Slide 1: Q2 Fiscal 2024 Financial Results
/IBDS Q2 Fiscal 2024 Financial Results November 2, 2023
Slide 2: Management Presenters
Management Presenters Scott Barbour President and Chief Executive Officer Scott Cottrill Executive Vice President, Chief Financial Officer Mike Higgins Vice President, Corporate Strategy & Investor Relations ISDS.
Slide 3: Forward Looking Statements and Non-GAAP Financial Metrics
Forward Looking Statements and Non-GAAP Financial Metrics Forward Looking Statements Certain statements in this press release may be deemed to be forward-looking statements. These statements are not historical facts but rather are based on the Company's current expectations, estimates and projection
Slide 4: Put Simply /// Our Promise
PUT SIMPLY /// OUR PROMISE To protect and manage water, the world’s most precious resource, safeguarding our environment and communities. /IBDS
Slide 5: Investing in World Class Facilities
Investing in World Class Facilities Manufacturing Facility Engineering and Technology Center Lake Wales, FL Hilliard, OH * Groundbreaking in 2024 * On track for opening in 2024 + Enables growth in key regions of Florida and Southeast + World’s most advanced stormwater engineering, research and * Des
Slide 6: Q2 Fiscal 2024 Highlights
Q2 Fiscal 2024 Highlights Demand * Demand remains largely in line with expectations. + Non-residential construction outlook remains uncertain due to higher interest rates and tighter credit standards not fully digested by market. + Infrastructure activity picking up on locally funded public projects
Slide 7: Q2 Fiscal 2024 Financial Performance
Q2 Fiscal 2024 Financial Performance Revenue Revenue Performance (USD, ln millons) 2%) By Business Domestic Markets ae ~ ADS Legacy (12%) PON STUCTION scocsse seceeassessee 2%) = Pipe (14%) Non-Residential (14%) - Allied Products (0%) Be Residential (296) = smnatcr (nis) © Infrastructure 0% Q2FY24 Q
Slide 8: Free Cash Flow and Capital Structure
Free Cash Flow and Capital Structure Free Cash Flow “) FY 2024 FY 2023 Consolidated Adjusted EBITDA $528 $562 $(34) Working capital?) 48 (21) 69 Cash tax (78) (101) 23 Cash interest (33) (18) (15) Transaction costs® (2) (2) (o} Other (4) 7 (2H) Consolidated cash flow from operations $459 $437 $22 Ca
Slide 9: Updated Fiscal Year 2024 Guidance
Updated Fiscal Year 2024 Guidance Fiscal 2024 Expectations Key Metric FY 2023 FY 2024 Y-o-Y Change Net Sales _ Down (in Millions) $3,071 $2,700 - $2,800 9% to 12% Adj. EBITDA _ Down (in Millions) $904 $800 - $850 6% to 12% Adj. EBITDA Margin 29.4% 29.6% - 30.4% PAO <A basis points ISDS.
Slide 10: Q&A
Slide 11: Appendix
Appendix /IBDS
Slide 12: Year-to-Date Fiscal 2024 Financial Performance
Year-to-Date Fiscal 2024 Financial Performance Revenue Revenue Performance (13%) (USD, in milion) By Business Domestic Markets $1,798 - ADS Legacy (14%) Construction 14%) - Pipe 7%) Non-Residential (16%) - Allied Products (6%) =i Reskientah 03%) = aanater 13%) + Infrastructure H1% YTD FY24 YTD FY23
Slide 13: Reconciliations
Reconciliations 13 (In thousands) Net Sales Intersegment Net Sales Net Sales from External Customers Net Sales Intersegment Net Sales Net Sales from External Customers Pipe $ 430,389 $ (9,563) $ 420,826 $ 500,978 $ (10,770) $ 490,208 Infiltrator Water Technologies 133,731 (17,553) 116,178 150,735 (2
Slide 14: Reconciliations Notes
Reconciliations 14 Notes: a) Includes derivative fair value adjustments, foreign currency transaction (gains) losses, the proportionate share of interest, income taxes, depreciation and amortization related to the South American Joint Venture, which is accounted for under the equity method of accoun