Star Equity Holdings (STRR) Investor presentation summary

Strategic vision and growth initiatives

• Focused on delivering strong shareholder returns through organic growth, acquisitions, and share repurchases, targeting adjusted EBITDA growth from $12M in Q1 2026 TTM PF to $40M by 2030.

• $215M of net operating losses (NOLs) provide a tax-efficient structure for converting EBITDA growth into free cash flow.

• High insider ownership at approximately 33%, with regular stock purchases by insiders.

• Preference for using non-convertible preferred stock for M&A to supplement organic growth.

• Plans to monetize over $20M of non-cash generating assets in the coming years.

Financial and valuation highlights

• Q1 2026 TTM pro forma revenue of $228.2M, gross profit of $95M, and adjusted EBITDA of $12.2M.

• Vision 2030 targets: revenue of ~$400M, gross profit of ~$200M, and adjusted EBITDA of ~$40M.

• Adjusted EPS of $0.56 in Q1 2026 TTM PF, with a goal of $10+ by 2030.

• $45M in potential future cash tax savings from NOLs, equating to ~$12.23 per share.

Corporate structure and strategy

• Operates as a diversified holding company with four divisions: Building Solutions, Business Services, Energy Services, and Investments.

• Completed a transformational merger in August 2025, combining two microcaps and expanding business lines.

• Differentiated strategy similar to private equity, with flexible holding periods, long-term partnership approach, and focus on both public and private acquisitions.

• Medium-term goals include outperforming and being added to the Russell 2000 Index.