Ralliant (RAL) Baird 55th Annual Global Industrial Conference summary

Leadership and Organizational Update

• Achieved first earnings call as an independent public company after a successful spin completed six months ahead of schedule.

• Leadership team selected for deep industry knowledge and operational rigor, with recent key hires in corporate functions.

• Ongoing refinement of systems and processes tailored to new company size and structure, with minimal transitional service agreements remaining.

• Commitment to building a durable, enduring company with disciplined capital allocation and a focus on long-term value creation.

• Emphasis on a people-first culture and the Ralliant Business System to drive growth and productivity.

Business Segments and Market Positioning

• Operates in two main segments: sensors and safety systems (60% of business) and test and measurement (40%).

• Customer base includes 90,000 global clients, ranging from large industrial and technology firms to startups.

• Products are known for precision engineering, with proprietary components and patented manufacturing processes.

• Portfolio includes flagship brands and a global presence with over 7,000 team members and 21 manufacturing sites.

• Geographic and end-market diversification, with half of revenue from the U.S. and half international.

Growth Strategy and Market Trends

• Profitable growth strategy centers on stronghold positions in niche markets, leveraging the Ralliant Business System for innovation and operational excellence.

• Strategic growth vectors include defense, power grid modernization, and electrification, all benefiting from secular trends.

• Defense segment experiencing a multi-year demand surge, with backlog covering revenues through 2028 and plans for capacity expansion.

• Grid modernization: Providing solutions for utilities to address aging infrastructure and increasing power demand.

• Electrification: Supplying measurement insights for advanced electronics across sectors like automotive, industrial, and data centers.