Expro N : Barclays CEO Energy-Power Conference Presentation

N Y S E : X P R O

CEO Energy-Power Conference

September 4, 2024 | 11:40 a.m. CST | 12:40 p.m. EST

Get to Know XPRO

~80% ~70%

I NTE RNATI ON ALOFFS HORE

S TRONG CAS H	ZE RO NE T - DE BT
FLOW OUTLOOK	BAL ANCE S HE E T
	with significant available liquidity

SAFETY & SERVICE QUALITY LEADER

~95%

2023 customer service, quality, and customer job performance rating

T T M R E V E N U E 1

$1,630m

Asia Pacific

16%

North & Latin

America

Middle East	BY	33%
North Africa	REGION
17%
+60 Countries
	Europe & Sub- Saharan Africa
	34%
		Well
		Intervention
		& Integrity
		15%
			Well
			Construction
	Subsea	BY	33%
	Well Access
	16%	PRODUCT
		LINE

WELL
MANAGEMENT
68%	Well Flow Management

36%

~$2.3bn

Market Capitalization2

~$2.3bn

Enterprise Value3

Wall Street Estimates

$360m4	~6.5x3,4
2024E Adjusted EBITDA	Implied EV/2024E EBITDA

NYSE: XPRO

Headquartered in Houston, Texas

	Note:	Certain totals may not add due to use of rounded numbers.
	1)	Trailing twelve months revenue is based on the trailing twelve months for the quarter ended 06/30/24.
Copyright 2024 Expro. All rights reserved.	2)	Market capitalization based on approximately 117 million total shares outstanding and an XPRO price per share of ~$20.00.
3)	Based on $121 interest-bearing debt and $135m cash at 06/30/24.
	4)	Average 2024 EBITDA estimates from Barclays, Goldman Sachs, JP Morgan, Piper Sandler, and Sidoti.

1

Positioned to Capitalize on Increasing Demand for Energy Services

Favorable Macro Backdrop

• Strong and stable oil prices are expected to drive increased operator investment and activity after nearly 10 years of limited upstream spending
• Customer project approvals will drive capital spending (~70% of Expro's revenue) for 3-5 years, thereby providing a stable spending foundation for the currently positive activity outlook
• Market leading positions in deepwater well construction, subsea well access and well flow management

Note: All data excludes China, Iran and Russia.

1. Rystad Energy UCube Reports as of August 2024.

Copyright 2024 Expro. All rights reserved.

Estimated Value of Projects Sanctioned/Expected to be Sanctioned ($Bn)1

$147

	$139
														$127
														$112
								$100				$101	$103	$99
$90														$107
													$99
	$92
	$75									$73
$83
					$59	$60
			$52					$62	$45				$66
											$58
		$51		$39						$52
			$45						$47
									$43
							$33		$36
			$25	$22
2012	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	2023 2024e2025e2026e2027e
						Offshore Deepwater		Offshore Shelf

2

Investment Momentum Shifting to International and Offshore Markets Provides Opportunity for Expro

Increased offshore and international investment (i.e., long cycle development) provides Expro with business durability

Expected growth shifting from North America Onshore to International and Offshore markets

Business Mix

~80% ~70%

I N T E R N A T I O N A LO F F S H O R E

Note: All data excludes China, Iran and Russia.

1. Rystad Energy UCube Reports as of August 2024. Growth rates indexed to 2019.

Copyright 2024 Expro. All rights reserved.

Total Capital Investments by Year ($Bn)1

50%		CAPEX		North America Onshore		International		Offshore $ 600

40%

30%										500
20%										400
10%
0%											300
-10%
-20%										200
-30%										100
-40%
-50%											0
2019	2020	2021	2022	2023	2024e	2025e	2026e	2027e

3

Road Map to Success During the Current Growth Cycle and Beyond

Key to Create Long-Term Shareholder Value

Medium-Term Targets for Revenue,

Contribution Margin and Adjusted EBITDA Margin1,2

Offer value-adding services across the

well lifecycle

Add scale to leverage global operating

footprint

Expand margins and FCF

Maintain conservative balance sheet

Establish shareholder-friendly capital allocation

framework

Targets

$2bn

REVENUE

25%

ADJUSTED EBITDA MARGIN

10%

FCF MARGIN

3000

2500

2000

1500

1000

500

		Capex related revenue			Opex related revenue
57%		Adjusted EBITDA margin		x%Contribution margin
$2,533							+40%
39%	38%			40%	$2,000
37%
			35%
				$1,750
31%						-
			$1,513	$1,700
			$1,279		22%	25%
		$1,143
$1,065
		14%	16%	16%	20%
10%

0.6

More

Balanced

Business Mix

0.3

0										0
2014		2020	2021	2022	2023	2024e		Targets

Note:	FCF Margin defined as Adjusted Cash Flow from Operations, less capital expenditures, expressed as a percentage of revenue.
1)	2022 and 2023 Contribution Margin and Adjusted EBITDA Margin excludes $28m and $36m of unrecoverable LWI-related costs, respectively.
2)	Expro and Frank's merger closed October 2021. Comparative information for revenue, direct costs, support costs and contributi on has been restated to align legacy Frank's revenue and costs with Expro's definition on a proforma basis.
Copyright 2024 Expro. All rights reserved.	4

Why Invest in Expro

Reasons to Own Expro

• Strong and stabile oil prices are expected to drive increased operator investment and activity after nearly 10 years of limited upstream spending
• Project approvals will drive customer capital spending (~70% of Expro's revenue) for 3-5 years, thereby providing a stable customer spending foundation for the currently positive activity outlook
• Market leading positions in deepwater well construction, subsea well access and well flow management
• Organic and inorganic investments to increase scale, expand margins, and generate sustainable free cash flow
• Clear path to $2bn of revenue, 25% Adjusted EBITDA margin and 10% free cash flow margin

Copyright 2024 Expro. All rights reserved.

5

Appendix:

To learn even more about Expro, check out these additional places to get in touch with us.

Investors.Expro.com

Downloadable Financials

Our ESG report

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channel

Revenue by Region and Area of Capability

											Asia Pacific																					Well
												(APAC)																								Intervention
											$63																									& Integrity
																North &																	$69
																				Latin America																								Well
																					(NLA)
																																												Construction
								Middle East																																Q2 2024
												Q2 2024	$157
								North Africa																							$148
																													Revenue
								(MENA)		Revenue
						$81
							by Geographic																	Well Flow				by Area of
															Market																	Management		Capability
																														$160
															$470m																			$470m
																																		Well Management											Subsea
												Europe & Sub-Saharan Africa																				Well Access
																					$321									$93
															(ESSA)
															$168
									($m)
($m)	Q2 2024	Q1 2024	Seq Δ	Q2 2023	Δ 2023	Q2 2022	Δ 2022		Q2 2024			Q1 2024	Seq Δ	Q2 2023	Δ 2023	Q2 2022	Δ 2022
																																		Well Construction		$148					$120			24%			$144				3%			$122		22%
NLA	$157	$130	20%	$135	16%	$130	21%
ESSA	$168	$122	38%		$138	22%	$90		87%		Well Management1	$321			$263	22%	$253	27%	$192	67%
MENA			$81					$71				14%				$59				38%				$45				80%			Total		$470					$383			22%			$397			18%			$314			50%
APAC	$63		$60		5%			$65		-3%			$48		30%
Total
$470	$383	22%		$397	18%	$314	50%

Note:	Certain totals may not add due to use of rounded numbers.
1)	Well Management includes Well Flow Management, Subsea Well Access, and Well Intervention and Integrity.
Copyright 2024 Expro. All rights reserved.	A-1

Historical Revenue and Adjusted EBITDA

Revenue ($m)

Adjusted EBITDA ($m)1

Well Management

$330
				$313
			$284	$296
			$280
$123	$251	$250	$251
		$233		$115
			$108	$112
			$111
	$86	$95	$95
		$84

$207 $165 $149 $154 $156 $176 $198 $184 $169

Revenue up 88% since Q4 2020 (announcement

of Expro/Frank's merger)

Well Construction

			$470
	$397	$407
	$383
	$370	$148
$351	$339
$334
$314	$144	$145
	$120
	$116

$129 $138 $128

$122

$321

$253 $254 $261 $263

$192 $205 $213 $211

Adjusted EBITDA up ~3.7x since Q4 2020

$95

$85

$72

$70

$67

			$51	$51	$48	$50
			$45			$42
$35			$39	$37
$24	$24	$26	$24

Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24

Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24

										Adjusted EBITDA Margin2
		11%	10%	10%	10%	10%	14%	14%	17%	13%	16%	14%	20%	12%	18%	14%	21%	18%	20%
	Note:	Figures do not assume estimated amounts from synergies; Certain columns and rows may not add due to the use of rounded numbers; All amounts from Q4 2021 are as reported and prior to that are on a pro forma basis for the Expro / Frank's merger for the entire presentation.
Copyright 2024 Expro. All rights reserved.	1)	Includes unrecoverable LWI-related costs during Q1, Q2, Q3, Q4 2022 and Q1, Q2, Q3, Q4 2023 of $2m, $4m, $17m , $5m, and $11m, $6m, $15m, $4m, respectively.													A-2
2)	Expro defines Adjusted EBITDA Margin as Adjusted EBITDA as a percentage of Revenue.