Cadre Holdings IPO Presentation Deck slide image

Cadre Holdings IPO Presentation Deck

HIGH RETURNS ON INVESTED CAPITAL 16.2% LTM ADJ. EBITDA MARGIN ✈ Attractive Margins and NOPAT ¹ • Profitable top line growth through new product launches, price increases, gained customer wallet share and international expansion CADRE 2. HOLDINGS 3. 19.5% RETURN ON INVESTED CAPITAL 3,4 + 20.5% OF LTM NET SALES Low Working Capital 2 • Business not required to carry overly burdensome amounts of working capital . Minimal seasonality with working capital swings of less than $10 million + 0.8% OF LTM NET SALES ✓ • Asset-light business model with minimal capital expenditure needs Limited Capital Expenditures • Low capital expenditures provide high FCF conversion which can be utilized for expansion initiatives and corporate finance alternatives Non GAAP financial measure: NOPAT defined as Adi EBITDA-DRAY (1 tax rate: Assumes 28% tax te Working Capital defined as accounts receivable, net+ inventories-accounts payatin Nan GAAP financial measure: Return on invested Capital defined as NOPAT/(Total Debit + Book Value of Equity; also defined as NOPAT/(Net Working Capital PPC net+ Goodwill - Other Operating Assets) LTM as of 6/30/2021 Assumes Total Debt of $2129 million, Total Shareholders' Equity of $2.4 million and NOPATY of $41.1 million 19
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