Slide 1: 4Q and FY 2023 Earnings Presentation
4Q AND FY 2023 EARNINGS PRESENTATION February 28, 2024 Nasdaq: LNZA A Carbon Recycling Company ©2024 LanzaTech Inc. All rights reserved.
Slide 2: Forward-looking statements
These slides and any accompanying oral presentation contain forward-looking statements. All statements, other than statements of historical fact, included in these slides and any accompanying oral presentation are forward-looking statements reflecting management’s current beliefs and expectations. I
Slide 3: Agenda / Table of Contents
3 Biorefining: CCT Plants AGENDA / TABLE OF CONTENTS Sections Presenter • 2023 Recap. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Jennifer Holmgren, CEO • 2024 Strategic Priorities. . . . . . . . . . . . . . . . . . . . . . . . Jennifer Holmgren, CEO • 4Q 2023 & FY 2023 Financi
Slide 4: 2023 Recap
Lanzalech Nasdaq: LNZA 2023 RECAP
Slide 5: 2023 Financial Recap
2023 FINANCIAL RECAP $100$ millions 2023 REVENUE 2023 ADJUSTED EBITDA $ millions ($75) • 2023 revenue increased 68% YoY to $62.6 million • Strong quarterly revenue growth through 9M 2023, but weaker than expected 4Q 2023 caused miss vs. guidance • Anticipated CarbonSmart revenue did not materialize
Slide 6: Three Corrective Actions Taken in Response to 2023 Performance
6 THREE CORRECTIVE ACTIONS TAKEN IN RESPONSE TO 2023 PERFORMANCE HEADCOUNT REDUCTION MANAGEMENT TEAM REORGANIZATION 2023 LEADERSHIP BONUS REDUCTION
Slide 7: Cost Savings Plan Enacted
7 COST SAVINGS PLAN ENACTED DISCIPLINED FOCUS ON COST STRUCTURE • Enacted plan reducing workforce by approximately 5% • Workforce reduction expected to generate approximately $5.3 million of annualized operating expenses savings and $4.2 million of expected annualized cash savings • Plan to end 2024
Slide 8: Executive Team Reorganization
8 EXECUTIVE TEAM REORGANIZATION SHARPEN AND ACCELERATE FOR GROWTH Aura Cuellar | President • All Revenue Business Lines • Strategic Projects • Engineering Dr. Robert Conrado | Chief Technology Officer • Technology Development up to Front End Engineering Design • Process Infrastructure Technology • G
Slide 9: 2023 Major Milestones
2023 MAJOR MILESTONES • 18+ years in operation • 3 commercial plant start-ups: • Total of 6 commercial plants operating that have a total installed nameplate capacity of 310,000 tonnes of ethanol annually • LanzaJet Freedom Pines Fuels facility mechanically complete with start up expected in 2024 9
Slide 10: LanzaJet Freedom Pines Fuels Inauguration Ceremony
10 LANZAJET FREEDOM PINES FUELS INAUGURATION CEREMONY JANUARY 24, 2024
Slide 11: 2024 Strategic Priorities
2024 STRATEGIC PRIORITIES Nasdaq: LNZA
Slide 12: 2024 Strategic Priorities
12 2024 STRATEGIC PRIORITIES 1 2 3 SAFETY FIRST ▪ Zero recordable injuries ▪ Zero lost time injuries COMMERCIAL GROWTH ▪ Ramp up to full production at IndianOil and ArcelorMittal facilities ▪ Continued pipeline expansion and progression of projects through the development pipeline PATH TO PROFITABIL
Slide 13: Strong Pipeline Positions the Company for Continued Growth and Scale
13 STRONG PIPELINE THAT POSITIONS THE COMPANY FOR CONTINUED GROWTH AND SCALE ACTIVE CUSTOMER BIOREFINING PROJECT PIPELINE1 1 Biorefining project pipeline as of February 15, 2024 Freedom Pines Fuels. Expected to begin operations and ramp up production in 2024 14% 42% 24% 15% 5% Gasified MSW Industria
Slide 14: Overview of 4Q 2023 and Full Year 2023 Financial Results
OVERVIEW OF 4Q 2023 AND FULL YEAR 2023 FINANCIAL RESULTS Nasdaq: LNZA
Slide 15: Overview of 4Q and FY 2023 Financial Results
OVERVIEW OF 4Q AND FY 2023 FINANCIAL RESULTS 15 Summary Financial Results¹ Commentary Revenue: ▪ Revenue up 77% YoY in 4Q 2023, across all business lines. Biorefining revenue increased primarily from sales of engineering services indicating progression of projects through the pipeline. Gross Profit:
Slide 16: 2024 Guidance Summary
16 2024 GUIDANCE SUMMARY REVENUE GUIDANCE: $90M - $105M ▪ Expect growth across the business with strong quarterly growth throughout the year ▪ Anticipate revenue to be back-half weighted due to several projects expected to enter construction phase in the second half of 2024 ▪ Q1 2024 revenue expecte
Slide 17: Appendix: Additional Financial Information
APPENDIX: ADDITIONAL FINANCIAL INFORMATION Nasdaq: LNZA
Slide 18: Result of Operations – Full-Year Ended December 31, 2023
18 RESULT OF OPERATIONS – FULL-YEAR ENDED DECEMBER 31, 2023
Slide 19: Reconciliation of Net Loss to Adjusted EBITDA
19 RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA
Slide 20: Appendix: Executive Team Biographies of Promoted Individuals
APPENDIX: EXECUTIVE TEAM BIOGRAPHIES OF PROMOTED INDIVIDUALS Nasdaq: LNZA
Slide 21: Executive Team Biographies of Promoted Individuals
21 EXECUTIVE TEAM BIOGRAPHIES OF PROMOTED INDIVIDUALS From environmental engineer to senior business leader, Aura Cuellar is determined to lead the energy industry on a path to profitable decarbonization. As LanzaTech’s President, Aura brings to her role extensive experience in manufacturing and a s
Slide 22: Executive Team Biographies of Promoted Individuals
22 EXECUTIVE TEAM BIOGRAPHIES OF PROMOTED INDIVIDUALS Dr. Zara Summers | Chief Science Officer • Research and Design • Synthetic and Systems Biology, Fermentation • Global Technology Deployment • Product Manufacturing Dr. Zara Summers is currently the Chief Science Officer at LanzaTech. She spent al
Slide 23: Executive Team Biographies of Promoted Individuals
23 EXECUTIVE TEAM BIOGRAPHIES OF PROMOTED INDIVIDUALS Dr. Robert Conrado | Chief Technology Officer • Technology Development up to Front End Engineering Design • Process Infrastructure Technology • Global IT & Scientific Computing Dr. Robert Conrado is LanzaTech’s Chief Technology Officer and previo
Slide 24: Financial Information & Non-GAAP Financial Measures
FINANCIAL INFORMATION & NON-GAAP FINANCIAL MEASURES 24 To supplement our financial statements presented in accordance with US GAAP and to provide investors with additional information regarding our financial results, we have presented adjusted EBITDA, a non- GAAP financial measure. Adjusted EBITDA i