Great Lakes Dredge & Dock (GLDD) Sidoti September Small-Cap Virtual Conference summary

Business overview and market position

• Largest U.S. dredging company with over 134 years of experience and a diverse fleet, enabling flexibility and efficiency in project execution.

• Market share historically between 33%-40%, with 2024 expected to see further growth due to a strong bid market.

• Focus on complex, high-margin capital and coastal protection projects, with maintenance dredging as recurring revenue.

• 100% domestic operations currently, with robust U.S. market conditions and record Army Corps of Engineers budgets.

• Backlog at historic highs, entering 2024 with over $1 billion, and strong project wins continuing through the year.

Financial performance and outlook

• Trailing 12-month EBITDA at $115 million, with significant year-over-year revenue and margin growth.

• Liquidity exceeds $300 million, no debt maturities until 2029, and a $300 million undrawn revolver maturing in 2027.

• Backlog remains near record levels, with $800 million at Q2 end and over $640 million in new low-bid projects this quarter.

• Utilization for 2025 nearly full, with 2026 also filling up, providing strong visibility and stability.

• S&P credit rating upgraded, expected to positively impact future financings and Title XI loan prospects.

Project pipeline and execution

• Over $2.2 billion in projects bid through August 2024, already surpassing 2023's total (excluding LNG work).

• Recent wins include the three largest projects and four of the five largest in 2023, with execution underway.

• New build program nearing completion, with Galveston Island delivered and Amelia Island expected next year, both fully utilized.

• Backlog heavily weighted (85%) toward high-margin capital projects, supporting strong financial outlook.

• Flexibility in project timing and vessel deployment allows for efficient scheduling and maximized utilization.