CECO Environmental (CECO) 11th Annual Waste and Environmental Symposium summary

Company Overview and Portfolio Evolution

• Evolved from a coal technology supplier to a global provider of environmental solutions through acquisitions and new technologies.

• Portfolio shifted since 2020 from 65-67% energy focus to a balanced mix: 30-35% industrial air, 25% water, and the rest in energy, now oriented toward new energy and renewables.

• CECO now 100% focused on providing environmental solutions for industrial markets, with diversified end markets and global reach.

• Workforce of ~1,500 employees worldwide, with ~40% of sales outside the US.

• Operates globally with significant presence in the U.S., Europe, Middle East, India, and Asia.

Growth Strategy and Drivers

• Revenue grew from $310 million in 2020 to $700–750 million in 2024, driven by portfolio diversification and proactive sales.

• Shifted from reactive to proactive sales, incentivizing growth and stock ownership among employees.

• Key end markets include power generation, hydrocarbon processing, semiconductors, metals, automotive, batteries, and solar.

• Growth supported by both organic initiatives and programmatic M&A, focusing on complementary acquisitions.

• Four strategic, accretive M&A transactions completed in the past six months, including Profire Energy, Verantis, WK Group, and EnviroCare.

Market Conditions and Opportunities

• Demand for power and energy solutions is rapidly increasing globally, with significant order pipeline growth from $1.2 billion to over $4.5 billion.

• Expanding in India and Saudi Arabia, engaging directly with major industrial players for large-scale projects.

• Half of business is now outside the U.S., increasing resilience and reducing reliance on domestic energy markets.

• Organic growth balanced across sectors, with strong momentum in energy, power, and data centers.

• Record Q4 and FY 2024 orders and backlog, with YE 2024 backlog at $541M, up 46% YoY.