Koppers (KOP) investor relations material

Strategic direction and transformation

• Major capital projects completed, positioning for near-term improvement and long-term upside through the Catalyst transformation process.

• Transformation initiatives delivered $46M in 2025 benefits, exceeding projections, with $75M+ identified for 2026–2028.

• 2028 objectives include adjusted EBITDA margin above 15%, three-year EPS CAGR over 10%, and average annual free cash flow of $100M.

• Focus on cost structure optimization, margin enhancement, and capital efficiency.

• Sustainability and experienced management are highlighted as competitive advantages.

Business segments and market leadership

• Largest supplier of crossties to Class I railroads in North America and leading supplier of utility poles in the U.S. and Australia.

• Global leader in wood preservation chemicals and key supplier to railroad, construction, and aluminum markets.

• 2025 segment sales: RUPS $927M, PC $544M, CMC $409M; adjusted EBITDA: RUPS $108M, PC $103M, CMC $46M.

• Balanced portfolio provides counter-cyclicality, with stable replacement demand in core markets.

Financial performance and capital allocation

• 2025 adjusted EBITDA of $256.7M and margin of 13.7%, both second highest on record.

• Adjusted EPS of $4.07, marking six consecutive years above $4.00.

• Operating cash flow of $122.5M, seventh consecutive year over $100M.

• $47.6M in net capital expenditures, $38.2M in share repurchases, and $20.7M for acquisitions in 2025.

• Quarterly dividend increased by 12.5% to $0.09 per share for 2026.