INVESTOR PRESENTATION
PIPELINE l OIL & GAS l TRANSMISSION & DISTRIBUTION l CONSTRUCTION TSX : SDY
January 2020
PRESENTATION TSX : SDY PIPELINE l OIL & GAS l - - PowerPoint PPT Presentation
January 2020 INVESTOR PRESENTATION TSX : SDY PIPELINE l OIL & GAS l TRANSMISSION & DISTRIBUTION l CONSTRUCTION PAGE FORWARD LOOKING STATEMENTS This presentation contains statements and information that constitute
INVESTOR PRESENTATION
PIPELINE l OIL & GAS l TRANSMISSION & DISTRIBUTION l CONSTRUCTION TSX : SDY
January 2020
FORWARD LOOKING STATEMENTS
This presentation contains statements and information that constitute forward-looking statements. These statements relate to future events or to the Company’s future financial performance and involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, levels of activity, performance or achievements to be materially different from future results, levels of activity, performance or achievements expressed or implied by such forward- looking statements. The use of the words “expect”, “plan”, “continue”, “estimate”, “anticipate”, “targeting”, “intend”, “could”, “might”, “should”, “believe”, “may”, or “will” and similar expressions are intended to identify forward-looking information or statements. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this presentation. The forward-looking information and statements included in this presentation are not guarantees of future performance and should not be unduly relied upon. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated and described in the forward-lookingNORTH AMERICA
MARKET SIZE*
ENVIRONMENTAL SAFETY GROUND PROTECTION PROJECT EFFICIENCY
PAGELarge Scale Infrastructure Projects
PIPELINE TRANSMISSION & DISTRIBUTION OIL & GAS CONSTRUCTION
PAGEINDUSTRIAL MATTING
138,260
MATS
6Integral for larger infrastructure projects
$76M
ASSET NBV
INDUSTRIAL MATTING
MONTHS
7 PAGEUNITS
REVENUE
North Montney Mainline Project
OUR ADVANTAGE
8STRAD
PAGECAN/USA OPERATIONS
CANADA
FRAGMENTED REGIONAL LANDSCAPE
STRAD
USA
GROWING
INDUSTRIAL MATTING REVENUE & EBITDA
† Average of 2017, 2018 and Q1, Q2,Q3 2019EBITDA Margin 36%†
SOLID FINANCIAL PERFORMANCE
Industrial Matting
Canada USA EBITDA5,860
PIECES
11$62M
ASSET NBV
EQUIPMENT RENTALS
EBITDA Margin 13%†
† Average of 2017, 2018 and Q1,Q2,Q3 2019Equipment Rentals
Canada USA EBITDACONSOLIDATED FINANCIAL PERFORMANCE
12Margin profile supports strong cash-flow growth
*Corporate EBITDA has been allocated between Industrial Matting and Equipment Rentals based on the revenue split for that fiscal year ** Average Analyst Estimates 2019 and 2020REVENUE & EBITDA
Industrial Matting EBITDA Equipment Rentals EBITDA Forecasted EBITDA RevenueROBUST FREE CASH FLOW
$27.8M
Free Cash Flow†
†Based on Analyst Average Estimates for EBITDA and Corporate Estimates for 2019DURABLE FINANCIAL PLATFORM
14Disciplined approach to balance sheet strength
CAPITAL ASSETS
$138M
Funded Debt to EBITDA 0.3
Funded Debt†
EQUATION FOR GROWTH
15LOW DEBT + STRONG CASH-FLOWS
Industrial Matting Generating Strong ROIC
STRATEGY TO
PIPELINE TRANSMISSION & DISTRIBUTION CONSTRUCTION OIL & GAS
Strategy to double our matting fleet by 2021
92,200 180,000
Dec 31, 2021 Sept 30, 2019 June 30, 2018138,260
OUR MOMENTUM
PAGE 17STRONG GROWTH DEMAND FOR INDUSTRIAL MATTING
18We’re still at the front-end of a broad industrial adoption
*All numbers are Company estimates790,000
CANADIAN FLEET +
3,700,000
AMERICAN FLEET
N.A. MARKET SIZE
Industry growth in last 10 years (17% CAGR)
5x
LARGE SCALE PROJECTS
DEMAND > SUPPLY
Trans Mountain Line 3 Keystone XL Coastal GasLink Manitoba-Minnesota Transmission Project
INVESTING IN MATTING TO ACHIEVE HIGH RETURNS
20POTENTIAL TO DOUBLE FLEET BY 2021
SALES FIELD EQUIPMENT Scaling to capitalize on the matting opportunity
PAGESCALE LOGISTICS SAFETY REPUTATION
PAGEMATTING l HIGH GROWTH l HIGH RETURN
S T R A D I N C .C O M