Heritage Global (HGBL) Corporate presentation summary

Business overview and strategy

• Specializes in valuing and monetizing industrial and financial assets through acquisition, disposition, valuation, and lending services.

• Operates two main business units: Industrial Assets and Financial Assets, serving both growth and stress market environments.

• Recent strategic acquisition of DebtX enhances loan sale advisory and execution capabilities, expected to be accretive in 2026.

• Focuses on expanding transaction volume, deepening institutional relationships, and pursuing selective acquisitions.

• Maintains strong liquidity and balance sheet flexibility to support growth and shareholder value.

Revenue streams and market positioning

• Generates revenue from auctions, valuations, refurbishing and resale, brokerage, advisory, and specialty lending.

• Benefits from high barriers to entry due to trusted relationships, data security, and execution credibility.

• Collaboration across specialized brands creates revenue and buyer-network synergies.

• Positioned to perform in both favorable and stressed economic conditions, with demand drivers in industrial and financial markets.

• Long-standing relationships with Fortune 500 clients drive recurring monetization programs.

Financial performance and outlook

• Demonstrates a proven track record of profitability with attractive margin profile and $15.5M NOL carry forwards as of 2025.

• 2025 recap highlights increased focus on M&A, business development, and share repurchases amid economic uncertainty.

• As of 12/31/25: $20.5M cash, $18.1M working capital, $67.0M total shareholders' equity.

• 2025 operating income $5.7M, net income $3.6M, adjusted EBITDA $7.1M; 2024 adjusted EBITDA $10.9M.

• Annual return on capital employed shows consistent growth from 2022 to 2025.