Nexttrip, Inc. · NASDAQ:NTRP
Nexttrip — Sigma Labs — The Noble Conference January 2018
28 slides from Nexttrip's conference presentation, Jan 30, 2018
Slide 1: Going to Market – The Noble Conference
SIGMA LABS Quality Beyond Inspection™ Going to Market The Noble Conference January 2018 John Rice, Chair & CEO Copyright © 2018 Sigma Labs, Inc.
Slide 2: Forward Looking Statement
© SIGMA LABS Forward Looking Statement This document including any documents which may be incorporated by reference into it, contains “Forward-Looking Statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as a
Slide 3: Sigma Labs stock data
© Sigma Labs, Inc. SIGMA LABS NASDAQ: SGLB Recent Price* $1.85 Shares Outstanding 4.98 M Market Cap* $9.2 52 Wk. Range $9.20 - $1.40 FY End: Dee 31 *Data as of 01/21/18 Copyright © 2018 Sigma Labs, Inc. 3
Slide 4: Introduction to Sigma Labs
© Introduction to Sigma Labs SIGMA LABS In-Process-Quality Assurance (IPQA) software products for 3D Metal e Manufacturing IN-PROCESS QUALITY ASSURANCE ™ (IPQA®) SOFTWARE & 3D METAL PRINTING a? MATERIAL & PROCESS ENGINEERING SERVICES Copyright © 2018 Sigma Labs, Inc. 4
Slide 5: What and why
© SIGMA LABS What and why What is 3D manufacturing in metal and why is it important? Why is Sigma’s PrintRite3D® 3.0 so necessary for 3D metal printing to leap from prototyping to production?
Slide 6: Benefits of 3D Advanced Manufacturing: Honeywell Engine Mount
© Benefits of 3D Advance Manufacturing SIGMA LABS Case Studiy Aerospace Applications and Advantages of using Design for Additive Manufacturing Honeywell - Engine Mount a Original Design Optimized Design Optimized Part - Conventional Mfg. - Designed for AM - 56% weight reduction - Reduced weight - In
Slide 7: Benefits of 3D Advanced Manufacturing: GE Aviation Fuel Nozzle
© Benefits of 3D Advanced Manufacturing SIGMA LABS Case Study GE AVIATION — FUEL NOZZLE BP Optimized Design - Designed for AM - Reduced weight 25% - Part Consolidation 20 into 1 - 5x More Durable Reduced Buy to Fly Time - Reduced development time by 1 yr - Dramatically reduced cost Full Rate AM Prod
Slide 8: Benefits of 3D Advanced Manufacturing
© Benefits of 3D Advanced Manufacturing SIGMA LABS Copyright © 2018 Sigma Labs, Inc. 8
Slide 9: 3D Metal Industry Problem
© 3D Metal Industry Problem SIGMA LABS AM manufacturing characteristics: ¢ Small lots — 10 to 20 on a plate ¢ High variance in part quality within the same lot ¢ Same settings can have different quality outcomes, in the same machine and from machine to machine Traditional Quality Assurance for metal
Slide 10: 3D Metal Industry Pain
@. © 3D Metal Industry Pain SIGMA LABS PAIN: traditional post-process quality methods do not address, improve, or ensure 3D metal high quality in high quantity or in small lot manufacturing... PRODUCTION RUN YIELDS ARE LOW, INSPECTION COSTS ARE HIGH Quality needs to be assured for a run of one part,
Slide 11: The Solution is Sigma's In-Process Quality Assurance
© SIGMA LABS The Solution is Sigma’s In-Process Quality Assurance™ (IPQA®) ... Sigma’s In-Process Quality Assurance ™ (IPQA@®) tools, PrintRite3D®, monitors and assesses the quality of each part in the AM machine in production layer by layer in real time: 1. Quality requirements are determined and s
Slide 12: Sigma's IPQA Suite
SIGMA LABS Sigma’s IPQA® Suite Industry's Broadest Portfolio of “Best in Class” real-time Computer Aided Inspection (CAI) software solutions with cutting edge new technologies. PrintRite3D® is the quality control solution that makes tomorrow’s precision metal parts possible. o} PRINTRITE3D= ay SENSO
Slide 13: How it works
© SIGMA LABS How it works ¢ Sigma Labs and a customer design a qualification program for a part slated for 3D production... ¢ PrintRite3D® is installed on the AM equipment and the customer performs manufacturing test runs to learn from PrintRite3D® if the AM equipment is consistent in each sector of
Slide 14: Where is IPQA headed?
© SIGMA LABS Where is IPQA® headed? TODAY: PrintRite3D® 3.0 determines if each part is meeting the customers’ quality specification in real-time manufacture. We assure quality, we save money, we increase yields. We do that now. TODAY: PrintRite3D® 3.0 helps customers optimize AM machines for quality
Slide 15: Sigma's Technology Value Proposition
© SIGMA LABS Sigma’s Technology Value Proposition In order for 3D metal manufacturing to leap from the laboratory bench to the production floor, the industry must have the means to assure high quality, part by the part, not lot by lot. Ergo, the industry will be forced to adopt In-Process Quality Mo
Slide 16: Go to Market
© SIGMA LABS Go to Market Commercializing PrintRite3D® Market Market Changes and Timing Strategies
Slide 17: Sigma Labs 2017 Market Change
a | Sigma Labs 2017 Market Change Not just for research anymore Companies that are in 3D metal parts production have bought Sigma’s PrintRite3D® 3.0 to evaluate it for integration into production lines: Woodward Siemens Aeroject Rocketdyne Solar Turbines (Caterpillar) Pratt and Whitney
Slide 18: Wohlers Market Overview
@) © Wohlers Market Overview SIGMA LABS Use of 3D technology is surging. Sales reached $1 billion in 2007, jumped to nearly $5.2 billion in 2015 and are expected to hit $26.5 billion by 2021. According to Wohlers Report 2016 - 3D Printing and Additive Manufacturing State of the Industry Annual World
Slide 19: Sigma Labs Target Markets
@) Sigma Labs Target Markets SIGMA LABS The 3D Digital Domain PrintRite3D° IPQA® Process Inspection AIVIS IWOILHIA MACHINE-OEMs AEROSPACE & DEFENSE MEGRS: BIOMEDICAL MFGRS. POWER: GENERATION MFGRS, AUTOMOTIVE MEGRS. Copyright © 2018 Sigma Labs, Inc. 19
Slide 20: Commercialization Strategies
e) Commercialization Strategies SIGMA LABS > “Sigma Inside.” »>Negotiate with AM equipment manufacturers (OEMs) to provide full suite of Sigma’s bundled software/printer products with their equipment. » Work directly with major 3D Metal parts buyers > Create first to market end-to-end 3D advanced DI
Slide 21: Contracts, Events and Milestones
© 2017 Catalysts Contracts, Events and Milestones SIGMA LABS «Honeywell DARPA Period 3 (awarded); «Aerojet Rocketdyne US Booster Program (awarded); ¢Add New End Users to Early Adopter Program; «Solar Turbines Division of Caterpillar, Woodward, Aerojet Rocketdyne eAdd New Machine Manufacturers to OEM
Slide 22: Client Growth
© SIGMA LABS Client Growth Customers of Sigma and its Strategic Alliance partners-Path to Commercialization Access to Industry Leading Clients at multiple points of entry accelerates growth PH monTuRor cnumnMAN MEGGiTT THALES mS Materialise-\— GaAtcoa 4@)/ Spartacus30 BendixKing. wert Solar Turbines
Slide 23: Intellectual Property & Trade Secrets
© IP, Sigma’s Potential Barrier to Entry Intellectual Property & Trade Secrets SIGMA LABS Intellectual Property: Patents Trade Secrets & Process Knowhow Method patents and process IP with Issued patents and patent filings to protect the Company > decade ¢ Combination of issued and pending filings re
Slide 24: Tipping Points?
© SIGMA LABS Tipping Points? GE’s Actions: * Commence 3D manufacturing of 40,000 fuel nozzles....per year ¢ Spend >$1 Billion in 2017 Acquiring Arcam and Concept Laser Wohler’s Forecasts: ¢ Airbus plans to manufacture 30 tons metal parts per month by December 2018. ¢ HP, Canon, Michelin, Ricoh, Tosh
Slide 25: Contrasts in scale
© SIGMA LABS Contrasts in scale * Contrast $88 million industry sales in 2015 or $300 Million in 2017 to the sizes of the industries and companies active in AM... ¢ Contrast ‘prototype’ dollar volume to production dollar volumes... ¢ Contrast existing AM install base to the forecasts of third partie
Slide 26: Executive Leadership
SIGMA LABS Executive Leadership John R. Rice Mark J. Cola Ron Fisher Fava Chief Technology Officer VP Business Development : 34 years of scientific and 20years as a distinguished 40+ years of executive management of sales and marketing officer as growing and advanced manufacturing well as a Chief Op
Slide 27: Investor Relations
© SIGMA LABS Investor Relations Bret Shapiro Managing Partner CORE IR 377 Oak Street Garden City, NY 11530 Brets@coreir.com Copyright © 2018 Sigma Labs, Inc. For More Information Sigma Labs Inc. John Rice Chair and Interim CEO 3900 Paseo del Sol Santa Fe, NM 87507 505-438-2576 rice@sigmalabsinc.com
Slide 28: Sigma Inside
© SIGMA LABS @. Sigma Inside Copyright © 2018 Sigma Labs, Inc. 28