Cadre Holdings, Inc. Jefferies Global Industrials Conference 2026

Yeah, absolutely. Thank you guys for joining us, for those here in the room and are listening in. Again, I'm Brad Williams. I'm with Cadre Holdings. I lead the company overall and excited to talk about who we are here for a couple of minutes. A private company, 60-plus years, before going public. A very long heritage in the public safety space is where we grew up, with a bunch of leading brands. We went public in November 2021 through a traditional IPO-type process. When we went public, we talked about diversifying in terms of an industrial-type company. No surprise, based on mine and Blaine's backgrounds and others within the company, being with IDEX, Danaher Corporation, and Ingersoll Rand Inc. Through that transition, we've done quite a few things.

One, we've implemented our Cadre Operating Model, which for those that know industrial-type companies, it's the mainstay of what happens within an industrial company. That's one change since going public, that we've put in place, and we're doing extremely well with our operating model. The second piece has been our M&A story. We've acquired seven companies since going public. Five of those companies have been within public safety, to continue to build out our leading position within the public safety portfolio. Then two of those companies have been within the Nuclear Safety segment, which is our first diversification play since going public in 2021. I'll spend just a couple of minutes on the main product categories within the company. We do focus on safety and survivability products. Think of our products as being very critical to those professionals that use our products on a daily basis.

Within public safety, the big product categories are Body Armor, that's things like Hard Armor and Soft Armor. The second category is Duty Gear, mainly the holster, being the main product category there. The third-largest in terms of public safety is EOD, so explosive ordnance disposal. Think of that as bomb suits that bomb technicians wear around the world. Then the fourth category I already mentioned, which is Nuclear Safety, where we have products, everything ranging from highly engineered containers, to ventilation systems, to alarms that are used in facilities that we need to make sure we're alerting folks if there's a nuclear-type issue that's going on within those facilities. So, a wide range of products within the nuclear portfolio also.

That's who we are in terms of what we were before going public, what we've been doing since going public, and then where we are today overall as an industrial-type compounder.

Right. No, appreciate the question. I think first thing when we think about the business, we have a variety of products, as Brad kind of just walked through. One important thing is don't think about us just as a quarter-over-quarter business, right? There's a portion of our business that is more project-based, which creates some seasonality or some lumpiness quarter to quarter. That's one thing we talk a lot about. When we think about that 3% to 5%, we think on an annual basis, and that's, I think, the right view to have on it. When we talk about how do we sustain the 3% to 5%, we start and just split the business in two. As Brad talked about public safety and the nuclear side. The public safety side, we're supplying primarily equipment for officers or military personnel.

On the law enforcement side, it is very steady. We have data in the U.S. law enforcement markets, goes back into the early 2000s, so it's a very consistent 3% growth in that budget, right? That's through the financial crisis. I think that's the only year it dropped, and it dropped, I think, down to just less than 1%. So it's always been on the upper trajectory, very consistent. That 3% to 5%, that's what gives us a lot of faith in that baseline 3% growth for the business. That's holsters and Body Armor. When we think about that 3% to 5%, that range, what really is the inflection point? There's a couple of things. There are some large projects. Majority of our current business is with state and local agencies. There's federal agency opportunities. We recently won as a partner for the Body Armor for the FBI, right?

That's a five-year contract, IDIQ. That is a significant win. Second piece I'd add on the EOD side that can inflect us up, and there's really two opportunities that have come to fruition lately. One is we have a Blast Sensor, which we're supplying to United States Special Operations Command, which measures concussive force that operators are exposed to, and that's a $50 million IDIQ award with POs received over $18 million so far in the last nine months. So that's another kind of game changer for us. Then the third part when we think about that is, it's a recent contract. It's a product we've had for a number of years. It's Blast Attenuation Seats. These go on military vehicles, and they are designed to absorb some of the force if a military vehicle is exposed to explosive forces.

That was an $87 million seven-year contract with GDELS, so General Dynamics European Land Systems. So that's a really nice exposure to some of that European spend that's been going on. So those are on the public safety side. Those are some of the inflections. We also had recently acquired TYR Tactical, which is a global Body Armor company based in Phoenix, which is very focused internationally. Over half their revenue comes from international markets, for Canada and Northern Europe, who have great exposure into European militaries, and they've seen and continue to see very consistent growth there, which we think will continue to drive that organic growth.

On the nuclear safety side, those markets, when we look at them, we think about them as a 4%-6% grower. We are not kind of betting. This is not a bet on AI or SMRs. We acquired our first nuclear asset in 2024, started our diligence in 2023. We really view there are three sectors or three verticals within nuclear. There is national security, so think the nuclear weapons side. There is environmental remediation, and then the third is commercial nuclear. We look at that and say the first two are very steady. There is a common problem for most Western countries that you have an aging weapons nuclear stockpile. There is congressional funding as well as a mandate to increase pit production in the U.S., which we have products that are used in the production and storage of those materials. So very steady, very consistent.

In environmental remediation, just in the U.S. alone, there is over $500 billion of nuclear waste that has to be disposed of. This is primarily Cold War storage, weapons production facilities where we have material in the ground in many cases that we are unaware of what it is. We have not determined what level of radioactivity it has and how do we dispose of it. So we provide non-destructive assays, so the ability to characterize the material. We provide containers for over the road storage as well as permanent storage. Then the third vertical, when we talk about commercial nuclear energy, we have a number of opportunities there. I think it is very exciting, the AI and the nuclear renaissance. Our view is probably still a little bit more conservative. There is certainly a lot of momentum.

In the last nine months, we have seen really orders move from the sales funnel into POs being placed as people are starting to break ground on fuel enrichment. Our exposure there is robotic arms, those containment solutions. Brad mentioned the Criticality Accident Alarm System. So, a number of exposures. I think that nuclear side, there is a pretty steady kind of 4-6. Because of the concentration, though, when you think kind of year to year, I think we are going to see years that are high singles, low teens, and we may see years that are kind of low singles just depending on how the projects line up because it is not a very wide customer base.