Operations and Market Presence - Target Hospitality operates primarily in the Permian Basin and Bakken Basin, which are the highest producing oil and gas regions in the U.S.[14] - The company serves over 13 million meals annually, emphasizing high-quality culinary services and hospitality solutions[29] - Target Hospitality's DDBOOM business model allows for comprehensive turnkey solutions, optimizing project execution and reducing counterparty risks[23][28] - The company has expanded its community network significantly, adding approximately 1,600 rooms across the Permian Basin in 2018 and acquiring 4,500 beds through the acquisition of Signor[33] - Target Hospitality's facilities include amenities such as 24-hour dining, fitness centers, and professional uniformed staff, promoting safety and productivity for workers[31][30] - Target Hospitality operates 25 strategically located communities with approximately 13,800 beds in high-demand regions[51] - Target Hospitality operates 19 communities with approximately 9,821 beds in the Permian Basin, the largest network in the region[71] - The company has four community locations and 1,079 rentable rooms in the Bakken Basin, holding approximately 50% market share[79] Financial Performance and Revenue - Target Hospitality generated $67.0 million, representing 20.9% of total revenue from the Government segment for the year ended December 31, 2019[67] - The Permian Basin segment accounted for $214.5 million, or 66.8% of total revenue for the year ended December 31, 2019[72] - The Bakken Basin segment contributed $20.6 million, which is 6.4% of total revenue for the year ended December 31, 2019[79] - 82% of long-term contracts are committed, with 63% guaranteeing revenue regardless of occupancy levels, and a client renewal rate of at least 90% over the last 5 years[54] - The average life of rental assets exceeds 20 years, with maintenance capital estimated at approximately 1% of annual revenue[55] - Target Hospitality represents 42.7% of the overall rental accommodations market in the U.S., with the total integrated market approximately 70%[41] Customer Relationships and Contracts - The company has long-standing relationships with approximately 300 diversified customers, including major oil and gas companies[54] - Target Hospitality's largest customers for the year ended December 31, 2019, were CoreCivic and Halliburton, accounting for 20.8% and 12.5% of revenue, respectively[85] - Approximately 46% of total committed contracts contain exclusivity provisions, ensuring customers exclusively use Target's communities[54] - The company operates through network lease and services agreements (NLSAs) with an average term of 2 to 3 years, obligating customers to use its facilities across the U.S.[89] Strategic Growth and Acquisitions - The company has a history of strategic expansions and partnerships, including significant contracts with major industry players like Halliburton and Schlumberger[33] - Target Hospitality selectively pursues acquisitions to expand service offerings and enhance its market presence[56] Risks and Challenges - The company faces significant competition in the specialty rental and hospitality services sector, which could lead to pricing pressures and reduced market share[105] - The company is exposed to operational risks, including economic, political, and regulatory factors that could adversely affect its business[104] - The loss of significant customers, particularly in the energy sector, could materially affect the company's financial results[107] - Regulatory changes and increased compliance costs could impact the demand for the company's services and overall operations[94] - Increased public resistance and negative media attention towards the company's management of facilities may adversely affect brand perception and investor confidence[114] - Unique operational risks associated with family residential services could lead to higher costs and increased litigation, impacting financial condition and results of operations[115] - Oil and gas customers face disruptions from pricing volatility, unexpected development issues, and regulatory challenges, which could adversely affect the company's business[116] Financial Obligations and Debt - The company incurred $420 million in total indebtedness as of December 31, 2019, consisting of $80 million under the New ABL Facility and $340 million in Notes[194] - The company’s leverage may limit its ability to satisfy debt obligations and could require a substantial portion of cash flow to be dedicated to debt payments, reducing funds available for growth[195] - The company may need to raise additional funds to refinance existing debt or fund operations, which could impact its ability to achieve strategic objectives[200] Compliance and Regulatory Environment - The company is subject to various laws and regulations, including those related to U.S. government contracts, which may materially harm its business if compliance is not maintained[158] - Noncompliance with applicable regulations could lead to administrative penalties, suspension of government contracts, or debarment, adversely affecting revenue and financial condition[159] - U.S. government contracts typically include additional requirements that may increase operational costs and expose the company to liability for non-compliance, potentially leading to contract termination[160] Market Sensitivity and Economic Factors - Demand for services is sensitive to fluctuations in oil and gas prices, which could lead to decreased customer expenditure levels and negatively impact results[129] - Economic downturns, both locally and globally, could reduce demand for the company's products and services, impacting financial performance[179] Operational and Environmental Risks - The company faces risks related to environmental laws and regulations, which could result in increased compliance costs and liabilities for past contamination[165] - Climate change regulations may impose additional operating restrictions and compliance costs, adversely affecting the company's business and demand for services[170] - The company has no reserves for potential environmental liabilities, which could lead to significant costs in the future[165]

Investor Presentation December 2019 Disclaimer Cautionary Statement Regarding Forward-Looking Statements This presentation contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts. Management cautions that any or all of Target Hospitality's forward-looking statements may turn out to be wrong. P ...

Revenue Growth - Revenue increased by $21.3 million or 35% compared to the same period in 2018, driven by organic growth and acquisitions [188]. - Total revenue for the three months ended September 30, 2019, was $81.6 million, a 35% increase from $60.3 million in the same period of 2018 [217]. - Total revenue for the nine months ended September 30, 2019, was $245 million, a 70% increase from $144.4 million in the same period of 2018 [232]. - Revenue for the Permian Basin segment was $161.3 million for the nine months ended September 30, 2019, a 129% increase from $70.5 million in the same period of 2018 [258]. - Services income increased by 36% to $64.1 million for the three months ended September 30, 2019, compared to $47.2 million in 2018 [218]. - Services income for the nine months ended September 30, 2019, was $185.1 million, an 84% increase from $100.4 million in 2018 [232]. Net Income and Profitability - Net income for the three months ended September 30, 2019, was approximately $9.5 million, up from $0.8 million in the same period in 2018 [188]. - Net income for the three months ended September 30, 2019, was $9.6 million, representing a 1027% increase from $849,000 in the same period of 2018 [217]. - Adjusted gross profit for the total company increased to $146.57 million for the nine months ended September 30, 2019, up 68% from $87.38 million in the same period of 2018 [255]. - For the three months ended September 30, 2019, Target Hospitality reported a gross profit of $38.556 million, up from $26.354 million in the same period of 2018, representing a 46% increase [298]. - Adjusted gross profit for the nine months ended September 30, 2019, was $146.565 million, compared to $87.379 million for the same period in 2018, reflecting a 67% increase [298]. Operational Performance - Adjusted EBITDA reached $40.6 million, representing an increase of $9.3 million or 23% compared to the same period in 2018 [188]. - Adjusted EBITDA for the nine months ended September 30, 2019, reached $123.144 million, compared to $72.928 million in 2018, indicating a 69% increase [299]. - EBITDA for the three months ended September 30, 2019, was $38.274 million, significantly higher than $19.176 million for the same period in 2018, marking a 99% increase [298]. Cash Flow and Liquidity - Cash flows from operations increased by $28.3 million or 178% for the nine months ended September 30, 2019, compared to the same period in 2018 [185]. - Net cash provided by operating activities increased to $44.3 million for the nine months ended September 30, 2019, compared to $15.9 million for the same period in 2018, reflecting a growth of approximately 178% [266]. - Net cash provided by operating activities for the nine months ended September 30, 2019, was $44.229 million, compared to $15.920 million in 2018, representing a 177% increase [299]. - The company expects sufficient liquidity to fund its growth strategy and working capital needs for at least the next 12 months, relying on cash flow from operations and borrowings [262]. Acquisitions and Expansion - The acquisition of Signor added 4,388 available beds in the Permian Basin segment, contributing significantly to revenue growth [188]. - The acquisition of Superior added 575 rooms to the company's portfolio, further expanding its presence in the Texas Permian Basin [212]. - The acquisition of Signor in September 2018 significantly contributed to revenue growth and increased operational activity in the Permian Basin [220]. Expenses and Costs - Selling, general and administrative expenses for the nine months ended September 30, 2019, were $66.8 million, a 90% increase from $35.1 million in 2018 [237]. - Interest expense for the three months ended September 30, 2019, was $10.2 million, an 88% increase from $5.4 million in the same period of 2018 [228]. - The company incurred approximately $38.1 million in incremental costs related to the Business Combination recognized as selling, general, and administrative expenses for the nine months ended September 30, 2019 [214]. - Other depreciation and amortization expense rose to $11.6 million for the nine months ended September 30, 2019, compared to $3.9 million for the same period in 2018, primarily due to $8.0 million from the amortization of customer relationship intangible assets from the Signor acquisition [239]. Market and Economic Factors - The company expects continued demand for its services, influenced by customer capital spending in the oil and gas sector [187]. - Target Hospitality's profitability and cash flows are affected by volatility in crude oil prices, although the company does not currently hedge this exposure [303]. - Inflation has not had a material effect on Target Hospitality's results of operations [304].

Target Hospitality Corp. (NASDAQ:TH) Q3 2019 Earnings Conference Call November 13, 2019 9:00 AM ET Company Participants Narinder Sahai - SVP, Treasurer, and IR Brad Archer - President and CEO Eric Kalamaras - CFO Troy Schrenk - Chief Commercial Officer Conference Call Participants Stephen Gengaro - Stifel Nicolaus Jeff Grampp - Northland Capital Markets Kevin McVeigh - Credit Suisse Ashish Sabadra - Deutsche Bank Operator Greetings, and welcome to Target Hospitality's Third Quarter 2019 Earnings Call. At th ...

3Q 2019 Earnings Call Presentation November 13, 2019 Disclaimer Cautionary Statement Regarding Forward-Looking Statements This presentation contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts. Management cautions that any or all of Target Hospitality's forward-looking statements may turn o ...

Table of Contents 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 For the quarterly period ended June 30, 2019 OR (Registrant's telephone number, including area code) (Former name, former address and former fiscal year, if changed since last report) ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission fi ...

Investor Presentation June 2019 Disclaimer Cautionary Statement Regarding Forward-Looking Statements This presentation contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts. Management cautions that any or all of Target Hospitality's forward-looking statements may turn out to be wrong. Pleas ...

Table of Contents 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 For the quarterly period ended March 31, 2019 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 001-38343 TARGET HOSPITALITY CORP. (Exact name of registrant as specified in its charter) Delaware 98-1378631 (State or other ...

1Q 2019 Earnings Call Presentation May 8, 2019 Disclaimer Cautionary Statement Regarding Forward-Looking Statements This presentation contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as "forward-looking statements." You can identify these statements by the fact that they do not relate strictly to historical or current facts. Management cautions that any or all of Target Hospitality's forward-looking statements may turn out to ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 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 001-38343 PLATINUM EAGLE ACQUISITION CORP. (Exact name of registrant as specified in its charter) Cayman Islands 98-1378631 (Sta ...