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2 This presentation contains forward-looking statements, including, without limitation, those related to: strengthening demand in our businesses, demand environment and customer forecasts, our anticipated financial and/or operational results, guidance and outlook, including statements under the headings “Q4 2025 Guidance,” “Q4 2025 Non-GAAP Tax Rate Estimate,” “Q4 2025 End Market Revenue Outlook” and “2025 Annual Outlook” and in the sections entitled "Future Ready: Accelerating Market Advancements," "Connectivity & Cloud Solutions," "Advanced Technology Solutions" and "Financial Outlook," market opportunities and investments in technology platforms and roadmaps, expected research and development (R&D) and other capital expenditures, increased recruiting and operational resources, our intention to launch a new Normal Course Issuer Bid (NCIB) and its anticipated terms, developments related to new customer wins, timing of production ramps, deliveries and availabilities of certain key components, anticipated economic conditions, industry and market trends and projections, underlying market growth rates, customer demand, our market share and positioning, prospects and opportunities, and strategic initiatives. Such forward-looking statements may, without limitation, be preceded by, followed by, or include words such as "believes," "expects," "anticipates," "estimates," "intends," "plans," "continues," "project," "target," "outlook," "goal," "guidance," "potential," "possible," "contemplate," "seek," or similar expressions, or may employ such future or conditional verbs as "may," "might," "will," "could," "should," or "would," or may otherwise be indicated as forward-looking statements by grammatical construction, phrasing or context. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the U.S. Private Securities Litigation Reform Act of 1995, where applicable, and for forward-looking information under applicable Canadian securities laws. Forward-looking statements are provided to assist readers in understanding management's current expectations and plans relating to the future. Forward-looking statements reflect our current estimates, beliefs and assumptions, which are based on management's perception of historic trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances, including certain assumptions about anticipated CCS and ATS revenue growth; anticipated demand levels across our businesses, including new programs; anticipated technology upgrade cycles; our ability to retain programs and customers; program and production ramps to occur as anticipated; continuing operating leverage and improving mix; the impact of anticipated market conditions on our businesses; the reliability of third party market forecasts and customer indications of future demands, including with respect to data center infrastructure; tax and interest rates; continued advancement and commercialization of artificial intelligence (AI) technologies and cloud computing; supporting sustained high levels of capital expenditure investments by leading hyperscaler, AI, and data center customers; our ability develop new capabilities; scaling of our operations to meet the anticipated growth in customer demand; the economy; our customers; our suppliers; no material changes to tariffs or trade restrictions compared to what are in effect as of October 27, 2025; that our customers will retain liability for and we will be able to recover substantially all costs from customers relating to product/component tariffs and countermeasures; no material changes in business activities resulting from current macroeconomic trends and uncertainties, including evolving global tariff and trade negotiations; our ability to achieve our strategic goals; the availability of capital resources for, and the permissibility under our credit facility of, repurchases of outstanding Common Shares under our current NCIB, acceptance of a new NCIB and compliance with applicable laws and regulations pertaining to NCIBs; as well as other market, financial and operational assumptions. Readers are cautioned that such information may not be appropriate for other purposes. Readers should not place undue reliance on such forward-looking information. Forward-looking statements are not guarantees of future performance and are subject to risks that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including, among others, risks related to: customer and segment concentration; reduction in customer revenue; erosion in customer market competitiveness; changing revenue mix and margins; uncertain market, industry, political and economic conditions; customer requests to transfer manufacturing of products from one facility to another; changes to policies or legislation; operational challenges such as inventory management and materials and supply chain constraints; and program ramps; the cyclical nature and/or volatility of certain of our businesses; talent management and inefficient employee utilization; risks related to the expansion or consolidation of our operations; cash flow, revenue, and operating results, and tax and interest variability; technology and IT disruption; increasing legal, tax and regulatory complexity and uncertainty (including in relation to our or our customers' businesses); integrating and achieving the anticipated benefits from acquisitions; and the potential adverse impacts of events outside of our control. For more exhaustive information on the foregoing and other material risks, uncertainties and assumptions readers should refer to our public filings at www.sedarplus.ca and www.sec.gov, including in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other documents filed with, or furnished to, the U.S. Securities and Exchange Commission, and the Canadian Securities Administrators, as applicable. Forward-looking statements speak only as of the date on which they are made, and we disclaim any intention or obligation to upda te or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law. All forward-looking statements attributable to us are expressly qualified by these cautionary statements. Note Regarding Non-GAAP Financial Measures In addition to disclosing detailed operating results in accordance with Generally Accepted Accounting Principles (GAAP), this presentation refers to non-GAAP financial measures (including ratios) to consider in evaluating the Company's operating performance. Management uses adjusted net earnings and other non-GAAP financial measures to assess operating performance, financial leverage and the effective use and allocation of resources; to provide more normalized period-to-period comparisons of operating results; to enhance investors' understanding of the core operating results of Celestica's business; and to set management incentive targets. We believe investors use both GAAP and non-GAAP financial measures to assess management's decisions associated with our priorities and capital allocation, as well as to analyze how our business operates in, or responds to, macroeconomic trends or other events that impact our core operations. Non-GAAP financial measures do not have any standardized meaning prescribed by GAAP and may not be comparable to similar measures presented by other public companies that report under GAAP and use non-GAAP financial measures to describe similar operating metrics. Non-GAAP financial measures are not measures of performance under GAAP and should not be considered in isolation or as a substit ute for any GAAP financial measure. We do not provide reconciliations for forward-looking non-GAAP financial measures, as the items that we exclude from GAAP to calculate the comparable non-GAAP measure are dependent on future events that are not able to be reliably predicted by management and are not part of our routine operating activities. We are unable to provide such a reconciliation without unreasonable effort due to the uncertainty and inherent difficulty in predicting the occurrence, the financial impact and the periods in which the adjustments may be recognized. The occurrence, timing and amount of any of the items excluded from GAAP to calculate non-GAAP could significantly impact our forward-looking GAAP results. Forward-looking non-GAAP financial measures may vary materially from the corresponding GAAP financial measures. Currency Unless otherwise specified, all references to dollars in this presentation are to U.S. dollars. Cautionary Note Regarding Forward-Looking Statements
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4 Q3 2025 Results1 Q3 2025 YTY2 Q3 2025 Guidance Revenue $3.194B +28% $2.875B - $3.125B GAAP Earnings from Operations as a % of Revenue 10.2% +470 bps GAAP EPS $2.31 +208% Adjusted Operating Margin (Non-GAAP)3 7.6% +80 bps 7.4% Adjusted EPS (Non-GAAP) $1.58 +52% $1.37 - $1.53 1 See “Note Regarding Non-GAAP Financial Measures”. Also see the Appendix for, among other things, definitions and uses of non-GAAP financial measures (including ratios based on non-GAAP financial measures) set forth in the table and a reconciliation of these non-GAAP financial measures (or, in the case of ratios, the non-GAAP financial measure used in calculating such ratios) to the most directly comparable GAAP financial measures. 2 “YTY” reflects change vs. Q3 2024 figures. 3 Q3 2025 guidance at the mid-point of revenue and non-GAAP adjusted EPS guidance ranges.
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5 1 See “Note Regarding Non-GAAP Financial Measures”. Also see the Appendix for, among other things, definitions and uses of non-GAAP financial measures (including ratios based on non-GAAP financial measures) set forth in the table and a reconciliation of these non-GAAP financial measures (or, in the case of ratios, the non-GAAP financial measure used in calculating such ratios) to the most directly comparable GAAP financial measures. 2 “QTQ” reflects change vs. Q2 2025 figures and “YTY” reflects change vs. Q3 2024 figures. Non-GAAP financial measures Q3 2025 B/(W) QTQ2 B/(W) YTY2 Adjusted Gross Margin (non-GAAP) 11.7% Flat 1.0% Adjusted Operating Earnings (adjusted EBIAT) (non-GAAP) $242.2 $27.5 $73.4 Adjusted Operating Margin (non-GAAP) 7.6% 0.2% 0.8% Adjusted Effective Tax Rate (non-GAAP) 20% Flat 1% Adjusted EPS (non-GAAP) $1.58 $0.19 $0.54 Adjusted ROIC % (non-GAAP) 37.5% 2.0% 8.5% GAAP financial measures $ Millions (Except for per share amounts and %) Q3 2025 B/(W) QTQ2 B/(W) YTY2 Revenue $3,194 $301 $694 Gross Margin 13.0% 0.2% 2.6% Earnings from Operations $325.0 $52.5 $187.0 Earnings from Operations as a % of Revenue 10.2% 0.8% 4.7% Effective Tax Rate 14% 4% 14% EPS $2.31 $0.49 $1.56 ROIC % 50.4% 5.4% 26.7% Q3 2025 Highlights¹
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ATS 24% CCS 76% Q3 2025 Revenue5 6 1 Our ATS segment consists of our ATS end market, and is comprised of our Aerospace & Defense (A&D), Industrial, HealthTech, and Capital Equipment businesses. 2 Our CCS segment consists of our Communications and Enterprise end markets. 3 “YTY” reflects change vs. Q3 2024 figures. 4 Our Enterprise end market consists of our Servers and Storage businesses. 5 In Q3 2025, Communications represented 61% of total revenue and Enterprise represented 15% of total revenue. 6 See footnote 1 on slide 15 for the definition of segment income and segment margin. ATS1 and CCS2 Segment Revenue and Profitability $ Millions Q3 2025 YTY3 ATS $781 Down 4% CCS $2,413 Up 43% Communications $1,943 Up 82% Enterprise4 $470 Down 24% Revenue Segment Income6 Segment Margin6 $ Millions Q3 2025 YTY3 ATS $43 Up 7% CCS $199 Up 55% Q3 2025 YTY3 ATS 5.5% Up 60 bps CCS 8.3% Up 70 bps
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1 Inventory turns are determined by dividing 365 by the number of days in inventory. Days in inventory are calculated by dividing the average inventory balance for the quarter by the average daily cost of sales. 2 Celestica receives cash deposits from certain customers to alleviate the impact of inventory purchases on our cash flows, and to reduce risks related to excess and/or obsolete inventory. 3 Days in A/R is defined as the average A/R for the quarter divided by the average daily revenue. Days in inventory, days in A/P and days in cash deposits are calculated by dividing the average balance for each item for the quarter by the average daily cost of sales. Cash cycle days is defined as the sum of days in A/R and days in inventory minus the days in A/P and days in cash deposits. 4 “QTQ” reflects change vs. Q2 2025 figures and “YTY” reflects change vs. Q3 2024 figures. Working Capital 7 Cash Cycle Days $ Millions Q3 2025 B/(W) QTQ4 B/(W) YTY4 Inventory Turns1 5.6x 0.2x 0.7x Inventory $2,047 ($129) ($226) Customer Cash Deposits for Inventory2 $382 ($15) ($139) Q3 2025 Q2 2025 Q3 2024 Days in A/R3 68 70 71 Days in Inventory3 65 67 75 Days in A/P3 (54) (54) (56) Days in Cash Deposits2,3 (14) (17) (24) Cash Cycle Days3 65 66 66
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118 108 100 123 143 130 152 126 86 68 66 77 96 94 120 89 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Cash Provided by Operations Non-GAAP Free Cash Flow1 ($M) 8 1 See “Note Regarding Non-GAAP Financial Measures”. Also see the Appendix for, among other things, the definition and use of this non-GAAP financial measure, and a reconciliation of historic non-GAAP free cash flow to GAAP cash provided by operations. 2 “QTQ” reflects change vs. Q2 2025 figures and “YTY” reflects change vs. Q3 2024 figures. $ Millions Q3 2025 QTQ2 Increase/(Decrease) YTY2 Increase/(Decrease) Capex $37 $4 ($9) Capex as a % of revenue 1.2% 0.1% (0.6%) Cash Flow Overview
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Balance Sheet 9 1 See “Note Regarding Non-GAAP Financial Measures”. See slide 18 for a calculation of GAAP trailing twelve month (TTM) debt leverage ratio and non-GAAP adjusted TTM debt leverage ratio. 2 Total liquidity is defined as cash and cash equivalents as of September 30, 2025, plus the total availability under Celestica’s Revolver. Balance Sheet (as of September 30, 2025) Cash and cash equivalents $306M Revolver (excluding L/Cs) - Term Loans $728M Net Debt $422M GAAP TTM Debt Leverage Ratio1 0.8x Non-GAAP Adjusted TTM Debt Leverage Ratio1 0.8x Total Liquidity2 ~$1.1B
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Revenue $3.325B - $3.575B Adjusted Operating Margin (Non-GAAP) 7.6% at the mid-point of revenue and non-GAAP adjusted EPS guidance ranges Adjusted EPS (Non-GAAP) $1.65 - $1.81 Q4 2025 Guidance1 10 Q4 2025 Non-GAAP Tax Rate Estimate1 Adjusted Effective Tax Rate (Non-GAAP) of approximately 20% 1 See “Cautionary Note Regarding Forward-Looking Statements” and “Note Regarding Non-GAAP Financial Measures.” Also see the Appendix for, among other things, definitions and uses of these non-GAAP financial measures (including ratios based on non-GAAP financial measures) set forth in the table. Guidance reflects management’s expectations as of the date provided and will only be updated through a public announcement. We do not provide reconciliations for our forward- looking non-GAAP financial measures, as we are unable to reasonably estimate the items that we exclude from GAAP to calculate comparable non-GAAP measures without unreasonable effort. This is due to the inherent difficulty of forecasting the timing or amount of various events that have not yet occurred, are out of our control and/or cannot be reasonably predict ed, and that would impact the most directly comparable forward-looking GAAP financial measure. For these same reasons, we are unable to address the probable significance of the unavailable information. Forward-looking non-GAAP financial measures may vary materially from the corresponding GAAP financial measures.
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Q4 2025 End Market Revenue Outlook1 11 Year-over-Year Revenue % Change ATS2 Decrease low single-digits Communications Increase high-sixties Enterprise3 Increase low-twenties 1 Outlook reflects management’s expectations as of the date provided. 2 ATS consists of A&D, Industrial, HealthTech, and Capital Equipment. 3 Enterprise consists of Servers and Storage.
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2025 Annual Outlook1 12 1 See “Cautionary Note Regarding Forward-Looking Statements” and “Note Regarding Non-GAAP Financial Measures”. Outlook reflects management’s expectations as of the date provided and will only be updated through a public announcement. We do not provide reconciliations for our forward-looking non-GAAP financial measures, as we are unable to reasonably estimate the items that we exclude from GAAP to calculate comparable non-GAAP measures without unreasonable effort. This is due to the inherent difficulty of forecasting the timing or amount of various events that have not yet occurred, are out of our control and/or cannot be reasonably predicted, and that would impact the most directly comparable forward-looking GAAP financial measure. For these same reasons, we are unable to address the probable significance of the unavailable information. Forward-looking non-GAAP financial measures may vary materially from the corresponding GAAP financial measures. 2025 Outlook Previous 2025 Outlook Revenue Outlook $12.2B $11.55B Adjusted Operating Margin (Non-GAAP) 7.4% 7.4% Adjusted EPS (Non-GAAP) $5.90 $5.50 Free Cash Flow (Non-GAAP) $425M $400M
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Segment Income and Margin1 15 1 Segment margin is segment income as a percentage of segment revenue. Segment income is defined as a segment’s revenue less its cost of sales and its allocatable portion of SG&A expenses and research and development expenses. Segment income excludes Miscellaneous Expense (Income), FCC Transitional ADJ, employee SBC expense, TRS FVAs, amortization of intangible assets (excluding computer software), restructuring and other charges, net of recoveries (each defined in slides 16 and 17) and finance costs. 2 See slides 16 and 17 for, among other things, the definitions and uses of certain non-GAAP financial measures and adjustments. * * Refers to notes to our September 30, 2025 unaudited interim condensed consolidated financial statements (Q3 2025 Interim Financial Statements)
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Non-GAAP Financial Measures 16 The non-GAAP financial measures included in this presentation are: adjusted gross profit, adjusted gross margin (adjusted gross profit as a percentage of revenue), adjusted selling, general and administrative expenses (SG&A), adjusted SG&A as a percentage of revenue, adjusted operating earnings (or adjusted EBIAT), adjusted operating margin (adjusted operating earnings or adjusted EBIAT as a percentage of revenue), adjusted EBITDA, adjusted EBITDA as a percentage of revenue, adjusted TTM EBITDA, adjusted net earnings, adjusted earnings per share (EPS), adjusted return on invested capital (adjusted ROIC), free cash flow, adjusted tax expense, adjusted effective tax rate and adjusted TTM debt leverage ratio, which are further described in the tables in the following slides. As used herein, "Q1," "Q2," "Q3," and "Q4" followed by a year refers to the first quarter, second quarter, third quarter and fourth quarter of such year, respectively. The nine-month period ended September 30, 2025 is referred to herein as “YTD 2025.” We believe the non-GAAP financial measures herein enable investors to evaluate and compare our results from operations by excluding specific items that we do not consider to be reflective of our core operations, to evaluate cash resources that we generate from our business each period, to analyze operating results using the same measures our chief operating decision maker uses to measure performance, and to help compare our results with those of our competitors. In addition, management believes that the use of adjusted tax expense and adjusted effective tax rate provides additional transparency into the tax e ffects of our core operations, and are useful to management and investors for historical comparisons and forecasting. These non-GAAP financial measures reflect management’s belief that the excluded items are not indicative of our core operations. Non-GAAP financial measures do not have any standardized meaning prescribed by GAAP and therefore may not be directly comparable to similar measures presented by other companies. Non-GAAP financial measures are not measures of performance under GAAP and should not be considered in isolation or as a substitute for any GAAP financial measure. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are provided in the following slides. We do not provide reconciliations for our forward-looking non-GAAP financial measures, as we are unable to reasonably estimate the items that we exclude from GAAP to calculate comparable non-GAAP measures without unreasonable effort. This is due to the inherent difficulty of forecasting the timing or amount of various events that have not yet occurred, are out of o ur control and/or cannot be reasonably predicted, and that would impact the most directly comparable forward-looking GAAP financial measure. For these same reasons, we are unable to address the probable significance of the unavailable information. Forward-looking non-GAAP financial measures may vary materially from the corresponding GAAP financial measures. Our non-GAAP financial measures are calculated by making the following adjustments (as applicable) to our GAAP financial measures: Employee SBC expense, which represents the estimated fair value of stock options, restricted share units and performance share units granted to employees, is excluded because grant activities vary significantly from quarter-to-quarter in both quantity and fair value. We believe excluding this expense allows us to compare core operating results with those of our competitors, who also generally exclude employee SBC expense in assessing operating performance, and may have different granting patterns, equity awards and valuation assumptions. Total return swap fair value adjustments (TRS FVAs) represent mark-to-market adjustments to our TRS Agreement, as the TRS Agreement is re-measured at fair value at each quarter end. We exclude the impact of these non-cash fair value adjustments (which reflect fluctuations in the market price of our common shares recorded in cost of sales, SG&A, or Miscellaneous Expenses (Income)) from period to period as such fluctuations do not represent our ongoing operating performance. In addition, we believe that excluding these non-cash adjustments permits a helpful comparison of our core operating results to our competitors. In accordance with GAAP, TRS FVAs prior to 2024 were recorded in Miscellaneous Expense (Income). Commencing in 2024, the TRS Agreement was treated as an economic hedge with the TRS FVAs recorded in cost of sales and SG&A. Transitional hedge reclassifications and adjustments related to foreign currency forward exchange contracts (FCC Transitional ADJ) and interest rate swaps (IRS Transitional ADJ) were both specifically driven by our transition from IFRS to GAAP. For the purpose of determining our non-GAAP measures, FCC Transitional ADJ were made to cost of sales and SG&A and IRS Transitional ADJ are made to finance costs. Our foreign currency forward exchange contracts and interest rate swaps that we entered prior to 2024 were accounted for as either cash flow hedges (qualified for hedge accounting) or economic hedges under IFRS. However, those contracts were not accounted for as such under GAAP until January 1, 2024, resulting in FCC Transitional ADJ and IRS Transitional ADJ. Had we been able to designate those foreign currency forward exchange contracts and interest rate swaps under GAAP from their inception, they would have qualified as cash flow or economic hedges under GAAP, and no FCC Transitional ADJ or IRS Transitional ADJ would have been required under GAAP. FCC Transitional ADJ and IRS transitional ADJ do not reflect the on-going operational impacts of our hedging activities and are excluded in assessing operating performance. Amortization of intangible assets (excluding computer software) consist of non-cash charges for intangible assets that are impacted by the timing and magnitude of acquired businesses. Amortiz ation of intangible assets varies among our competitors, and we believe that excluding these charges permits a helpful comparison of core operating results to our competitors who also generally exclude amortization charges in assessing operating performance.
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Non-GAAP Financial Measures…continued 17 Restructuring and Other Charges (Recoveries) consist of, when applicable: Restructuring Charges (Recoveries) (defined below); Transition Costs (Recoveries) (defined below); consulting, transaction and integration costs related to potential and completed acquisitions; legal settlements (recoveries); and commencing in Q2 2023, related costs pertaining to our transition as a U.S. domestic filer. We exclude these charges and recoveries because we believe that they are not directly related to ongoing operating results and do not reflect our expected future operating expenses after completion of the relevant actions. Our competitors may record similar items at different times, and we believe these exclusions permit a helpful comparison of our core operating results with those of our competitors who also generally exclude these items in assessing operating performance. Restructuring Charges (Recoveries), consist of costs or recoveries relating to: employee severance, site closings and consolidations, accelerated depreciation of owned property and equipment which are no longer used and are available for sale, and reductions in infrastructure. Transition Costs (Recoveries) consist of costs and recoveries in connection with: (i) the transfer of manufacturing lines from closed sites to other sites within our global network; (ii) the sale of real properties unrelated to restructuring actions; and (iii) specified charges or recoveries related to the Purchaser Lease (defined below). Transition Costs consist of direct relocation and duplicate costs (such as rent expense, utility costs, depreciation charges, and personnel costs) incurred during the transition periods, as well as cease-use and other costs incurred in connection with idle or vacated portions of the relevant premises that we would not have incurred but for these relocations, transfers and dispositions. As part of our 2019 Toronto real property sale, we entered into a related 10-year lease for our then-anticipated headquarters (Purchaser Lease). In November 2022, we extended the lease (on a long-term basis) on our current corporate headquarters due to several Purchaser Lease commencement date delays. In Q3 2023 and Q2 2025, we executed sublease agreements for the leased space under the Purchaser Le ase. We record charges related to the sublet of the Purchaser Lease (which commenced in June 2024) as Transition Costs. We believe that excluding Transition Costs and Recoveries permits a helpful comparison of our core operating results from period-to-period, as they do not reflect our ongoing operations once these specified events are complete. Miscellaneous Expense (Income) consists primarily of: (i) certain net periodic benefit costs (credits) related to our pension and post-employment benefit plans consisting of interest costs and expected returns on pension balances, and amortization of actuarial gains or losses; and (ii) gains or losses related to our TRS Agreement and foreign currency forward exchange contracts and interest rate swaps that we entered into prior to 2024. Those derivative instruments were accounted for as either cash flow hedges (qualifying for hedge accounting) or economic hedges under IFRS. However, those contracts were not accounted for as such under GAAP until January 1, 2024. Certain gains and losses related to those contracts were recorded in Miscellaneous Expense (Income). See FCC Transitional ADJ, IRS Transitional ADJ and TRS FVAs above. We exclude such items because we believe they are not directly related to our ongoing operating results. Tax effects of the non-core items, which include our non-GAAP adjustments above, are excluded from GAAP tax expense to calculate adjusted tax expense (non-GAAP), as we do not believe these costs or recoveries reflect our core operating performance and vary significantly among our competitors who also generally exclude such items in assessing operating performance. Our non-GAAP financial measures include the following: Adjusted operating earnings (Adjusted EBIAT) is defined as GAAP earnings from operations excluding the impact of Employee SBC expense, TRS FVAs, FCC Transitional ADJ, Amortization of intangible assets (excluding computer software), and Restructuring and Other Charges (Recoveries). Adjusted operating margin is adjusted operating earnings as a percentage of GAAP revenue. Management uses adjusted operating earnings (adjusted EBIAT) as a measure to assess performance related to our core operations. Adjusted net earnings is defined as GAAP net earnings excluding the impact of Employee SBC expense, TRS FVAs, FCC Transitional ADJ, amortization of intangible assets (excluding computer software), Restructuring and Other Charges (Recoveries), IRS Transitional ADJ, Miscellaneous Expense (Income) and adjustment for taxes. Adjusted EPS is calculated by dividing adjusted net earnings by the number of diluted weighted average shares outstanding. Management uses adjusted net earnings as a measure to assess performance related to our core operations. Free cash flow is defined as cash provided by (used in) operations less the purchase of property, plant and equipment (net of proceeds from the sale of certain surplus equipment and property, when applicable). Free cash flow does not represent residual cash flow available to Celestica for discretionary expenditures. Management uses free cash flow as a measure, in addition to GAAP cash provided by (used in) operations, to assess our operational cash flow performance. We believe free cash flow provides another level of transparency to our ability to generate cash from normal business operations. Adjusted ROIC is calculated by dividing annualized adjusted EBIAT by average net invested capital for the period. Net invested capital (calculated in the tables in the following slides) is derived from GAAP financial measures, and is defined as total assets less: cash, right-of-use (ROU) assets (operating and finance leases), accounts payable, accrued and other current liabilities and provisions (excluding finance and operating lease liabilities) and income taxes payable. Management uses adjusted ROIC as a measure to assess the effectiveness of the invested capital we employ to build products or provide services to our customers, by quantifying how well we generate earnings relative to the capital we have invested in our business.
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Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 YTD 2025 FY 2024 GAAP Revenue 2,140.5$ 2,208.9$ 2,391.9$ 2,499.5$ 2,545.7$ 2,648.6$ 2,893.4$ 3,194.0$ 8,736.0$ 9,646.0$ Net earnings 91.6 91.8 95.0 89.5 151.7 86.2 211.0 267.8 565.0 428.0 Earnings per share - diluted 0.77$ 0.77$ 0.80$ 0.75$ 1.29$ 0.74$ 1.82$ 2.31$ 4.86$ 3.61$ W.A. # of shares (in millions), on a basic basis 119.3 119.0 118.8 118.2 116.3 115.9 115.1 115.0 115.4 118.1 W.A. # of shares (in millions), on a diluted basis 119.5 119.3 119.4 118.9 117.3 116.9 115.9 115.9 116.2 118.7 Actual # of shares o/s (in millions) as of period end 119.0 118.8 118.6 116.4 116.1 115.6 115.0 115.0 115.0 116.1 GAAP gross profit 223.2$ 222.1$ 253.8$ 260.6$ 297.2$ 273.9$ 371.0$ 416.1$ 1,061.0$ 1,033.7$ As a percentage of revenue 10.4% 10.1% 10.6% 10.4% 11.7% 10.3% 12.8% 13.0% 12.1% 10.7% Employee SBC expense 4.2 8.9 5.7 5.6 4.6 10.1 7.3 6.8 24.2 24.8 TRS FVAs - (12.8) (7.1) 2.7 (22.4) 7.5 (40.6) (48.5) (81.6) (39.6) FCC Transitional ADJ (3.6) - - (0.3) 0.4 - - - - 0.1 Non-GAAP adjusted gross profit 223.8$ 218.2$ 252.4$ 268.6$ 279.8$ 291.5$ 337.7$ 374.4$ 1,003.6$ 1,019.0$ As a percentage of revenue 10.5% 9.9% 10.6% 10.7% 11.0% 11.0% 11.7% 11.7% 11.5% 10.6% GAAP SG&A 85.1$ 64.8$ 79.3$ 91.8$ 57.6$ 112.5$ 38.9$ 38.4$ 189.8$ 293.5$ As a percentage of revenue 4.0% 2.9% 3.3% 3.7% 2.3% 4.2% 1.3% 1.2% 2.2% 3.0% Employee SBC expense (5.6) (13.8) (6.2) (7.1) (5.5) (15.9) (7.9) (8.8) (32.6) (32.6) TRS FVAs - 18.7 8.6 (5.0) 29.1 (11.6) 56.8 64.8 110.0 51.4 FCC Transitional ADJ (2.2) 0.5 0.7 0.2 - - - - - 1.4 Non-GAAP SG&A 77.3$ 70.2$ 82.4$ 79.9$ 81.2$ 85.0$ 87.8$ 94.4$ 267.2$ 313.7$ As a percentage of revenue 3.6% 3.2% 3.4% 3.2% 3.2% 3.2% 3.0% 3.0% 3.1% 3.3% GAAP earnings from operations 109.2$ 125.8$ 132.9$ 138.0$ 202.6$ 128.8$ 272.5$ 325.0$ 726.3$ 599.3$ As a percentage of revenue 5.1% 5.7% 5.6% 5.5% 8.0% 4.9% 9.4% 10.2% 8.3% 6.2% Restructuring and other charges, net of recoveries 1.5 4.8 11.5 1.0 2.1 3.9 14.5 4.9 23.3 19.4 Employee SBC expense 9.8 22.7 11.9 12.7 10.1 26.0 15.2 15.6 56.8 57.4 TRS FVAs - (31.5) (15.7) 7.7 (51.5) 19.1 (97.4) (113.3) (191.6) (91.0) FCC Transitional ADJ (1.4) (0.5) (0.7) (0.5) 0.4 - - - - (1.3) Amortization of intangible assets (excluding computer software) 9.2 9.3 9.7 9.9 9.9 10.0 9.9 10.0 29.9 38.8 Non-GAAP adjusted EBIAT 128.3$ 130.6$ 149.6$ 168.8$ 173.6$ 187.8$ 214.7$ 242.2$ 644.7$ 622.6$ Non-GAAP adjusted operating margin 6.0% 5.9% 6.3% 6.8% 6.8% 7.1% 7.4% 7.6% 7.4% 6.5% Non-GAAP adjusted EBIAT 128.3 130.6 149.6 168.8 173.6 187.8 214.7 242.2 644.7 622.6 Depreciation expense - finance leases 1.9 1.8 1.9 1.9 2.0 2.1 2.0 2.1 6.2 7.6 Depreciation expense - property, plant and equipment, software 24.9 24.1 25.7 27.5 28.1 25.3 33.4 28.2 86.9 105.4 Non-GAAP adjusted EBITDA 155.1$ 156.5$ 177.2$ 198.2$ 203.7$ 215.2$ 250.1$ 272.5$ 737.8$ 735.6$ As a percentage of revenue 7.2% 7.1% 7.4% 7.9% 8.0% 8.1% 8.6% 8.5% 8.4% 7.6% Borrowings under the Revolver2 -$ -$ 150.0$ 90.0$ -$ Borrowings under the Term Loans 745.6 741.2 736.8 732.5 728.1 Gross debt 745.6$ 741.2$ 886.8$ 822.5$ 728.1$ TTM earnings from operations 505.9$ 599.3$ 602.3$ 741.9$ 928.9$ Gross debt to TTM earnings from operations (GAAP TTM debt leverage ratio) 1.5x 1.2x 1.5x 1.1x 0.8x Non-GAAP adjusted TTM EBITDA 687.0$ 735.6$ 794.3$ 867.2$ 941.5$ Gross debt to non-GAAP adjusted TTM EBITDA (non-GAAP adjusted TTM debt leverage ratio) 1.1x 1.0x 1.1x 0.9x 0.8x Non-GAAP gross profit Non-GAAP SG&A Non-GAAP operating earnings (adjusted EBIAT) and non-GAAP adjusted EBITDA Non-GAAP Adjusted Trailing Twelve Month (TTM) Debt Leverage Ratio Reconciliation 18 GAAP to non-GAAP Reconciliation1 1 See “Note Regarding Non-GAAP Financial Measures”. Also see slides 16 and 17 for, among other things, the definitions and uses of certain non-GAAP financial measures. 2 Excluding ordinary course letters of credit.
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Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 YTD 2025 FY 2024 GAAP net earnings 91.6$ 91.8$ 95.0$ 89.5$ 151.7$ 86.2$ 211.0$ 267.8$ 565.0$ 428.0$ As a percentage of revenue 4.3% 4.2% 4.0% 3.6% 6.0% 3.3% 7.3% 8.4% 6.5% 4.4% Employee SBC expense 9.8 22.7 11.9 12.7 10.1 26.0 15.2 15.6 56.8 57.4 Amortization of intangible assets (excluding computer software) 9.2 9.3 9.7 9.9 9.9 10.0 9.9 10.0 29.9 38.8 Restructuring and other charges, net of recoveries 1.5 4.8 11.5 1.0 2.1 3.9 14.5 4.9 23.3 19.4 IRS Transitional ADJ 2.9 - - - - - - - - - Miscellaneous Expense (Income) (21.0) 6.6 4.4 2.8 1.2 1.4 1.7 1.3 4.4 15.0 TRS FVAs - (31.5) (15.7) 7.7 (51.5) 19.1 (97.4) (113.3) (191.6) (91.0) FCC Transitional ADJ (1.4) (0.5) (0.7) (0.5) 0.4 - - - - (1.3) Adjustments for taxes (0.5) (4.4) (8.1) 0.7 6.3 (6.5) 6.3 (3.2) (3.4) (5.5) Non-GAAP adjusted net earnings 92.1$ 98.8$ 108.0$ 123.8$ 130.2$ 140.1$ 161.2$ 183.1$ 484.4$ 460.8$ As a percentage of revenue 4.3% 4.5% 4.5% 5.0% 5.1% 5.3% 5.6% 5.7% 5.5% 4.8% Non-GAAP adjusted earnings per share - diluted 0.77$ 0.83$ 0.90$ 1.04$ 1.11$ 1.20$ 1.39$ 1.58$ 4.17$ 3.88$ GAAP earnings from operations 109.2$ 125.8$ 132.9$ 138.0$ 202.6$ 128.8$ 272.5$ 325.0$ 726.3$ 599.3$ Multiplier to annualize earnings 4 4 4 4 4 4 4 4 1.333 1 Annualized GAAP earnings from operations 436.8$ 503.2$ 531.6$ 552.0$ 810.4$ 515.2$ 1,090.0$ 1,300.0$ 968.2$ 599.3$ Average Net Invested Capital for the period 2,176.9$ 2,198.2$ 2,253.6$ 2,325.5$ 2,386.7$ 2,384.0$ 2,419.9$ 2,581.6$ 2,482.8$ 2,292.4$ GAAP ROIC % 20.1% 22.9% 23.6% 23.7% 34.0% 21.6% 45.0% 50.4% 39.0% 26.1% Non-GAAP adjusted EBIAT 128.3$ 130.6$ 149.6$ 168.8$ 173.6$ 187.8$ 214.7$ 242.2$ 644.7$ 622.6$ Non-GAAP adjusted ROIC Multiplier to annualize earnings 4 4 4 4 4 4 4 4 1.333 1 Annualized non-GAAP adjusted EBIAT 513.2$ 522.4$ 598.4$ 675.2$ 694.4$ 751.2$ 858.8$ 968.8$ 859.4$ 622.6$ Average Net Invested Capital for the period 2,176.9$ 2,198.2$ 2,253.6$ 2,325.5$ 2,386.7$ 2,384.0$ 2,419.9$ 2,581.6$ 2,482.8$ 2,292.4$ Non-GAAP adjusted ROIC % 23.6% 23.8% 26.6% 29.0% 29.1% 31.5% 35.5% 37.5% 34.6% 27.2% Net invested capital consists of: Total assets 5,890.5$ 5,711.5$ 5,872.8$ 5,924.8$ 5,988.2$ 5,834.9$ 6,241.1$ 6,606.7$ 6,606.7$ 5,988.2$ Less: cash (370.4) (308.1) (434.0) (398.5) (423.3) (303.0) (313.8) (305.9) (305.9) (423.3) Less: ROU assets (operating and finance leases) (170.0) (196.1) (200.1) (186.3) (180.8) (178.6) (174.9) (178.9) (178.9) (180.8) Less: accounts payable, accrued and other liabilities and provisions (excluding (3,168.4) (2,992.6) (2,946.2) (2,981.6) (2,969.2) (3,000.3) (3,265.7) (3,445.4) (3,445.4) (2,969.2) finance and operating lease liabilities) and income taxes payable Net invested capital at period end 2,181.7$ 2,214.7$ 2,292.5$ 2,358.4$ 2,414.9$ 2,353.0$ 2,486.7$ 2,676.5$ 2,676.5$ 2,414.9$ GAAP cash provided by operations 118.0$ 108.1$ 99.6$ 122.8$ 143.4$ 130.3$ 152.4$ 126.2$ 408.9$ 473.9$ Non-GAAP free cash flow Purchase of property, plant, and equipment, net of sales proceeds (31.9) (40.4) (34.0) (46.0) (47.6) (36.7) (32.5) (37.3) (106.5) (168.0) Non-GAAP free cash flow 86.1$ 67.7$ 65.6$ 76.8$ 95.8$ 93.6$ 119.9$ 88.9$ 302.4$ 305.9$ Non-GAAP adjusted net earnings and non-GAAP adjusted EPS 1 See “Note Regarding Non-GAAP Financial Measures”. Also see slides 16 and 17 for, among other things, the definitions and uses of certain non-GAAP financial measures. 19 GAAP to non-GAAP Reconciliation…continued1
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$US millions Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 YTD 2025 FY 2024 GAAP tax expense 23.1$ 13.4$ 18.5$ 34.5$ 37.8$ 27.5$ 46.3$ 43.1$ 116.9$ 104.2$ Earnings from operations 109.2 125.8 132.9 138.0 202.6 128.8 272.5 325.0 726.3 599.3 Finance costs (15.5) (14.0) (15.0) (11.2) (11.9) (13.7) (13.5) (12.8) (40.0) (52.1) Miscellaneous Expense (Income) 21.0 (6.6) (4.4) (2.8) (1.2) (1.4) (1.7) (1.3) (4.4) (15.0) 114.7$ 105.2$ 113.5$ 124.0$ 189.5$ 113.7$ 257.3$ 310.9$ 681.9$ 532.2$ GAAP effective tax rate2 20% 13% 16% 28% 20% 24% 18% 14% 17% 20% Adjusted tax expense (non-GAAP) 23.6$ 17.8$ 26.6$ 33.8$ 31.5$ 34.0$ 40.0$ 46.3$ 120.3$ 109.7$ Adjusted operating earnings (non-GAAP) 128.3 130.6 149.6 168.8 173.6 187.8 214.7 242.2 644.7 622.6 Finance costs (15.5) (14.0) (15.0) (11.2) (11.9) (13.7) (13.5) (12.8) (40.0) (52.1) IRS Transitional ADJ 2.9 - - - - - - - - - 115.7$ 116.6$ 134.6$ 157.6$ 161.7$ 174.1$ 201.2$ 229.4$ 604.7$ 570.5$ Adjusted effective tax rate (non-GAAP)3 20% 15% 20% 21% 19% 20% 20% 20% 20% 19% GAAP to non-GAAP Reconciliation…continued1 20 The following table sets forth a reconciliation of our non-GAAP adjusted effective tax rate to our GAAP effective tax rate for the periods indicated (in millions, except percentages). Adjusted tax expense is determined by excluding the tax effects of the non-core items, including our non-GAAP adjustments above, from our GAAP tax expense. 1 See “Note Regarding Non-GAAP Financial Measures”. Also see slides 16 and 17 for, among other things, the definitions and uses of certain non-GAAP financial measures. 2 Our GAAP effective tax rate is determined by dividing (i) tax expense by (ii) earnings from operations minus Finance Costs and Miscellaneous Expense (Income). 3 Our adjusted effective tax rate (non-GAAP) is determined by dividing (i) adjusted tax expense (non-GAAP) by (ii) adjusted operating earnings (non-GAAP) minus finance costs and IRS Transitional ADJ.
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This presentation contains forward-looking statements, including, without limitation, those related to: strengthening demand in our businesses, demand environment and customer forecasts, our anticipated financial and/or operational results, guidance and outlook, including statements under the headings “Q4 2025 Guidance,” “Q4 2025 Non-GAAP Tax Rate Estimate,” “Q4 2025 End Market Revenue Outlook” and “2025 Annual Outlook” and in the sections entitled "Future Ready: Accelerating Market Advancements," "Connectivity & Cloud Solutions," "Advanced Technology Solutions" and "Financial Outlook," market opportunities and investments in technology platforms and roadmaps, expected research and development (R&D) and other capital expenditures, increased recruiting and operational resources, our intention to launch a new Normal Course Issuer Bid (NCIB) and its anticipated terms, developments related to new customer wins, timing of production ramps, deliveries and availabilities of certain key components, anticipated economic conditions, industry and market trends and projections, underlying market growth rates, customer demand, our market share and positioning, prospects and opportunities, and strategic initiatives. Such forward-looking statements may, without limitation, be preceded by, followed by, or include words such as "believes," "expects," "anticipates," "estimates," "intends," "plans," "continues," "project," "target," "outlook," "goal," "guidance," "potential," "possible," "contemplate," "seek," or similar expressions, or may employ such future or conditional verbs as "may," "might," "will," "could," "should," or "would," or may otherwise be indicated as forward-looking statements by grammatical construction, phrasing or context. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the U.S. Private Securities Litigation Reform Act of 1995, where applicable, and for forward-looking information under applicable Canadian securities laws. Forward-looking statements are provided to assist readers in understanding management's current expectations and plans relating to the future. Forward-looking statements reflect our current estimates, beliefs and assumptions, which are based on management's perception of historic trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances, including certain assumptions about anticipated CCS and ATS revenue growth; anticipated demand levels across our businesses, including new programs; anticipated technology upgrade cycles; our ability to retain programs and customers; program and production ramps to occur as anticipated; continuing operating leverage and improving mix; the impact of anticipated market conditions on our businesses; the reliability of third party market forecasts and customer indications of future demands, including with respect to data center infrastructure; tax and interest rates; continued advancement and commercialization of artificial intelligence (AI) technologies and cloud computing; supporting sustained high levels of capital expenditure investments by leading hyperscaler, AI, and data center customers; our ability develop new capabilities; scaling of our operations to meet the anticipated growth in customer demand; the economy; our customers; our suppliers; no material changes to tariffs or trade restrictions compared to what are in effect as of October 27, 2025; that our customers will retain liability for and we will be able to recover substantially all costs from customers relating to product/component tariffs and countermeasures; no material changes in business activities resulting from current macroeconomic trends and uncertainties, including evolving global tariff and trade negotiations; our ability to achieve our strategic goals; the availability of capital resources for, and the permissibility under our credit facility of, repurchases of outstanding Common Shares under our current NCIB, acceptance of a new NCIB and compliance with applicable laws and regulations pertaining to NCIBs; as well as other market, financial and operational assumptions. Readers are cautioned that such information may not be appropriate for other purposes. Readers should not place undue reliance on such forward-looking information. Forward-looking statements are not guarantees of future performance and are subject to risks that could cause actual results to differ materially from those expressed or implied in such forward-looking statements, including, among others, risks related to: customer and segment concentration; reduction in customer revenue; erosion in customer market competitiveness; changing revenue mix and margins; uncertain market, industry, political and economic conditions; customer requests to transfer manufacturing of products from one facility to another; changes to policies or legislation; operational challenges such as inventory management and materials and supply chain constraints; and program ramps; the cyclical nature and/or volatility of certain of our businesses; talent management and inefficient employee utilization; risks related to the expansion or consolidation of our operations; cash flow, revenue, and operating results, and tax and interest variability; technology and IT disruption; increasing legal, tax and regulatory complexity and uncertainty (including in relation to our or our customers' businesses); integrating and achieving the anticipated benefits from acquisitions; and the potential adverse impacts of events outside of our control. For more exhaustive information on the foregoing and other material risks, uncertainties and assumptions readers should refer to our public filings at www.sedarplus.ca and www.sec.gov, including in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other documents filed with, or furnished to, the U.S. Securities and Exchange Commission, and the Canadian Securities Administrators, as applicable. Forward-looking statements speak only as of the date on which they are made, and we disclaim any intention or obligation to upda te or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law. All forward-looking statements attributable to us are expressly qualified by these cautionary statements. Note Regarding Non-GAAP Financial Measures In addition to disclosing detailed operating results in accordance with Generally Accepted Accounting Principles (GAAP), this presentation refers to non-GAAP financial measures (including ratios) to consider in evaluating the Company's operating performance. Management uses adjusted net earnings and other non-GAAP financial measures to assess operating performance, financial leverage and the effective use and allocation of resources; to provide more normalized period-to-period comparisons of operating results; to enhance investors' understanding of the core operating results of Celestica's business; and to set management incentive targets. We believe investors use both GAAP and non-GAAP financial measures to assess management's decisions associated with our priorities and capital allocation, as well as to analyze how our business operates in, or responds to, macroeconomic trends or other events that impact our core operations. Non-GAAP financial measures do not have any standardized meaning prescribed by GAAP and may not be comparable to similar measures presented by other public companies that report under GAAP and use non-GAAP financial measures to describe similar operating metrics. Non-GAAP financial measures are not measures of performance under GAAP and should not be considered in isolation or as a substit ute for any GAAP financial measure. We do not provide reconciliations for forward-looking non-GAAP financial measures, as the items that we exclude from GAAP to calculate the comparable non-GAAP measure are dependent on future events that are not able to be reliably predicted by management and are not part of our routine operating activities. We are unable to provide such a reconciliation without unreasonable effort due to the uncertainty and inherent difficulty in predicting the occurrence, the financial impact and the periods in which the adjustments may be recognized. The occurrence, timing and amount of any of the items excluded from GAAP to calculate non-GAAP could significantly impact our forward-looking GAAP results. Forward-looking non-GAAP financial measures may vary materially from the corresponding GAAP financial measures. Currency Unless otherwise specified, all references to dollars in this presentation are to U.S. dollars.
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* Refers to notes to our December 31, 2024 annual financial statements (2024 AFS)
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FY 2024 FY 2023 FY 2022 Revenue 9,646.0$ 7,961.0$ 7,250.0$ Net earnings 428.0 244.4 180.1 Earnings per share - diluted 3.61$ 2.03$ 1.46$ W.A. # of shares (in millions), on a basic basis 118.1 120.1 123.5 W.A. # of shares (in millions), on a diluted basis 118.7 120.3 123.6 Actual # of shares o/s (in millions) as of period end 116.1 119.0 121.6 GAAP earnings from operations 599.3$ 338.3$ 289.3$ As a percentage of revenue 6.2% 4.2% 4.0% Restructuring and other charges, net of recoveries 19.4 12.1 6.7 Employee SBC expense 57.4 55.6 51.0 TRS FVAs (91.0) - - FCC Transitional ADJ (1.3) (1.2) (26.1) Amortization of intangible assets (excluding computer software) 38.8 36.8 37.0 Non-GAAP adjusted EBIAT 622.6$ 441.6$ 357.9$ Non-GAAP adjusted operating margin 6.5% 5.5% 4.9% GAAP net earnings 428.0$ 244.4$ 180.1$ As a percentage of revenue 4.4% 3.1% 2.5% Employee SBC expense 57.4 55.6 51.0 Amortization of intangible assets (excluding computer software) 38.8 36.8 37.0 Restructuring and other charges, net of recoveries 19.4 12.1 6.7 IRS Transitional ADJ - 9.0 (2.5) Miscellaneous Expense (Income) 15.0 (46.6) (1.5) TRS FVAs (91.0) - - FCC Transitional ADJ (1.3) (1.2) (26.1) Adjustments for taxes (5.5) (14.3) (4.6) Non-GAAP adjusted net earnings 460.8$ 295.8$ 240.1$ As a percentage of revenue 4.8% 3.7% 3.3% Non-GAAP adjusted earnings per share - diluted 3.88$ 2.46$ 1.94$ GAAP cash provided by operations 473.9$ 326.2$ 211.1$ Purchase of property, plant, and equipment, net of sales proceeds (168.0) (122.4) (108.9) Non-GAAP free cash flow 305.9$ 203.8$ 102.2$ GAAP Non-GAAP adjusted net earnings and non-GAAP adjusted EPS Non-GAAP free cash flow Non-GAAP operating earnings (adjusted EBIAT)
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Q1 2025 Q2 2025 Q3 2025 YTD 2025 FY 2024 FY 2023 FY 2022 GAAP earnings from operations 128.8$ 272.5$ 325.0$ 726.3$ 599.3$ 338.3$ 289.3$ Multiplier to annualize earnings 4 4 4 1.333 1 1 1 Annualized GAAP earnings from operations 515.2$ 1,090.0$ 1,300.0$ 968.2$ 599.3$ 338.3$ 289.3$ Average Net Invested Capital for the period 2,384.0$ 2,419.9$ 2,581.6$ 2,482.8$ 2,292.4$ 2,132.5$ 2,011.4$ GAAP ROIC % 21.6% 45.0% 50.4% 39.0% 26.1% 15.9% 14.4% Non-GAAP adjusted EBIAT 187.8$ 214.7$ 242.2$ 644.7$ 622.6$ 441.6$ 357.9$ Multiplier to annualize earnings 4 4 4 1.333 1 1 1 Annualized non-GAAP adjusted EBIAT 751.2$ 858.8$ 968.8$ 859.4$ 622.6$ 441.6$ 357.9$ Average Net Invested Capital for the period 2,384.0$ 2,419.9$ 2,581.6$ 2,482.8$ 2,292.4$ 2,132.5$ 2,011.4$ Non-GAAP adjusted ROIC % 31.5% 35.5% 37.5% 34.6% 27.2% 20.7% 17.8% Net invested capital consists of: Total assets 5,834.9$ 6,241.1$ 6,606.7$ 6,606.7$ 5,988.2$ 5,890.5$ 5,625.5$ Less: cash (303.0) (313.8) (305.9) (305.9) (423.3) (370.4) (374.5) Less: ROU assets (operating and finance leases) (178.6) (174.9) (178.9) (178.9) (180.8) (170.0) (157.1) Less: accounts payable, accrued and other liabilities and provisions (excluding (3,000.3) (3,265.7) (3,445.4) (3,445.4) (2,969.2) (3,168.4) (3,005.0) finance and operating lease liabilities) and income taxes payable Net invested capital at period end 2,353.0$ 2,486.7$ 2,676.5$ 2,676.5$ 2,414.9$ 2,181.7$ 2,088.9$ Non-GAAP adjusted ROIC
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$US millions FY 2024 FY2023 FY 2022 GAAP tax expense 104.2$ 61.6$ 59.0$ Earnings from operations 599.3 338.3 289.3 Finance costs (52.1) (78.9) (51.7) Miscellaneous Expense (Income) (15.0) 46.6 1.5 532.2$ 306.0$ 239.1$ GAAP effective tax rate2 20% 20% 25% Adjusted tax expense (non-GAAP) 109.7$ 75.9$ 63.6$ Adjusted operating earnings (non-GAAP) 622.6 441.6 357.9 Finance costs (52.1) (78.9) (51.7) IRS Transitional ADJ - 9.0 (2.5) 570.5$ 371.7$ 303.7$ Adjusted effective tax rate (non-GAAP)3 19% 20% 21%