Slide 1: Q4 & FY 2024 Earnings Presentation
Q4 & FY 2024 EARNINGS PRESENTATION MARCH 10, 2025 1
Slide 2: Disclaimer – Forward Looking Statements & Non-GAAP Disclosure
DISCLAIMER – FORWARD LOOKING STATEMENTS & NON-GAAP DISCLOSURE This presentation contains forward-looking statements that involve substantial risks and uncertainties. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Sect
Slide 3: 2024 Highlights
2024 HIGHLIGHTS Outstanding Growth Strong Start New Growth Performance New Platforms and and Momentum on LEAP Investments Excellence M&A ✓ 15% Revenue & 23% Adjusted ✓ Achieved Industrialization ✓ Opened New--------- CFM56 Center ✓ Expanded Adjusted EBITDA ✓ Acquired Aero Turbine to EBITDA Growth in
Slide 4: Q4 & FY 2024 Financial Highlights
Q4 & FY 2024 FINANCIAL HIGHLIGHTS Q4 2024 2024 PERFORMANCE DRIVERS FY2024 +22% +15% YoY Further Aftermarket Demand Strength YoY $5,237 $1,410 − Commercial Aerospace: +25% YoY (+33% in Q4) $4,563 − Business Aviation: +8% YoY (+11% in Q4) $1,158 − Military & Helicopter: +1% YoY (+9% in Q4) +37% Contin
Slide 5: 2025 Strategic Priorities and Outlook
2025 STRATEGIC PRIORITIES AND OUTLOOK SUMMARY GUIDANCE 2024 STRATEGIC PRIORITIES $5.80 – $5.95Bn Revenue Deliver First Capitalize on Continue Full LEAP Recent $770 – $790MM Overhauls & Capture Investments in CFM56 and Expansion of Component Pursue Accretive Adjusted EBITDA Repair M&A Additional CF34
Slide 6: Q4 & FY 2024 Results – Consolidated
Q4 & FY 2024 RESULTS – CONSOLIDATED ($ in millions) Q4 2024 FY 2024 Performance Commentary ◼ Q4 2024 end market growth of +33% YoY in Commercial Aerospace, +9% YoY in Revenue $1,410 $5,237 Military & Helicopter, and +11% YoY in Business Aviation % Change YoY +22% +15% ◼ Double-digit growth across bo
Slide 7: Q4 & FY 2024 Results – Engine Services
Q4 & FY 2024 RESULTS – ENGINE SERVICES Q4 2024 2024 HIGHLIGHTS FY2024 ◼ +15% YoY Revenue growth +21% +15% YoY − Commercial Aerospace: +26% YoY YoY $4,645 $1,246 − Business Aviation: +8% YoY $4,050 $1,027 − Military & Helicopter: (3%) YoY, driven by temporary V-22 Osprey grounding ◼ +18% YoY Segment
Slide 8: Q4 & FY 2024 Results – Component Repair Services
Q4 & FY 2024 RESULTS – COMPONENT REPAIR SERVICES Q4 2024 2024 HIGHLIGHTS FY2024 ◼ +15% YoY Revenue growth (+13% pro forma)1 +25% − Commercial Aerospace: +17% YoY YoY $164 +15% YoY $592 − Military & Other: +12% YoY (+8% pro forma)1 $513 ◼ +23% YoY Segment Adjusted EBITDA growth $131 − +170 bps YoY ma
Slide 9: Free Cash Flow
FREE CASH FLOW ($ in millions) Q4 2024 FY 2024 COMMENTARY Adjusted EBITDA 1 $186 $691 ◼ Free Cash Flow of $57 million in Q4 and ($45) million in 2024 − Driven by strong earnings performance, offset by one-off 1 (+/-) Δ in Net Working Capital 35 (115) outflows associated with the IPO, financing activ
Slide 10: Balance Sheet & Liquidity
BALANCE SHEET & LIQUIDITY SIGNIFICANTLY STRENGTHENED NET DEBT TO ADJUSTED EBITDA LEVERAGE RATIO1 BALANCE SHEET ◼ Completed IPO and refinancing of capital structure 5.7x ◼ Credit rating upgrades from Moody’s / S&P / Fitch ◼ Leverage ratio improved to 3.1x ◼ Strong Q4 free cash flow despite one-time c
Slide 11: FY 2025 Company & Segment Outlook
FY 2025 COMPANY & SEGMENT OUTLOOK ($ in millions) FY 2025 Commentary Revenue $5,800 – $5,950 ◼ Engine Services: $5,085 – $5,215 % Change YoY +11% – +14% ◼ Component Repair Services: $715 – $735 Adjusted EBITDA1 $770 – $790 ◼ Engine Services: ~13% Adj. EBITDA Margin % Margin 13.3% – 13.3% ◼ Component
Slide 12: All Engines Go
ALL ENGINES GO RECORD 2024 STRONG 2025 OUTLOOK ENGINEERED TO SUCCEED Exceptional Growth Continued Double-Digit Growth Engine Aftermarket +23% +11-14% Pure Play Strategic Focus 2024 Adjusted EBITDA Growth 2025 Adjusted EBITDA Growth Leading Market Positions Strong Start on LEAP Component Repair Expan
Slide 13: Appendix
APPENDIX 13
Slide 14: Reconciliation of Non-GAAP Financial Metrics
RECONCILIATION OF NON-GAAP FINANCIAL METRICS ADJUSTED EBITDA AND ADJUSTMENTS WALK Year Ended December 31, 2024 2023 (in millions, except percentages) Net income (loss) $11.0 $(35.1) Income tax expense 70.8 40.2 Depreciation and amortization 188.1 197.1 Interest expense 282.5 309.6 (1) Business trans
Slide 15: Segment Disclosure
SEGMENT DISCLOSURE SEGMENT ADJUSTED EBITDA Three Months Ended Year Ended December 31, December 31, 2024 2023 2024 2023 (in millions, except percentages) Engine Services Segment Revenue $1,245.6 $1,026.8 $4,644.8 $4,049.9 Segment Adjusted EBITDA $159.8 $131.2 $610.9 $519.1 Segment Adjusted EBITDA Mar
Slide 16: Segment Disclosure (Continued)
SEGMENT DISCLOSURE (CONTINUED) SEGMENT REVENUE AND SEGMENT ADJUSTED EBITDA TO PROFIT BEFORE TAX WALK Three Months ended December 31, 2024 Full Year ended December 31, 2024 Component Component Engine Total Engine Total Repair Repair Services Segments Services Segments Services Services (In thousands)
Slide 17: Segment Disclosure (Continued)
SEGMENT DISCLOSURE (CONTINUED) SEGMENT REVENUE AND SEGMENT ADJUSTED EBITDA TO PROFIT BEFORE TAX WALK Three months ended December 31, 2023 Full Year ended December 31, 2023 Component Component Engine Total Engine Total Repair Repair Services Segments Services Segments Services Services (In thousands)
Slide 18: Reconciliation of Net Debt and Net Debt to Adjusted EBITDA Leverage Ratio
RECONCILIATION OF NET DEBT AND NET DEBT TO ADJUSTED EBITDA LEVERAGE RATIO December 31 December 31 2023 2024 (in millions except percentages) New 2024 Term Loan Facilities --- $2,250.0 Prior 2023 Term Loan Facilities 2,562.1 --- Prior Senior Notes 675.5 --- Financing leases 20.3 18.4 Other 1.4 1.2 To
Slide 19: Free Cash Flow Disclosure
FREE CASH FLOW DISCLOSURE RECONCILIATION OF FREE CASH FLOW Three months Ended Year Ended December 31, December 31, 2024 2024 (in millions except percentages) Cash Flow from Operations $108.3 $76.3 Purchase of Property, Plant and Equipment (32.5) (102.9) Purchase of Intangible Assets (20.0) (20.3) Pr