BW Industrial (BWGC) investor relations material

Company overview and business model

• Provides engineering, procurement, and construction (EPC) services for critical process systems in sectors such as automotive, energy storage, renewable energy, electronics, advanced manufacturing, and semiconductors.

• Built expertise serving international companies expanding U.S. operations, now diversifying to domestic and public sector clients.

• Headquarters in Houston, Texas, with operations through wholly owned subsidiary Bestwater USA Inc.

• Offers pre-construction advisory, cross-border technical translation, and project management, with a focus on complex industrial projects.

• Recently expanded into modular water treatment systems, targeting commercial and government clients in North and South America.

Financial performance and metrics

• Revenue was $102.0 million in 2024 and $22.5 million in 2025, with net income of $7.5 million and $4.9 million, respectively.

• Revenue decline in 2025 due to completion of large projects and postponement of a $30 million contract.

• Gross profit margin increased from 13% in 2024 to 49% in 2025, driven by favorable change orders and cost reductions.

• Cash and cash equivalents were $6.1 million at year-end 2025, with net current assets of $14.0 million.

• Significant client and vendor concentration, with two clients accounting for 73% of 2025 revenue and four vendors for 62% of 2025 costs.

Use of proceeds and capital allocation

• Plans to use IPO proceeds: 50% for business expansion (talent, geographic, project scope), 35% for strategic acquisitions (design institutes, engineering firms, materials manufacturing), and 15% for working capital and general corporate purposes.

• Management retains broad discretion over allocation; proceeds may be redirected based on business needs or unforeseen events.