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1 Leading sustainably through execution December 17, 2024
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2 4. Recurring Revenue Mike Medaska VP, Corporate Strategy 1. Welcome and Opening Remarks Matthew Fort VP, Investor Relations and Corporate FP&A 2. Sustainability highlights Vicente Reynal Chairman and CEO 3. Lead Sustainably | Grow and Operate Mary Betsch VP, Sustainability 5. Q&A Agenda
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3 Forward-Looking Statements This presentation addresses a multitude of topics to meet the requests and interests of the Company’s wide range of stakeholders. Due to the varied interests of these groups, this presentation contains voluntary disclosures and includes certain information that the Company believes is not material to the Company as such term is defined under applicable securities laws. Accordingly, the inclusion of information in this presentation should not be construed as a characterization regarding its materiality or significance for any other purpose, including for purposes of applicable securities laws or any other laws of the U.S. or any other jurisdiction, or as that concept is used in the context of financial statements and financial reporting. The Company has included illustrative examples in this presentation, with features and performance that should not be deemed indicative of all of our products. This presentation also contains information from third parties and the Company makes no representation or warranty as to the third-party information. Additionally, this presentation may contain links to our website and other Internet sites and the content on such sites is not incorporated by reference into this presentation. This presentation by Ingersoll Rand Inc. (the “Company” or “Ingersoll Rand”) contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements related the Company’s expectations regarding the performance of its business, its financial results, its liquidity and capital resources and other non-historical statements. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “forecast,” “outlook,” “target,” “endeavor,” “seek,” “predict,” “intend,” “strategy,” “plan,” “may,” “could,” “should,” “will,” “would,” “will be,” “on track to” “will continue,” “will likely result,” “guidance” or the negative thereof or variations thereon or similar terminology generally intended to identify forward-looking statements. All statements other than historical facts are forward-looking statements. These forward-looking statements are based on Ingersoll Rand’s current expectations and are subject to risks and uncertainties, which may cause actual results to differ materially from these current expectations. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) adverse impact on our operations and financial performance due to natural disaster, catastrophe, global pandemics, geopolitical tensions, cyber events or other events outside of our control; (2) unexpected costs, charges or expenses resulting from completed and proposed business combinations; (3) uncertainty of the expected financial performance of the Company; (4) failure to realize the anticipated benefits of completed and proposed business combinations; (5) the ability of the Company to implement its business strategy; (6) difficulties and delays in achieving revenue and cost synergies; (7) inability of the Company to retain and hire key personnel; (8) evolving legal, regulatory and tax regimes; (9) changes in general economic and/or industry specific conditions; (10) actions by third parties, including government agencies; and (11) other risk factors detailed in Ingersoll Rand’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”), as such factors may be updated from time to time in its periodic filings with the SEC, which are available on the SEC’s website at http://www.sec.gov. The foregoing list of important factors is not exclusive. Any forward-looking statements speak only as of the date of this presentation. Ingersoll Rand undertakes no obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements. Non-GAAP Financial Measures Included in this presentation are certain non-GAAP financial measures designed to supplement, and not substitute, the financial information provided in accordance with generally accepted accounting principles (“GAAP”) in the United States of America because management believes such measures are useful to investors. The reconciliation of those measures to the most comparable GAAP measures for historical periods is set forth in the appendix to this presentation.
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Sustainability highlights Vicente Reynal
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5 We are a leader in sustainability 1 1 See page 39 for footnote disclosures 2-4. Recently recognized in 2024. Extensively recognized for our sustainability performance while Making Life Better for our people Named to “A List” One of 362 companies currently on the A List; also named a CDP Supplier Leader 3 Low-risk rating from Sustainalytics Top 0.5% performance in industry Top 8% in North America Top 5.5% globally4 Dow Jones Sustainability Indices 100 Best Corporate Citizens 2nd consecutive year; #2 in industry and #5 overall Fortune Sector Leader 2024 Named to inaugural list of top companies in industry based on annual revenue World’s Best Companies – Sustainable Growth Inaugural list Financial Times - Americas’ Fastest Growing Companies of 2024 List is based on revenue growth between 2019 and 2022 #1 Ingersoll Rand ranked as the top Top 1% CSA Score 81 ESG Score performer in the IEQ Machinery and Electrical Equipment industry as of December 20232 2024 Seal Award Winner Recipient of 2024 Business Sustainability Award Great Place to Work Awarded in U.S., Brazil, Colombia, Chile, Mexico, and India; 3 rd year in a row in Latin America 2 Brandon Hall Group awards Gold medal for best employee engagement; silver medal for best leadership development for women 2024 Gold Stevie award Sustainable business model
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6 23.1% 24.3% 26.0% 27.8% 2021 2022 2023 LTM Q3 '24 5.2 5.9 6.9 7.2 2021 2022 2023 LTM Q3 '24 ~$7.2B LTM Q3 2024 Revenue1 ~$2.0B LTM Q3 2024 Adj. EBITDA1,4 ~28% LTM Q3 2024 Adj. EBITDA Margin1,4 ~$1.3B LTM Q3 2024 Free Cash Flow1,4 ~$40.9B Market Cap2 380% Total Shareholder Return (TSR)3 Since IPO Revenue Growth ($B) Adj. EBITDA Margin Growth4 This is Ingersoll Rand today... Revenue By Geography1 Revenue By Type1 Revenue By Channel1 Indirect 55% Direct 45% Equipment 64% Aftermarket 36% Americas 50% Asia Pacific 17% 33% EMEIA 1 Based on LTM data as of 9/30/24; All metrics are approximate. 2 As of December 13, 2024. 3 TSR is calculated as the appreciation in the price per share of the Company’s common stock as measured from its May 12, 2017, IPO to December 13, 2024 (assuming any dividends or distributions are reinvested), expressed as a percentage. 4 Non-GAAP measure (definitions and/or reconciliation in appendix). A leading global provider of mission-critical flow creation and life science and industrial solutions with a 165-year history
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7 Broad flow creation and industrial product portfolio across air, gas, powder, and liquid handling applications Why we win: Product and technology leadership Market position based on 3rd party research (including Frost & Sullivan, Forrester, Freedonia, others) as well as management estimates. Air/gas compressors and air treatment Blowers Industrial vacuum pumps and systems Pumps and liquid handling systems #1 • North America air compressors • Oil-free compressors in China • Diaphragm/piston gas pumps • Air-operated diaphragm pumps • Agriculture injectors • Gas odorization • Powder handling • Global air compressors • Global blowers • Global industrial vacuums • Global positive displacement (PD) pumps • Chemical metering pumps • Progressive cavity pumps #2 Life science tools and systems Market position
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8 Precision and Science Technologies 50+ added since Merger in February 2020 1 Multi-brand strategy balances global strength of flagship Ingersoll Rand brand while preserving niche brands in focused applications and/or regions Why we win: Premium brands with incredible reputations Industrial Technologies and Services Key Brands 1 Brand image list not exhaustive. The Merger is defined as on February 29, 2020, Gardner Denver Holdings, Inc. closed on the acq uisition of Ingersoll Rand plc’s Industrial segment (the “Merger”) and changed its name to Ingersoll Rand Inc.
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9 Our Economic Growth Engine is the set of actions and priorities to compound value Megatrends Sustainability Digitalization Quality of Life Inorganic Growth Enablers Mid-Single Digits Product and Service M&A Technology Investments Quality of Earnings ∼ 100 bps/year Aftermarket Price i2V + Premier Growth Compounder High Performance Execution Process Our Competitive Differentiator Double-Digit Earnings Growth ~20% Free Cash Flow Margin1 × = Ownership Mindset Organic Growth Enablers Mid-Single Digits Demand Generation IIoT Product and Service Innovation + 1 Non-GAAP measure (definitions and/or reconciliations in appendix). Sustainability is a key theme which is embedded in every aspect of the Economic Growth Engine
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10 ~$300M ~$1.1B 2 Granted Current Value As part of our Ownership Works program, 100% of all new employees are eligible to receive an equity grant valued at 10% of their base salary after their one -year anniversary 1 “My job as the indirect sourcing manager for EMEIA is to make our operations more energy efficient. I’m proud that, by the end of 2024, 92% of our sites (acquired prior to 2024) in Germany will run on green electricity, with aspirations to do the same in Italy, France, and the United Kingdom.” A.P., Italy “Ingersoll Rand’s ownership mindset has motivated my colleagues and me to take actions that benefit our local community. Whether by distributing tree samplings to community members or picking up trash on roads, we are contributing to a greener, cleaner society.” M.G., India Value of All Employee Equity Grants …supported by amazing employees with an ownership mindset “As an owner in the company, I am encouraged to speak up and offer solutions to complex problems. By suggesting we send our wood waste to a mulch manufacturing facility instead of local landfills, our site in Sedalia, Missouri, diverted nearly 900,000 pounds of wood from landfills, eliminated nearly 146.5 metric tons of greenhouse gas emissions, and saved $85,000 in operational costs.” M.K., U.S. ~$800M 2 ~370% increase $20.00 Share Value $7,500 ~$38,000 2017 2024 Employee Stock Growth Example Based on employee base salary of $75,000 and 10% grant $101.10 Share Value 1 Employees must be full time and have one year of service to be eligible. Not available to employees who participate in the Compa ny’s management equity program or where prohibited by local law or regulation or where such grant is required to be bargained for with an employee union unless such grant is agreed to as part of such bargaining. 2 Represents the value of all Ownership Works grants, Merger grants, and IPO grants at their respective grant dates through December 13, 2024. Increase calculated as the increase in value of all Ownership Works grants, Merger grants, and IPO grants from their respective grant date through December 13, 2024. Assumes all employees have held the grants as of December 13, 2024.
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11 Achievements in sustainability leadership 59 Green Energy Locations 17 manufacturing sites are powered by on-site solar panels and 42 locations have green energy contracts in place as of November 2024 34% Absolute Water Reduction At the end of 2023, surpassed water use reduction goal of 17% (seven years early) 80 New Products Introduced Last year with sustainable attributes such as enhancements in efficiency, circularity, and safety Top 5 In Capital Goods Industry On 2024 list of 100 Best Corporate Citizens by 3BL 100% of New Products Are targeted for development through the Design for Sustainability process 66% of Product Portfolio Feature sustainable attributes in 2023 72% Better TRIR than Industry As of November 2024, Total Recordable Incident Rate (TRIR) is 72% better than industrial machinery manufacturing average1 1 Average Total Recordable Incident Rate (TRIR) for all Industrial Machinery Manufacturing companies in 2023 (most recent data available) was 1.9 according to the U.S. Bureau of Labor Statistics. 90 Locations Internally certified locations as zero waste to landfill as of November 2024 49 GreenX Teams Focused on reducing energy, water, and waste to reach our operational goals as of November 2024
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12 Announcing new decarbonization and water goals Aggressive new targets to support our customers and within our own operations 1B by 2040 1,2 Metric Tons CO2e Reduction By 2040, our goal is for Ingersoll Rand’s customers to reduce or avoid 1 billion metric tons C02e in their Scope 2 emissions through the use of our products and services 60% GHG Emissions Reduction (Scopes 1 and 2) 100% Renewable Energy (Scope 3) Net-Zero GHG Emissions Validated from the Science Based Targets initiative (SBTi) on near-term and net-zero Scope 1, 2, and 3 targets 2030 2050 Energy Goals 1 Target Years: 2030 -2050 Water Goals 1 Target Year: 2030 17% Absolute Water Reduction Surpassed the goal 7 years early 30% Absolute Water Reduction in Water-stressed sites3 New goal for manufacturing sites located in water-stressed areas of the world 1 All goals have a 2020 baseline. 2 Details regarding the methodology used to calculate this goal can be found on page 11 of our Sustainability Report [ here]. Greenfield growth using more efficient technology is treated as avoidance of CO2e compared to a less efficient alternative utilized in the base year. Although efforts have been made to ensure accuracy, it is possible that some of these data, assumptions, and extrapolations are inaccurate. For example, there are known deficiencies related to product unit level attribution and aggregation that could account for noteworthy fluctuations in reporte d values. We expect to make regular adjustments to our Scope 3 emissions data, procedures, assumptions, and models as we collaborate with external advisors to enhance our methodology and transition from broad measurement approaches (such as spend or average) to more detailed methods. These procedural enhancements and external feedback have the potential to lead to noteworthy fluctuations in the Scope 3 emissions data reported for previously reported periods. 3 Based on current year World Resources Institute (WRI) high and extremely high -water risk data.
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Lead Sustainably | Grow and Operate Mary Betsch
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Grow Sustainably | Develop Intrinsically Sustainable Products and Services
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15 Lead sustainably strategy Grow Sustainably 2,600+ Ingersoll Rand employees 1 Focused on developing innovative technologies 2,230+ active patents 1 88% of patented products and services have sustainability benefits Accelerating our growth by developing products and service offerings with sustainable attributes Clean energy Enabling the transition to clean, low-carbon and zero-carbon energy Life sciences Contributing to human health, care, comfort, and longevity Operate Sustainably Improving our operations, processes and people to Make Life Better for our employees, customers, stakeholders and the planet Health and safety Involving employees in workplace safety is paramount to our culture Community impact Making a difference in the communities where we operate Enabling customer success across key high-growth, sustainable end markets through our vertical market and demand generation strategy Food and beverage Enabling the safe and effective growing, processing, packaging, and delivery of food and beverages Water Facilitating transport, treatment and protection of water and wastewater resources Climate strategy Minimizing our impact on the planet 265+ Demand Generation campaigns 2 Related to sustainability and sustainable markets 1 Based on 2023 data. 2 YTD data as of November 30, 2024.
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16 Developing products and service offerings with sustainable attributes To qualify as a product or service with sustainable attributes within our portfolio, our offerings must achieve one or more of the following sustainable results: Encompasses products and services that have sustainable attributes and deliver measurable environmental and safety benefits to our customers Our products are engineered to ensure the well-being and safety of our customers’ workforce How we measure The product has ergonomic or safety attributes that exceed recognized standards or best practices Economic benefits for customers • Reduced hospitalization and insurance claims • Reduced hiring and training expenses Safety Our solutions are designed to conserve natural resources including water, minerals, and metals in our purchased goods for manufacturing as well as the lifecycle of our products How we measure The product or service specifically enables refurbishment, remanufacturing, reuse, or recycling Economic benefits for customers • Lower cost replacement parts • Reduced or eliminated water utility costs Circularity Efficient products reduce the amount of electricity consumed while delivering equal or greater flow or performance How we measure The product is at least 1% more energy-efficient than the prior Ingersoll Rand version or the average competitive alternative, or • The product is capable of heat recovery and reuse, or • The Global Warming Potential (GWP) of the refrigerant is lower than the prior Ingersoll Rand version or the average competitive alternative Economic benefits for customers • Reduced electricity expense • Extended equipment life Efficiency
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17 Delivering superior product efficiency With the goal of reducing customer operating costs and scope 2 emissions 1 Compared to traditional blower technology. 2 Compared to previous designs of screw blowers. 3 As compared to previous model. 4 Management assessment. Patented 3x5 helical screw rotor profile produces 50-80% more flow2 • 18% improvement in energy efficiency2 • Up to 7 dB(A) quieter than previous designs through entire range of flows and pressures2 CycloBlower H.E. Series and New 125CL375 Product Line Elmo Rietschle High-efficiency Blower Compact design minimizes footprint, uses no oil or water and generates zero waste • 60% reduction in energy consumption 1 • 50% reduction in total cost of ownership1 • Quiet operation below 79 dB(A) • 50% smaller footprint1 E90-160 Oil-free Rotary Screw Compressor Enhanced legacy product lines with more flow, turndown and efficiency • Up to 14% efficiency improvement3 • Tracks energy consumption, cost, and other compressor information • 100% oil-free air • Smart no-loss drains • Patented UltraCoat delivers more reliable airend, longer rotor life, and increased uptime4
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18 • Patented technology and proprietary algorithms in AI/Machine learning • System provides real-time, dynamic control of compressed air systems • Brand and technology-agnostic • Subscription-based • Installation in <2 days • Value dashboard for real-time visibility: energy savings, greenhouse gas reduction, system health, leakage, and alerts Combining the patented technology of an agile software startup with the global commercial reach of an industry leader “The Ecoplant 360 solution is money well spent. In just one month of intelligently controlling the system, we are seeing better than expected savings at our initial location.” Engineering Manager, Building Products Manufacturer 15-20% savings Average annual energy savings for Ecoplant customers <1 year payback For most applications Ecoplant: Revolutionary energy savings through dynamic, AI-driven system optimization Energy savings: • Today • MTD • YTD Energy savings on time System capacity use System leaks Health monitoring alerts ~21,000 MT CO2e emissions Avoided at customer sites (estimated 2024 full year impact)
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19 Delivering circularity to reduce and reuse resources Heat Recovery and Reuse Wasted heat from compressors is directed back into the plant in the wintertime for reuse, helping to reduce the costs associated with heating the facility Estimated Recycled Content In Our Products1 Remanufactured pumps with new and reconditioned parts support circularity In an afterhours emergency, a customer contacted NASH regarding a failure of their vacuum pump, which was a competitor’s product • Original NASH pumps are replaced with an identical, warrantied, remanufactured unit that is guaranteed to have 95% of the performance of a new pump Predictive vibration test and airend exchange program support customer productivity The largest food and beverage customer in China requires stable production • Identified early airend malfunction to avoid sudden failure through proactive compressor airend inspection • Prioritized new airend exchange remanufactured product recommendation to ensure a 24-hour delivery • Minimized downtime for our customer 11% CAGR 40% Castings 36% Machined Parts 33% Electric Motors 32% Metal Fabrications 72% Products sold can be reused or recycled Customer Success Stories SEEPEX maintain-in-place Smart Conveying Technology (SCT) The SCT design offers easy access to the split stator and quick release rotor, which enables quick and easy maintenance, short downtimes, energy efficiency, and overall lower life-cycle costs compared to conventional progressive cavity pumps For revenue associated with circularity from 2021 – 2023 Actively pursuing opportunities to promote circularity through recycling of our products and their components 1 Data includes 2023.
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20 Butech high-pressure valves Operate at the highest levels of performance • High yield and tensile strengths for elevated pressure ratings • Designed to yield and leak before fracture could occur for higher level of safety • Full traceability for all material used in pressure-containing components Designing safety into our products Protecting our customers’ employees, operators, and technicians Air quality testing Replaced methylene chloride with thermal desorption for oil vapor analysis • Increases testing accuracy to >99% • Tests for a broader range of hydrocarbons, offering more solutions for current customers and potential to expand markets • Reduces sample prep time from 5 minutes to ~1 minute • Enhances employee safety • Recurring revenue opportunity Protect operators from high-potency APIs • Safe and efficient high-containment processing in pharmaceutical and biopharmaceutical applications • Fully disposable, single-use, closed-barrier systems for sterile manufacturing • Meet strict FDA standards and Current Good Manufacturing Practices (cGMP) ILC Dover isolators
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Grow Sustainably | Enable Customers in High-growth, Sustainable Markets
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22 Water SEEPEX’s new smart air injection progressive cavity sludge pump uses bursts of compressed air to move sludge more efficiently than traditional methods with an energy savings of over 50% Our products are ubiquitous, serving a broad range of sustainable end markets Our deep application-specific knowledge acquired over decades of experience and our long-standing relationships with key end-users and system/device builders are the basis of our competitive advantage in these markets Food and beverage Dosatron’s non-electric proportional injectors use the pressure and flow of water to provide precise and consistent dosing in a variety of industries Life sciences The bioprocessing technology market relies on Ingersoll Rand’s market-leading Zinsser technology for customized automation at R&D labs and for personalized treatment Clean energy Roots and Midrex designed a process using Roots blower technology to enable the market transition to green steel, which uses hydrogen instead of natural gas for lower carbon intensity Examples of how we serve sustainable markets
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23 We continue to shift the portfolio to high-growth, sustainable markets; with more runway ahead 2% 2% 3% 3% 4% 5% 5% 5% 5% 5% 7% 12% 12% 12% 18% Midstream Energy Downstream Energy Metals and Mining Industrial Gas Pulp and Paper Water Chemical Processing Transport and Distribution Electronics Infrastructure Other General Manufacturing Food and Beverage Clean Energy Life Sciences 2020 Estimated Revenue By End Market1 1% 2% 3% 3% 3% 3% 3% 4% 4% 5% 7% 9% 12% 13% 28% Printing Pulp and Paper Downstream Energy Midstream Energy Automotive Services Environmental Mining and Construction Life Sciences Transport and Distribution Food and Beverage Chemical Processing Upstream Energy Other Specialty Vehicles General Manufacturing 2024 Estimated Revenue By End Market1 1 Management estimates. 2020 revenue distribution shown as presented on the April 15, 2020, Business Update Call. 2024 estimated revenue includes full year proforma ILC Dover.
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24 Contributing to human health, care, comfort, and longevity Life Sciences ILC Dover Customer Success Stories Large multinational pharmaceutical company: Reducing waste through modular and fully automated systems • Systems are connected and dust-free to minimize waste and help to increase safety by reducing the need for human intervention • Mobile dosing units are moved by an automatic carriage, which saves material and is beneficial for reuse • Optimized clean-in-place systems reduce excessive water consumption Global biotech company that develops cancer medicines: Lowering its environmental impact by replacing traditional steel enclosures with flexible enclosures • Reduces water consumption • Eliminates contaminated water • Decreases the use of cleaning chemicals • Lowers energy required to heat water and air for drying • Our brands are trusted to produce life-saving therapies • Our products help to minimize contamination risk while improving production efficiency • Our solutions help enable life- saving treatments to be developed • Our products play an integral role in pharmaceutical tablet production and coating, mixing and holding, product filling, packaging and bottling, and for use in aseptic applications
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25 Enabling the transition to clean, low-carbon, or zero-carbon energy Clean energy Supporting hydrogen processing and transportation at new South Korean liquid hydrogen facility • The facility will be Asia’s largest liquid hydrogen facility with a capacity of >30 tons per day • It will process enough hydrogen to fuel 100,000 cars and save up to 130,000 metric tons of CO 2 tailpipe emissions each year • The widespread, reliable availability of liquid hydrogen will be instrumental to achieving South Korea’s ambitious targets for the use of hydrogen-powered fuel cell vehicles Asia Pacific Customer Success Story • Our mixers enabled production for an Indonesian customer in the Sustainable Aviation Fuel industry • Milton Roy side entry mixers were proven to meet their sustainable aviation fuel product requirements with 50% less power • Our compression equipment supports the world's largest Direct Air Capture (DAC) plant, located in the Texas Permian Basin • The DAC plant is expected to capture up to 500,000 metric tons of CO 2 per year with the capability to scale up to one million metric tons annually
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26 Enabling the safe and effective growth, processing, packaging, and delivery of food and beverages Food and Beverage Dosing fertilizers by hand and the need to optimize inputs while increasing reliability • Dosatron’s non-electric proportional injectors use the pressure and flow of water to provide precise and consistent dosing • Dosatron fertilizer injectors help an outdoor farm optimize the delivery of nutrients, increasing their crop yields, and reducing chemistry waste while driving a reduction in water consumption, energy, and labor costs Customer Success Stories: Maximizing controlled environment agriculture Traditional outdoor farming is unable to sustain the current demand for healthy, affordable food. Soil vitality, water scarcity, climate variability, and land scarcity have impacted the amount of viable quality crops. Vertical farming has the potential to resolve these challenges with consistent, healthy and affordable food. • Our pumps add liquid ingredients like eggs into pasta dough with precise measurement • Positive displacement pumps move dough safely through the pipeline • Our vacuum pumps are used for drying pasta • Our pumps add swirls of fudge and fruit to ice cream, frozen yogurt, and sorbet • Positive displacement pumps gently move ingredients like nuts and cookie dough undamaged • Our pumps avoid over- churning ice cream “By the end of the first season, the Dosatron dosing pumps had proven their worth, boosting productivity while helping us to save energy and cut labor costs.” – CEO of an urban farm
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27 The ecosystem of Ingersoll Rand products installed and serviced at the City of Houston Wastewater Treatment Plants include: • Hoffman/Lamson and Roots aeration blowers to provide dissolved oxygen to promote the growth of the aerobic microorganisms that break down organic material • SEEPEX progressive cavity pumps to efficiently transfer dewatered sludge • Milton Roy diaphragm pumps to dose precise volumes of chemicals that provide disinfection, pH stabilization, and coagulation prior to releasing wastewater to the watershed Customer Success Stories: Providing the City of Houston with safe water treatment solutions through a variety of our products and brands Water ~25% of Ingersoll Rand’s product portfolio can be connected to water uses Wastewater Treatment Ingersoll Rand serves the global water and wastewater treatment markets with over 15 individual product and technology brands
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Operate Sustainably | Deliver Continuous Improvement in Our Operations
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29 Operational, net zero and customer goal progress (October 2024 vs. 2020 re-baseline) 2030 OPERATIONAL GOALS1,2 Goal: Net Zero (Scope 1 and 2)3 Absolute 2024 Progress: 26% of our 2050 goal NET ZERO GOALS1,2 2040 CUSTOMER GOAL2,4 26% 1 In 2023, a base year (2020) recalculation was conducted for all environmental metrics in accordance with the GHG Protocol Cor porate Accounting and Reporting Standard Revised Edition, January 2005, World Resources Institute, which entailed the inclusion of locations acquired in 2022 and the adjustment of data errors. All subsequent years after the base year were calc ulated in conformance with this method. Excluded from the 2023 base year recalculation are the locations acquired in 2023 that lack 12 months of data in our Environmental Management System pursuant to our Standard Work (00 -08 Gensuite Data Management and Reporting) as allowed for under the GHG Protocol Corporate Accounting and Reporting Standard Revised Edition, January 2005, World Resources Institute. 2 In late 2024/early 2025, a base year (2020) recalculation is expected to be conducted due to material in -organic growth. This base year recalculation may lead to noteworthy fluctuations in the above reported values. 3 In 2025, updated residual mix factors (market-based accounting) will be applied to the greenhouse gas inventories for 2023 and 2024. These factors may hav e a noteworthy impact on the above reported greenhouse gas values and subsequent progress calculations.4 Greenfield growth using more efficient technology is treated as avoidance of CO2e compared to a less efficient alternative ut ilized in the base year. Although efforts have been made to ensure accuracy, it is possible that some of these data, assumptions, and extrapolations are inaccurate. For example, there are known deficiencies r elated to product unit level attribution and aggregation that could account for noteworthy fluctuations in reported values. We expect to make regular adjustments to our Scope 3 emissions data, procedures, assumptions, and models as we collaborate wi th external advisors to enhance our methodology and transition from broad measurement approaches (such as spend or average) to more detailed methods. These procedural enhancements and external feedback have the potential to lead to notew orthy fluctuations in the Scope 3 emissions data reported for previously reported periods. Goal: 100% Renewable Energy Absolute 2024 Progress: 14% of our 2050 goal 14% Goal: 64% GHG Intensity Reduction (Scope 3 Category 11) Absolute 2023 Progress: 48% of our 2034 goal 48% Goal: Reduce or avoid 1 Billion MT CO2e Absolute Progress since 2020: Reduction of 41.6M mt CO 2e, representing 4% of our 2040 goal 4% Goal: Reduce Absolute Annual Greenhouse Gas Emissions 60% 3 Absolute Progress since 2020: Reduction of 25,751 metric tons (26%), representing 43% of our 2030 goal 43% Goal: 17% Water Use Reduction Absolute Progress since 2020: Goal achieved seven years early 100% Goal: 30% Water-Stress Use Reduction Absolute Progress since 2020: Reduction of 2M gallons (6%), representing 20% of our 2030 goal 20% Goal: >50% of In-Scope Sites Zero Waste to Landfill Absolute 2024 Progress: 90 locations, representing 74% of our 2030 goal 74% We remain on track to achieve our 2030 and 2050 operational goals
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30 Our progress to world-class safety Total Recordable Injury Rate (TRIR) 0.53 0.69 0.73 0.74 0.51 0 0.5 1 1.5 2 2.5 2024 2023 2022 2021 2020 72% Better Than The Industrial Machinery Manufacturing Average 1.9 Industrial Machinery Manufacturing Average2 Lost Time Injury Rate (LTIR) 0.08 0.19 0.20 0.12 0.09 0 0.2 0.4 0.6 0.8 1 2024 2023 2022 2021 2020 92% Better Than The Industrial Machinery Manufacturing Average 1.0 Industrial Machinery Manufacturing Average2 Target ≤0.06 (World Class)1 Target ≤0.6 (World Class)1 1 World Class is defined as the top quartile of manufacturing companies with >1,000 employees per U.S. Bureau of Labor Statisti cs (2021). 2 Per the U.S. Bureau of Labor and Statistics 2023 Incidence rates of nonfatal occupational injuries and illnesses by industry and case types data set. As of November 2024
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31 GHG roadmap and examples of our sustainability progress Leading by Example Our facility in Wujiang, China installed two heat pumps with much higher efficiency than the existing systems, which had multiple benefits • A heat pump was installed in the paint room • An additional heat pump was installed to remove heat from the entire building and reduce the load on the air conditioning units 45% Energy Savings In the paint room 44% Reduction In the electricity demand of the air conditioning system 59 Green Energy Locations 17 manufacturing sites are powered by on-site solar panels and 42 locations have green energy contracts in place as of November 2024 90 Locations Have reached zero waste to landfill as of November 2024 >22,000 Metric Tons Of waste re-used or recycled in 2023 34% Absolute Water Reduction At the end of 2023, surpassed water use reduction goal of 17% (seven years early) GHG Emission Reduction Roadmap Metric Tons 2030 Goal: 60% Scopes 1 and 2 reduction (from 2020 recalculated baseline) 2020 2030 Expanding Renewable Energy Onsite and through VPPAs 2020 Baseline and Anticipated Growth 2030 Current Estimate Refrigerant Reduction Project GreenX Efficiency Projects Fossil Fuel Alternatives (Electrification) Hybrid and Electric Fleet Retail Renewable Electricity 60% Reduction Scope 1 Scope 2
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32 Making significant progress by leveraging IRX IRX Manages the Weekly KPIs and Progress Health and Safety Our safety culture is paramount to eliminating and reducing risk in the workplace 16,000+ Behavior-Based Safety Observations Providing immediate feedback to ensure employees continue their safe behavior and correct any at-risk behavior 89,200 Safety Training Hours Delivered to our employees in 2023 Better Than World-Class Safety Achieving world class TRIR rates in 2024 Environment Our local site GreenX Teams are responsible for achieving our energy, water, and waste targets 41 EHS Standards Our management system is implemented at Ingersoll Rand sites around the world 105 Sustainability Projects Completed in 2023
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Recurring Revenue Mike Medaska
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34 Recurring revenue 1 from a lifetime relationship delivers higher sustainability impact We are committed to growing our recurring offering given its importance to our customers and its revenue and margin contribution to Ingersoll Rand Increased Sustainability Impact Lifetime Relationship Higher-efficiency air compressor Equipment Transaction Delivers one-time revenue and efficiency gains vs. prior generation product Greater Revenue Opportunity Ingersoll Rand-managed service ensures machine health and uptime while optimizing service truck rolls and parts replacement Dynamic system control reduces system-wide energy consumption 15-20% Energy recovery units harvest >92% of otherwise wasted heat for water and space heating Air quality testing service enabling contaminant- free compressed air for consumer safety and regulatory compliance Heat of compression dryers recycle waste heat to remove water particles from air Factory-certified remanufactured components drive circularity 1 Revenue derived from contracts or multi -year agreements to deliver system/equipment -level services to customers. +
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35 Demonstrated ability to improve customer operations, satisfaction, and energy efficiency PackageCARE and Ecoplant are a winning combination for sustainable markets • Leading beverage bottle producer with >40 facilities and 100+ bottling lines • Ingersoll Rand provides service at 28 locations across the United States with 68 high-pressure compressors and dryers • Implemented Ecoplant 360 solution at first site, where annual energy cost was ~$3.5M; successful deployment led to new purchase orders at five additional sites ~$0.7M Annual energy savings at first site (19% reduction vs. baseline) >3,400 MT Annual CO2e avoided at first site $17.9M PackageCARE contract signed in May 2023, largest valued contract in U.S. history $3.3M Follow-on CARE agreement for low- pressure systems signed April 2024 • Global leader in drug packaging and drug delivery systems (vials) with a broad product range for pharma, health, well-being, and biotech • A southeastern U.S. site has been a PackageCARE customer for >16 years on three consecutive contracts • New $1.3M 10-year PackageCARE renewal agreement signed in 2024 covers 20 assets • In support of a plant expansion, the Ingersoll Rand account manager assisted in selecting four new RS160i rotary screw compressors, including installation contracted through Ingersoll Rand • Added Ecoplant subscription in July 2024 Customer Success Story: Food and Beverage Customer Success Story: Life Sciences
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36 Ensuring our most energy efficient products are maintained and optimized to deliver maximum customer value Extending the sustainability benefits of our products with new service offerings Turbo Vacuum • >20-year useful life • $400k+ purchase price including accessories Commercial Traction • Launched October 2023 • 10 new long-term RunCare agreements signed in 2024 • Agreements include coverage of 17 new turbo vacuums • Ingersoll Rand is now responsible for maintenance of 89 turbo vacuum systems globally RunEco Paper Machine Vacuum Blower Systems • Eliminates the requirement for water in the pulp and paper drying process • Reduces electricity consumption by ~45% on average • Estimated water savings: >7.5 billion gallons of water per year is being saved by the current installed base RunCareTM EVO Series Electric Positive Displacement Pump • Innovative design can save more than 20% on energy costs compared with competitive models and technologies • Electric motor eliminates the need for significant compressed air supply with a traditional high-flow process pump • Available in polypropylene or conductive polypropylene for harsh or corrosive chemicals ARO ProtectTM Electric Triple-Diaphragm Pump • >10-year useful life • $15-35k purchase price + + Commercial Ramp • Launched August 2024 • >25 quotes on long-cycle capital projects
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37 Air quality testing enables employee safety and food/pharmaceutical integrity Validating the purity of air and gas in mission-critical applications across high-growth, sustainable markets • Founded in 1989, joining Ingersoll Rand in 2023 • State-of-the-art analysis of air and gas in ISO- certified laboratory; identifies contaminants including particulates, water, oil, and micro- organisms • Only lab to test to all classes of ISO 8573 • Contracts with all five top U.S. pharmaceutical manufacturers Manufacturing Air Pharmaceutical + Food and Beverage + General Manufacturing Breathing Air Fire and Rescue + Hospital + Diving • Completed all compressed air testing for Canadian life sciences firm during startup of their COVID-19 vaccine production in 2022 • Currently testing compressed air samples for leading disease research institute developing human and animal vaccines Illustrative engagements • U.S. government agency created an air quality training course for rescue divers using resources furnished by Trace • Assisted manufacturing firm in determining that hydrocarbons in their air was caused by foreign object painted inside a storage tank • Prominent U.S. university engaged Trace Analytics to ensure purity of compressed air being used to power 3D printing robots • Machine fabricator engaged Trace to troubleshoot and resolve an air quality issue with a $9M robotic printing system
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Appendix
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39 Supplemental footnote disclosures to slide 5 2 As of December 8, 2023, Ingersoll Rand scored 81 (out of 100) in the 2023 S&P Global Corporate Sustainability Assessment and ranked in the 1% percentile in the IEQ Machinery and Electrical Engineering industry globally. As of December 13, 2024, our company maintained a score of 81 (out of 100) in the 2024 S&P Global Corporate Sustainability Assessment. Receipt of an S&P Global ESG Score does not represent a sponsorship, endorsement or recommendation on the part of S&P Global to buy, sell or hold any security and a decision to invest in any subject company should not be made based on the receipt of any such note. 3 As of February 6, 2024, based on data reported through CDP’s 2023 Climate Change questionnaire, Ingersoll Rand is one of a small number of companies that achieved an ‘A’ out of over 21,000 companies scored. As of March 6, 2024, CDP’s annual Supplier Engagement Rating (SER) evaluated corporate supply chain engagement on climate issues. The highest-rated companies are celebrated in the Supplier Engagement Rating Leaderboard. CDP is a global non-profit that runs the world’s environmental disclosure system for companies, cities, states and regions. 4 As of Nov 1, 2024, Ingersoll Rand received an ESG Risk Rating of 10.6 from Morningstar Sustainalytics, ranking it first in the Machinery industry group, which places it in the 1st percentile for its industry. This risk rating also places Ingersoll Rand in the 6th percentile of all companies rated by Morningstar Sustainalytics. This risk rating is based on information and data developed by Sustainalytics and is proprietary to Sustainalytics and/or its third-party suppliers and is provided for informational purposes only. The risk rating does not constitute an endorsement of any product or project, nor an investment advice, and the information upon which it is based is not warranted to be complete, timely, accurate or suitable for a particular purpose. The use of the risk rating is subject to conditions available at https://www.sustainalytics.com/legal-disclaimers. In no event shall this risk rating be construed as investment advice or expert opinion as defined by any applicable legislation or otherwise.
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40 Reconciliation of Net Income to Adjusted EBITDA and Adjusted Net Income and Cash Flows from Operating Activities to Free Cash Flow (Unaudited; in millions) For the Twelve Month Period Ended September 30 2024 For the Three Month Period Ended December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 Net Income $ 231.5 $ 204.5 $ 186.5 $ 223.4 $ 845.9 Plus: Interest expense 37.4 36.8 50.8 63.8 188.8 Provision for income taxes 71.1 54.4 46.1 73.8 245.4 Depreciation expense 23.5 24.7 24.6 28.2 101.0 Amortization expense 93.2 91.6 91.2 95.0 371.0 Restructuring and related business transformation costs 10.5 10.7 3.9 9.7 34.8 Acquisition related expenses and non-cash charges 17.3 15.3 27.7 16.5 76.8 Stock-based compensation 16.7 14.1 14.5 15.0 60.3 Foreign currency transaction losses (gains), net 4.1 (0.7) — 9.9 13.3 Loss (income) on equity method investments 4.8 10.7 3.5 4.8 23.8 Loss on extinguishment of debt — — 3.0 — 3.0 Adjustments to LIFO inventories (2.0) 6.8 0.4 — 5.2 Cybersecurity incident costs — 0.6 (0.1) — 0.5 Loss on asbestos sale — — 58.8 — 58.8 Interest income on cash and cash equivalents (10.1) (11.4) (16.3) (8.0) (45.8) Other adjustments 2.5 0.4 — 0.6 3.5 Adjusted EBITDA $ 500.5 $ 458.5 $ 494.6 $ 532.7 $ 1,986.3 Minus: Interest expense 37.4 36.8 50.8 63.8 188.8 Income tax provision, as adjusted 92.7 86.4 92.3 101.7 373.1 Depreciation expense 23.5 24.7 24.6 28.2 101.0 Amortization of non-acquisition related intangible assets 2.4 2.1 2.1 2.3 8.9 Interest income on cash and cash equivalents (10.1) (11.4) (16.3) (8.0) (45.8) Adjusted Net Income $ 354.6 $ 319.9 $ 341.1 $ 344.7 $ 1,360.3 Cash Flows from Operating Activities 581.4 161.6 304.9 404.0 1,451.9 Minus: Capital expenditures 29.6 62.3 21.8 29.7 143.4 Free Cash Flow $ 551.8 $ 99.3 $ 283.1 $ 374.3 $ 1,308.5 (Unaudited; in millions) For the Twelve Month Period Ended September 30, 2024 Adjusted EBITDA $ 1,986.3 Revenue $ 7,157.8 Adjusted EBITDA Margin 27.8 % Free Cash Flow $ 1,308.5 Revenue $ 7,157.8 Free Cash Flow Margin 18.3 %
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41 Reconciliation of Net Income to Adjusted EBITDA and Adjusted Income from Continuing Operations, Net of Tax and Cash Flows from Operating Activities from Continuing Operations to Free Cash Flow (Unaudited; in millions) For the Twelve Month Period Ended December 31, 2023 2022 2021 Net Income $ 785.1 $ 608.5 $ 565.0 Less: Income (loss) from discontinued operations — 0.5 121.0 Less: Income tax benefit (provision) from discontinued operations — 14.7 (79.4) Income from Continuing Operations, Net of Tax 785.1 593.3 523.4 Plus: Interest expense 156.7 103.2 87.7 Provision (benefit) for income taxes 240.0 149.6 (21.8) Depreciation expense 87.9 81.8 85.1 Amortization expense 367.5 347.6 332.9 Restructuring and related business transformation costs 22.9 32.3 18.8 Acquisition related expenses and non-cash charges 63.9 40.7 65.2 Stock-based compensation 51.9 85.6 95.9 Foreign currency transaction losses (gains), net 5.1 (5.9) (12.0) Loss (income) on equity method investments 6.0 (0.7) 11.4 Loss on extinguishment of debt 13.5 1.1 9.0 Adjustments to LIFO inventories 12.0 36.1 33.2 Cybersecurity incident costs 2.3 — — Gain on settlement of post-acquisition contingencies — (6.2) (30.1) Interest income on cash and cash equivalents (28.8) (8.0) — Other adjustments 0.8 (15.7) (6.8) Adjusted EBITDA $ 1,786.8 $ 1,434.8 $ 1,191.9 Minus: Interest expense 156.7 103.2 87.7 Income tax provision, as adjusted 345.2 267.3 120.7 Depreciation expense 87.9 81.8 85.1 Amortization of non-acquisition related intangible assets 10.0 18.8 17.0 Interest income on cash and cash equivalents (28.8) (8.0) — Adjusted Income from Continuing Operations, Net of Tax $ 1,215.8 $ 971.7 $ 881.4 Cash Flows from Operating Activities from Continuing Operations 1,377.4 865.4 627.8 Minus: Capital expenditures 105.4 94.6 64.1 Free Cash Flow $ 1,272.0 $ 770.8 $ 563.7 (Unaudited; in millions) For the Twelve Month Period Ended December 31, 2023 2022 2021 Adjusted EBITDA $ 1,786.8 $ 1,434.8 $ 1,191.9 Revenue $ 6,876.1 $ 5,916.3 $ 5,152.4 Adjusted EBITDA Margin 26.0 % 24.3 % 23.1 % Free Cash Flow $ 1,272.0 $ 770.8 $ 563.7 Revenue $ 6,876.1 $ 5,916.3 $ 5,152.4 Free Cash Flow Margin 18.5 % 13.0 % 10.9 %