A global leader in used equipment sales Investor overview presentation

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June 2016

Forward looking statements and non-GAAP measures This presentation contains forward-looking statements. Forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions. Actual results may differ materially from those expressed herein. Additional information concerning factors that could affect the Company’s actual results is included in the Company’s filings with securities regulators. The Company undertakes no obligation to update publicly any forward-looking statements except as required by securities legislation.

This presentation contains non-GAAP financial measures. For a discussion of non-GAAP measures and the most directly comparable GAAP financial measures, see the Appendix to this presentation as well as our earnings releases, our Form 10-Q interim report and 10-K annual report, which are available at: investor.ritchiebros.com All figures are in US dollars, unless otherwise noted. While rounding may occur in performance numbers for presentation purposes, percent change figures are calculated using full, unrounded numbers.

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Ritchie Bros. overview The trusted source for buying and selling industrial equipment • Global leader for industrial auctions; unreserved process

Ritchie Bros. has a strong heritage – selling used equipment since 1958

– No minimum bid/reserved price. No buy-backs. – Ensures the sale of goods on the day of the auction at global market price

• Cater to the needs of heavy equipment owners – Customers are from the construction, trucking, agricultural & resource sectors

• 345 auctions; $4.25 billion in Gross Auction Proceeds during 2015 – Industry leader by wide margin; Enormous growth opportunity, with a highly fragmented market

RBA Auction - Circa 1958

• Provide multichannel sales solutions to expand the breadth of services available to equipment sellers: – EquipmentOne launched in 2013 – Mascus (equipment sales listing service) acquired in 2016

Strong financial performance • $515.9 million of revenue during fiscal 2015 • $121.1 million of adjusted net income¹ during fiscal 2015

Publicly listed on the NYSE and TSX (as RBA) • Market cap of approx. US$3.5 billion 3

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¹ Net Income attributable to stockholders

RBA Auction - Now

Global reach 44 auction sites in 14 countries worldwide • More than half of auction purchases are made by bidders from outside the region of the auction • Allows RBA to effectively transfer equipment between regions experiencing different economic cycles • Consignors benefit from global market pricing for their equipment, generated by international demand • Buyers benefit from a global supply, with an ability to purchase and ship equipment from weak economic regions to areas with stronger growth Ritchie Bros.’ online bidding allows customers from around the world to bid on equipment at any of our auctions. • Real-time information from live auctions available online to registered bidders

2015 Regional breakdown of revenue (Revenue breakdown - % of 2015 total) Canada

7%

United States

10%

32%

Other

$516 Mil US comprised a great proportion of revenue in 2015 relative to 2014.

50%

2014 Revenue breakdown - % of 2014 total 9% 12%

32%

$481 Mil 47%

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Europe

Canada United States Europe Other

Global equipment market size is $360 billion Ritchie Bros. is a global leader in used equipment sales, with $4.2 billion of equipment sold in 2014 However, this represents only 1.2% of a highly fragmented global used equipment exchange market The US market alone represents over $50 billion, 7x Canada – a key market for growth

Mining Oil & Gas

Mining Oil & Gas Transportation Agriculture

Transportation

Agriculture

Construction

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Construction Source: Internal estimates; based on historical OEM unit sales, estimates of fleet turnover, and average selling prices at RB auctions. Allocation by geography based on sector GDP.

Growing seller and buyer base Consignments & buyer base

Auction registrants & lots

(Metrics are for industrial auctions only)

(Metrics are for industrial auctions only)

140,000

600,000 Consignors

Registrants

6.4% CAGR in buyers over last 10 years

Buyers

8.2% CAGR in registrants over last 10 years

Lots

120,000

500,000

100,000 400,000

5.2% CAGR in Lots over last 10 years

80,000 300,000 60,000

5.0% CAGR in consignments over last 10 years

200,000

40,000 100,000

20,000

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2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

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2005

0

0

Growth of Gross Auction Proceeds (GAP) Gross Auction Proceeds (US$ millions) $4,500

4,245

$4,000

GAP: The aggregate dollar amount transacted through Ritchie Bros. Auctioneers and EquipmentOne

$3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500

1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

$-

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US$4.25 billion of GAP produced during fiscal 2015

Includes transactions of AssetNation and EquipmentOne online marketplaces in 2012 - 2015

Four external influences on GAP

1

The pricing environment

2

The mix of categories of assets sold

• •

•

•

3 4 8

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A strong pricing environment will enhance market values of equipment sold at auctions Stable or increasing pricing environment provides consignors with more confidence to sell equipment through unreserved auctions

RBA sells a wide variety of industrial and agricultural equipment and other products. There is no consistency to the mix of assets sold, as it varies at each auction held due to regional, seasonal and cyclical factors. The proportion of higher-valued items sold at each auction relative to smaller goods impacts the auction proceeds generated

The mix of equipment age •

Newer equipment generally has a higher market value compared to older machinery

The number of Lots consigned •

Each sale generates proceeds. Increasing the number of Lots sold can bolster gross auction proceeds

Unreserved auction revenue model Four main revenue streams support Ritchie Bros.’ unreserved auction business: Unreserved Auction TRANSACTION TYPE Sellers

Straight Commission

(Consignors)

Consignors contract to sell their equipment through one of Ritchie Bros. unreserved auctions. A pre-determined percentage of the selling price is provided to RBA as commission.

Guaranteed Proceeds (underwritten transaction) Consignors are guaranteed to receive a pre-determined amount for their equipment, regardless of the final selling price at the auction. A stepped commission fee is negotiated, accounting for the additional risk being assumed by RBA. (Also known as an ‘at risk’ transaction)

REVENUE Straight Commission fee (% of auction proceeds)

Stepped commission fee (x% of guaranteed proceeds; x+y% for proceeds above guaranteed amount)

Inventory (underwritten transaction)

Buyers

On rare occasions, Ritchie Bros. may choose to purchase equipment outright, obtaining title of the piece to sell at an upcoming auction.

Gains on sale

Admin Fees & Value-added Services (VAS)

Admin fees and fees from value-added service activities

RBA provides many services to assist with the purchase of equipment, including financing , inspection services, painting etc.

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Revenue from other business lines supplement our revenue: EquipmentOne buyer and seller fees; Xcira revenue; Mascus revenue

50% of our buyers are now online The strength of our live (simulcast) online bidding capabilities is valued by our customers • During Q1 2016 we attracted record first quarter online bidder registrations • 62% of registered bidders during Q1 were online bidders • Sold approx. $449 million of assets through online transactions during Q1 2016, an increase of 11% from Q1 2015; comprising 44% of Q1 2016 GAP Percent of buyers: On site or online 80% 70%

Online

64%

Onsite

60%

50%

50% 40%

36%

30% 20% 10% 0% Q1 2012

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Q2

Q3

Q4

Q1 2013

*Industrial auction data

Q2

Q3

Q4

Q1 2014

Q2

Q3

Q4

Q1 2015

Q2

Q3

Q4

Q1 2016

The Ritchie Bros. App – Launching soon The Ritchie Bros. app provides a mobile channel with which to stay connected to and purchase equipment at auction. Feature list: • • • • • • • • •

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Equipment Search Equipment Details Auction Listing / Details Auction Registration Sign In / Authentication Profile & Bidding Limit Information Live Auction Bidding and Viewing Multi Ring participation and navigation Purchase History (proforma invoice)

We are fast becoming a multichannel, digital powerhouse Ritchie Bros. now offers four main sales channels to equipment owners Business units are supported through Ritchie Bros. ownership of Xcira (online auction technology provider) and Ritchie Bros. Financial Services (financial solutions partner for equipment buyers). RITCHIE BROS. GROUP OF COMPANIES: 75% ownership 51% ownership

Integrated technology platform Integrated onsite/online unreserved auction network

Online marketplace

Online listing service

Brokerage channel for highly specialized assets 12

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Financial intermediary capitalizing on captive customer base to provide an alternative source of capital

Multichannel solutions: The launch of EquipmentOne provided customers with another sales solution – an online equipment marketplace

The seller journey: sellers choose methods based upon needed degree of control

Commercially launched in 2013

Our vision is to position appropriate solutions at each point of seller journey and connect them

• Offers sellers more control over the sales price, time and purchaser; opens up opportunities for RBA to bid on RFPs

• Website traffic up 11% in 2015, compared to 2014 (average monthly user) Customers of EquipmentOne value having control over the process and price, more than the guarantee of sale. They prefer a negotiated price, over global market value.

Certain

High Control to Seller

• Operates primarily in the United States; expanded into Canada in Q1 2016

Some Certainty of Sale

Control over: Price Time Location Buyer

Low

• During 2015, EquipmentOne contributed approx. $120 million of GTV (Gross Transaction Value) to GAP; up 13% from 2014

Uncertain

High

Effort for Seller

Result: Transacting anyhow, anytime, anywhere

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Low

Multichannel solutions: Mascus is a leading global online equipment sales listing service Grows our service offering, to offer additional sales solutions to equipment sellers. Expands our buyer audience. Established a large presence in Europe. •

Acquired during Q1 2016

•

Provides equipment sellers with a turn-key suite of business tools and software solutions catering to the needs of OEMs, dealers and large equipment fleet owners – Generates sticky customer relationships

• • •

Mascus generates 3.2 million monthly website visits Business currently has 360,000+ listings of equipment and other assets for sale Financial terms: €24.0 million (US$26.6 million) – Additional cash consideration, totaling no more that €3.4 million (US$3.8 million) may be paid contingent upon certain operating performance targets being achieved over the next 3 years

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Expected to be marginally accretive to RBA’s performance immediately Performance of Mascus is fully consolidated into RBA’s financial reports

Strategic Roadmap Objective: grow revenue & earnings, drive cash flow, improve RONA

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Acquisition of the minority interest in RBFS Ritchie Bros. Financial Services has performed extremely well in the last 18 months • We currently own 51% of this business; have signed a binding letter of intent to acquire 100% of the company • Transaction closing expected by July 1, 2016, at which time we will make a formal announcement • Contributions from RBFS are already accounted for on a fully consolidated basis in our financial statements • Allocation of 49% interest is noted within the minority interest line of our income statement • Minority interest valued at US$41.4 million; final purchase price could differ from fair value estimates contained in our Q1 2016 disclosure

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Capital allocation priorities Priority

Discussion

1. Grow dividends with earnings

Highly valued return of cash to shareholders

2. Hold fully-diluted shares flat

Offset dilution from management stock options through share buybacks

3. Acquisitions

Accelerate top-line growth and leverage the model

4. Share buy-backs

Growth initiatives are a higher priority at this time

5. Pay down debt

Only if better economic returns are not available

  

Consistently make use of cash on our balance sheet to facilitate underwritten transactions; The strength of our balance sheet is a competitive advantage.

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(1) Priorities for cash utilization after operating CAPEX needs have been met.

RBA’s evergreen financial model Performance Metric

Avg. Annual Growth Targets

2015 performance

• GAP Growth (%)

High Single Digit to Low Double Digits



+8% (organic)

• Revenue Growth (%) (1)

Mid Single Digit to High Single Digit



+16% (organic)

• SG&A Growth (%)

Will grow slower than revenues



+12% (organic, excl. D&A)

• Operating Income Margin

50 bps +

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+360 bps

• EPS Growth (%) (2)

High Single Digit to Low Double Digits

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+22% (adjusted)

• Net Capex Intensity (3)

100%



150%

• RONA (5) Increase

50 bps +

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+910 bps (excl. current portion of long term debt)

• Dividend Payout Ratio

55% to 60%

*

53% (*announced 14% increase in dividend in Aug. 2015 based on TTM earnings)

• Net Debt / EBITDA