Slides
Page 1
Investor Presentation Fiscal 2026 Third Quarter Results January 29, 2026
Page 2
Investor Presentation January 2026 This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 relating to, among other things, the business, financial condition and results of operations of CSW Industrials, Inc. (“CSW” or the “Company”). Any statements preceded or followed by or that include the words “believe,” “expect,” “intend,” “plan,” “should” or words, phrases or similar expressions or the negative thereof, are intended to identify forward-looking statements. These statements are made on the basis of the current beliefs, expectations and assumptions of the management of CSW. There are a number of risks and uncertainties that could cause CSW’s actual results to differ materially from the forward-looking statements included in this presentation. In light of these risks, uncertainties, assumptions, and other factors inherent in forward-looking statements, actual results may differ materially from those discussed in this presentation. Other unknown or unpredictable factors could also have a material adverse effect on CSW’s actual future results, performance, or achievements and include, without limitation, the factors described from time to time in our filings with the SEC, including the risk factors described in our Annual Report on Form 10-K. As a result of the foregoing, readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this presentation. CSW does not assume any obligation to update these forward-looking statements to reflect any new information, subsequent events or circumstances, or otherwise, except as may be required by law. Forward Looking Statement This presentation includes non-GAAP financial measures including Adjusted Earnings Per Share, Adjusted Net Income, Adjusted Operating Income, Adjusted EBITDA and Free Cash Flows. Reconciliations to the most directly comparable GAAP measures are included in the Appendix of this presentation. These measures should be considered in addition to results prepared in accordance with GAAP, but are not a substitute for GAAP results. Non-GAAP Financial Information 2
Page 3
Index Overview, Culture, Values, and Investment Thesis MARS Parts Acquisition Business Segment Overview Fiscal 2026 Third Quarter Results Fiscal 2026 Year-to Date Results Appendix 4 17 24 36 41 46
Page 4
CSW Industrials, Inc. (NYSE: CSW) A diversified industrial growth company with a strategic focus on providing niche, value-added products in the end markets we serve. 1 Throughout the presentation, Trailing Twelve Months (TTM) are defined as the twelve months ended December 31, 2025. 2 Listed publicly after spin-off from Capital Southwest Corporation (Nasdaq: CSWC). 3 As of 01/23/2026. 4 Reflects cash on hand of $40M and $499M of available capacity on the $700M revolving credit facility as of December 31, 2025. Key Highlights Publicly Listed Following Spin-Off 2015 Market Capitalization3 ~$5.3B Investment in Acquisitions ~$1.7B TTM Gross Margin ~43% Liquidity4 ~$539M Three Segments (Segment percentages reflect TTM1 Revenue) Contractor Solutions Engineered Building Solutions Specialized Reliability Solutions 4 TTM Total Revenue: $1.0B Investor Presentation January 2026
Page 5
Continuously Evolving Our Portfolio CSW Industrials has consistently evolved through strategic acquisitions and initiatives, resulting in a proven track record of sustained growth and margin expansion. 5 Investor Presentation January 2026 1 Segment reporting was updated to the current structure effective 04/01/2022 2 at 2015 public debut 3 as of 01/23/2026 4 EPS adjusted to exclude nonrecurring items and the amortization of acquisition-related intangible assets and inventory step-up 2015 Portfolio Revenue by segment Revenue by segment ~$500M Market cap2 $262M Revenue 21.4% EBITDA margin $2.12 Adj. EPS4 $56M EBITDA ~$5.3B Market cap3 $1.0B Revenue $9.84 Adj. EPS4 24.5% Adj. EBITDA margin $246M Adj. EBITDA $262M FY15 Sales $1.0B TTM 3Q26 Sales TTM 3Q26 portfolio1
Page 6
Corporate Culture and Values CSW is committed to recruiting great talent, offering rewarding career destinations, and recognizing team members. Our employee-centric culture features an environment where every team member belongs, is encouraged to contribute, and is provided with options to develop and expand their skill sets. CSW leaders embody and cultivate our Core Values. Everything we do is accomplished with a focus on environmental stewardship, and the health and safety of our team members. Investor Presentation January 2026 The Goal of Our Corporate Culture is to Maximize Performance 6 Our Core Values Provide the Framework for Our Corporate Culture Accountability Citizenship Teamwork Respect Integrity Stewardship Excellence
Page 7
Corporate Culture and Values We seek to create, nurture, and sustain an inclusive and diverse environment that attracts and retains the highest caliber team members, respects the intrinsic value of each individual, and leverages their skills and expertise to serve our customers. We are dedicated to attracting, developing, and retaining high-quality individuals of all backgrounds, and to making CSW a place where everyone belongs and can contribute and grow. We at CSW believe that our values not only inspire our internal team, but also inform customer insight and service, and we are excited to have been named to Forbes 2025 America's Most Successful Midsize Companies list and certified for a third year as a Great Place To Work. Investor Presentation January 2026 Our Commitment to Our Core Values: 1 TRIR is for the TTM period ended 12/31/25. 2 Employee Stock Ownership Plan (ESOP). Key Highlights: Total Recordable Incident Rate1 Insider ownership, including ESOP2 ~4% Independent Directors on our Board 88% Diverse Directors on our Board 38% 7 1.1
Page 8
• Total revenue CAGR of 14.1% from FY16 through FY251 • Organic revenue CAGR of 8.7% from FY16 through FY251 • Total adjusted EBITDA CAGR of 16.5% from FY16 through FY251 Compelling Investment Thesis Investor Presentation January 2026 1 Compound Annual Growth Rate (CAGR) and average percentage calculations include continuing operations only. 2 Cash on hand, revolving credit facility, and availability as of December 31, 2025. 3 Adjusted EBITDA is earnings before interest, tax, depreciation & amortization, and excludes significant nonrecurring items. Growth exceeding end markets served Robust margin profile Strong financial position Experienced leadership team • $499M available on our $700M revolving credit facility, and $40M cash on hand2 • $246.2M TTM adjusted EBITDA, and 24.5% adjusted EBITDA margin as a percent of revenue3 • Dedicated to enhancing shareholder value • Committed to exemplifying CSW’s culture and values 8 • 44.1% adjusted Gross Profit Margin annual average FY16 – FY251 • 22.5% adjusted EBITDA Margin annual average FY16 – FY251
Page 9
Sustainable Growth in Shareholder Value • 1,026% market cap growth1 • 276% Revenue growth2 • 326% adjusted EBITDA growth3 • $329M cash returned to shareholders through dividends and share repurchases4 • 960% total shareholder return5 • $1.7B investment in acquisitions6 • 15.6M shares outstanding in Sept 2015 and 16.5M shares outstanding today Investor Presentation January 2026 Our demonstrated track record of growth and enhancing long-term shareholder value. 1 ~$5.3B market cap as of 01/23/2026,compared to ~$500M at 2015 public debut. 2 $1,004.1M TTM Revenue versus $266.9M FY16. 3 $246.2M TTM adjusted EBITDA versus $57.7M FY16. 4 From 3Q18 thru the February 2026 dividend payment. 5 Calculated starting with the date shares began trading "regular way" (10/01/2015 - 01/23/2026). 6 Completed FY16 through 3Q26 Maintain Our Strong Balance Sheet Allocate Capital Efficiently Maximize Channels to Market and Increase Market Share Invest in Organic Growth Disciplined Acquisition Strategy 9 Since Inception
Page 10
Strong Long-Term Free Cash Flow and Adjusted EPS Growth Free Cash Flow1/ Share and Adjusted EPS2 (FY21 - TTM 12/31/25) 1 Defined as Cash from Operations less capital expenditures 2 EPS adjusted to exclude the nonrecurring items and amortization of acquisition-related intangible assets and inventory step-up Investor Presentation January 202610 FCF / Share FY21 - TTM CAGR: 21.7%Legend ■ Free Cash Flow1/Share ■ Adjusted EPS2 Adjusted EPS FY21 - TTM CAGR: 22.7% There were 15.5M shares outstanding at year-end FY24 and 16.8M shares outstanding at year-end FY25 due to the FY25 equity offering
Page 11
Stated Capital Allocation Principles CSW Industrials is committed to maintaining a strong balance sheet with ample liquidity through both cash and available credit to capitalize on growth opportunities, both organically and inorganically. 11 Investor Presentation January 2026 Capital Allocation Policy issued in November 2018 and reaffirmed in December 2022. CSW Industrials targets a sustained leverage ratio of 1x to 3x total debt to EBITDA with the flexibility to exceed the maximum sustained leverage ratio for a limited time to support strategic investment opportunities. Investment to support organic growth opportunities Investment in inorganic growth opportunities Return of excess free cash to shareholders as appropriate through opportunistic share repurchases and dividends
Page 12
Capital Expenditures $16.7M Acquisitions $1.0B Dividends $17.6M Share Repurchases $97.2M Allocating Capital Efficiently Investor Presentation January 2026 1 Acquisition capital includes the cash portion of the acquisition consideration during the TTM. 2 As of December 31, 2025. 3 Share repurchase program inception 3Q18 4 As of December 31, 2025 TTM Capital Allocation1 ($ in millions) • Prioritize accretive, synergistic acquisitions within current end markets • Consider broader strategic opportunities as appropriate Inorganic Growth • Continue to maintain strong balance sheet for future opportunities • $499M available on our $700M revolver4 Repayment of Debt • Cumulative share repurchases of $252M and 2.3M shares since 3Q182, 3 • 28 consecutive quarters of dividends declared since first dividend in April 2019, for cumulative cash return of $76M Return of Capital to Shareholders $1.1B Organic Growth Capital allocation decisions are prioritized on a risk-adjusted returns basis, with the ultimate goal of driving long-term shareholder value. 12 • Invest in enhancing innovative, value- adding products and efficiency initiatives • Increase global sales footprint
Page 13
Strategic, Disciplined Approach to M&A Investor Presentation January 2026 • Long-term growth well in excess of GDP • Strong margin contribution in-line with existing operations, and margin resiliency through cycles • Leverage our strategy and channels to market, including our extensive distribution network • Execute our capital allocation strategy, investing in opportunities with the highest risk-adjusted rate of return • Expand in current markets with product introductions and meaningful acquisitions • Maintain strong balance sheet • Drive enhanced returns by leveraging market knowledge, and existing systems and processes As a diversified industrial growth company, our goal is to increase free cash flow through sustainable organic growth, accretive inorganic growth, and operational efficiencies. CSW Industrials Criteria: 13
Page 14
14 Investor Presentation January 2026 Long Standing Track Record of Successful Acquisitions We have a successful record of making attractive and synergistic acquisitions that support expansion of our broad portfolio of solutions. Acquisition Metrics Acquisitions Post-Spin • Identify and execute accretive acquisitions that will broaden and complement our portfolio of brands and products • Focus on commercially proven products and solutions that: ◦ Are attractive in our target end markets ◦ Currently have limited access to distribution channels that will benefit from our market channels • Utilize strong free cash flow or financing to fund acquisitions 1 Reflects weighted average of publicly disclosed purchase multiples; excludes 2024 plumbing acquisitions, Petersen Metals, MSD Research and Deacon acquisitions due to undisclosed multiples (Acquisition Price in millions; years reflect CSW Fiscal years) Key Highlights 20 Acquisitions completed since October 2015 $1.7B Cumulative capital deployed on acquisitions 10.7x Weighted average purchase price multiple1 Legend Contractor Solutions Specialized Reliability Solutions Engineered Building Solutions 16 13 $386 CAB 2 Add-on acquisitions 34 3 3 37 22 46 51 3CB $1,022 $100 $29 $28 $10 $12 $44 $62 $37 22 PAF 9 17 328 668
Page 15
Our Distribution Channels Accelerate Growth Investor Presentation January 202615 We have focused on expanding our distribution network in recent years, enhancing revenue growth from new product introductions and acquisitions. Without CSW: Limited Distribution With CSW: Broad Distribution The Power of Our Distribution Model CSW sustains strong access to distributors, including through buying groups and national account relationships. CSW can acquire or mass distribute products, resulting in sales at a faster and more cost-effective rate due to logistics leverage, supply agreements, sales staff, credit and back-office support. Newly designed products, while innovative & helpful for contractors, are often challenged by limited distribution
Page 16
• Continuous improvement in material and freight costs • Minimize freight delays and maximize supplier on-time delivery • Proactively increased dual- sourcing on critical components • Leverage internal manufacturing capacity • Top-Line Growth: 17.9% Revenue 5-Year CAGR1 • Compelling Profitability: 24.1%, 26.0%, and 24.8% adjusted EBITDA margin 3Q26 YTD, 3Q25 YTD, and 3Q24 YTD, respectively • Capital Allocation Priorities: Pay-down of borrowings under our Revolving Credit Facility then pay-down of $600M outstanding Term Loan A • Focus on Safety: ◦ Goal is a zero-incident workplace • Focus on Total Rewards: ◦ Competitive total rewards with generous health and retirement benefits • Focus on Wellness: ◦ Cigna Well-Being Award • Great Place to Work Certified for three years in a row Our Guiding Objectives Investor Presentation January 2026 1 Compound Annual Growth Rate (CAGR) and average percentage calculations include continuing operations only. At CSW, how we succeed matters, and accordingly we will: Treat Our Team Members Well • Emphasize consistent availability and timely delivery • Continuously evaluate inventory at both the product and category levels to meet customer demand, while optimizing working capital investments • Focus on driving market and wallet share gains Serve Our Customers Well Manage Our Supply Chains Effectively Position CSW for Sustainable, Long-Term Growth and Profitability 16
Page 17
MARS Parts Acquisition
Page 18
• $650MM purchase price representing ~12.4x MARS Parts’ TTM Adjusted EBITDA • $20MM earn out potential in the first year, based on post-closing revenue growth • Funded the acquisition through a $600MM Syndicated Term Loan A and borrowings under CSW’s existing $700MM Revolving Credit Facility • Expected to be immediately accretive to CSW’s adjusted EPS and EBITDA • TTM MARS Parts Financial Summary1 – Net Revenue of ~$204MM, with a margin profile in line with CSW’s consolidated margins and strong FCF conversion • Significant, immediately- actionable cost synergies identified of ~$10MM annual run rate, with post-synergy implied multiple reduction to ~10.4x TTM Adjusted EBITDA • Complementary expansion of existing product portfolio in the attractive HVAC/R end market • Leverage existing distribution channels to grow share of wallet with our existing customers • Significant cost synergies expected to result in an EBITDA margin run rate of at least 30% on the MARS Parts business within 12 months of closing • Enhances value proposition in electrical end market Financing Considerations Financial Impact Transaction Highlights $650MM Purchase Price CSW’s largest acquisition ~10.4x Implied multiple on TTM Synergy-Adjusted EBITDA >30% EBITDA margin run-rate expected at 12 months post-close CSW Closes the MARS Parts Acquisition on November 4, 2025 1 See Forward-Looking Statements for more information regarding MARS Parts’ TTM estimated results through September 202518 Investor Presentation January 2026
Page 19
Key Stats ~$204MM2 TTM RevenueEstablished 1946 SKUs 5,000+ ~25.7% TTM Adjusted EBITDA Margin ~$52.3MM TTM Adj. EBITDA >30.0% Adjusted EBITDA Margin Post-Synergies Company Overview Key Brands Established in New York City as an electric rewinding operation and began distributing aftermarket motors and other HVAC/R parts in the late 1950s. Broad product portfolios, focused on HVAC electrical products, with majority of products repair oriented Customer centric and known for in-season product availability and fast delivery Bought, “Global, The Source”, in 2024 – adding to its strong position in HVAC electrical products, especially around universal run and start capacitors MARS High Performance, reliable and energy efficient motors. Universally replaceable into any HVAC system. MARS Parts offers ECM and PSC motors MARS/JARD Recognized, high-quality HVAC electrical components including capacitors, relays, contractors, and other essential parts Turbo Universal capacitors that replace the need for 200 different valued capacitors. Highly regarded for convenience and quality of construction Amrad High-quality, made in the USA, single- and dual- capacitance capacitors PolarPads Heavy-duty, weather-resistant equipment pads designed to provide a stable and level foundation for HVAC units MARS Parts is one of the largest providers of HVAC/R parts and supplies in North America 1 MARS Parts includes an acquisition completed last year for “Global, The Source”, owner of the Turbo brand of capacitors 2 MARS Parts’ TTM estimated results through September 202519 MARS Parts1 Overview and Key Brands Investor Presentation January 2026
Page 20
Creates a highly competitive platform for cross selling across leading brands while leveraging scale Highly complementary HVAC products with an increasing focus on repair v. replacement Equipment Mounting Motors Condensate Management Installation Supplies – Ducted Air Movement Electrical Components Chemicals Indoor Air Quality Strong Offering Moderate Offering Limited Offering Little to No Exposure Installation Supplies – Ductless Complementary Products Create Strong Synergistic Offering 20 Key Benefits Investor Presentation January 2026
Page 21
Capacitor Key Products Turbo Universal USA Capacitors JARD Capacitors Universal motor-run and motor-start capacitors, allowing for a single product to service all capacitor needs USA manufactured motor-run and motor- start capacitors, capable of meeting the full range of air conditioning & heat pump needs Value oriented motor-run and motor- start capacitors, fit for purpose, to support air conditioning & heat pump needs MARS Parts Capacitors - HVAC/R Electrical Components 21 Investor Presentation January 2026
Page 22
Motor Product Categories HVAC Blower Condenser Fan Refrigeration Full line of PSC, X-13 and ECM motors capable of powering air handler & furnace blowers. ECM drop-ins to quickly configure for a range of sizes & applications. Full line of condenser fan motors to serve air conditioning & heat pump condenser applications. Supports shaft-up and shaft-down mounting options for full drop-in capability. Complete line of commercial refrigeration evaporator fan motors for walk in cooler & freezer applications. 22 MARS Parts Motors - HVAC/R Electrical Components Investor Presentation January 2026
Page 23
Post-Acqusition Capital Structure 23 Capital Structure, Borrowings, Interest Hedge, Interest Expense, & Intangible Amortization • $700M Revolving Credit Facility and $600M Term Loan A ◦ $600M currently outstanding on the Term Loan A ◦ $201M currently outstanding on the Revolving Credit Facility • $300M Interest Rate Hedge on Term Loan A ◦ 3 years, or 360-day term ◦ Fixed Rate: 3.416% ◦ Floating Rate: One-Month Term SOFR • Interest Expense and Intangible Amortization Forecast ◦ Currently incurring interest expense on Syndicated Term Loam A and Revolver borrowings at an interest rate of SOFR plus 200 basis points based on a net Debt-to- EBITDA leverage ratio of 2.3x ◦ Anticipate annualized amortization of intangible assets will be around $63M moving forward assuming no additional investments, approximately one quarter of this is the fiscal fourth quarter ◦ Fiscal 2026 Fourth Quarter interest expense is estimated to be be approximately $12.3M Investor Presentation January 2026
Page 24
Business Segment Overview
Page 25
Segments Summary Investor Presentation January 2026 • $739.1M TTM Revenue, $229.7M adjusted EBITDA, and 31.1% adjusted EBITDA margin • Manufactures and supplies efficiency and performance enhancing products for residential and commercial HVAC/R, electrical, and plumbing applications, designed primarily for professional tradespeople Contractor Solutions • $121.0M TTM Revenue, $17.7M EBITDA, and 14.6% EBITDA margin • Provides primarily code-driven products focused on life-safety that are engineered to provide aesthetically-pleasing solutions for the construction, refurbishment and modernization of commercial, institutional, and multi-family residential buildings Engineered Building Solutions • $151.6M TTM Revenue, $25.2M adjusted EBITDA, and 16.6% adjusted EBITDA margin • Provides long-established products for increasing the reliability, performance, and lifespan of industrial assets and solving equipment maintenance challenges Specialized Reliability Solutions 25
Page 26
Contractor Solutions Segment: Markets & Brands Investor Presentation January 2026 • Highly diversified product portfolio providing industry leading products in both direct-to- customer and distributor models • Adding value by innovating new and existing products to accelerate organic growth Summary: End Markets Served: HVAC/R Plumbing Electrical General Industrial 26 • Future growth focus on new product introductions through organic innovation and inorganic additions • Strong reputation for providing high quality products to long-standing customer base Contractor Solutions Brands:
Page 27
Plumbing Products (Retail & Distribution Channels) Motors & Capacitors Condensate overflow switches and clean out devices Contractor Solutions: Products 27 Surge Protective Devices Indoor Air Quality (IAQ) Products Grilles, Registers, and Diffusers (GRD) Air Handlers and Evaporator Coils Pipe Thread Sealant Investor Presentation January 2026
Page 28
HVAC/R: Ducted Products 28 Outdoor Indoor Novent Red Refrigerant Caps RSH-Series Disconnect Switch Outset Seal & Jacket Adjustable Lineset Wall Seal and Jacket Kickstart Potential Relay & Start Capacitor PolarPad Heavy Duty HVAC Equipment Pads Dust Free SST2 System Service Transition Aspen Manufacturing Coils & Air Handlers HVAC Air Traps Waterless Traps EZ Trap Float Switch Condensate Overflow Protection ClearDrain PVC Biocide-Free, Slime-Blocking PVC Piping System Safe-T-Switch SSW Water Sensor for Secondary Drain Pans Safe-T-Switch SSL Condensate Overflow Protection Goliath Secondary Condensate Drain Pan Dust Free Lightstick Gold Germicidal UV Light Dust Free Active Gold Air Purifier TRUaire / Shoemaker Grilles, Registers & Diffusers RSH Series RSH-20 ECM Motor Surge Protector Investor Presentation January 2026
Page 29
HVAC/R: Ductless (Mini-Split) Products 29 RSH-50 VRMDC Kit Surge Protection CoverGuard / Fortress / SlimDuct Lineset Covers Big Foot Mini-Split Support System Novent Red Refrigerant Caps Duckt-Strip Universal Mini-Split Cable PairCoil Pre-Insulated, Paired Lineset for Mini-Split Installation Drain Hose For Condensate Management Outdoor Indoor Safe-T-Switch SS610E Condensate Overflow Cutoff Switch Ghost Condensate Pumps Designed for Mini-Split Systems NoKink Flexible Refrigerant Line Connector Mighty Bracket Installation Support Tool Dust Free Duality Germicidal UV Light HVAC Air-Trap DMS-Series, Waterless Trap Investor Presentation January 2026
Page 30
Plumbing: Water Heating Products 30 TripleGuard Active All-In-One Shutoff Falcon Thermal Expansion Tank Calci-Flush Tank Cleaner Falcon Water Connectors Falcon Gas Connectors Drain Pans Aluminum Tanked TripleGuard Active All-In-One Shutoff Calci-Free Tankless Cleaner Falcon Gas Connectors Drain Pans All-In-One Shutoff pH-Pro Condensate Neutralizer Tankless Investor Presentation January 2026
Page 31
Specialized Reliability Solutions Segment: Markets & Brands Investor Presentation January 2026 • Our product portfolio allows us to compete and capture enhanced margins relative to larger peers • Focus on end markets with sustainable growth trends, offering products that serve niche solutions • Established reputation for solving equipment maintenance challenges and increasing the reliability, performance, and lifespan of industrial assets utilized in the most demanding environments and extreme conditions Summary: End Markets Served: Rail Transport Energy Mining General Industrial 31 • Innovating new and existing products to accelerate organic growth • Growth focus on new product introductions through organic innovation and inorganic additions • Two centuries of combined operations manufacturing and supplying our trusted specialty lubricants, compounds, sealants, coatings, desiccant breather filtration, and lubrication management systems Specialized Reliability Solutions Brands:
Page 32
Specialized Reliability Solutions: Products 32 Investor Presentation January 2026
Page 33
Specialized Reliability Solutions: Shell Whitmore JV Products 33 Investor Presentation January 2026
Page 34
Engineered Building Solutions Segment: Markets & Brands Investor Presentation January 2026 • Market leader in providing unique solutions to architects and contractors that meet code requirements, while adding functionality, performance, and aesthetically-pleasing designs • Decades of experience creating products that protect lives • Endless use cases for construction, refurbishments, and modernization of buildings Summary: End Markets Served: Smoke & Fire Protection Safety Railings Expansion Joints Safety Egress 34 • Multiple manufacturing locations provide efficiency to meet the needs of general contractors and architects • Continuous engineering improvement to produce best in class products • Design, manufacture and install stainless steel and other architectural metal product railings for interior and exterior end uses Engineered Building Solutions Brands:
Page 35
Engineered Building Solutions: Products Investor Presentation January 202635
Page 36
Fiscal 2026 Third Quarter Summary of Financial Results
Page 37
Consolidated Results: 3Q26Summary • Record quarterly revenue of $233.0M, a 20% increase ◦ $45.0M increase in inorganic revenue from recent acquisitions in Contractor Solutions and Specialized Reliability Solutions ◦ $5.7M decrease in organic revenue mostly in Contractor Solutions as a result of decreased volumes due to softer demand in the residential HVAC/R market • Record quarterly adjusted EBITDA of $44.8M, a 7% increase ◦ Adjusted EBITDA increase resulting from recent acquisitions ◦ Adjusted EBITDA margin declined 250 basis points to 19.2% due to a contraction in gross margin as a result of the inclusion of recent acquisitions and the related increase in operating expenses • Quarterly adjusted EPS of $1.42, a 21% decrease ◦ Decreased adjusted EPS was primarily due to higher interest expense as we took on debt for acquisitions as compared to a net cash position last year Investor Presentation January 2026 Consolidated Financial Highlights (3Q26 vs 3Q25): Summary Quarterly Consolidated Results ($ in millions) 19.2% Margin 21.7% Margin 21.0% Margin Contractor Solutions Engineered Building Solutions Specialized Reliability Solutions 3Q26 Revenue ($ in millions) $233.0M Consolidated CSW1 37 1 Consolidated CSW revenue includes Corporate & Other, which are not depicted above. Please see the Appendix for the breakout.
Page 38
Contractor Solutions: 3Q26 Segment Summary Investor Presentation January 2026 • Segment Revenue of $168.0M, a 27% increase ◦ Inorganic revenue of $42.7M, due to recent acquisitions ◦ Organic revenue decrease of $6.8M or 5.1%, due to continued weakness in housing activity and a reduction in distributor inventory • Segment adjusted EBITDA increased 10% to $41.1M, and adjusted EBITDA margin decreased 390 bps to 24.4% ◦ Adjusted EBITDA margin decreased primarily due to lower margins associated with recent acquisitions ◦ Operating expenses increased due to incremental amortization expenses from acquisitions and spend from acquisitions prior to realizing synergies. • Expect to outperform the end markets served and execute on market share gains through recent acquisitions utilizing our current growth strategy, while managing tariffs through pricing actions 28.6% Margin 28.4% Margin 24.4% Margin Segment as a % of Consolidated CSW Revenue: 67% 3Q24 67% 3Q25 71% 3Q26 38 Segment Financials (3Q26 vs 3Q25): Summary Quarterly Segment Results ($ in millions)
Page 39
• Segment Revenue of $38.3M, a 10.8% increase ◦ Inorganic revenue growth of 6.8% driven by Hydrotex and ProAction Fluids acquisitions ◦ Organic revenue growth of 4.0% driven by growth in the general industrial and mining end markets, partially offset by a contraction in the energy and rail end markets • Segment adjusted EBITDA decreased 2% to $6.5M, and adjusted EBITDA margin decreased 210 bps ◦ Adjusted EBITDA and adjusted EBITDA margin decrease was driven by a decrease in gross margins due to an escalation in material costs, indirectly driven by tariffs, as well as increased freight costs and increased operating expenses • Developing new sales channels, managing cost increases through pricing actions, and establishing new customers amidst current economic conditions. Diversifying our end markets served through acquisitions. Specialized Reliability Solutions: 3Q26 Segment Summary Investor Presentation January 2026 Segment as a % of Consolidated CSW Revenue: 19% 3Q24 18% 3Q25 16% 3Q26 15.4% Margin 19.1% Margin 16.9% Margin 39 Segment Financials (3Q26 vs 3Q25):Summary Quarterly Segment Results ($ in millions)
Page 40
• Segment Revenue of $28.5M, a 1% decrease ◦ Decrease primarily due to the softness in the market • Segment EBITDA decreased 5%, and EBITDA margin decreased 60 bps ◦ Decrease in EBITDA and EBITDA margin driven by increased material costs indirectly related to tariffs and strategic pricing to address competitive pressures • Backlog quality improving with better margin products ◦ Product development investment for future booking opportunities ◦ New products have improved margin profiles on future results Segment as a % of Consolidated CSW Revenue: 15% 3Q24 15% 3Q25 12% 3Q26 14.2% Margin 14.2% Margin 13.7% Margin Engineered Building Solutions: 3Q26 Segment Summary Investor Presentation January 202640 Segment Financials (3Q26 vs 3Q25): Summary Quarterly Segment Results ($ in millions)
Page 41
Fiscal Year-to-Date 3Q26 Summary of Financial Results
Page 42
• Record YTD Revenue of $773.6M, a 19% increase ◦ Inorganic revenue of $150.6M from the recent acquisitions ◦ $24.8M organic decrease due primarily to unit volume decline driven by softer demand mostly in the residential HVAC/R market • Adjusted EBITDA of $186.5M, or 11% growth ◦ Adjusted EBITDA margin contracted 180 bps due to gross margin contraction from inclusion of recent acquisitions, increases in tariffs and material costs, partially offset by pricing actions and lower freight rates • Adjusted EPS of $7.24, a 2% increase, compared to $7.11 ◦ Increased adjusted EPS due to increased revenue, offset by higher interest expense and increased weighted average of outstanding shares throughout the current YTD reporting period resulting from the follow-on equity offering in September 2024 • Returned $106.2M of cash to shareholders, including $92.6M through share repurchases and $13.6M in dividends Consolidated Results: Fiscal Year 2026YTD Summary Investor Presentation January 2026 Consolidated Financial Highlights (3Q26 YTD vs 3Q25 YTD): 1 Consolidated CSW revenue includes Corporate & Other, which are not depicted above. Please see the Appendix for the breakout. Summary 3Q26 YTD Consolidated Results1 ($ in millions) 24.1% Margin 26.0% Margin24.8% Margin Contractor Solutions Engineered Building Solutions Specialized Reliability Solutions 3Q26 YTD Revenue ($ in millions) $773.6M Consolidated CSW 1 42
Page 43
Contractor Solutions: Fiscal Year 2026 YTD Segment Summary Investor Presentation January 2026 • Segment Revenue increased 27% to $573.2M, primarily driven by: ◦ Inorganic growth of $148.2M from recent acquisitions ◦ Organic decrease of $26.4M or 6%, primarily driven by a decrease in unit volumes • Segment adjusted EBITDA increased 16% to $173.7M ◦ Segment adjusted EBITDA margin decreased 280 basis points driven mainly by the inclusion of recent acquisitions and an increase in tariffs, partially offset by pricing actions and lower freight expenses • Contractor Solutions' growth continues to outpace the end markets served as we work to integrate our recently acquired businesses and manage tariffs through pricing actions. We continue to look for great products and businesses that are complementary and/or synergistic to our existing end markets served. 32.0% Margin 33.1% Margin 30.3% Margin Segment as a % of Consolidated CSW Revenue: 65% 3Q24 YTD 69% 3Q25 YTD 73% 3Q26 YTD 43 Segment Financials (3Q26 YTD vs 3Q25 YTD): Summary 3Q26 YTD Segment Results ($ in millions)
Page 44
• Segment Revenue increased 3.6%, to $113.9M, primarily driven by: ◦ Inorganic revenue growth of 2.1% driven by recent acquisitions in the third fiscal quarter of 2026 ◦ Organic revenue growth of 1.5% coming from the general industrial and mining end markets, mostly offset by a contraction in the energy and rail end markets • Segment adjusted EBITDA decreased 13% to $19.4M and adjusted EBITDA margin decreased 320 basis points ◦ Adjusted EBITDA and adjusted EBITDA margin decrease was driven primarily by a decrease in gross margins due to sales mix favoring lower margin products and escalated material costs related to tariffs and commodity pricing • Some of our end markets served have seen contraction, especially in oil and gas; however, our recent acquisitions will further diversify the end markets served. We will continue to manage cost increases through pricing actions Specialized Reliability Solutions: Fiscal Year 2026 YTD Segment Summary Investor Presentation January 2026 Segment as a % of Consolidated CSW Revenue: 19% 3Q24 YTD 17% 3Q25 YTD 15% 3Q26 YTD 18.5% Margin 20.2% Margin 17.0% Margin 44 Segment Financials (3Q26 YTD vs 3Q25 YTD):Summary 3Q26 YTD Segment Results ($ in millions)
Page 45
• Segment Revenue decreased 0.1% to $92.3M • Segment EBITDA decreased 20% to $13.5M ◦ Segment EBITDA margin decreased 360 basis points over the prior year, driven by gross margin contraction due to increased material costs, higher warranty expenses, and strategic pricing in response to competitive pressures. • Actions provide future confidence ◦ Bidding and re-bidding trends have been strong ◦ Backlog quality continues to improve with better margin products Segment as a % of Consolidated CSW Revenue: 16% 3Q24 YTD 14% 3Q25 YTD 12% 3Q26 YTD 17.0% Margin 18.3% Margin 14.7% Margin Engineered Building Solutions: Fiscal Year 2026 YTD Segment Summary Investor Presentation January 202645 Segment Financials (3Q26 YTD vs 3Q25 YTD): Summary 3Q26 YTD Segment Results ($ in millions)
Page 46
Appendix
Page 47
James has been EVP and CFO since May 2020. From 2004 to 2019, he served in financial roles with Trinity Industries, a publicly held, diversified industrial company, and served as its CFO from 2010 to 2019. From 2001 to 2004, Mr. Perry was a senior financial executive at RMH Teleservices, including serving as CFO. He previously held positions at JP Morgan Chase & Co. and Ernst & Young LLP. Donal has served as EVP & Chief Strategy Officer since April 2024, and previously served as EVP & General Manager, Contractor Solutions since May 2020. Prior to that Mr. Sullivan served as SVP, Industrial Products since January 2016, and was appointed as an executive officer of the Company in March 2019. He has previously held roles at Goodman Global and Carrier Corporation. Luke has served as SVP, General Counsel & Secretary since February 2016. From May 2008 to February 2016, Mr. Alverson held roles of increasing responsibility with Flowserve Corporation, a leading global manufacturer of fluid motion control products and provider of related services, serving most recently as VP, Corporate Legal Services & Assistant Secretary. CSW Executive Team Investor Presentation January 2026 Veteran leadership with broad industry experience, dedicated to enhancing shareholder value. 47 Joseph B. Armes Chairman, CEO and President Joe has served as the Company’s Chairman of the Board of Directors & CEO since September 2015, & President since February 2018. Prior to the Company’s September 2015 spin- off from Capital Southwest Corporation, a capital provider to middle market companies, Mr. Armes served as the Chairman, CEO & President of Capital Southwest Corporation from June 2013 to September 2015. James E. Perry Executive VP and CFO Donal J. Sullivan Executive VP and Chief Strategy Officer Luke E. Alverson Senior VP, General Counsel and Secretary Danielle R. Garde Senior VP and Chief People Officer Danielle has served as SVP and Chief People Officer since October 2022. From June 2020 to September 2022, she was the Chief Human Resources Officer at PlayPower, Inc., a privately- held producer of recreation equipment. From March 2014 to February 2020, Ms. Garde held roles of increasing responsibility with KidKraft Inc., a privately- held producer of children’s toys and furniture, last serving as VP, Human Resources. Jeff A. Underwood Senior VP and GM, Contractor Solutions Jeff has served as SVP & General Manager, Contractor Solutions since April 2024, and previously served as SVP, Sales & Marketing for the Company's RectorSeal operating subsidiary within the Contractor Solutions segment since May 2021. Mr. Underwood joined the Company in September 2018 as VP of Sales for RectorSeal. He previously held roles at Goodman Manufacturing and Bain & Company.
Page 48
Reconciliation of Fiscal Third Quarter Segment Operating Income to Segment Adjusted EBITDA Investor Presentation January 2026 Note: Numbers may not foot due to rounding. CS - Contractor Solutions | SRS - Specialized Reliability Solutions | EBS - Engineered Building Solutions | Other - Corporate & Other 48 (unaudited) (unaudited) (unaudited) (Amounts in thousands) Three Months Ended December 31, 2025 Three Months Ended December 31, 2024 Three months ended December 31, 2023 CS SRS EBS Other CSW CS SRS EBS Other CSW CS SRS EBS Other CSW Revenue, net $167,999 $38,284 $28,452 $ (1,742)$232,992 $132,150 $34,566 $28,821 $ (1,889)$193,649 $115,412 $33,711 $27,861 $ (2,017)$174,967 Operating Income $16,790 $ 4,517 $ 3,362 $ (7,331)$17,338 $26,756 $ 5,238 $ 3,645 $ (6,045)$29,595 $25,751 $ 3,740 $ 3,537 $ (5,447)$27,581 Adjusting Items: Acquisition-related integration expenses 3,776 168 — — 3,944 — — — — — — — — — — Acquisition-related transaction expenses 1,142 423 — 770 2,335 860 — — — 860 — — — — — Nonrecurring inventory write down 2,051 — — — 2,051 — — — — — — — — — — Adjusted Operating Income $23,759 $ 5,108 $ 3,362 $ (6,561)$25,668 $27,616 $ 5,238 $ 3,645 $ (6,045)$30,455 $25,751 $ 3,740 $ 3,537 $ (5,447)$27,581 % Revenue 14.1 % 13.3 % 11.8 % 11.0 % 20.9 % 15.2 % 12.6 % 15.7 % 22.3 % 11.1 % 12.7 % 15.8 % Adjusting Items: Other income (expense), net (1,283) (39) 47 (46) (1,322) (188) (17) 38 (131) (298) (8,433) (9) (8) 21 (8,428) Depreciation & amortization 17,167 1,416 483 (9) 19,058 9,179 1,366 420 48 11,012 7,178 1,477 437 42 9,134 Reversal of Indemnification Receivable 1,406 — — — 1,406 858 — — — 858 8,519 — — — 8,519 Adjusted EBITDA $41,050 $ 6,485 $ 3,892 $ (6,616)$44,810 $37,466 $ 6,587 $ 4,102 $ (6,128)$42,027 $33,015 $ 5,208 $ 3,966 $ (5,383)$36,805 % Revenue 24.4 % 16.9 % 13.7 % 19.2 % 28.4 % 19.1 % 14.2 % 21.7 % 28.6 % 15.4 % 14.2 % 21.0 %
Page 49
Reconciliation of Fiscal Year 2026 YTD Segment Operating Income to Segment Adjusted EBITDA Investor Presentation January 2026 Note: Numbers may not foot due to rounding. CS - Contractor Solutions | SRS - Specialized Reliability Solutions | EBS - Engineered Building Solutions | Other - Corporate & Other 49 (unaudited) (unaudited) (unaudited) (Amounts in thousands) Nine Months Ended December 31, 2025 Nine Months Ended December 31, 2024 Nine Months ended December 31, 2023 CS SRS EBS Other CSW CS SRS EBS Other CSW CS SRS EBS Other CSW Revenue, net $573,207 $113,900 $92,262 $ (5,780)$773,589 $451,403 $109,892 $92,387 $ (5,930)$647,752 $395,268 $108,037 $84,660 $ (5,984)$581,980 Operating Income $122,924 $14,852 $12,193 $ (20,974)$128,994 $122,894 $18,208 $15,451 $ (20,348)$136,204 $104,443 $15,534 $13,029 $ (18,227)$114,780 Adjusting Items: Acquisition-related integration expenses 3,776 168 — — 3,944 — — — — — — — — — — Acquisition-related transaction expenses 2,692 423 — 979 4,094 860 — — — 860 — — — — — Nonrecurring inventory write down 2,051 — — — 2,051 — — — — — — — — — — Adjusted Operating Income $131,443 $15,443 $12,193 $ (19,995)$139,083 $123,754 $18,208 $15,451 $ (20,348)$137,064 $104,443 $15,534 $13,029 $ (18,227)$114,780 % Revenue 22.9 % 13.6 % 13.2 % 18.0 % 27.4 % 16.6 % 16.7 % 21.2 % 26.4 % 14.4 % 15.4 % 19.7 % Adjusting Items: Other Income (Expense) (452) (133) 15 (215) (785) (335) (200) 18 (200) (716) (7,686) (100) 2 1,595 (6,188) Depreciation & amortization 41,262 4,100 1,339 86 46,787 25,164 4,198 1,399 135 30,896 21,118 4,512 1,332 132 27,094 Reversal of tax indemnification receivable 1,406 — — — 1,406 858 — — — 858 8,519 — — — 8,519 Adjusted EBITDA $173,659 $19,409 $13,547 $ (20,124)$186,492 $149,442 $22,206 $16,868 $ (20,413)$168,102 $126,394 $19,947 $14,363 $ (16,500)$144,205 % Revenue 30.3 % 17.0 % 14.7 % 24.1 % 33.1 % 20.2 % 18.3 % 26.0 % 32.0 % 18.5 % 17.0 % 24.8 %
Page 50
Reconciliation of TTM Segment Operating Income to Segment Adjusted EBITDA Investor Presentation January 2026 Note: Numbers may not foot due to rounding. CS - Contractor Solutions | SRS - Specialized Reliability Solutions | EBS - Engineered Building Solutions | Other - Corporate & Other 50 (unaudited) (Amounts in thousands) Trailing Twelve Months Ended December 31, 2025 Contractor Specialized Engineered Solutions Reliability Building Corporate Consolidated CS SRS EBS Other CSW Revenue, net $ 739,136 $ 151,645 $ 120,989 $ (7,631) $ 1,004,138 Operating Income $ 165,923 $ 19,316 $ 15,929 $ (27,130) $ 174,038 Adjusting Items: Acquisition-related integration expenses 3,776 168 — — 3,944 Nonrecurring inventory write down 2,051 — — — 2,051 Acquisition-related transaction expenses 4,126 423 — 979 5,528 Fair value change in contingent consideration liability 2,100 — — — 2,100 Adjusted Operating Income $ 177,976 $ 19,907 $ 15,929 $ (26,151) $ 187,661 % Revenue 22.4 % 12.7 % 13.2 % 18.7 % Adjusting Items: Other income (expense), net (488) (167) 3 (280) (932) Depreciation & amortization 50,764 5,456 1,767 128 58,114 Reversal of tax indemnification receivable 1,406 — — — 1,406 Adjusted EBITDA $ 229,658 $ 25,196 $ 17,699 $ (26,303) $ 246,249 % Revenue 31.1 % 16.6 % 14.6 % 24.5 %
Page 51
Reconciliation of Fiscal Year Company Net Income to Adjusted EBITDA Investor Presentation January 2026 Note: Numbers may not foot due to rounding.51 (Amounts in thousands) Year Ended 3/31/2025 Year Ended 3/31/2024 Year Ended 3/31/2023 Year Ended 3/31/2022 Year Ended 3/31/2021 Year Ended 3/31/2020 Year Ended 3/31/2015 Net Income attributable to CSW 136,652 101,648 96,435 66,385 40,099 44,656 29,705 Plus: Income attributable to Redeemable Noncontrolling Interest 832 891 139 934 — — — Net Income 137,484 102,539 96,574 67,319 40,099 44,656 29,705 Adjusting Items: Interest Expense 269 12,723 13,197 5,449 2,383 1,331 611 Income Tax Expense 42,633 37,942 29,338 24,146 10,769 12,732 15,223 Depreciation & Amortization 42,223 38,289 34,958 36,408 22,718 15,587 10,515 Transaction Costs & Other Professional Fees 2,294 — — — 10,360 200 — Reversal of Indemnification Receivable 858 8,519 — — 5,000 — — Pension Termination — — — — — 6,488 — Gain on Sale of Property — — — — — (776) — Fair value change in contingent consideration liability 2,100 — — — — — — Adjusted EBITDA 227,860 200,011 174,067 133,323 91,329 80,217 56,054 % Revenue 25.9 % 25.2 % 23.0 % 21.3 % 21.8 % 20.8 % 21.4 %
Page 52
Reconciliation of Fiscal Year Company Gross Profit to Adjusted Gross Profit Investor Presentation January 2026 Note: Numbers may not foot due to rounding.52 (Amounts in thousands) TTM Ended 12/31/2025 Year Ended 3/31/2025 Year Ended 3/31/2024 Year Ended 3/31/2023 Year Ended 3/31/2022 Year Ended 3/31/2021 Year Ended 3/31/2020 Year Ended 3/31/2019 Revenue, net 1,004,138 878,301 792,840 757,904 626,435 419,205 385,871 350,155 Cost of Revenue 575,182 484,989 442,095 439,690 370,473 234,655 209,034 188,787 Gross Profit 428,956 393,312 350,745 318,214 255,962 184,551 176,837 161,368 Adjusting Items: Purchase Accounting Effect — — — — 3,919 2,963 — — Gain on Sale of Property — — — — — — (776) (2,047) Adjusted Gross Profit 428,956 393,312 350,745 318,214 259,881 187,514 176,061 159,321 % Revenue 42.7 % 44.8 % 44.2 % 42.0 % 41.5 % 44.7 % 45.6 % 45.5 %
Page 53
Reconciliation of Fiscal Year Company Operating Cash Flow to Free Cash Flow/Share Investor Presentation January 2026 Note: Numbers may not foot due to rounding.53 (Amounts in thousands) TTM Ended 12/31/2025 Year Ended 3/31/2025 Year Ended 3/31/2024 Year Ended 3/31/2023 Year Ended 3/31/2022 Year Ended 3/31/2021 Year Ended 3/31/2020 Net Cash Provided by Operating Activities 178,628 168,362 164,332 121,453 69,089 66,254 71,397 Less: Capital Expenditures (16,661) (16,266) (16,575) (13,951) (15,653) (8,833) (11,437) Free Cash Flows 161,967 152,096 147,757 107,502 53,436 57,421 59,960 Diluted Shares 16,801 16,314 15,581 15,546 15,807 15,126 15,206 Free Cash Flow/Share 9.64 9.32 9.48 6.92 3.38 3.80 3.94 FCF/Adjusted EBITDA 65.8 % 66.7 % 73.9 % 61.8 % 40.1 % 62.9 % 74.7 %
Page 54
Reconciliation of Fiscal Year Company EPS to Adjusted EPS1 Investor Presentation January 2026 1 EPS adjusted to exclude nonrecurring items and the amortization of acquisition-related intangible assets and inventory step-up Note: Numbers may not foot due to rounding. 54 (Amounts in thousands) TTM Ended 12/31/2025 Year Ended 3/31/2025 Year Ended 3/31/2024 Year Ended 3/31/2023 Year Ended 3/31/2022 Year Ended 3/31/2021 Year Ended 3/31/2020 Net Income attributable to CSW 126,904 136,652 101,648 96,435 66,385 40,099 44,656 Diluted Shares 16,781 16,314 15,581 15,546 15,807 15,126 15,206 GAAP EPS 7.56 8.38 6.52 6.20 4.20 2.65 2.94 Adjusting Items: Amortization of acquisition-related intangibles and inventory step-up 1.92 1.29 1.10 1.07 0.98 0.51 0.34 Transaction Costs & Other Professional Fees 0.27 0.10 — — — 0.58 0.01 Reversal of Indemnification Receivable 0.08 — 0.49 — — (0.02) — Nonrecurring inventory write down 0.09 — — — — — — Acquisition-related Integration Expenses 0.17 — — — — — — Pension Termination — — — — — — 0.32 Gain on Sale of Property — — — — — — (0.04) Fair value change in contingent consideration liability 0.10 0.10 — — — — — Uncertain tax position accrual release (0.35) (0.16) — — — — — Other Misc. Items — — — — — — (0.04) Adjusted EPS1 9.84 9.70 8.11 7.27 5.18 3.72 3.53