Slides
Page 1
I E S H O L D I N G S , I N C . ( N A S D A Q : I E S C ) | I N V E S T O R P R E S E N T A T I O N | J a n u a r y 2 8 , 2026
Page 2
2 Disclosures Forward-Looking Statements Certain statements in this release may be deemed “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, all of which are based upon various estimates and assumptions that the Company believes to be reasonable as of the date hereof. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “expect,” “plan,” “project,” “intend,” “anticipate,” “believe,” “seek,” “estimate,” “predict,” “potential,” “pursue,” “target,” “continue,” the negative of such terms or other comparable terminology. These statements involve risks and uncertainties that could cause the Company’s actual future outcomes to differ materially from those set forth in such statements. Such risks and uncertainties include, but are not limited to: general reduction in the demand for our products or services; changes in general economic conditions, including supply chain constraints, high rates of inflation, changes in consumer sentiment, elevated interest rates, and market disruptions resulting from a number of factors, including deterioration of global trade relationships, geo-political conflicts or political unrest; competition in the industries in which we operate, both from third parties and former employees, which could result in the loss of one or more customers or lead to lower margins on new projects; our ability to successfully manage projects, the cost and availability of qualified labor and the ability to maintain positive labor relations, and our ability to pass along increases in the cost of commodities used in our business, in particular, copper, aluminum, steel, fuel, electronic components and certain plastics; supply chain disruptions due to our suppliers' access to materials and labor, their ability to ship products timely, or credit or liquidity problems they may face; the impact of the COVID-19 pandemic or any future epidemics or pandemics on our business, including the potential for new or continued job site closures or work stoppages, supply chain disruptions, delays in awarding new project bids, construction delays, reduced demand for our services, delays in our ability to collect from our customers, the impact of third party vaccine mandates on employee recruiting and retention, or illness of management or other employees; inaccurate estimates used when entering into fixed-price contracts, the possibility of errors when estimating revenue and progress to date on percentage-of-completion contracts, and complications associated with the incorporation of new accounting, control and operating procedures; our ability to enter into, and the terms of, future contracts; the inability to carry out plans and strategies as expected, including the inability to identify and complete acquisitions that meet our investment criteria in furtherance of our corporate strategy, or the subsequent underperformance of those acquisitions; challenges integrating new businesses into the Company or new types of work, products or processes into our segments; backlog that may not be realized or may not result in profits; failure to adequately recover on contract change orders or claims against customers; closures or sales of our facilities resulting in significant future charges, including potential warranty losses or other unexpected liabilities, or a significant disruption of our operations; the impact of seasonality, adverse weather conditions, and climate change; an increased cost of surety bonds affecting margins on work and the potential for our surety providers to refuse bonding or require additional collateral at their discretion; fluctuations in operating activity due to downturns in levels of construction or the housing market, seasonality and differing regional economic conditions; increases in bad debt expense and days sales outstanding due to liquidity problems faced by our customers; accidents resulting from the physical hazards associated with our work and the potential for accidents; the possibility that our current insurance coverage may not be adequate or that we may not be able to obtain policies at acceptable rates; the effect of litigation, claims and contingencies, including warranty losses, damages or other latent defect claims in excess of our existing reserves and accruals; interruptions to our information systems and cyber security or data breaches; liabilities under existing or potential future laws and regulations, including those related to the environment and climate change; expenditures to comply with future changes in laws and regulations, including environmental laws and regulations and those relating to climate change; loss of key personnel, ineffective transition of new management, or inability to transfer, renew and obtain electrical and other professional licenses; the possibility that certain tax benefits of our net operating losses may be restricted or reduced in a change in ownership or a decrease in the federal tax rate; the recognition of tax benefits related to uncertain tax positions and the potential for disagreements with taxing authorities with regard to tax positions we have adopted; the potential recognition of valuation allowances or write-downs on deferred tax assets; limitations on the availability of sufficient credit or cash flow to fund our working capital needs and capital expenditures, complete acquisitions, and for debt service; credit and capital market conditions, including changes in interest rates that affect the cost of construction financing and mortgages, and the inability of some of our customers to retain sufficient financing, which could lead to project delays or cancellations; difficulty in fulfilling the covenant terms of our revolving credit facility, including liquidity, and other financial requirements, which could result in a default and acceleration of any indebtedness under such revolving credit facility; uncertainties inherent in estimating future operating results, including revenues, operating income or cash flow; the recognition of potential goodwill, long-lived assets and other investment impairments; the existence of a controlling shareholder, who has the ability to take action not aligned with other shareholders or to dispose of all or any portion of the shares of our common stock it holds, which could trigger certain change of control provisions in a number of our material agreements, including our financing and surety arrangements and our executive severance plan; the relatively low trading volume of our common stock, as a result of which it could be more difficult for shareholders to sell a substantial number of shares for the same price at which shareholders could sell a smaller number of shares; the possibility that we issue additional shares of common stock, preferred stock or convertible securities that will dilute the percentage ownership interest of existing stockholders and may dilute the value per share of our common stock; the potential for substantial sales of our common stock, which could adversely affect our stock price; the impact of increasing scrutiny and changing expectations from investors and customers, or new or changing regulations, with respect to environmental, social and governance practices; the cost or effort required for our shareholders to bring certain claims or actions against us, as a result of our designation of the Court of Chancery of the State of Delaware as the sole and exclusive forum for certain types of actions and proceedings; the possibility that our internal controls over financial reporting and our disclosure controls and procedures may not prevent all possible errors that could occur; and other factors discussed in the Company’s annual report on Form 10-K for the year ended September 30, 2025. You should understand that such risk factors could cause future outcomes to differ materially from those experienced previously or those expressed in such forward-looking statements. The Company undertakes no obligation to publicly update or revise any information, including information concerning its controlling shareholder, net operating losses, borrowing availability, or cash position, or any forward-looking statements to reflect events or circumstances that may arise after the date of this release. Forward-looking statements are provided in this document pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of the estimates, assumptions, uncertainties, and risks described herein. Non-GAAP Financial Measures and Other Adjustments This document includes adjusted net income attributable to IES, adjusted diluted earnings per share attributable to common stockholders, and backlog, and, in the non-GAAP reconciliation tables included herein, adjusted net income attributable to common stockholders, adjusted EBITDA and adjusted net income before taxes, each of which is a financial measure not calculated in accordance with generally accepted accounting principles in the U.S. (“GAAP”). Management believes that these measures provide useful information to our investors by, in the case of adjusted net income attributable to common stockholders, adjusted earnings per share attributable to common stockholders, adjusted EBITDA and adjusted net income before taxes, distinguishing certain nonrecurring events such as litigation settlements, significant expenses associated with leadership changes, or gains or losses from the sale of a business, or noncash events, such as impairment charges or our valuation allowances release and write-down of our deferred tax assets, or, in the case of backlog, providing a common measurement used in IES's industry, as described further below, and that these measures, when reconciled to the most directly comparable GAAP measures, help our investors to better identify underlying trends in the operations of our business and facilitate easier comparisons of our financial performance with prior and future periods and to our peers. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information calculated in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures, which has been provided in the financial tables included in this press release. Remaining performance obligations represent the unrecognized revenue value of our contract commitments. While backlog is not a defined term under GAAP, it is a common measurement used in IES’s industry and IES believes this non-GAAP measure enables it to more effectively forecast its future results and better identify future operating trends that may not otherwise be apparent. IES’s remaining performance obligations are a component of IES’s backlog calculation, which also includes signed agreements and letters of intent which we do not have a legal right to enforce prior to work starting. These arrangements are excluded from remaining performance obligations until work begins. IES’s methodology for determining backlog may not be comparable to the methodologies used by other companies. For further details on the Company’s financial results, please refer to the Company’s annual report on Form 10-K for the fiscal year ended September 30, 2025, filed with the Securities and Exchange Commission (“SEC”), and any amendments thereto. IES designs and installs integrated electrical and technology systems and provides infrastructure products and services to a variety of end markets, including data centers, residential housing, and commercial and industrial facilities. Our more than 10,000 employees serve clients in the United States. For more information about IES, please visit www.ies-co.com.
Page 3
3 IES Holdings at a Glance (NASDAQ: IESC) Revenue ($ million) (1) $3,371 5-Year Revenue CAGR (2) 23% 5-Year Operating Income CAGR (2) 50% Acquisitions (since 2015) 19 Locations 170+ Employees 10,000+ Provider of Electrical, Communication and Other Infrastructure Services Electrical & Mechanical Contracting and Services FY25 Revenue: $428 M Technology & Data Center Infrastructure Services FY25 Revenue: $1,141 M Custom Engineered Solutions, Electrical & Mechanical Apparatus Services FY25 Revenue: $499 M Electrical, HVAC & Plumbing Services for Residential Construction FY25 Revenue: $1,304 M COMMERCIAL & INDUSTRIALRESIDENTIAL INFR ASTRUCTURE SOLUTIONSCOMMUNICATIONS 1. For the 12 Months Ended September 30, 2025 2. Includes organic growth, as well as benefit or addition from acquisitions made
Page 4
4 $1,191 $1,536 $2,167 $2,377 $2,884 $3,371 FY20 FY21 FY22 FY23 FY24 FY25 Electrical Technology Infrastructure Custom Engineered Solutions Industrial Services Mechanical & Plumbing Housing Data Centers E-Commerce Industrial & Manufacturing Commercial & Institutional Energy & Power Transportation End Markets and Capabilities RESIDENTIAL COMMUNICATIONS COMMERCIAL & INDUSTRIAL INFRASTRUCTURE SOLUTIONS % of FY25 Revenue Markets Capabilities Revenue Breakdown ($ in millions) 13% 39% 34% 15%
Page 5
5 $1,191 $3,371 FY20 FY25 $50 $384 FY20 FY25 Products & Services Profitable Growth Strategy Demonstrated Growth Accretive Acquisitions Strong Financial Position • Capitalize on our scale, expertise and end market exposure to achieve long-term top-line growth • Leverage customer relationships and acquisition strategy to open new opportunities in attractive end markets • Utilize market exposure to pursue acquisition opportunities that fit into existing segment platforms • Focused on specific geographic additions, products and services • Maintain a strong and flexible capital position • Preserve operational flexibility, liquidity and free cash flow for organic growth and acquisitions $660 MILLION of free cash flow since 2020 (excl. M&A) (1) $319 MILLION of acquisitions since 2020 (1) (2) $232 MILLION of net cash and marketable securities (1) $300 MILLION revolving credit facility (1) REVENUE OPERATING INCOME ($ in millions) 1. As of September 30, 2025 2. Acquisitions includes the buyout of non-controlling interest Geographies
Page 6
6 $50 $86 $56 $160 $301 $384 FY20 FY21 FY22 FY23 FY24 FY25 Long-Term Double-Digit Operating Income Growth Long-Term Financial Framework ORGANIC REVENUE GROWTH FREE CASH FLOW/NET INCOME CONVERSION ATTRACTIVE OPERATING INCOME GROWTH STRATEGIC M&A OPERATING MARGIN LEVERAGE ($ in millions) 5 Year Operating Income Growth Summary
Page 7
7 Technology Infrastructure • Data center construction to support AI usage & data consumption • Strong demand in high-tech manufacturing and e-commerce • Buildout of wireless networks and integrated technology Evolving Electrical Landscape • Grid reliability pressures are increasing back-up power and resiliency needs • Aging, capacity constrained electrical infrastructure requires sustained modernization and expansion • Surging power demand from AI/data centers, digital infrastructure & reshoring of manufacturing Residential Housing • Pent-up demand from years of underbuilding • Growing household formation as millennials seek suburban homes • Short-term impacted by affordability and consumer sentiment IES: Integrating Technology & Electrical Services AS S E T I N TE G R I TY & R E LI AB I LI T Y AL W A Y S C O N N E C TE D C O M F O R TS O F H O M E
Page 8
8 $9 $10 $13 $20 $31 $42 $52 $63 $71 2020 2021 2022 2023 2024 2025F 2026F 2027F 2028F Data Center Buildout U.S. Data Center Construction Spending ($ in billions) Source: FMI; limited to private Data Center construction IES Impact COMMUNICATIONS Opportunity for further growth with existing hyperscale data center customers, as well as the need to build edge and co-location data centers Ability to support streaming and cloud adoption alongside increase in AI usage & data consumption INFRASTRUCTURE SOLUTIONS Data center buildout is increasing demand for large back-up generators, which is driving business for Custom Engineered Solutions COMMERCIAL & INDUSTRIAL Data center construction requires electrical contracting expertise Projection -->
Page 9
9 $833 $909 $1,027 $1,183 $1,341 $1,499 $1,643 $1,754 $1,839 2021 2022 2023 2024 2025F 2026F 2027F 2028F 2029F E-Commerce Strength IES Impact COMMUNICATIONS Buildout of new warehouse space and retrofit of existing warehouses demands improved wireless and communications technology COMMERCIAL & INDUSTRIAL New construction of e-commerce warehouses requires electrical contracting expertise Retail e-Commerce Revenue in the United States ($ in billions) Source: Statista Projection -->
Page 10
10 – 500 1,000 1,500 2,000 2,500 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Single Family Multi-Family 1990 - 2007 Average U.S. New Housing Starts U.S. Housing Expansion: Residential Market IES Residential Impact Housing starts remain below long-term averages since the financial crisis, trailing household formations by a cumulative 2+ million homes since 2009 A return to average, or potentially above average starts, offers an long-term opportunity for the housing market (millions) 1.5 million Source: U.S. Census Bureau, National Association of Home Builders (NAHB)
Page 11
11 • Motors • Substation and Plant Switchyards • Fuel and Water Pumps • Circuit Breakers • Transformers • Thermal Voltage Analysis • Transient and Voltage Stability • Electrical Packages and Controls • Power Distribution • Charging Station Installation • Switchgear Housings • Diesel and Natural Gas Generator Enclosures BACKUP POWER GRID STABILITYELECTRICAL RELIABILITY Enabling Critical Electrical Infrastructure Solutions
Page 12
12 $696 $811 $877 $1,077 $1,191 $1,536 $2,167 $2,377 $2,884 $3,371 $25 $20 $26 $42 $50 $86 $56 $160 $301 $384 – $50 $100 $150 $200 $250 $300 $350 $400 $450 – $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 Total Revenue Operating Income # of Locations 75 82 77 77 77 97 128 127 131 174 Track Record of Completing Accretive Acquisitions C O M M E R C I A L & I N D U S T R I A LR E S I D E N T I A L I N F R A S T R U C T U R E S O L U T I O N SC O M M U N I C A T I O N S DivestitureA C Q U I S I T I O N K E Y :
Page 13
13 Gulf Island Fabrication Acquisition Expands IES’s Fabrication Footprint & Adds Services Capabilities • Gulf Island Fabrication (“Gulf Island”), a leading steel fabricator and service provider to the industrial, energy and government sectors, was acquired by IES on January 16, 2026 for an aggregate equity value of approximately $192 million and an enterprise value of approximately $152 million, including approximately $40 million of cash • Gulf Island will become part of IES’s Infrastructure Solutions segment, where it will continue to support Gulf Island’s existing customers and add capacity for IES’s custom engineered solutions, including generator enclosures and related power products Strategic Rationale: • Strategically located Gulf Coast fabrication campus: Gulf Island’s Houma, Louisiana facility, which consists of a 450,000-square foot fabrication and operations campus on 160 acres, offers a strategic complement to IES’s footprint • Expanded services capabilities: Provides an experienced craft workforce and specialty services with proven ability to support complex, schedule-driven projects • Aligned with U.S. infrastructure needs: Enhances IES’s ability to support the building and rebuilding of U.S. infrastructure • Operational continuity and culture: Shared focus on safety, quality and execution with complementary customer relationships
Page 14
14 Total Sources NWC & Capex Acquisitions Stock Repurchase Distribution to Noncontrolling Interest Marketable Securities & Investments Increase in Cash Total Uses Capital Allocation Strategy Our capital allocation strategy focuses on deploying the free cash flow generated by our diverse businesses into existing ope rations, accretive investments and returning capital to shareholders, while maintaining a strong financial position FY2019 – FY2025 Sources & Uses of Cash 1. Cash Earnings = Cash from Operations before Changes in Net Working Capital 2. Includes Cash Paid for Financing Leases 3. Acquisitions includes the buyout of non-controlling interest ($ in millions) (1) $1,050 Proceeds from sale of assets / businesses $1,050$108 $141 $127 $309 Cash Earnings FY20 – FY25 FY20 FY21 FY22 FY23 FY25 $319 (3) $44 FY24 (2)
Page 15
15 $395 $446 $560 $601 $776 $1,141 FY20 FY21 FY22 FY23 FY24 FY25 Communications Segment Overview REVENUE ($ in millions) BUSINESS OVERVIEW • Nationwide provider of network technology integration and services, including structured cabling and audio/visual services • Best-in-class customer base, including many Fortune 100 companies • National safety and quality programs • Operational and financial resources to keep pace with rapidly growing and evolving markets REPRESENTATIVE MARKETS • Data Centers • Distribution • Education • Financial • Healthcare Facilities • High-Tech Manufacturing • Hospitality • Information Technology • Office Buildings GEOGRAPHIC MARKETS
Page 16
16 Offerings to Data Centers Wireless LED Lighting NOC Screens EPMS Electrical Power Management System Conveyance Basket tray, Fiber runner IoT Environmental Sensors, Occupancy Sensors, Way-Finding, RFID Tracking BMS Building Management System Audio Visual DAS Distributed Antenna System Data Center Integration Rack/Stack, Equipment Refresh, Technology Recycling and Disposal, Moves Technology Infrastructure (Fiber Optics) Security
Page 17
17 Offerings to E-Commerce Distribution and High Tech Manufacturing Ecommerce Distribution High Tech Manufacturing • Warehouse Management System • Technology Infrastructure (Fiber Optics) • LED Lighting • IOT (Environmental Sensors, Occupancy Sensors, Way-Finding, RFD Tracking) • Automated Packing • DAS (Distributed Antenna System) • Wireless • Security • Manufacturing Analytics • Plant Management Systems • Audio Visual • Conveyance • Industrial Wireless • Industrial Internet of Things (IOT) • Industrial Networking & Controls • Human Machine Interfaces
Page 18
18 $412 $687 $1,131 $1,280 $1,389 $1,304 FY20 FY21 FY22 FY23 FY24 FY25 Residential Segment Overview END MARKETS FY25 BUSINESS OVERVIEW • Electrical, HVAC and plumbing installation for single-family (“SF”) and multi-family (“MF”) residential construction, cable TV and solar installation services • Located in many of the largest and fastest growing population markets • Track record of both organic growth and acquisitions to expand geographically and add new trades REVENUE GEOGRAPHIC MARKETS ($ in millions) MF Electrical and other 24% SF Electrical 51%SF HVAC and Plumbing 25%
Page 19
19 $128 $147 $167 $217 $351 $499 FY20 FY21 FY22 FY23 FY24 FY25 Infrastructure Solutions Segment Overview BUSINESS OVERVIEW • Provider of Custom Engineered Solutions, including generator enclosures, switchgear and bus duct, as well as electrical and mechanical apparatus services • Strategic service center locations with best-in-class execution • Custom fabrication, engineering and manufacturing capabilities REPRESENTATIVE MARKETS • Data Centers • Manufacturing • Petrochemical • Power Generation • Pulp and Paper • Rail / Transit • Steel • Utilities • Wind Energy • Water / Wastewater REVENUE GEOGRAPHIC MARKETS ($ in millions)
Page 20
20 • Motor repair, rewinding and field service • New, remanufacture and repair of traction motors and armatures • Magnet manufacturing and repair • Power services for circuit breakers, switchgear and transformers Infrastructure Solutions: Products and Services CUSTOM ENGINEERED SOLUTIONS 80% of FY25 Segment Revenue INDUSTRIAL SERVICES 20% of FY25 Segment Revenue • Sound attenuated enclosures for diesel and gas generators • Low and medium voltage switchgear switchboards • Custom sub-base and freestanding UL rated fuel tanks • Metal enclosed bus systems (non-segregated, segregated phase and isolated phase bus duct) • Structural steel fabrication and services
Page 21
21 $256 $256 $309 $280 $368 $428 FY20 FY21 FY22 FY23 FY24 FY25 Commercial & Industrial Segment Overview BUSINESS OVERVIEW • Provider of electrical and mechanical (HVAC) design, construction and maintenance services • Regional market leadership provides scale versus local competition • National safety and quality programs • Strong financial resources, including bonding capacity, create a competitive advantage • Divested STR Mechanical, a subsidiary of C&I segment, in October 2022 REPRESENTATIVE MARKETS • Data Centers • Education • Healthcare Facilities • Hospitality • Manufacturing • Mixed Use Facilities • Municipal Infrastructure • Office Buildings • Processing Plants • Wastewater • Wind Farms / Solar REVENUE GEOGRAPHIC MARKETS ($ in millions) (1) 1. FY22 included $18M of Revenue from STR Mechanical, which was divested in October 2022
Page 22
22 $1.94 $3.15 $1.44 $4.54 $9.89 $15.02 FY20 FY21 FY22 FY23 FY24 FY25 $2.54 $3.70 $1.88 $4.71 $9.56 $13.66 FY20 FY21 FY22 FY23 FY24 FY25 $50 $86 $56 $160 $301 $384 FY20 FY21 FY22 FY23 FY24 FY25 $1,191 $1,536 $2,167 $2,377 $2,884 $3,371 FY20 FY21 FY22 FY23 FY24 FY25 Historical Financial Highlights – Operating Performance REVENUE ($ in millions) OPERATING INCOME ($ in millions) GAAP EPS ($ per share) ADJUSTED EPS ($ per share)
Page 23
23 Disciplined Capital Allocation • Proven acquisition track record across business segments • Demonstrated history of returning capital to shareholders • Flexibility to pursue attractive investment opportunities Investment Appeal: Why Invest in IES? Revenue Growth Driven by Exposure to Three Key Secular Themes 1 2 3 4 5 Strong Balance Sheet & Earnings Growth; Robust Free Cash Flow Strategically Positioned Operations Across the U.S. Established and Trained Labor Force • Technology infrastructure • Electrical infrastructure evolution • U.S. residential housing • Operating leverage across business segments • Attractive earnings growth over the long-term augmented by use of free cash flow • National reach with ability to quickly establish a presence in new markets • Regional growth drives investment across all IES segments • Positioned in attractive markets where demographic trends are strongest • Focus on people and culture to attract and retain top talent • Best in class training facilities to grow skilled labor base
Page 25
25 Consolidated Income Statement (in millions, except earnings per share) Fiscal Year Ending September 30, 2020 2021 2022 2023 2024 2025 Revenue $1,190.9 $1,536.5 $2,166.8 $2,377.2 $2,884.4 $3,371.5 Operating income 50.1 85.6 56.0 159.8 300.9 383.5 Interest expense & other 0.8 0.7 3.0 1.2 (3.8) (10.4) Income from operations before income taxes and equity method investment income 49.3 84.9 53.0 158.6 304.7 393.9 Provision for income taxes 8.7 16.2 12.8 38.8 72.2 96.8 Equity method investment income 0.0 0.0 0.0 0.0 0.0 (14.8) Net income attributable to noncontrolling interest 1.0 (2.0) (5.4) (11.5) (13.4) (5.8) Net income attributable to IES Holdings, Inc. $41.6 $66.7 $34.8 $108.3 $219.1 $306.0 Adjusted net income attributable to common stockholders(1) $53.5 $78.0 $39.4 $96.2 $195.2 $275.7 Earnings per share attributable to common stockholders $1.94 $3.15 $1.44 $4.54 $9.89 $15.02 Adjusted earnings per share attributable to common stockholders(1) $2.54 $3.70 $1.88 $4.71 $9.56 $13.66 Diluted shares used to calculate earnings per share 21.1 21.1 20.9 20.4 20.4 20.2 (1) Adjusted net income attributable to common stockholders and Adjusted earnings per share attributable to common stockholders are non-GAAP financial measures; see reconciliation table
Page 26
26 (in millions, except earnings per share) Fiscal Year Ending September 30, 2020 2021 2022 2023 2024 2025 Net income attributable to IES Holdings, Inc. $41.6 $66.7 $34.8 $108.3 $219.1 $306.0 Unrealized (gain)/loss on trading securities (1) 0.0 0.0 0.0 0.0 (1.8) (7.5) Unrealized gains on equity investment income (2) 0.0 0.0 0.0 0.0 0.0 (14.8) Provision for income taxes 8.7 16.2 12.8 38.8 72.2 96.8 Adjusted net income before taxes $57.8 $82.9 $47.6 $136.6 $291.3 $380.5 Adjusted tax expense (3) (3.6) (4.5) (3.5) (24.7) (77.2) (101.9) Adjusted net income attributable to IES Holdings, Inc. $54.2 $78.4 $44.1 $111.9 $212.3 $278.6 Adjustments for computation of earnings per share: (Increase) decrease in noncontrolling interest – (0.3) (4.7) (15.7) (17.1) (2.9) Net income attributable to restricted stockholders (0.7) (0.1) 0.0 0.0 0.0 0.0 Adjusted net income attributable to common stockholders $53.5 $78.0 $39.4 $96.2 $195.2 $275.7 Adjusted earnings per share attributable to common stockholders $2.54 $3.70 $1.88 $4.71 $9.56 $13.66 Diluted shares used to calculate earnings per share 21.1 21.1 20.9 20.4 20.4 20.2 (1) Included in Other income on our Condensed Consolidated Statement of Operations. (2) Represents unrealized gains recorded by our equity investment, Jett Texas Company LLC, related to its investment in the CB&I storage solutions business. (3) Adjusted to remove non-cash tax benefits from the release of reserves for certain uncertain tax positions upon the lapse of the applicable statute of limitations, and for the tax impact of adjustments to pretax income above. Non-GAAP Reconciliation of Adjusted Net Income
Page 27
27 Summary Balance Sheet (in millions) Fiscal Year Ending September 30, 2020 2021 2022 2023 2024 2025 Cash $53.6 $23.1 $24.8 $75.8 $100.8 $127.2 Marketable Securities 0.0 0.0 0.0 0.0 35.0 104.6 All Other Current Assets 317.9 $461.1 $599.6 $595.5 $770.9 $652.1 Deferred Tax Assets 33.8 19.0 20.5 20.4 22.4 16.1 Non-Current Assets 155.3 263.4 289.8 289.9 349.9 695.7 Total Assets $560.5 $766.6 $934.7 $981.6 $1,244.0 $1,595.7 Current Liabilities $242.4 $311.6 $401.9 $400.6 $522.6 $633.4 Other Liabilities 32.7 44.8 60.7 81.1 69.3 74.3 Debt 0.2 39.7 81.6 0.0 0.0 0.0 Total Liabilities $275.4 $396.1 $544.2 $481.7 $591.9 $707.7 Noncontrolling Interest 1.8 24.6 29.2 50.0 41.0 4.0 Equity 283.3 346.0 361.3 449.9 611.1 884.0 Total Liabilities & Equity $560.5 $766.6 $934.7 $981.6 $1,244.0 $1,595.7 Net Cash & Marketable Securities / (Debt) $53.4 ($16.6) ($56.8) $75.8 $135.8 $231.8