Fourth Quarter and Full-Year 2025 Earnings Presentation February 20, 2026 Disclosure Statement Statements made in the course of this presentation that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are forward -looking statements. It is important to note that the Company's actual results could differ materially from those projected in such forward -looking statements. Additional information concerning factors that could cause actual results to diffe ...

Core Insights - The price-to-earnings (P/E) ratio is a popular metric for assessing stock value but has notable shortcomings [1] - The EV-to-EBITDA ratio is often considered a more accurate valuation metric, providing a clearer view of a company's value and earnings potential [2][3] Valuation Metrics - EV-to-EBITDA is calculated by dividing a company's enterprise value (EV) by its earnings before interest, taxes, depreciation, and amortization (EBITDA), offering a better understanding of profitability by excluding non-cash expenses [3] - A lower EV-to-EBITDA ratio indicates a potentially undervalued stock and is particularly useful for valuing acquisition targets due to its consideration of debt [4] - Unlike P/E, EV-to-EBITDA can be applied to loss-making firms that are EBITDA-positive, making it a versatile tool for assessing companies with varying debt levels [5] Limitations of Valuation Metrics - EV-to-EBITDA varies across industries, making it less appropriate for comparing stocks in different sectors due to diverse capital requirements [6] - A strategy based solely on EV-to-EBITDA may not yield optimal results; it is recommended to combine it with other ratios like P/B, P/E, and P/S for a comprehensive analysis [7] Screening Criteria for Value Stocks - Parameters for screening value stocks include a lower EV-to-EBITDA ratio compared to the industry median, a P/E ratio below the industry median, and a P/B ratio less than the industry average [8][9] - Additional criteria include a minimum average 20-day trading volume of 50,000 shares, a current price of at least $5, and a Zacks Rank of 1 or 2, indicating strong buy potential [10][11] Selected Stocks - DNOW Inc. is highlighted as a leading energy and industrial solutions provider with a Zacks Rank of 1 and a Value Score of A, expected to have a 20.5% earnings growth rate for 2026 [11][12] - FirstSun Capital Bancorp, a financial holding company, also holds a Zacks Rank of 1 with a Value Score of A and an expected earnings growth rate of 13.8% for 2026 [12][13] - Safehold Inc., a real estate investment trust, has a Zacks Rank of 1 and a Value Score of B, with an expected earnings growth rate of 7.1% for 2026 [13][14] - Amkor Technology, a semiconductor packaging provider, has a Zacks Rank of 1 and a Value Score of B, with an expected earnings growth rate of 27.2% for 2026 [14] - CEMEX, a global construction materials company, has a Zacks Rank of 2 and a Value Score of B, with an expected earnings growth rate of 218.5% for 2026 [15]

Core Insights - The current Q4 earnings season highlights the importance of cash flow over mere profit numbers for investors seeking to identify stocks with strong financial health [1][2] Cash Flow Importance - Cash flow is a critical indicator of a company's financial health, providing flexibility for decision-making, investment opportunities, and sustaining growth [2] - Companies with positive cash flow can meet debt obligations, cover expenses, reinvest, and return wealth to shareholders, while negative cash flow indicates declining liquidity and reduced operational flexibility [4] Growth and Management Efficiency - Positive cash flow alone does not guarantee future growth; increasing cash flow is essential as it reflects management's efficiency in cash management and reduces reliance on external financing [5] Screening Parameters - A screening process was conducted to identify stocks with increasing cash flow, focusing on those whose latest quarter cash flow met or exceeded the 5-year average per share [6] - Stocks were selected based on Zacks Rank 1, average broker ratings, current price thresholds, and VGM Scores of B or better [7] Selected Stocks - Enova International, Inc. (ENVA) shows improving cash flow trends, with a revised Zacks Consensus Estimate for 2026 earnings up by 6.2% to $15.13 per share and a VGM Score of A [8] - Cimpress plc (CMPR) benefits from rising cash flows due to increased demand for customized print and digital products, with a 1.1% improvement in the 2026 earnings estimate to $3.54 and a VGM Score of A [9] - DNOW Inc. (DNOW) is a leading provider in energy and industrial solutions, with an 8.7% upward revision in the 2026 earnings estimate to $1.00 and a VGM Score of A [10] - Pursuit Attractions and Hospitality, Inc. (PRSU) operates various hospitality destinations, with a 13.9% increase in the 2026 earnings estimate to $1.31 and a VGM Score of A [11]

Core Insights - The importance of cash flow generation is emphasized as a critical factor for a company's existence, development, and success, especially amid global economic uncertainty [2][4] - Companies with positive cash flow can meet obligations, reinvest, and return wealth to shareholders, while negative cash flow indicates liquidity issues [4][5] - A focus on companies with increasing cash flow is essential for identifying potential investment opportunities [5][6] Company Analysis - DNOW Inc. (DNOW), Pursuit Attractions and Hospitality, Inc. (PRSU), Riley Exploration Permian, Inc. (REPX), and RF Industries, Ltd. (RFIL) are highlighted as strong picks due to improving cash flow trends [3][8] - DNOW has an expected earnings growth rate of 20.5% for 2026, with a consensus estimate revised upward by 8.7% over the past 30 days, and holds a VGM Score of A [9] - PRSU's earnings per share estimates for 2025 and 2026 have improved by 1.6% and 10.3% respectively over the past 60 days, with a VGM Score of B [10] - REPX's earnings per share estimates for 2025 and 2026 have increased by 5.0% and 14.2% respectively over the past 60 days, also holding a VGM Score of B [11] - RFIL's fiscal 2026 earnings estimate has been revised by 22.9% over the past week, maintaining a VGM Score of B [12] Screening Parameters - Stocks were screened for those with cash flow in the latest quarter at least equal to or greater than the 5-year average cash flow per common share, indicating a positive trend [6] - Additional criteria included a Zacks Rank of 1 (Strong Buy), an average broker rating of 1, a current price of at least $5, and a VGM Score of B or better [7]

Transaction Overview - DNOW 将以全股票合并交易方式收购 MRC，交易的企业价值约为 30 亿美元，包括 MRC 的净债务[28] - MRC 股东每股 MRC 股份将获得 0.9489 股 DNOW 股份[28] - 合并后的公司预计在交易完成后的三年内实现 7000 万美元的年度成本协同效应[28] - 预计交易完成后第一年调整后的每股收益将实现两位数的增长[28] Financial Highlights - 合并后的公司预计收入约为 53 亿美元[37] - 预计调整后的 EBITDA 约为 4300 万美元，调整后的 EBITDA 利润率约为 8.0%[37] - 预计运营现金流约为 5 亿美元[37] Synergy Realization - 预计第一年实现 1700 万美元的税前协同效应，第二年实现 4200 万美元，交易完成后第三年实现 7000 万美元[39] - 预计 2026 年每股收益将增加 25%[83] Geographic Footprint - 合并后的公司在美国拥有 235 个服务地点和 10 个配送中心和超级中心[45, 46] - 合并后的公司在加拿大拥有 35 个地点，在欧洲、中东和非洲地区 (EMEA) 拥有 45 个地点，在亚太地区 (APAC) 拥有 40 个地点[50] - 美国占合并后收入的 82%，加拿大占 4%，国际市场占 14%，总收入为 53 亿美元[51] Revenue Breakdown by Product - 合并后的公司收入中，管道、配件和法兰占 37%，泵和生产占 26%，阀门占 22%，气体产品占 7%，磨具、MRO、安全和其他产品占 11%，总收入为 53 亿美元[73]