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Jefferies 2017 Energy Conference – NCS Multistage

NCS Multistage · Nov 27, 2017 · 28 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. Jefferies 2017 Energy Conference – NCS Multistage – slide 1
    Jefferies 2017 Energy Conference November 2017
  2. Jefferies 2017 Energy Conference – NCS Multistage – slide 2
    Company Overview
  3. Jefferies 2017 Energy Conference – NCS Multistage – slide 3
    Company Overview Leave nothing behind. History of Proven record of successfully introducing new technologies that drive completion and Innovation life-of-well optimization Patented Technology, Differentiated technology platform…
  4. Jefferies 2017 Energy Conference – NCS Multistage – slide 4
    Technology Driving Profitable Growth Leave nothing behind. Proprietary and differentiated completion technologies that are highly valued by our customers Growing revenue through further market penetration, increasing completions…
  5. Jefferies 2017 Energy Conference – NCS Multistage – slide 5
    Multistage Unlimited Technology
  6. Jefferies 2017 Energy Conference – NCS Multistage – slide 6
    Why Pinpoint Stimulation Matters Leave nothing behind. Pinpoint stimulation enables more predictable, repeatable, and verifiable completions that maximize reservoir connectivity, as compared to other completion methods Other…
  7. Jefferies 2017 Energy Conference – NCS Multistage – slide 7
    The Multistage Unlimited System Leave nothing behind. Casing-Installed Frac Sleeve (open) Frac ports Outer barrel Sliding inner barrel Downhole Frac-Isolation Assembly on Coiled Tubing Multi-set Sleeve Gauges bridge plug…
  8. Jefferies 2017 Energy Conference – NCS Multistage – slide 8
    Multistage Unlimited System - Video Leave nothing behind. 9
  9. Jefferies 2017 Energy Conference – NCS Multistage – slide 9
    Optimizing Completions with Downhole Data Leave nothing behind. Multistage Unlimited offers two sources of data Detailed Stage-Level Analysis for optimizing completions that are unavailable with traditional completion methods Coiled…
  10. Jefferies 2017 Energy Conference – NCS Multistage – slide 10
    MultiCycle Sleeve Technology Leave nothing behind. MultiCycle sleeves provide flexibility during the initial completion and enable wellbore management options during production Sleeves can be opened and closed multiple times during…
  11. Jefferies 2017 Energy Conference – NCS Multistage – slide 11
    Trusted Advisor for Pinpoint Completions Leave nothing behind. NCS serves as a trusted advisor and a proven leader in pinpoint stimulation, working with customers around the world to help optimize completions Trusted Advisor…
  12. Jefferies 2017 Energy Conference – NCS Multistage – slide 12
    Tracer Diagnostics and Characterization Spectrum Tracer Services
  13. Jefferies 2017 Energy Conference – NCS Multistage – slide 13
    - Overview Leave nothing behind. Leading provider of chemical and radioactive tracers for well diagnostics and reservoir characterization Cost-effective and reliable service utilized by E&P companies to optimize completion designs…
  14. Jefferies 2017 Energy Conference – NCS Multistage – slide 14
    How Customers Utilize Tracers Leave nothing behind. Our customers utilize our services to: Provide long-term qualitative stage-by-stage production information Evaluate well spacing projects, including horizontal spacing and…
  15. Jefferies 2017 Energy Conference – NCS Multistage – slide 15
    NCS, Spectrum and ATRS Vision NCS, Spectrum and ATRS Vision Leave nothing behind. NCS + ATRS: ATRS + Spectrum: Rate Transient Analysis NCS + Greater integration of to accelerate ATRS tracer-related production evaluation workflows…
  16. Jefferies 2017 Energy Conference – NCS Multistage – slide 16
    Growth and Financial Execution
  17. Jefferies 2017 Energy Conference – NCS Multistage – slide 17
    Executing Our Growth Plan Leave nothing behind. The Vision: Serve as a trusted advisor to our customers, providing technology and services that enable them to optimize completions, field development and returns Overall Strategy…
  18. Jefferies 2017 Energy Conference – NCS Multistage – slide 18
    Impact of Completion Intensity Leave nothing behind. NCS benefits from increased completions intensity, as changes in sleeve sales have outpaced changes in completed well count NCS Wells Completed NCS Sliding Sleeves Sold 1,807…
  19. Jefferies 2017 Energy Conference – NCS Multistage – slide 19
    Revenue Profile Leave nothing behind. Revenue Contribution September 30, 2017 Year-to-Date By Geography Product and Service Mix International 6% Service 24% U.S.* 28% Canada 66% Product 76% 20 * U.S. Revenue…
  20. Jefferies 2017 Energy Conference – NCS Multistage – slide 20
    High Margins with Free Cash Flow Leave nothing behind. Financial and operating model minimizes capital investment and maximizes free cash flow Revenue (MM) Gross Profit (MM) and % Margin 300 100% 220.0 90% 250 80% 64% 62% 200…
  21. Jefferies 2017 Energy Conference – NCS Multistage – slide 21
    Attractive Financial Profile vs. Public Peers Leave nothing behind. Average Adjusted EBITDA Margin (20132016)* 32% Peer Average = 17% 29% 20% 18% 14% 12% 9% NCSM CLB SBO OIS CEU FET HTG Average Net CapEx as % of…
  22. Jefferies 2017 Energy Conference – NCS Multistage – slide 22
    Technology Driving Profitable Growth Leave nothing behind. Proprietary and differentiated completion technologies that are highly valued by our customers Growing revenue through further market penetration, increasing completions…
  23. Jefferies 2017 Energy Conference – NCS Multistage – slide 23
    Appendix
  24. Jefferies 2017 Energy Conference – NCS Multistage – slide 24
    Everything starts with The Promise Leave nothing behind. We will invest in our employees, our most important resource, by providing coaching and training that enables them to learn and grow to their full potential. Together, we will…
  25. Jefferies 2017 Energy Conference – NCS Multistage – slide 25
    Multistage Unlimited Value Proposition Leave nothing behind. Multistage Plug and Open-Hole Unlimited Perf Ball-Drop Precise frac locations X X X Real-time bottom-hole pressure X X X Recorded downhole measurements X X X Unlimited…
  26. Jefferies 2017 Energy Conference – NCS Multistage – slide 26
    Completion Cost Comparison Leave nothing behind. Pinpoint completions can be cost-neutral to, or less expensive than, plug-and-perf Cost Impacts vs Plug-and-Perf NCS Sleeves and Service ++ Coiled Tubing + Coil used during fracturing…
  27. Jefferies 2017 Energy Conference – NCS Multistage – slide 27
    Adjusted EBITDA Reconciliation Leave nothing behind. Year Ended December 31, Nine Months Ended September 30, ( in millions) 2013 2014 2015 2016 2016 2017 Net Income (Loss) 8.0 7.6 28.0 (17.9) (17.0) 5.1 Income Tax Expense (Benefit)…
  28. Jefferies 2017 Energy Conference – NCS Multistage – slide 28
    Free Cash Flow* Reconciliation Leave nothing behind. Year Ended December 31, ( in millions) 2013 2014 2015 2016 Net Cash Provided by Operating Activities 16.3 51.5 4.4 10.7 Purchases of Property & Equipment (3.2) (12.8) (0.9)…

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