Investor Presentation Cactus, Inc. (NYSE: WHD) March 2021
Experienced Executive Team Mr. Bender has served as President and CEO since co-founding Cactus Wellhead, LLC (Cactus LLC) in 2011. Mr. Bender previously was President of Wood Group Pressure Control from 2000 to 2011. Scott Bender Mr.…
Investment Highlights A Leading Pure Play Wellhead and Pressure Control 1 Equipment Solutions Provider for Onshore Markets Innovate & Differentiated Products & Services That 2 Drive Relative Margin Stability Through the Cycle…
Company Overview Cactus designs, manufactures, sells and rents highly engineered products which generate improved drilling and completions efficiencies while enhancing safety 2020 Revenue by Type Revenue ( in millions) 628.4 544.1…
Proprietary Equipment Across Drilling, Completion, and Production Phases of a Well Technologically advanced wellhead and frac solutions deliver greater reliability and time savings Designed for pad drilling and intense completion…
Cactus is Well Prepared for a Recovery Highlights 2017 Incremental EBITDA Margins(1)(2) Greater operating leverage provides benefits as activity levels increase 80% Incremental EBITDA margins were strong during the last market…
Technologically Advanced Pad Drilling Wellhead Systems Cactus SafeDrill SafeDrill Advantages Safety Time Savings Fewer trips into Eliminates time confined space (cellar) consuming BOP - manipulation No BOP manipulation No waiting…
Innovations Enhance Rental Business Value Proposition Complement & enhance legacy rental offerings without additional personnel Additional product introductions awaiting more constructive pricing environment Significantly reduce…
Differentiated Offerings Enable Customers to Meet ESG Goals Faster Safer Cleaner Cactus enables customers to Cactus equipment increases In late-stage development of drill and complete wells faster employee safety by enabling: equipment…
Small Expenditures Can Have a Big Impact on Operators Cactus Value Proposition Components of Onshore Well Costs(1) Cactus offerings make up a Other relatively small portion of the 15% overall cost to drill & complete a well…
Flexible and Scalable Operating Footprint U.S. Operations United States Service centers support field services and provide repair services Bakken Bossier City, Louisiana Powder Manufacturing Facility River Spread across all key…
A Dynamic Manufacturing Advantage; Responsive, Highly Scalable and Lower Cost Responsive manufacturing in the U.S. supplemented by high volume production in China Bossier City Facility Suzhou Facility Rapid-response manufacturing of…
Experienced and Well Aligned Management Team with Strong Industry Relationships Management team is well incentivized as it owns more than 25% of the business Over 80% of executive compensation deemed at risk Performance-based stock…
Well Established Relationships with Recently Increasing Representation by Private Operators 2020 Total Revenue by Customer Type 2020 Product Revenue by Customer Type 2020 Rental Revenue by Customer Type Other Majors Other Majors…
Recent Success With Private Operators Cactus Onshore Rigs Followed (Private Operators)(1) 40 30 21 18 Q2 2020 Q3 2020 Q4 2020 QTD Q1 2021 Cactus Onshore Rigs Followed with Private Operators Has More Than Doubled Since…
Execution Has Driven Equity Outperformance Share Price Performance of Cactus vs. the OSX since IPO 68% 0% (61%) WHD OSX Cactus Share Price Outperformed the OSX in 2018, 2019 and 2020 Note: Data based on share price…
History of Prudent Investment Strategy Goodwill, Intangible, Long-Lived & Other Asset Impairment Expenses (mm) (2015 YTD 2020) (mm) 10,597 7,661 1,000 750 664 648 500 250 180 133 37 0 - WHD Peer A Peer B…
Clean Balance Sheet & Low Capital Intensity Adjusted EBITDA(1) Net Capital Expenditures(2) ( in Balance Sheet & Capital Summary millions) Year-end 2020 cash balance of approximately 173.1 289 million 144.4 Cash balance grew by…
Recent Performance & Outlook Fourth Quarter 2020 Performance Grew revenues by 14% sequentially Generated Adjusted EBITDA margins of 29% Increased Product market share(1) to 43% Generated over 20 million in free cash flow(2)…
Positive Developments with Limited Capital Required Product Continued increases in rig efficiency as operators improve processes (more wells drilled per rig) Rental Rental innovations potentially drive market share gains…
Cactus Is Committed to ESG Environmental Social Cactus, Inc. is committed to reducing its impact on the Cactus, Inc. is dedicated to improving lives and protecting human environment. We will continue to strive to improve our rights.…
Strong & Improving Track Record of Safety HSE Highlights Total Recordable Incident Rate Comprehensive and formal company- 2.0 wide HSE management program for the safety of Associates Committed to the well-being and protection of…
Appendix
Company Organizational Structure Company Profile Organizational Structure(1) Ticker WHD (NYSE) Class A Shares Outstanding(1) 47.9mm CW Unit Public Class B Shares Outstanding(1) 27.7mm Holders Investors Total Shares Outstanding(1)…
Cactus Equipment Positioned on a Multi-Well Pad 1 2 3 4 1 4 3 1 1 Product Sold 2 Equipment Rented 3 Equipment Rented 4 Services Provided Wellheads are required Frac stacks are Zipper manifolds, mono- Assist with…
Non-GAAP Reconciliation Important Disclosure Regarding Non-GAAP Measures EBITDA and Adjusted EBITDA are not measures calculated in accordance with GAAP. EBITDA and Adjusted EBITDA are supplemental non-GAAP financial measures that are…
Non-GAAP Reconciliation Important Disclosure Regarding Non-GAAP Measures EBITDA and Adjusted EBITDA are not measures calculated in accordance with GAAP. EBITDA and Adjusted EBITDA are supplemental non-GAAP financial measures that are…
Investor Relations Contact John Fitzgerald Director of Corporate Development & Investor Relations 713-904-4655 IRCactusWHD.com 32
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