KBR : Fourth Quarter 2024 Earnings Presentation

Published: 2025-02-24 16:21:08 ET KBR

February 24, 2025

Stuart Bradie, President and CEO Mark Sopp, Executive VP and CFO

Jamie DuBray, VP of Investor Relations

KBR CONFIDENTIAL

Stuart Bradie

President and Chief Executive

Zero Harm Moment: Delivering on our Commitment

Mura is a global pioneer of Hydro-PRT®, a next generation advanced plastic recycling technology.

KBR is proud to be Mura's exclusive global licensing partner, preferred engineering partner and investor in the Hydro-PRT® process.

Excited about what this means for our planet, for the circular economy, and for KBR.

Key Messages

4Q 2024

$2.1B

Revenues

growth of 23%

YoY

$228M

Adj. EBITDA1

growth of 21%

YoY

10.7%

Adj. EBITDA

margin1

FY 2024

$7.7B

Revenues

growth of 11%

YoY

$870M

Adj. EBITDA1

growth of 16%

YoY

11.2%

Adj. EBITDA

margin1

Expansion of ~50 bps

1 Delivered strong 4Q and FY 2024 performance, exceeding expectations

2 Advanced Strategy Execution

1 See Appendix for reconciliation of non-GAAP financial measure Adj. EBITDA to the nearest GAAP measure. Adj. EBITDA margin calculated as Adj. EBITDA / Revenues.

Advancing Strategy through Key Contract Execution and Wins

Key Contract Updates

1.1x

1.0x

$21.2B

TTM

QTD

Backlog &

Book-to-Bill1

Options

1 Book-to-Bill (BTB) excludes long-term UK PFIs and the Plaquemines LNG project.

New Contract Wins

Delivering on Our Strategy

THRIVE and EXPAND

DELIVER

DRIVE

DEPLOY

in Core Markets and New

Technical, Digital, Process

Operational Excellence

Capital Effectively

Geographies

Innovation

Globally

Capture Breakout Growth

Create Customer Intimacy

Achieve Industry-leading Margins

Generate Strong Returns

• Secured $10B+ Lake Charles

• Added PureLiSM Technology, a

•

~50 bps Adj. EBITDA margin1

•

Returned ~$300M to

LNG project with our partner

higher efficiency process for

expansion year-over-year

shareholders through share

Technip

lithium extraction

•

Finalized segment realignment;

repurchases and dividends

• Won $1.5B+ of work through

•

Expanded capabilities across

aligning capabilities to end

•

Increased annual dividend by

the Information Analysis

Naval Information Warfare

markets, increasing pipeline

10%; 6th consecutive year of

Centers Multiple Award

Center Digital PEO

opportunities and delivering

increases

Contract (IAC MAC) vehicle

•

Connected multi-site secure

$30M in annual cost savings

• Closed LinQuest acquisition in

• Won work with new customers

digital labs, creating on-

•

Renamed Government Solutions

Q3; integration progressing well

in Defense Health Agency and

contract growth across Army,

to Mission Technology Solutions

due to strategic fit and cultural

Dept. of State

Navy, and Intel customers

to better reflect delivery of

alignment

• Increased GS bid volume by

high-end technology services

• LinQuest's portfolio of direct-

55%+ as committed in Investor

and solutions to mission

award contracts provides over

essential government programs

Day

$2B of available ceiling value

over the next 4+ years

1 See Appendix for reconciliation of non-GAAP financial measure Adj. EBITDA to the nearest GAAP measure. Adj. EBITDA margin calculated as Adj. EBITDA / Revenues.

KBR Offers a Differentiated Business Model

Agile Enterprise Leadership

Multiple paths to market provide portfolio resilience

Leverage synergies and shared services to apply best practices

Diversified Mix

2024 Adj. EBITDA by Customer

Customer-centric Multi-National

Operations

Geographic Focus

Elevated Technology

Positioning

Capability Focus

International

STS

Government

(Commercial)

U.S. Federal

GovernmentU.S. Federal

Civilian

Capital light, strong cash flows

Cost discipline supports margin expansion

Resilient Financial Performance

Enabled by Operational Focus

~2%

U.S. Federal Civilian

(excluding NASA)

KBR Aligned to Strong Secular Growth Trends

U.S. Defense

International Defense

•

Need for technological

•

Geopolitical tensions

superiority through

increase defense

defense modernization

spending

•

Space domain

•

Nations strive for unique

emergence transformed

sovereign defense

intelligence, navigation

capabilities and

and interoperability

independence

•

Digital decision models

•

Increased collaboration

to execute "at speed"

between defense, civil

•

Increased investment in

and commercial

stakeholders

space exploration

Energy

Infrastructure

Mark Sopp

Executive Vice President and Chief Financial Officer

Disclaimer

KBR Inc. published this content on February 24, 2025, and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on February 24, 2025 at 21:19:59.703.