MISTRAS Group, Inc. (NYSE:MG) Q3 2021 Earnings Conference Call November 3, 2021 9:00 AM ET Company Participants Dennis Bertolotti - President and CEO Edward Prajzner - EVP, CFO and Treasurer Jonathan Wolk - Senior EVP and COO Conference Call Participants Alex Dwyer - KeyBanc Capital David Ridley-Lane - Bank of America Tate Sullivan - Maxim Group Mitchell Pinheiro - Sturdivant Brian Russo - Sidoti Operator Thank you for joining MISTRAS Group's Conference Call for the Third Quarter Ended September 30, 2021. M ...

Table of Contents ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __ to __ Commission file number 001-34481 Mistras Group, Inc. (Exact name of registrant as specified in its charter) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) Delaware 22-3341267 ...

MISTRAS Group, Inc. (NYSE:MG) Q2 2021 Results Earnings Conference Call August 3, 2021 9:00 AM ET Company Participants Dennis Bertolotti - President and Chief Executive Officer Edward Prajzner - Executive Vice President, Chief Financial Officer and Treasurer Jonathan Wolk - Senior Executive Vice President and Chief Operating Officer Conference Call Participants David Ridley-Lane - Bank of America Merrill Lynch Alex Dwyer - KeyBanc Capital Markets Brian Russo - Sidoti & Company Mitchell Pinheiro - Sturdivant ...

Washington, D.C. 20549 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __ to __ Commission file number 001-34481 Mistras Group, Inc. (Exact name of registrant as specified in its charter) Indicate by check mark w ...

Financial Data and Key Metrics Changes - The company reported a net loss of $5.4 million for Q1 2021, while adjusted EBITDA increased by over 30% to $7 million compared to the prior year [21][29] - Gross profit margin improved by 50 basis points due to operational efficiencies and favorable sales mix, with expectations for further expansion throughout 2021 [6][20] - Operating cash flow was $3.1 million for the first quarter, with free cash flow being negative $1.2 million, which is typical for the seasonally weakest period of the year [21][22] Business Line Data and Key Metrics Changes - The Services segment grew operating income to $4.5 million for Q1 2021, with non-GAAP operating income increasing by 55.6% to $6.5 million compared to the previous year [24] - Energy market revenues remained stable, with modest increases in oil and gas and power generation compared to the previous year [10][25] - Commercial aerospace and industrial/manufacturing markets experienced weakness, but the company is optimistic about recovery in these sectors [11][25] Market Data and Key Metrics Changes - The energy sector continues to present attractive opportunities, with billable hours in North America down less than 4% year-over-year, but showing significant recovery in April 2021 [10][25] - The commercial aerospace market remains constrained, with expectations for recovery in the U.S. and Canada by mid-2022, while Europe may lag behind [41][42] - The alternative energy market is viewed as a significant growth opportunity, with ongoing inspections of wind blades and turbine hubs [12][30] Company Strategy and Development Direction - The company is focused on expanding its digital technology offerings, including the introduction of Project CAPA, a cloud-based subscription suite aimed at enhancing asset integrity data management [13][15] - There is a commitment to diversifying end markets and improving service value, with ongoing investments in sales, marketing, and innovative product development [16][17] - The company aims to achieve a funded debt leverage ratio of under 3x by the end of 2022, reflecting a disciplined approach to financial management [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in a significant improvement in full-year results, anticipating annual revenue for 2021 to be higher than in 2020 [28][29] - The ongoing COVID-19 pandemic continues to impact operations, but the company expects a strong rebound in the energy market and improved performance in aerospace and alternative energy sectors [31][32] - The company is adapting to market changes and positioning itself as a nimble provider capable of meeting evolving customer needs [31] Other Important Information - The company maintained compliance with all debt covenants as of March 31, 2021, with a funded debt leverage ratio of 4.7x [23] - The spring turnaround season started later than usual, impacting first-quarter performance but expected to extend into the second quarter [5][10] Q&A Session Summary Question: Impact of severe weather in the Gulf - Management acknowledged that severe weather did affect operations, resulting in a few million dollars of lost revenue, but much of the work was deferred rather than canceled [38][39] Question: Recovery expectations for commercial aerospace and industrial markets - Management indicated a faster recovery in the U.S. and Canada, with expectations for improvement in mid-2022, while Europe may lag [41][42] Question: Progress on alternative energy and wind market opportunities - Management reported successful trials in sensor beta testing for wind blades, with commercial discussions expected in the second half of the year [50][51] Question: Long-term gross margin targets - Management expressed a goal to maintain gross margins in the 30% range, focusing on productivity and efficiency gains [58] Question: Services provided in the private space sector - Management explained that services involve consolidating supply chain steps, including inspections and project management, to enhance efficiency [60][61]

Revenue Performance - Revenue for the three months ended March 31, 2021, was $153.7 million, a decrease of $5.7 million, or 3.6%, compared to the same period in 2020[159] - Revenue from the Services segment decreased by 3.6% to $124.3 million, while the International segment revenue decreased by 4.9% to $27.6 million[160] - Products and Systems segment revenue increased by 6.2% to $3.0 million, driven by organic growth[161] - Oil and gas customer revenue comprised approximately 60% of total revenue for the three months ended March 31, 2021, compared to 58% in 2020[162] Profitability - Gross profit for the same period was $40.0 million, representing a gross profit margin of 26.0%, compared to 25.5% in 2020[158] - Gross profit for the three months ended March 31, 2021, was $40.0 million, a decrease from $40.6 million in 2020, with a gross profit margin of 26.0% compared to 25.5% in the prior year[165] - The Products and Systems segment saw a significant increase in gross margin to 42.9%, up 2,980 basis points from 13.1% in 2020, attributed to a favorable sales mix[166] Operational Loss - Loss from operations was $4.7 million, or (3.1)% of revenue, significantly improved from a loss of $111.2 million, or (69.8)% of revenue, in the prior year[158] - The loss from operations (GAAP) decreased by $106.5 million, or 96%, compared to the same period in 2020, while the loss before special items (non-GAAP) decreased by $2.5 million, or 43%[171] Cash Position - The Company maintained a strong cash position with a cash balance of approximately $24.2 million as of March 31, 2021[153] - As of March 31, 2021, the company had cash and cash equivalents of $24.2 million and available borrowing capacity of $45.6 million under its Credit Agreement[184] - Cash provided by operating activities was $3.1 million, a decrease of $3.0 million, or 48%, year-on-year, mainly due to movements in working capital[179] - The company reported a net change in cash and cash equivalents of $(1.6) million for the three months ended March 31, 2021, compared to an increase of $2.0 million in 2020[177] Cost Management - The Company has implemented a temporary cost reduction and efficiency program in response to the economic downturn[153] - Operating expenses decreased by $107.1 million, or 71%, primarily due to the absence of impairment charges, which were $106.1 million in 2020[168] Market Conditions - The impact of COVID-19 has disrupted project timing and purchases, contributing to revenue declines across most segments[161] - The Company continues to monitor market conditions and adapt strategies in light of ongoing economic uncertainties, including oil price volatility and climate change initiatives[155] Interest and Tax - Interest expense increased to approximately $3.2 million for the three months ended March 31, 2021, compared to $2.8 million in 2020, due to higher interest rates on long-term debt[172] - The effective income tax rate was approximately 32.7% for the three months ended March 31, 2021, compared to 13.6% in 2020, influenced by the capitalization of certain non-US intercompany balances[173] Compliance - The company remains in compliance with the terms of its Credit Agreement and will continue to monitor compliance with the covenants[185]

Mistras Group, Inc. (NYSE:MG) Q4 2020 Earnings Conference Call March 17, 2021 9:00 AM ET Company Participants Dennis Bertolotti ??? President and Chief Executive Officer Ed Prajzner ??? Executive Vice President, Chief Financial Officer and Treasurer Jon Wolk ??? Senior Executive Vice President and Chief Operating Officer Conference Call Participants Sean Eastman ??? KeyBanc Capital Markets Brian Russo ??? Sidoti Mitch Pinheiro ??? Sturdivant & Company Operator Ladies and gentlemen, thank you for joining Mis ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___ to ___ Commission File Number 001-34481 Mistras Group, Inc. (Exact name of registrant as specified in its charter) Delaware 22-3341267 (State or other jurisdiction of inc ...

Mistras Group, Inc. (NYSE:MG) Q3 2020 Earnings Conference Call November 5, 2020 9:00 AM ET Company Participants Dennis Bertolotti ??? President and Chief Executive Officer Ed Prajzner ??? Executive Vice President, Chief Financial Officer and Treasurer Jon Wolk ??? Senior Executive Vice President and Chief Operating Officer Conference Call Participants Alex Dwyer ??? KeyBanc Capital Markets Tate Sullivan ??? Maxim Group Mitch Pinheiro ??? Sturdivant David Ridley-Lane ??? BofA Brian Russo ??? Sidoti Operator ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __ to __ | Delaware | 22-3341267 | | --- | --- | | (State or other jurisdiction of | (I.R.S. Employer | | incorporation or organization) ...