies — Investor Presentation (September 2025)
27 slides from Kelso Technologies's investor presentation, Sep 29, 2025
Slide 1: Kelso Technologies Investor Presentation
KELSO KELSO TECHNOLOGIES Investor Presentation September 2025 TSX:KLS | www.kelsotech.com
Slide 2: Forward-Looking Information
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Slide 3: Valuation & Comparables Disclosure and Cautionary Note
VALUATION & COMPARABLES ™@ DISCLOSURE AND CAUTIONARY NOTE The comparable company and valuation analysis presented in this document is based on publicly available financial and market data as of the dates indicated. Kelso has selected peer companies based on similar industry exposure, manufacturing c
Slide 4: Agenda
Baa Overview... Macro Environment. Market and Opportunity. Financials... New Direction. Valuation. Investment Highlightey................. Appendix...
Slide 5: Kelso at a Glance
KELSO AT A GLANCE i Kelso is executing a profitability-focused turnaround strategy with clear catalysts and valuation upside. Macro forecast supports demand and aftermarket growth. & Kelso is expanding opportunities to reach new markets and gain market share. pg First half of 2025 marks Kelso's retu
Slide 6: Company Overview
COMPANY OVERVIEW Established in 1987, Kelso is a high-margin, innovative manufacturer of safety-critical transportation valves. Our facility is located in Bonham, TX and we operate with a mandate to be a reliable supplier of high quality U.S.-made products for industrial customers. Market Cap (CAD)
Slide 7: Overview Cont.
OVERVIEW CONT. Kelso works closely with leading North American tank car builders Kelso Revenue vs North American Tank Car Deliveries To date, we have shipped more than 100,000 valves. Everything we make is made in the U.S.A. using local labor and U.S.-made components. '”? 000 25000 20000 15000 Curre
Slide 8: Macro Environment
MACRO ENVIRONMENT &SSENTIAL. Freight rail is largely non-discretionary, U.S. chemical shipments in July 2025 moving Lulkicommodities energy, hit their highest level since 2008, with rail chemical carloads up 3.3% YoY and YTD at record highs. ‘Source: AAR agriculture, and chemicals not easily transpo
Slide 9: Macro Environment Outlook
MACRO ENVIRONMENT ™”™ OUTLOOK Structural Growth Drivers Favoring Suppliers Like Kelso Industry Growth Safety & Compliance Global Demand Rail & trucking transport is forecasted to Regulatory tightening drives —_—_ Broader industry, energy, and chemical rebound strongly by 2027 (rail ton-miles adoptio
Slide 10: Market Share
MARKET SHARE — We estimate that Kelso has 30% of the total valve market, with 3 0 % competition including Dover Corporation (OPW Global, Midland, RegO), Valmet, and others. We differentiate through: * 100% U.S. manufacturing and supply chain vane * Outstanding safety records and reliability ¢ Indust
Slide 11: Market Upside
MARKET UPSIDE — (mm) |e number of active tank cars in North America is estimated at over xsmoy 440,000, with over 100,000 carrying Class 3 flammable liquids. There are ~10,000 new tank car builds on average annually, with new builds forecasted to rise to over 11,000 in 2027. Industry standard shifts
Slide 12: New Product Opportunities
NEW PRODUCT OPPORTUNITIES — BOTTOM OUTLET ANGLE VALVE VALVE Designed for the transfer of LP gas and Customer-driven design using ceramics to anhydrous ammonia in pressurized rail address the failures of stainless steel BOVs tank car applications, engineered by Kelso in abrasive/corrosive service. De
Slide 13: Market Opportunities
MARKET OPPORTUNITIES ™™ We are exploring a variety of new opportunities in adjacent and related industries to expand organically utilizing existing assets, LO capacity, and skills. These include: pel « Water and Wastewater * Oil and Gas * Chemicals (—) + Paper and Pulp OG cll * Irrigation * Desalina
Slide 14: Financial Snapshot
FINANCIAL SNAPSHOT monn The first half (1H) of 2025 represents Kelso's return to profitability. Metric 1H 2025 1H 2024 _% Change YoY & Revenue $ 8,033,617 $ 7,677,601 +4.6% T oF Gross Profit $ 3,441,506 $ 3,419,898 +0.6% T ah Adjusted EBITDA $ 543,840 $ (543,995) +200% T Net Comprehensive Income $ 6
Slide 15: Financial Overview
FINANCIAL OVERVIEW Revenue $9,000,000 $9,000,000 $7,500,000 $7,500,000 $6,000,000 $6,000,000 $4,500,000 $4,500,000 $3,000,000 $3,000,000 $1,500,000 $1,500,000 s & tH2021 1H2022 «12023 1H2024 «1H 2025 Adjusted EBITDA $1,000,000 $1,000,000 $500,000 $500,000 & S $(500,000) (500,000) (1,000,000) (1,500,
Slide 16: New Direction
NEW DIRECTION Refocused on manufacturing Ceased operations in operations and exploring unprofitable pure-play expansion into trucking, research (KXI). water, wastewater, and more. Siok iain Acadian ccs Ped ce ad icine bth i etecsataninl penton. Kelso’s new management team and board are executing a p
Slide 17: Comparables - Valuation
COMPARABLES - VALUATION ™™ Comparable companies were used to benchmark Kelso's valuation against relevant peers. For larger diversified companies, valuation is based on calculated segment-level information. We selected the following peers for their similar macro exposures, operations, or risk/return
Slide 18: Comparables Table - Valuation Comparison
COMPARABLES TABLE - VALUATION COMPARISON Leverage Multiples Company/Measure EV/Revenue EV/Gross EV/EBITDA P/B Debtto Equity Debt/ Book Cap. Kelso Technologies —_0.61x 1.41x 7.98x(F) 1.49x 0.02x 2.2% Peer Average 2.01x 687K -11.36x-2.35x 1.04x 57.2% Peer Median 1.22x 6.56x 10.77K —*1.97x 0.63x 40.4%
Slide 19: Kelso Implied Value
KELSO IMPLIED VALUE Kelso Implied Valuations vs Current Market Cap $4500m $850 $97.50m $30.00m $22.50M $1500M ~ = 129M $1206M _ $0.00 Ev/Revenue EV/Gross EV/EBITDA ‘Current Market Cap Valuation Muttiple Implied Equity Value (CAD) Median Implied Equity Value - = - - $15.96M CAD Applying peer valuatio
Slide 20: Kelso Investment Highlights
KELSO INVESTMENT HIGHLIGHTS Margin Strength: Gross margins are among the strongest in sector. Path to Profitability: Returned to profitability in 2025, opportunities for further growth, and scalable operations. Operational Foundation: U.S.-based manufacturing, growing customer base, and focus on qua
Slide 21: Cost of Equity
COST OF EQUITY Whai for holding Kelso shares, reflecting perceived The return equity investors require IMPLIED COST OF EQUITY risk versus the broader market. . Share Price (average share price TTM) $0.159 Implied Cost of Equity: Derived from the Forward Earnings Per Share (EPS) $0.019 relationship b
Slide 22: Capital Structure and Financial Standing
CAPITAL STRUCTURE AND FINANCIAL STANDING s7M SM s6249.607 Share Price (CAD/sh) $ 0.176 oh Shares Outstanding (sh) 55,160,086 aM $3M $2,535,012 $2,408,649 Market Capitalization (CAD) $ 9,708,175 = 32 SIM $676,160 Dilution From Unvested RSUs NIL $M = Current Assets Cash Current Liabilities Accounts Di
Slide 23: Kelso Management & Board
KELSO MANAGEMENT & BOARD STRATEGICALLY ALIGNED LEADERSHIP AND AN EXPERIENCED BOARD. Frank C. Busch (CEO) Director + 20+ years in finance, business development & Indigenous relations ‘+ Member, Nisichawayasihk Cree Nation + University of Manitoba, Harvard finance certificate, five certificates from t
Slide 24: Kelso Share Ownership
KELSO SHARE OWNERSHIP maven I Shares owned by insiders « 55,160,086 shares outstanding. [iPurchased by insiders in last 6 months « Kelso has six reporting insiders, who hold 2,845,693 shares (5.16% of shares outstanding). « Remaining 94.84% of shares are widely held. Kelso insiders have purchased 1,
Slide 25: Strategic Catalysts
STRATEGIC CATALYSTS maven ¢ Cost Discipline and Execution: Management implemented cost control and revenue focus showing early progress in first half 2025 results. ¢ Operating Leverage: Manufacturing plant has capacity to scale to nearly double the output without requiring near-term capital expansio
Slide 26: Kelso Technologies: A Rare Company
KELSO TECHNOLOGIES: a A RARE COMPANY @ Niche Market Focus: Small, nimble, and positioned well against larger competitors. Margin Profile: Gross margins among the top of the industry focusing on quality, safety, and efficiency. Kelso: Strong margins, focused execution, @ Capital Position: Clean capit
Slide 27: Let's Connect
LET'S CONNECT www.kelsotech.com info@kelsotech.com BRmaiae 1-877-314-1879 KELSO Bonham, TX, USA West Kelowna, BC, Canada
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