Cadre (CDRE) investor relations material

Company overview and business model

• Manufactures highly engineered safety equipment for professionals, with 85% of 2025 revenue from products and 15% from distribution.

• Serves over 23,000 first responders and federal agencies in 104+ countries, with 21 manufacturing facilities and 2,600+ employees.

• Core product categories include duty gear, EOD, body armor, and nuclear safety.

• Implements a leadership-centric operating model focused on continuous improvement and innovation.

• Over 2,277 lives saved by products as of May 2026.

Financial performance and outlook

• Total revenue grew 85% and adjusted EBITDA grew 239% from FY2020 to FY2026E, with 420 bps margin expansion.

• FY2025 revenue was $610M with $112M adjusted EBITDA (18.3% margin); FY2026 guidance is $736M–$758M revenue and $136M–$141M adjusted EBITDA.

• Q1 2026 net sales were $155.4M (up 19% y/y), with a gross margin of 38.7% and adjusted EBITDA of $21.1M (13.6% margin).

• Record Q1 2026 backlog of $355M, up from $189M in Q4, driven by contract wins and acquisitions.

• Net leverage at 2.9x as of March 31, 2026, with strong free cash flow and asset-light model.

Market dynamics and growth drivers

• Industry tailwinds include rising global safety threats, increasing government safety spending, and recurring product refresh cycles.

• Law enforcement and military markets benefit from resilient and growing expenditures, with U.S. and European budgets trending upward.

• Nuclear segment supported by national security, environmental management, and energy policy tailwinds, with multi-decade demand visibility.

• Private investment and government policy are accelerating nuclear sector growth and modernization.