Morgans Queensland Conference

2018 Performance in Review Cardno grew EBITDA by 28% in FY18 to $56.2m which was in line with market guidance of $55m to $60m. Cardno is entering a phase of stability with incremental growth driven by business optimisation and accretive acquisition - simple and boring. > Strong EBITDA growth of 28% to $56.2m over pcp. > > > > > > > Conversion of EBITDA into operating cash flow pre tax and interest expense of 95% ($53.4m). Balance sheet remains strong with Net Debt/ EBITDA of 0.3x. Cardno® The Americas Engineering and Environmental division performance continued to improve with EBITDA margin expanding from 1.6% to 4.8%. While this remains below industry averages the division is building positive momentum and we are optimistic this trend will continue. EBITDA margin in Asia Pacific Engineering declined from 10.9% to 7.5% driven by the roll off of a number of major projects as well as project provisioning in APAC North. APAC division (North and South) restructured in H2 to increase collaboration and revenue opportunities across regions. Construction Sciences performed strongly due to elevated infrastructure building works in Australia. ID sustained strong performance through the year with material growth in backlog. > PPI returned to profitability in Q4 and we expect this trend to continue. > Wind down of LATAM projects and operations consistent with management expectations. > A A > US restructured under one US President, Susan Reisbord who is double hatting as President of Science and Environment division in the US. Backlog grew by 9.7%. 8 Cardno: Morgans Queensland Conference

View entire presentation