Quest Resource Holding Corporation (NASDAQ:QRHC) Q2 2021 Earnings Conference Call August 16, 2021 5:00 PM ET Company Participants David Mossberg - Investor Relations Ray Hatch - Chief Executive Officer, President and Director Laurie Latham - Chief Financial Officer, Senior Vice President and Secretary Conference Call Participants Gerry Sweeney - ROTH Capital Partners George Melas - MKH Management Greg Kitt - Pinnacle Fund Operator Good day, and welcome to the Quest Resource Holding Second Quarter 2021 Earni ...

FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Commission file number: 001-36451 Quest Resource Holding Corporation (Exact Name of Registrant as Specified in its Charter) Nevada 51-0665952 (State or other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification No.) 3481 Plano Parkway The Colony, Texas 75056 (Address o ...

Quest Resource Holding Corporation (NASDAQ:QRHC) Q1 2021 Results Conference Call May 17, 2021 5:00 PM ET Company Participants Dave Mossberg - IR Ray Hatch - President and CEO Laurie Latham - CFO Conference Call Participants Amit Dayal - H.C. Wainright Greg Kitt - Pinnacle Fund George Melas - MKH Management Operator Good day, everyone, and welcome to the Quest Resource Holding Corporation First Quarter 2021 Earnings Call. Today’s call is being recorded. At this time, I would like to turn the conference over ...

For the quarterly period ended March 31, 2021 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-36451 Quest Resource Holding Corporation (Exact Name of Registrant as Specified in its Charter) Nevada 51-0665952 (State or other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification No.) 3481 Plano Parkway The Colony, Texas 75056 (Address ...

Financial Data and Key Metrics Changes - Fourth quarter revenue was $27.7 million, an increase of 20.5% compared to the same period last year, with $2.6 million attributed to the Green Remedies acquisition [14][15] - Gross profit for the fourth quarter was $5.6 million, a 19.7% increase year-over-year, with a gross margin of 20.2% [16][21] - Adjusted EBITDA increased 110% year-over-year for the fourth quarter to $1.8 million, compared to $850,000 during the same period last year [22] - Fiscal 2020 revenue was $98.7 million, relatively flat year-over-year, while adjusted EBITDA for the year increased 33.6% to $4.5 million [15][22] Business Line Data and Key Metrics Changes - The Green Remedies acquisition contributed approximately $590,000 in adjusted EBITDA for the fourth quarter [22] - The company has diversified its end market mix, now serving five major markets: retail/grocery, automotive, industrial, restaurants, and multifamily housing [32] Market Data and Key Metrics Changes - The retail/grocery market remained stable with moderate growth year-over-year, while the automotive market saw demand improve but still down year-over-year [34][35] - The restaurant sector experienced the largest impact from the pandemic, with full-service restaurants significantly affected, although quick-service restaurants performed better [38] Company Strategy and Development Direction - The company aims to continue expanding its business with existing clients and pursue M&A opportunities, viewing the integration of Green Remedies as a model for future growth [45][48] - Sustainability concerns are driving demand for food waste diversion programs, particularly in the retail/grocery sector, which is seen as a significant growth area [42][44] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum carrying into 2021, despite uncertainties related to the economic environment [55] - The company noted that while certain SG&A expenses will increase, they expect to maintain leverage and see a portion of gross profit growth contribute to EBITDA [75] Other Important Information - The company ended the year with $7.5 million in cash, up from $3.4 million at the beginning of 2020, and $18.5 million in notes payable, primarily due to the Green Remedies acquisition [24][25] - The integration of Green Remedies is progressing as planned, focusing on enabling additional capacity for growth rather than cost savings [45] Q&A Session Summary Question: What should be expected in terms of growth for 2021 relative to 2020? - Management indicated strong performance in Q4 and confidence in continued growth momentum into Q1, but refrained from providing specific growth forecasts for 2021 [54][55] Question: Are there targets for further M&A in 2021? - Management confirmed ongoing exploration of M&A targets and expressed confidence in the pipeline of opportunities [56][57] Question: Will there be price increases in 2021 or 2022? - Management stated that growth is expected through efficiency gains rather than price increases, focusing on providing greater value to customers [58][59] Question: How is the food waste opportunity divided between restaurants and retail/groceries? - Currently, the food waste program is dominated by the retail/grocery sector, which presents significant growth potential [60] Question: Can you elaborate on the improvement in sales execution and pipeline movement? - Management highlighted teamwork between the solutions and sales teams, resulting in better movement in the pipeline and increased customer engagement [91][92]

Revenue and Profitability - Revenue for the year ended December 31, 2020 was $98.7 million, a decrease of $319,000, or 0.3%, compared to $99.0 million in 2019[138] - Gross profit increased by $329,000, or 1.8%, to $19.1 million for the year ended December 31, 2020, with a gross margin of 19.3% compared to 18.9% in 2019[141] - Net income for the year ended December 31, 2020 was $1.0 million, compared to a net loss of $55,000 in 2019[151] - Adjusted EBITDA for the year ended December 31, 2020 was $4.45 million, compared to $3.33 million in 2019[155] Expenses and Financial Obligations - Operating expenses increased by $174,000 to $18.3 million in 2020, primarily due to increases in stock-related compensation and acquisition-related expenses[143] - Interest expense increased to $702,000 in 2020 from $432,000 in 2019, primarily due to increased debt related to the Green Remedies acquisition[147] - The company recorded a loss on extinguishment of debt of $168,000 in 2020[148] - The company intends to maintain a full valuation allowance on deferred tax assets until sufficient evidence supports a reversal of these allowances[150] Cash Flow and Liquidity - Cash and cash equivalents as of December 31, 2020 were $7.5 million, up from $3.4 million as of December 31, 2019[156] - Net cash provided by operating activities increased to $3.1 million for the year ended December 31, 2020, compared to $2.3 million for the year ended December 31, 2019[164] - Cash used in investing activities rose to $506,000 in 2020 from $301,000 in 2019, primarily due to increased purchases of property and equipment[165] - Net cash provided by financing activities was $1.5 million for the year ended December 31, 2020, mainly from $3.0 million net proceeds from a registered direct offering[166] Debt and Credit Facilities - The company entered into a Credit Agreement providing a senior secured term loan facility of $11.5 million, maturing on October 19, 2025[159] - The Credit Agreement includes a delayed draw term loan facility of up to $12.5 million, available until October 19, 2021, for permitted acquisitions[160] - The Credit Agreement contains financial covenants, including a minimum fixed charge coverage ratio and a senior net leverage ratio, along with negative covenants limiting additional indebtedness and other transactions[162] Other Financial Information - Other income for 2020 was $1.4 million, representing proceeds from the Paycheck Protection Program, which were subsequently forgiven[146] - The company recorded a net income of $1,034,000 for the year ended December 31, 2020, which includes $1,408,000 from the use of PPP Loan proceeds[166] - The company performed its most recent goodwill impairment analysis in Q3 2020, with no impairment recorded, indicating that the fair value of goodwill exceeded its carrying value[174] - The company has no off-balance sheet debt or similar obligations, nor any transactions with related parties not disclosed in its financial statements[182]

Financial Data and Key Metrics Changes - Third quarter revenue was $23.7 million, relatively flat compared to $23.9 million in the same quarter last year, primarily due to lower service levels from COVID-19 related shutdowns [11][12] - Gross profit was $4.6 million, a decrease of 4.5% year-over-year, but an increase of 4.2% sequentially from the second quarter of 2020 [11][12] - Adjusted EBITDA increased 15% for the third quarter to $989,000 compared to $860,000 during the same period last year [17] - Net loss attributable to common stockholders was $0.02 per share for the third quarter of 2020, compared to breakeven in the same quarter of 2019 [16] Business Line Data and Key Metrics Changes - SG&A expenses were $4.3 million during the third quarter, compared to $4.2 million during the same period last year, with a decrease of about 7% when excluding professional fees related to M&A activity [13][14] - Gross margin for the third quarter was 19.2%, a decline of 70 basis points compared to last year, but still above targeted levels [12] Market Data and Key Metrics Changes - The grocery market remained stable, with some modest growth year-over-year, while the automotive market saw improved demand for repair and maintenance services since April, although still down year-over-year [23][24] - The restaurant sector experienced the largest impact from the pandemic, with full-service restaurants significantly affected, while quick-service restaurants performed better in terms of volumes [26] Company Strategy and Development Direction - The company completed its first acquisition as part of a broader M&A strategy, acquiring Green Remedies, which is expected to provide significant growth potential in the multifamily housing market [10][19] - The company aims to leverage its national footprint and service capabilities to expand Green Remedies' success on a national level [29][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to manage through uncertainty and highlighted the importance of maintaining strong communication with customers [38][62] - The company is encouraged by the stability in end-markets and the movement in the sales pipeline, indicating a willingness from prospects to evaluate operational efficiency programs [31][70] Other Important Information - The company ended the quarter with $6.4 million in cash, up from $3.4 million at the beginning of the year, primarily due to an equity offering raising approximately $3 million [18] - The acquisition of Green Remedies is expected to be accretive on a free cash flow per share basis, with pro forma financial statements to be available within 75 days [20] Q&A Session Summary Question: What visibility do you have with clients regarding COVID-19? - Management noted constant communication with customers, emphasizing optimism despite uncertainty, and expressed confidence in handling future challenges as effectively as in the past [38][62] Question: Can you provide details on the pilot project with the automotive client? - The opportunity is significant, with the average deal size above seven figures, and the pilot is expected to start in Q1 [40][42] Question: Does the $2.5 million net income from Green Remedies include future growth? - The figure represents the trailing 12 months as it stands today, without factoring in future growth [49][50] Question: What initiatives are in place to drive growth with Green Remedies? - Growth initiatives include leveraging technology, expanding geographically, and upselling additional services to existing customers [55][57] Question: How is the company positioned to manage working capital amid potential lockdowns? - The company maintains a flexible cost structure and is well-positioned to weather uncertainties without relying on PPP [60][62]

Quest Resource Holding Corporation (NASDAQ:QRHC) Q2 2020 Earnings Conference Call August 13, 2020 5:00 PM ET Company Participants Dave Mossberg - Investor Relations Ray Hatch - President & Chief Executive Officer Laurie Latham - Chief Financial Officer & Senior Vice President Conference Call Participants Gerry Sweeney - Roth Capital Amit Dayal - H.C. Wainwright Greg Kitt - Pinnacle Family Office Investments George Melas - MKH Management Operator Good day and welcome to the Quest Resource Holding Corp. Secon ...

NASDAQ: QRHC JUNE 2020 • NATIONAL SERVICE INTEGRATOR OF WASTE & RECYCLING SOLUTIONS INVESTOR PRESENTATION INVESTOR PRESENTATION © 2020 Quest Resource Holding Corporation. Copying, publications or redistribution outside of Quest is strictly prohibited. mil HITTOTALOGULA · ) B QUEST RESOURCE HOLDING CORPORATION To Challenge, Manage & Inform™ 0% 日 FREE! SAVE $50 $100 MARKETING STRATEGT GROWTH Dokin © 2020 Quest Resource Holding Corporation. Copying, publications or redistribution outside of Quest is strictly p ...

Quest Resource Holding Corp (NASDAQ:QRHC) Q1 2020 Earnings Conference Call May 14, 2020 5:00 PM ET Company Participants David Mossberg - IR Ray Hatch - President, CEO & Director Laurie Latham - CFO, SVP & Secretary Conference Call Participants Amit Dayal - H.C. Wainwright & Co. Gerard Sweeney - Roth Capital Partners Sarkis Sherbetchyan - B. Riley Operator Greetings, and thank you for standing by. Welcome to the Quest Resource Holding Corp First Quarter 2020 Earnings Call. [Operator Instructions]. I would no ...