Tornado Infrastructure Equipment (TGH) AGM 2024 Presentation summary

Significant developments and 2024 overview

• Achieved record quarterly sales in both Q1 and Q2 2024, marking eight and nine consecutive quarters of record revenue.

• Q1 2024 revenue reached $33.9M (+60.7%), Q2 2024 revenue was $34.4M (+46.3%).

• EBITDAS for Q1 2024 was $3.43M (+99.3%), and Q2 2024 was $3.78M (+86.6%).

• EBITDAS per share (diluted) grew to $0.025 in Q1 (+92.3%) and $0.028 in Q2 (+85.8%).

• Construction of a new building underway to further increase production capacity.

Financial performance and results

• Q2 2024 revenue was $34.4M, up from $23.5M in Q2 2023; six-month revenue totaled $68.3M.

• Gross profit for Q2 2024 was $6.23M (18.1% margin), and EBITDAS was $3.78M (11.0% margin).

• Net income for Q2 2024 was $2.51M, up from $1.05M in Q2 2023.

• EBITDAS and revenue have shown consistent quarterly growth since Q3 2022.

• Shares outstanding: 137.56M; fully diluted: 145.90M; stock price ranged $0.40–$0.80 CAD over the past year.

Strategic outlook and growth drivers

• Anticipates continued growth in production, sales, and profitability for the remainder of 2024.

• Expects ongoing infrastructure spending in North America to drive demand.

• Increasing revenues expected from supply contracts with Ditch Witch and Custom Truck.

• Focus on innovative product additions and continuous improvement in hydrovac truck design.

• Strengthened dealer relationships and expanded maintenance coverage across North America.