Slide 1: Q4 & Full Year 2022 Investor Presentation
Q4 & Full Year 2022 Investor Presentation March 8th, 2023 Bird Construction Inc. (TSX:BDT) BIRD CONSTRUCTION INC. INVESTOR PRESENTATION 1
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements and information (“forward-looking statements”) within the meaning of applicable Canadian securities laws. The forward-looking statements contained in this presentation are based on the expectations, estimates and projections of managem
Slide 3: Disclaimer: Terminology and Non-GAAP & Other Financial Measures
Disclaimer TERMINOLOGY AND NON-GAAP & OTHER FINANCIAL MEASURES Throughout this presentation, management uses certain terminology and financial measures that do not have standard meanings under IFRS and are considered specified financial measures. These include non-GAAP financial measures, non-GAAP f
Slide 4: Disclaimer: Terminology and Non-GAAP Measures (continued)
Disclaimer TERMINOLOGY AND NON-GAAP & OTHER FINANCIAL MEASURES (continued) • “Current Ratio” is a supplementary financial measure representing the percentage derived by dividing total current assets by total current liabilities. • “General and Administrative expenses as a percentage of revenue” is a
Slide 5: Positioned For Growth on Strong Business Foundation
Positioned For Growth on Strong Business Foundation Bird Construction TSX: BDT A healthy and safe Team of 5000+ Bird is a Canadian construction and maintenance company providing a work environment is management team comprehensive scope offering and a diversified portfolio of services to non-negotiab
Slide 6: Constructing a Strong Foundation
Constructing a Strong Foundation Created a Strong Key Near-Term Foundation Strategic Priorities Improved geographic and end market diversification Enhance cross-selling opportunities Increased recurring revenue Continue to improve margins Reduced risk profile of backlog Maintain financial flexibilit
Slide 7: Values
VAUES Experienced – Leveraging our talent leadership team Multidisciplinary Team – Deep bench strength and recruiting for the future Strong Team of Constructors – Robust people programs supporting continuous learning and development – Continuous improvement and innovation focus – Committed to Divers
Slide 8: Values
Values WE PUT WE LEAD WE ARE WE ARE DRIVEN WE CREATE SAFETY FIRST WITH HONESTY STRONGER TOGETHER TO DO GREAT WORK OPPORTUNITY A healthy and safe work We speak and act with Success is a team effort. We built our name on quality. Rooted in a solid environment is non- integrity, clarity and care Our in
Slide 9: Record Revenues
Record Revenues Confidence in 2023 margin improvements Q4 2022 Highlights Full Year Highlights Year over year growth driving record revenues $657.2M 9.9% $2,377.5M 7.1% Q4 2022 Revenue Organic year-over- 2022 Revenue Year-over-year year growth growth Solid earnings and $14.9M $0.28 $49.9M $0.93 impr
Slide 10: What Sets Us Apart
What Sets Us Apart 2022 Revenue 2022 Adj. Record Combined 2022 Working + Self Perform + Growing +7.1% Y/Y EBITDA 4.3% Backlog Capital +22% Y/Y Capabilities National Portfolio Disciplined and Positive Sustained Strong balance Track record of Elevated strategic momentum on robust combined sheet & fina
Slide 11: Risk Balanced Business Model Generating Growth and Profitability
Risk Balanced Business Model Generating Growth and Profitability 5-Year Revenue and Adjusted EBITDA Margin • Improving margins through increased self-perform activity, $2,500 in millions of Canadian dollars 2,378 10% strategic organic growth, acquisitions, and diligent cost 2,220 management. 9% • Re
Slide 12: Highly Collaborative, Diverse Backlog Mix
Highly Collaborative, Diverse Backlog Mix Strong visibility to continued revenue and margin growth through 2023 Collaborative Backlog expected to delivery models in Significant Portfolio of Recurring Revenue 64% convert into Revenue over the +70% Backlog and Pending Contracts in Pending Backlog Back
Slide 13: Expanded Capabilities Aligned to High Growth Sectors
Expanded Capabilities Aligned to High Growth Sectors Executing Well on Strategic Pillars Positioned for growth with a significant pipeline of projects and a robust bidding environment for TEAM disciplined pursuit of new work. • World class safety program • Highly engaged, high-performance team with
Slide 14: Significant Demand Trends – Public and Private Clients
Significant Demand Trends – Public and Private Clients INFRASTRUCTURE SPENDING OF $26B OVER 6-YEARS ENDING IN 2027 2022-2023 Federal Budget Highlights $14.9B Public transit over 8-years – $397M Rail infrastructure $3.0B Long-term care and affordable housing* over 5-years – $900M EV infrastructure –
Slide 15: Positioned to Capture Growth in Key Sectors
Positioned to Buildings Construction Future Energy Services Horizontal Civil Works Structural Civil Works Services Capture Growth in Key Sectors Diverse range of services and self- Electrical and One Pass Trenching / perform scopes Heavy Civil Services Powerline & Telecoms Instrumentation Utilities
Slide 16: Energy Transition Partner
Energy Transition Partner Delivering critical energy solutions The evolving energy landscape demands significant investment in electrical infrastructure to achieve decarbonization goals. Bird has been a key long-term partner for many clients constructing and maintaining the energy systems that power
Slide 17: Leveraging Innovation and Technology
Leveraging Innovation and Technology Building Information Modelling & Maintenance, Repair, Leveraging Innovative Smart Building Performance Virtual Design and Construction and Operation Management Solutions Technology Utilizing integrated multi-disciplinary Multi-year maintenance and turnaround Leve
Slide 18: Stack Modular
Stack Modular Integrated solution bridging the gap between site and modular construction. Structural steel modular buildings up to 40-storeys for multi- family, hospitality, senior (long-term care) and student housing, and resource clients. Rapid Delivery Across Canada & The USA Opportunities Market
Slide 19: Mass Timber
Mass Timber Bird is a North American leader in wood construction with unmatched expertise, experience, and supply chain knowledge. ~1.2B ~$460M 26 Completed 6 Projects Under Projects Construction in Canada >$3B Targeted Mass Timber Pursuits Updated as of February 2023. www.bird.ca BIRD CONSTRUCTION
Slide 20: Environmental, Social, Governance
Environmental, Social, Governance o Sustainable Construction o Future Energy BUILD GREEN o Stack Modular o Prefabrication o Digital Construction o Centre for Building WORK GREEN Performance o Supply Chain Management o Waste Management o Health, Safety & Environment o Indigenous Relations o Community
Slide 21: 2022 ESG Highlights
2022 ESG Highlights BOARD WOMEN BIRD CONSTRUCTION INC. INVESTOR PRESENTATION 21
Slide 22: Financial Highlights Q4 and Full-Year 2022
Financial Highlights Q4 and Full-Year 2022 Three Months Ended Year Ended Change Change December 31, 2022 December 31, 2022 $ Millions (except per share amounts) Revenue $657.2 9.9% $2,377.5 7.1% Gross Profit $58.1 13.2% $201.8 8.1% 8.8% of Revenue (1) 8.5% of Revenue (1) General and Administrative $
Slide 23: Sustained, Strong Financial Position
Sustained, Strong Financial Position Q4 2022 in millions of Canadian dollars December 31, 2022 24.9% 1.23 (0.21)x Accessible cash $ 96 Long-term Loans & Current Adjusted Net Debt/ Borrowings to Equity(1) Ratio(1) TTM Adjusted EBITDA(1) Restricted cash $ 63 Held in joint operations accounts $ 16 Synd
Slide 24: Capital Allocation Highlights
Capital Allocation Highlights Balancing profitable growth, significant financial strength, investments in the business and M&A Cash Generation M&A Dividends Operating Cashflow(1) Positioned to execute on the right – 10% dividend increase – $140 M&A opportunities on positive outlook $120 $100 – Raisi
Slide 25: Growth and Margin Trends Support 2023 Outlook
Growth and Margin Trends Support 2023 Outlook 2023 outlook for revenue and earnings growth – Expect to maintain mid to high single-digit revenue growth in 2023 – Positive momentum achieved in the second half of 2022 and visibility provided by the record combined $2.6 billion Backlog and $2.5 billion
Slide 26: Appendix
We bring life to vision Creating great things with you Appendix
Slide 27: Sector Volume Diversification
Sector Volume Diversification Balanced work programs 2022 between commercial and Balanced Sector institutional work, while largely Diversification maintaining Industrial work to drive stronger growth. 100% 20.0% 90% 26% 24% 34% 0.0% 80% 37% 37% 43% 44% 43% 56% 53% 70% 19% 66% -20.0 60% 15% The curre
Slide 28: Diversifying Risk - Revenue by Contract Type
Diversifying Risk - Revenue by Contract Type in millions of Canadian dollars $29 $15 $55 • Public Private Partnership $59 $135 $102 $101 $121 (PPP) Higher risk $179 $177 • Design-Build-Finance • Complex Design-Build $1,236 $1,342 $943 $792 • Stipulated Sum $806 • Unit Price • Specified Design-Build
Slide 29: Backlog & Pending Backlog
Backlog & Pending Backlog 6000 in millions of Canadian dollars Backlog expected to 64% convert into Revenue 5000 over the next 12 months 4000 2,137 1,625 1,717 1,807 2,490 1,788 1,636 1,685 1,648 1,300 3000 December 31, 2022 • Strong quarter-end Backlog(1) of $2.6B 2000 • Strong quarter-end Pending
Slide 30: Revenue, Net Income, and Adjusted Earnings
Revenue, Net Income, and Adjusted Earnings REVENUE NET INCOME ADJUSTED EARNINGS(1) $60 $1.20 $2,500 $60 $1.00 $0.93 $0.80 $0.96 $0.90 $50 $1.00 $50 $0.80 $0.92 $2,000 $0.86 $0.80 $0.70 $40 $0.80 $40 $1,500 $0.60 $30 $0.50 $30 $0.60 $2,378 $2,220 $51 $1,000 $50 $0.40 $46 $20 $43 $20 $42 $0.40 $1,504
Slide 31: Capital Markets Overview
Capital Markets Overview $9.10 4.7% ~489M BDT.TSX Price as of March 3, 2022 Dividend Yield(1) Market Capitalization $5.79/$9.36 53,774,639 52 Week Low / High Shares Outstanding ANALYST COVERAGE Firm Analyst Contact Firm Analyst Contact ATB Capital Chris Murray 416.520.0267 National Bank Maxim Sytche
Slide 32: Q4 & Full Year 2022 Results Presentation
Q4 & Full Year 2022 Results Presentation March 8th, 2023 Bird Construction Inc. (TSX:BDT) Q4 & Full Year 2022 Investor Presentation Bird Construction Inc. (TSX:BDT) 32