L B Foster : Q1 2026 Investor Deck

About this update from L.b. Foster Company

L.B. Foster Company Investor Presentation Nasdaq - FSTR May 2026 Company Overview "L.B. Foster Company has a rich history of innovation and customer service, and we are reinvigorated by the momentum building inside our business and the opportunity to grow shareholder value." John Kasel President and CEO L.B. Foster Investor Deck 3 May 2026 L.B. Foster Overview Data shown above in millions, except stock price and ratios. 2026 Guidance 3 Low High Revenue $ 540 $ 580 Adj. EBITDA 1 $ 41 $ 46 Cap Ex as a % of sales 2.7% 2.7% Free Cash Flow 1 $ 15 $ 25 Innovating to solve global infrastructure challenges Founded in 1902, headquartered in Pittsburgh, Pennsylvania Locations throughout North America, South America, Europe, and Asia 19 principal plants, yards, and offices; ~1,200 employees worldwide 2 March 31, 2026 Financial Data 4 Stock Price $ 39.74 Shares Outstanding 10.5 Market Capitalization $ 417 Debt 60 Cash 4 Enterprise Value $ 473 Critical infrastructure solutions provider focused on growing our innovative, technology -based offerings to address our customers' most challenging operating and safety requirements Business Segments Rail, Technologies, and Services TTM Q1 2026 Sales by Segment 2025 Sales by Region 600 Infrastructure Solutions 400 200 ($ in millions) 600 $563 $326 $237 400 Covenant Leverage 1.2x 200 ($ in millions) TTM Revenue $ 563 TTM Adj. EBITDA 1 $ 42 EV / Revenue 0.8 EV / Adj. EBITDA 11.1 - Rail Infrastructure Total TTM Q1 2026 Sales - $33 $19 $7 $481 $540 United States United Kingdom Canada Other Total 2025 Sales L.B. Foster Investor Deck May 2026 Refer to safe harbor disclaimer slide and related reconciliations within the appendix regarding non-GAAP measures. Location and employee data as of December 31, 2025. 4 2026 guidance as of May 4, 2026. All data as of March 31, 2026 except for market data which is reflected as of May 5, 2026 Innovating to Solve Global Infrastructure Challenges Investing in Growth Platforms to Drive Sales Growth and Profitability Expansion in 2026 and Beyond Financial Results 2021 v. 2025 2021 2025 Net sales $514M $540M Adj. EBITDA 1 $19M $39M Adj. EBITDA % 1 3.6% 7.2% Free Cash Flow 1 ($5M) $25M 2026 Financial Guidance May 4, 2026 Low High Net sales $540M $580M Adj. EBITDA 1 $41M $46M Adj. EBITDA % 1 7.6% 7.9% Free Cash Flow 1 $15M $25M Strategic Transformation commenced in 2021 Significant improvement in financial results through 2025, with 5% sales growth, 430 bps GP % improvement and 2x Adjusted EBITDA 1 increase 2026 Q1 TTM sales and Adjusted EBITDA 1 at or near full year guidance mid-points Solid Free Cash Flow 1 expected; 2.7% Cap Ex percent of sales to invest in growth opportunities L.B. Foster Investor Deck May 2026 1) Refer to safe harbor disclaimer slide and related reconciliations within the appendix regarding non-GAAP measures. 5 Proud Legacy, Well-Positioned for Growth 2015 Acquired U.K.-based Tew Engineering and Tew Plus, widening offering of technology solutions 2010 Acquired Portec Rail Products, a rail technology company with established presence in UK 1999 Acquired CXT Inc., manufacturer of engineered precast and pre-stressed products used in rail and civil infrastructure 1981 L.B. Foster goes public, trading on the NASDAQ exchange (FSTR) 1902 Founded by Lee B. Foster as used rail resale company L.B. Foster Investor Deck May 2026 Company History Strategic Execution 2021 Refreshed strategy developed and announced; changes to Board and leadership team; divested Piling Products business 2022 Divested Track Components business; acquired VanHooseCo Precast, Skratch, and IV businesses 2023 Divested Concrete Ties and Chemtec businesses; bridge grid deck product line exit announced; Cougar Mountain Precast tuck in acquisition completed 2024 Increased organic growth investments in Rail Technologies and Precast Concrete; completed enterprise restructuring 2025 Commissioned Florida Envirocast® precast wall systems facility; announced UK Automation & Materials Handling product line exit; completed UK restructuring activities 6 Business Segments "With much of the portfolio transformation work complete, our strong financial position enables accelerated investments to drive sustainable organic growth" John Kasel President and CEO L.B. Foster Investor Deck 7 May 2026 Business Segment Profile Offering: Proprietary precast products to support North American civil infrastructure Bridge, protective pipeline coatings, and water well products and services Strategic Emphasis: Precast expansion into adjacent markets, applications, and geographies Optimize cash generation, maintain competitive position to fund growth Infrastructure Solutions Offering: Rail products / technology-based solutions improving safety / efficiency North American focus with UK / Western Europe presence Strategic Emphasis: > Growth via mobile solutions, new geographies, and focus on technology Driven by rail network safety and U.S. infrastructure spend initiatives to support long-term domestic growth Rail, Technologies, and Services TTM Q1 2026 Net Sales by Segment $600 $500 $400 $300 $200 $100 $- 25% 20% 15% 10% 5% -% $326 $563 $237 Rail Infrastructure TTM Q1 2026 Sales TTM Q1 2026 Gross Profit Margins 22.3% 21.2% 20.4% Rail Infrastructure TTM Q1 2026 GP Margin L.B. Foster Investor Deck May 2026 $ in millions unless otherwise indicated. Figures may not foot due to rounding. 8 Rail, Technologies, and Services - Overview Offering Supports the Safety, Reliability, and Efficiency of Global Rail Markets Rail Products Returns platform business Products for rail track infrastructure Legacy L.B. Foster businesses; demonstrated stable, strong cash generation, project-based seasonality $400 $300 $200 Global Friction Management Solutions and services to enhance rail safety and efficiency Growth platform with above-average margins Razor / razor blade strategy with proprietary formulations $100 $- TTM Q1 2026 Rail Sales $200 $85 $326 $41 40% 35% 30% 25% 20% 15% 10% 5% Business Gross Margin Profiles Rail Products Global FM TS&S Total Rail Rail Products Global FM TS&S Technology Services and Solutions Total Track Monitoring a growth platform business with offerings for safety and efficiency Service and technology solution business for transportation and construction UK TS&S moved to returns-based strategy business Rail Segment M&A Activity 2010 - Acquire 2015 - Acquire Tew Portec Eng / Tew Plus 2022 - Acquire Skratch / IV; Divest Track Components 2023 - Divest Concrete Ties 2025 - Exit UK Automation and Materials Handling 2010 2015 2022 2023 2025 L.B. Foster Investor Deck May 2026 $ in millions unless otherwise indicated. Figures may not foot due to rounding. 9 Rail, Technologies, and Services - Advantages Continuing Focus on Technology Innovation Driving Improved Margins Transportation Spend Forecast FMI Corp North American Engineering and Construction Outlook Q2 2026 FRA Safety Advisory 2023 Focus on rail safety/efficiency Why Now? $6.0B+ 2022-2026 CRISI grants funding for rail infrastructure Market-leading positions in technology-oriented products Infrastructure investment super cycle continuing 24.3% TTM Q1 2026 sales growth in growth platforms Increased focus on and demand for safety-enabling and fuel-saving products / services Helping customers to meet ESG and safety goals Rail Segment Sales and YoY Organic Growth $125 $100 +24% $98 $75 $86 $79 $79 (11)% $76 (2)% $78 +38% $75 $50 $54 $25 $- Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2024 2024 2024 2025 2025 2025 2025 2026 $10 $15 $16 $16 $12 $17 $18 $18 $18 $18 $20 17.8% 15.0% 10.0% 5.0% -% 21.6% 22.8% 21.3% 22.2% 22.3% 20.9% 23.2% 20.0% $25 25.0% Rail Segment Gross Profit 1,2 L.B. Foster Investor Deck May 2026 $ in millions unless otherwise indicated. Figures may not foot due to rounding. Gross profit adjusted for AMH exit costs in Q2 2025. 10 Refer to safe harbor disclaimer slide and related reconciliations within the appendix regarding non-GAAP measures. Rail Products Overview Transit Products Fasteners, rail and track systems Rail Distribution Industrial and transit applications Well-Established Business With Strong Cash Generation and Capital-Light Business Model Returns-based strategy and the largest component of the Rail segment today (~61% of sales) Capital light model driving strong economic returns Rail Distribution business largest component (~75%) Rail Distribution quarterly results dependent on project seasonality; steady L-T replacement demand $2.0B Consolidated Rail Infrastructure & Safety Improvement Grant funding budgeted for 2026* Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2023 2023 2023 2024 2024 2024 2024 2025 2025 2025 2025 2026 $29 $41 $45 $41 $48 $51 $47 $56 $53 $60 $67 $70 $60 $50 $40 $30 $20 $10 $- Rail Products Net Sales $64 Allegheny Rail Products Insulated rail joints and accessories L.B. Foster Investor Deck May 2026 *Data from https://railroads.dot.gov/grants-loans/consolidated-rail-infrastructure-and-safety-improvements-crisi-program 11 Global Friction Management Overview Trackside Equipment Applies friction modifiers Consumables Top-of-rail / gauge face friction modifiers Global Platform Well-Positioned for Growth With Application Innovation Growth platform as a technology-focused business...higher margin profile Razor / razor-blade business model with services Services component should benefit from growth and improved margins Significant future global growth opportunity including further penetration into Western Europe Field Services Equipment service and maintenance On-Board Solutions Proprietary solid stick friction modifiers Helps address railroad fuel, wear, and safety issues Opportunity for increasing customer adoption with focus on operating ratios and derailment impacts 5% > Percent NA rail network currently utilizing friction management technology #1 > L.B. Foster holds the leading position in the market L.B. Foster Investor Deck 12 May 2026 Technology Services and Solutions Overview North America Total Track Monitoring 318% Organic sales growth since 2021 driven by increasing market adoption of our innovative offering Condition monitoring solutions support rail safety and network efficiency initiatives primarily focused in North America Focus on improving railroad operating ratios and safety programs Project work as well as recurring maintenance needs Increasing demand for Wheel Impact Load Detector (WILD) product line to help reduce risk of train derailments Rockfall Monitoring Rockfall-detection technology identifies conditions that prevent safe passage Flood Monitoring Wayside technology that monitors flood water conditions in flood-prone areas WILD Measures impact imparted onto rail; greatly reduces risk of train derailment L.B. Foster Investor Deck 13 May 2026 Technology Services and Solutions Overview Contract Services Building and technology management for rail, airports, and construction United Kingdom Project-based work, well-respected partner in the market Strategic business pivot to focus on higher-margin technology / maintenance-oriented products and services Large, multi-year fire detection project order received in September 2025 with higher profitability profile Continuing to right-size business to improve returns and growth prospects Portfolio Actions 2022 - Acquired Skratch / IV enhancing technology-based offerings 2023 & 2024 - Restructuring programs reduced complexity and realigned resources 2025 - Automation & Materials Handling product line exit; continued restructuring programs 2022 2023 / 2024 2025 Control and Display Fixed and mobile displays for customer information and disruption management L.B. Foster Investor Deck 14 May 2026 Addressable Market - Rail FSTR 3-year CAGR v. Long-Term Addressable Market Growth Rail Products Returns platform Steady market demand Rail Products L.B. Foster Market Share Addressable Market $200, 44% Total Addressable Market 1 $450M Driven by customer maintenance needs (4)% (2)% -% 2% 4% Addressable Market Rail Products Rail Technologies * L.B. Foster Market Share $98, 17% Addressable Market Total Addressable Market 1 $570M FSTR 3-year CAGR v. Long-Term Addressable Market Growth -% 5% 10% 15% 20% Addressable Market Rail Technologies Rail Technologies Growth platform businesses Improving market demand Customer focus on operating ratios, fuel savings and safety L.B. Foster Investor Deck May 2026 * Rail Technologies represents the results of Global Friction Management and Total Track Monitoring 1) Addressable market sizes based on internal estimates in North America using information available from the US Census Bureau. 15 FSTR 3-Year CAGR is calculated comparing TTM Q1 2026 to TTM Q1 2023 Infrastructure Solutions Overview Deploying Advanced Technologies That Positively Impact the Built Environment Precast Concrete Products Growth platform with multiple avenues available Turnkey concrete buildings, manufactured offsite and delivered to site for quick installation Other precast products, supporting commercial and residential infrastructure via proprietary technologies Secured licenses and proprietary technologies including Envirocast, Envirokeeper, and Redi-Rock Exploring opportunities to access growing areas of U.S. market with a capital efficient model $250 $200 $150 $100 $50 $- TTM Q1 2026 Infrastructure Sales $168 $237 $69 40% 35% 30% 25% 20% 15% 10% Business Gross Margin Profile Steel Products Returns-based strategy with modest capital needs Custom engineered solutions and services for critical civil and energy infrastructure Leading share in stable / mature niche markets Generate cash to fund higher growth / higher-margin opportunities in precast market Tailwinds from US energy and infrastructure spending Precast Concrete Steel Products Total Infrastructure 5% Precast Concrete Steel Products Infrastructure Solutions M&A Activity 1999 - Acquire 2014 - Acquire 2022 - Acquire 2023 - Divest 2023 - Acquire CXT Carr Concrete VanHooseCo Chemtec and Exit Cougar Mountain , Bridge Grid Deck Redi-Rock product expansion 1999 2014 2022 2023 2023 L.B. Foster Investor Deck $ in millions unless otherwise indicated. Figures may not foot due to rounding. 16 May 2026 Infrastructure Solutions - Advantages Portfolio Pivot with Emphasis on Precast Concrete Growth Driving Improved Profitability ~$191B Funding needs for bridge rehabilitation in the U.S.* Why Now? Recognizable offering with compelling value proposition and a leading position in niche markets ~$23B Deferred maintenance projects in national parks* State and local infrastructure programs creating active bid pipelines; Great American Outdoors Act funding remains through 2026 for parks construction spending 17.3% TTM Q1 2026 sales growth in growth platforms Infrastructure Investment & Jobs Act funding remains available and continues to drive demand across our civil construction markets Investment in new precast forms to support civil construction projects Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 $- $25 +6% $46 $44 $49 $62 +4% $60 $58 $55 $50 +27% +22% $68 $75 Infrastructure Segment Sales and YoY Organic Growth $14 18.6% $14 $12 $13 $11 $10 $8 $10 $5 $- Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2024 2024 2024 2025 2025 2025 2025 2026 15.0% 10.0% 5.0% -% $15 20.6% 22.8% 22.0% 23.3% $16 22.6% 21.4% 20.0% 24.6% $20 25.0% Infrastructure Segment Gross Profit 1,2 L.B. Foster Investor Deck May 2026 $ in millions unless otherwise indicated. Figures may not foot due to rounding. Gross profit adjusted for the non-routine impact of a gain on asset sale in Q2 2024. 17 Refer to safe harbor disclaimer slide and related reconciliations within the appendix regarding non-GAAP measures. *Statistics sourced from the American Society of Civil Engineers - America's Infrastructure Report Card 2025. Precast Concrete Products Overview $82 CXT Buildings Concrete restroom, concession, multi-functional buildings Precast Products Box culverts, irrigation canals, bridge beams, highway wall panels, and proprietary licensed technology Supports General Infrastructure with Expanding Geographic Reach and Well-Recognized Brands L.B. Foster Investor Deck May 2026 Access to high growth southern regions of the United States Total Precast Precast Products Buildings $- $25 $50 $75 $100 $125 $150 $175 TTM Q1 2026 Precast Sales L.B. Foster Precast Facilities Boise, ID/Caldwell, ID Waverly, WV Knoxville, TN Nashville, TN Hillsboro, TX (Dallas area) Lake County, Florida Significant freight costs; our expansive presence is a competitive advantage Serving steady, government-funded projects and residential / commercial markets Tuck-in acquisitions such as 2023 Cougar Mountain, LLC to further expand geographic reach and product lines $86 $168 +1% +5% Southeast U.S. non-residential project starts LTM March 2026 vs 2025 U.S. infrastructure project starts LTM March 2026 vs 2025 $ in millions unless otherwise indicated. Figures may not foot due to rounding. Construction and population density data sourced from US Census Bureau. Infrastructure spending includes public safety, 18 transportation, communication, power, highway and street, sewage and waste and water supply spending Returns Platform Steel Products Overview Casing pipe for water wells Threading Custom protective bond epoxy coating of pipeline pipe Protective Coatings Special design and quick installation processes Bridge Forms Protective Coatings Profitability Expansion Driving Cash Generation to Fund Growth Platforms 16.3% Gross Margin 23.3% Gross 22.0% Margin $40.0 20.0% $20.0 18.9% Gross Margin 18.0% Gross 23.3% Gross Margin 16.0% $0.0 14.0% 2023 Divestiture Organic 2024 and Product Line Exit Sales Product Organic 2025 Organic TTM Q1 Line Exit Sales Sales 2026 $60.0 24.0% ($2.1) ($2.3) $68.9 $67.9 $71.2 26.0% $5.4 ($15.6) $80.0 28.0% $95.1 30.0% $100.0 Steel Products Sales and Margin Impact ($11.7) TTM Q1 2026 2025 2021-2024 2017-2020 $10 $- $21 $20 $35 $35 $30 $43 $50 $40 Average Net Sales L.B. Foster Investor Deck May 2026 $ in millions unless otherwise indicated. Figures may not foot due to rounding. 19 Addressable Market - Precast Concrete CXT Buildings L.B. Foster Market Share Addressable Market $86, 44% Total Addressable Market 1 $200M FSTR 3-year CAGR v. Long-Term Addressable Market Growth -% 5% 10% 15% 20% 25% Addressable Market CXT Buildings $82, 1% Precast Products L.B. Foster Market Share Addressable Market Total Addressable Market 1 $14B FSTR 3-year CAGR v. Long-Term Addressable Market Growth -% 5% 10% 15% 20% 25% Addressable Market Precast Products CXT Buildings Growth platform Solid market share in geographic regions Market position expected to remain consistent Precast Products Growth platform; includes VHC 2022 acquisition Fragmented market Substantial runway for add'l market share gains with organic / inorganic opportunities L.B. Foster Investor Deck May 2026 1) Addressable market sizes based on internal estimates in North America using information available from the US Census Bureau and the NPCA 2025 Report. FSTR 3-Year CAGR is calculated comparing TTM Q1 2026 to TTM Q1 2023. 20 Attention : This is an excerpt of the original content. To continue reading it, access the original document here .

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