Dynamic : Corporate Presentation

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DYNAMIC GROUP HOLDINGS

FIRST HALF FY22 RESULTS

FEBRUARY 2022

Dynamic Group Holdings Ltd ACN 640 888 213

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DISCLAIMER

• This presentation has been prepared by Dynamic Group Holdings Ltd ACN 640 888 213 (Company or DDB). This presentation is not a financial product or investment advice or recommendation, offer or invitation by any person or to any person to sell or purchase securities in DDB in any jurisdiction. This presentation contains general information only and does not consider the investment objectives, financial situation and needs of individual investors. Investors should make their own independent assessment of the information in this presentation and obtain their own independent advice from a qualified financial adviser having regard to their personal objectives, financial situation and needs before taking any action.
• No representation or warranty, express or implied, is made as to the accuracy, completeness, reliability or adequacy of any statements, estimates, opinions or other information, or the reasonableness of any assumption or other statement, contained in this presentation. Nor is any representation or warranty (express or implied) given as to the accuracy, completeness, likelihood of achievement or reasonableness of any forecasts, prospective statements or returns contained in this presentation.
• Such forecasts, prospective statements or returns are by their nature subject to significant uncertainties and contingencies, many of which are outside the control of DDB. To the maximum extent permitted by law, DDB and its related bodies corporate, directors, officers, employees, advisers and agents disclaim all liability and responsibility (including without limitation any liability arising from fault or negligence) for any direct or indirect loss or damage which may arise or be suffered through use or reliance on anything contained in, or omitted from, this presentation.
• An investment in DDB securities should be considered speculative and is subject to investment and other known and unknown risks, some of which are beyond the control of DDB. DDB does not guarantee any rate of return or the absolute or relative investment performance of DDB securities. The distribution of this presentation including in jurisdictions outside Australia, may be restricted by law. Any person who receives this presentation must seek advice on and observe any such restrictions.
• DDB financial statements comply with International Financial Reporting Standards (IFRS). This presentation may include certain non-IFRS performance measures including EBTIDA, Underlying NPBT, Underlying NPAT, Gross Debt, Net Debt in relation to DDB and Orlando. These measures are used internally by management to assess the performance of the business. Non-IFRS measures have not been subject to audit or review and should not be considered as an alternative to an IFRS measure of profitability, financial performance or liquidity. DDB has prepared (and made assumptions in the preparation of) the financial information relating to Orlando in reliance on limited financial and other information provided by or on behalf of Orlando and its shareholders. To the maximum extent permitted by law, DDB does not take any responsibility for that information. The half financial year ended 31 December 2021 (1H FY22) results presented herein are unaudited and are subject to change until finalisation of the FY22 audit of the Company.
• This presentation may contain certain forward-looking statements with respect to matters including but not limited to the financial condition, results of operations and business of DDB and certain of the plans and objectives of DDB with respect to these items. These forward-looking statements are not historical facts but rather are based on DDB's current expectations, estimates and projections about the industry in which DDB operates, and its beliefs and assumptions. Words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates", "guidance" and similar expressions are intended to identify forward looking statements and should be considered an at-risk statement. Such statements are subject to certain risks and uncertainties, particularly those risks or uncertainties inherent in the process of developing technology and in the endeavor of building a business around such products and services. These statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors, some of which are beyond the control of DDB, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward looking statements. DDB cautions shareholders and prospective shareholders not to place undue reliance on these forward-looking statements, which reflect the view of DDB only as of the date of this release. The forward-looking statements made in this announcement relate only to events as of the date on which the statements are made. DDB will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this announcement except as required by law or by any appropriate regulatory authority.

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A Standout, Growth Focused Business

• Dynamic Group Holdings Limited (ASX:DDB) is a Western Australian based and focused market leading drill and blast and exploration drilling Company
• Since listing in 2020, Dynamic has delivered impressive operational and earnings growth
• First Half FY22 Revenue of A$34.7m (193% growth from 1H FY21)
• First Half FY 22 EBITDA of A$8.1m (178% growth from 1H FY21)
• Strong balance sheet with A$10.1m in cash, trade & other receivables of A$10.4m and access to undrawn facilities A$7.3m
• 39 drill rigs in fleet, with 240+ personnel servicing 18 active projects
• Significant investment in opportune R&M over new year period, as well as 4 new drill rigs undertaken in 1H FY22
• The Company is focussed on maintaining positive, sustainable growth and underlining earnings
• Led by a well-credentialled and aligned Management and Board, with significant skin in the game
• Management continues to assess strategic corporate opportunities which focus on expanding service offering and scale

An established and growing client base

across a diverse commodity mix

Total Revenue by Commodity

Other (Gold /

Copper / Nickel

• Civil)
  5%

Lithium

18%

Iron Ore (Civil /	Gold
Construction)
62%
15%

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DYNAMIC CORPORATE PROFILE

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Corporate Overview

ASX Stock Symbol	DDB
Shares Issued	114,873,8441
Share Price	A$0.40
(at 23/02/2022)
Market	A$45.6m
Capitalisation
Net Debt2	A$5.8m
(as at 31/12/2021)
Cash	A$10.1m
(as at 31/12/2021)
Enterprise Value	A$51.4m
(at 23/02/2022)
Net Asset Value	A$35.7m
(as at 31/12/2021)

Proven and Credentialled Team

Non-Executive Chairman	Garret Dixon
Managing Director	Mark Davis
Executive Director	Matt Freedman
Executive Director	David Kinnersley
Executive Director	Joel Skipworth
Non-Executive Director	George Garnett

Top Shareholders

Temorex Pty Ltd & Goldfire	13.66%
Enterprises Pty Ltd (Rob
Martin)
Valentino Holdings Pty Ltd
& Ganan Capital Pty Ltd	13.21%
(Laurie Freedman)
The Tiger Drill Trust (Joel	9.79%
Skipworth)
The Milligan Trust (David	9.79%
Kinnersley)
JEZAC Pty Ltd (Mark Davis)	7.25%
Rangehill Holdings Pty Ltd	7.25%
(Matt Freedman)
Total	60.95%
Top 20	77.44%

Notes:

1. Includes restricted shares. Excludes existing 8,972,100 options and 3,277,900 performance rights on issue. Excludes potential to issue up to 16,666,667 shares to the

	vendors as part of the earn-out consideration subject to Orlando's FY22 performance	4
2.	Undrawn facilities with CBA and NAB to A$7.3m

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Integrated Exploration and Drill & Blast Business

		Service Offering			Asset Base		Tier-1 Project Sites
		Exploration drilling				20 x Blast Hole Drill Rigs
		Resource definition / Infill drilling				2 x Air Core (AC) Drill Rigs
		Mine production drill & blast				14 x Reverse Circulation (RC) Drill
					Rigs
						3 x Diamond Drill (DD) Rigs*
		Construction drill & blast
		Vibration sensitive drill & blast				240+ Personnel
Notes:						5
1. 2 diamond drill rigs are cross-hired