Redwire Corporation · NYSE:RDW
Redwire — Canaccord Genuity 42nd Annual Growth Conference 2022
24 slides from Redwire's conference presentation, Aug 11, 2022
Slide 1: Canaccord Genuity 42nd Annual Growth Conference
1. Insert Footnote Canaccord Genuity 42 nd Annual Growth Conference August 1, 2022 Jonathan E. Baliff, Chief Financial Officer
Slide 2: Disclaimers
Disclaimers Industry and market data used in this Presentation have been obtained from third - party industry publications and sources as well as from research reports prepared for other purposes . Redwire has not independently verified the data obtained from these sources and cannot assure you of t
Slide 3: Non-GAAP Financial Information
Non - GAAP Financial Information This Presentation contains financial measures that have not been prepared in accordance with United States Generally Accepted Accounting Principles (“U . S . GAAP”) . These financial measures include Total backlog, book - to - bill, Adjusted EBITDA, Pro Forma Adjuste
Slide 4: The Redwire Mission
The Red wire Mission is accelerating humanity’s expansion into space by delivering reliable, economical and sustainable infrastructure for future generations 4
Slide 5: Redwire Provides Complete Infrastructure Solutions for Space Customers
Red wire Provides Complete Infrastructure Solutions for National Security, Civil, and Commercial Space Customers The Building Blocks of Terrestrial Commerce Engineering & Design C ap i ta l E q ui pm ent P o w e r C o m p u t in g P o w e r Power (Red wire Next - Gen Solar Arrays) Capital Equipment
Slide 6: Redwire Investment Highlights
Heritage + Disruptive Innovation Drives Customer Retention & Robust Backlog Red wire Investment Highlights: Pure - Play Space Investment With Scale Potential to Transform Space Economics and Create Markets for Commercialization Mission - Critical, Next Generation Infrastructure Provider Revenue Posi
Slide 7: Q2 2022 Market Update
1. Insert Footnote Q2 2022 Market Update Civil Commercial Strong Growth Opportunities • 40% growth in Space Force budget requested for 2023, a faster rate than DoD budget topline • The 2023 - 2027 defense budget projects $13 billion of satellite procurements, with a mix of strategic and tactical com
Slide 8: Q2 2022 Key Takeaways
1. Insert Footnote Q2 2022 Key Takeaways • Our demonstrated heritage on early - stage programs is creating more and larger opportunities (i.e. iROSA) • Revenues increased $4.6 million, or 14.2%, to $36.7 million in Q2 2022, from $32.1 million in Q2 2021 • Net loss was $(77.0) million for Q2 2022, wh
Slide 9: National Security
1. Insert Footnote 9 National Security • Redwire is providing critical components to some of the fastest growing programs in the DoD including the SDA tranches • We have built on our history of working on classified programs by making significant investments in security infrastructure to include inv
Slide 10: Civil
1. Insert Footnote 10 Civil • Plans for commercial stations in LEO are accelerating due to competition from the Chinese and uncertainty with the Russian partnership on ISS • Redwire's on-orbit manufacturing and leading space biotechnology solutions position it as one of the few companies with proven
Slide 11: Commercial Space
0 0 54 54 54 47 85 151 204 251 254 180 199 231 191 191 191 1. Insert Footnote 11 Commercial Space • Our platform-agnostic technology portfolio has allowed us to get diversified "toeholds" with companies across the industry, which hedges volatility in the commercial space • A big driver is consistent
Slide 12: Q2 2022 Operational Improvements Compared to Q1 2022
1. Insert Footnote 9 Q2 2022 Operational Improvements Compared to Q1 2022 Increases in Revenue and Gross Margin • Revenue increased by $3.9 million compared to Q1 2022 • Gross margin increased 3.3% compared to Q1 2022 Operational Successes Leading to Expanded Opportunities • New and existing custome
Slide 13: Strong Book to Bill Increasing Contracted Backlog
1. Insert Footnote 10 Strong Book - to - Bill Increasing Contracted Backlog • Redwire's Total Backlog (1) consists of a diverse set of products and services, protecting against downside exposure from any single product or service • Between Q1 2022 and Q2 2022, contracted backlog grew from $137.3 mil
Slide 14: Robust Pipeline Driving Increased Sales Momentum
1. Insert Footnote 11 Robust Pipeline Driving Increased Sales Momentum • Current pipeline is ~$3.5 billion total pipeline across ~500 opportunities • $556 million in submitted bids (up from $249 million at the end of Q1 2022) • $264 million of $556 million submitted bids have estimated selection dat
Slide 15: Revenues Improvement Year-Over-Year and Sequentially
1. Insert Footnote 12 Revenues Improvement Year - Over - Year and Sequentially Year - to - Date Revenues Sequential Quarterly Revenues
Slide 16: Adjusted EBITDA Year-Over-Year and Sequentially
1. Insert Footnote 13 Adjusted EBITDA Year - Over - Year and Sequentially Quarterly Adjusted EBITDA Adjusted EBITDA Bridge (1) Adjusted EBITDA is not a measure of results under generally accepted accounting principles in the United States. Please refer to the Appendix of this Presentation for additi
Slide 17: Revised FY 2022 Guidance
1. Insert Footnote 14 $165M - $175M GAAP Revenues in FYE 2022 $(2)M - $3M Pro Forma Adjusted EBITDA (1) in FYE 2022 Full Year Revenues & Pro Forma Adjusted EBITDA Revised FY 2022 Guidance (1) Pro forma Adjusted EBITDA is not a measure of results under generally accepted accounting principles in the
Slide 18: Quarterly Free Cash Flow and Total Liquidity
1. Insert Footnote 15 Quarterly Free Cash Flow and Total Liquidity Quarterly Free Cash Flow (1) Quarterly Total Liquidity (1) Free Cash Flow is not a measure of results under generally accepted accounting principles in the United States. Please refer to the Appendix of this Presentation for addition
Slide 19: Building a Foundation for Near-Term Improvement
1. Insert Footnote 16 • Strong market demand is continuing to present numerous high potential and high topline opportunities due to an increasing geo - political competition for dominance in space across civil, commercial and national security domains • Our proven technology is not dependent on "bui
Slide 20: Appendix
1. Insert Footnote 17 Appendix
Slide 21: Q2 2022 Quarter Date Summary Performance
1. Insert Footnote 18 Three Months Ended $ Change from prior year period % Change from prior year period ($ in millions, except percentages) June 30, 2022 June 30, 2021 Revenues $ 36,728 $ 32,148 $ 4,580 14 % Cost of sales 29,746 23,534 6,212 26 Gross margin 6,982 8,614 (1,632) (19) Operating expens
Slide 22: Q2 2022 Year Date Summary Performance
1. Insert Footnote Q2 2022 Year - to - Date Summary Performance 19 Six Months Ended $ Change from prior year period % Change from prior year period ($ in millions, except percentages) June 30, 2022 June 30, 2021 Revenues $ 69,595 $ 63,846 $ 5,749 9 % Cost of sales 57,442 47,755 9,687 20 Gross margin
Slide 23: Total Backlog
1. Insert Footnote Total Backlog We view growth in backlog as a key measure of our business growth. Contracted backlog represents the estimated dollar value of firm funded executed contracts for which work has not been performed (also known as the remaining performance obligations on a contract). Or
Slide 24: Supplemental Non-GAAP Information
1. Insert Footnote Supplemental Non - GAAP Information 21 Adjusted EBITDA, Pro Forma Adjusted EBITDA & Free Cash Flow Three Months Ended Six Months Ended (in thousands) June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Net income (loss) $ (77,028) $ (15,901) $ (94,321) $ (23,575) Interest expe
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