Montrose Environmental : 2Q22 Earnings Call Presentation

Second Quarter 2022 Earnings Call

August 9, 2022

Safe Harbor

Statements contained herein and in the accompanying oral presentation contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by the use of words such as "intend," "expect", and "may", and other similar expressions that predict or indicate future events or that are not statements of historical matters. Forward-looking statements are based on current information available at the time the statements are made and on management's reasonable belief or expectations with respect to future events, and are subject to risks and uncertainties, many of which are beyond Montrose Environmental Group, Inc.'s ("Montrose," "we," "us" and "our") control, that could cause actual performance or results to differ materially from the belief or expectations expressed in or suggested by the forward-looking statements. Further, many of these factors are, and may continue to be, amplified by the COVID-19 pandemic. Additional factors or events that could cause actual results to differ may also emerge from time to time, and it is not possible for us to predict all of them. Forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update any forward-looking statement to reflect future events, developments or otherwise, except as may be required by applicable law. Investors are referred to Montrose's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2021, for additional information regarding the risks and uncertainties that may cause actual results to differ materially from those expressed in any forward-looking statement.

Included in this presentation and the accompanying oral presentation are certain financial measures that are not calculated in accordance with U.S. generally accepted accounting principles ("GAAP") designed to supplement, and not substitute, Montrose's financial information presented in accordance with GAAP. The non-GAAP measures as defined by Montrose may not be comparable to similar non-GAAP measures presented by other companies. The presentation of such measures, which may include adjustments to exclude unusual or non-recurring items, should not be construed as an inference that Montrose's future results, cash flows or leverage will be unaffected by other unusual or nonrecurring items. Please see the appendix to this presentation for how we define these non-GAAP measures, a discussion of why we believe they are useful to investors and certain limitations thereof, and reconciliations thereof to the most directly comparable GAAP measures.

The data included in this presentation regarding markets and the industry in which we operate, including the size of certain markets, are based on publicly available information, reports of government agencies, and published industry sources such as Environmental Business International, Inc. ("EBI"). In presenting this information, we have also made certain estimates and assumptions that we believe to be reasonable based on the information referred to above and similar sources, as well as our internal research, calculations and assumptions based on our analysis of such information and our knowledge of, and our experience to date in, our industries and markets. Market share data is subject to change and may be limited by the availability of raw data, the voluntary nature of the data gathering process and other limitations inherent in any statistical survey of market share data. In addition, customer preferences are subject to change. Accordingly, you are cautioned not to place undue reliance on such market share data or any other such estimates. While we believe such information is reliable, we cannot guarantee the accuracy or completeness of this information, and have we independently verified any third-party information and data from our internal research has not been verified by any independent source.

© 2022 Montrose Environmental Group, Inc. Proprietary.	2

Operating Overview

Highlights

• On track to deliver on 2022 outlook based on expectations for continued organic growth across business lines and the normalization of CTEH revenues
• Resilient second quarter 2022 results driven by solid execution and demand momentum for ourbest-in-class environmental solutions
• PFAS remediation, greenhouse gasses, and renewables opportunities provide substantive avenues for growth
• Revenue up 2.7%year-over-year was driven by continued organic revenue growth outperformance across most service lines plus accretive acquisitions more than offsetting the expected decline in CTEH revenues as that business reverts to run-rate revenue levels
• Focused execution and solid working capital management produced strong Adjusted Operating Cash Flow(2)

1. Consolidated Adjusted EBITDA, Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share arenon-GAAP measures. See the appendix to this presentation for a discussion of these measures, including how they are calculated and the reasons why we believe they provide useful information to investors, and a reconciliation for historical periods to the most directly comparable GAAP measures. Consolidated Adjusted EBITDA is calculated under new methodology as described in the Montrose Q2 2022 earnings release dated August 8, 2022.
2. Adjusted Operating Cash Flow is anon-GAAP measure and excludes the payment of acquisition-related contingent consideration of $19.5 million in YTD Q2 2022 and $15.5 million in YTD Q2 2021. Reported cash used in operating activities was $2.9 million in YTD Q2 2022 and $17.0 million in YTD Q2 2021. See the appendix to this presentation for a discussion of Adjusted Operating Cash Flow.
3. The Company's leverage ratio under its credit facility includes the impact ofacquisition-related contingent earnout payments that may become payable in cash.

Q2 2022

Revenue		Adj. EPS(1)
$139.9M		$0.04
+2.7% Year-over-Year		Adj. Net Income(1)of
		$5.4 Million

Consolidated		Adj. Operating Cash
Adjusted EBITDA(1)		Flow(2)Q2 YTD
$15.6M		$16.6M
11.2% of Revenue		Up $18.1 Million YoY

Acquired		Net Leverage(3)
TriAD		1.1x
Immediately Accretive		Down 2.0 Turn YoY
Business

© 2022 Montrose Environmental Group, Inc. Proprietary. 4

Strong Record of Long-term Growth

Multiple Levers to Drive Growth

ORGANIC GROWTH

Continued market share gains through focused marketing, business development and technology innovation

Revenue($ in Millions, Dec FYE)

2016-Q2 2022 LTM CAGR: 33%

STRATEGIC ACQUISITIONS

MARKET

GROWTH

Strategic acquisition opportunities in highly fragmented markets

Regulations & compliance, investor priorities, infrastructure investment and global public awareness related to environmental stewardship drove outperformance of the estimated ~2% market growth rate(1)

$115

$546 $551

$328

$234

$189

$138

MARGIN EXPANSION

Revenue Growth

and Operating Leverage

2016	2017	2018	2019	2020	2021		Q2 2022(2)
													LTM

1. 2021-2024U.S. revenue CAGR sourced from 2021 EBI Environmental Services data set.
2. Presentation of financial information on a last twelve month ("LTM") basis is not in accordance with GAAP. See the Appendix to this presentation for a discussion of this presentation and how it is derived from our historical amounts reported under GAAP.

© 2022 Montrose Environmental Group, Inc. Proprietary.	5