Sono-tek Corporation · NASDAQ:SOTK
Sono-tek — Investor Presentation (February 2013)
26 slides from Sono-tek's investor presentation, Feb 7, 2013
Slide 1: SONO-TEK Corporation Investor Presentation
SONO-TEK Corporation Investor Presentation February 2013
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of th
Slide 3: Company Overview
Company Overview Sono-Tek Corporation A global technology company committed to providing a world class customer experience. Providing customer-driven ultrasonic spray coating solutions. Capable of delivering profitable, dynamic growth.
Slide 4: Company Highlights
Company Highlights Sono-Tek, (SOTK), invented ultrasonic spray technology in the 1970s. Today SOTK is the largest manufacturer of ultrasonic spray coating systems in the world. Thousands of systems sold. Hundreds of customers in six major industries. Customers in dozens of countries worldwide.
Slide 5: How Ultrasonic Nozzles Work
How Ultrasonic Nozzles Work Sono-Tek is the originator of ultrasonic spray coating technology, commercializing this science in the 1970s.
Slide 6: Spraying and Coating Technologies
Spraying and Coating Technologies More precise, more repeatable, more uniform coatings with minimal waste and no clogging compared to conventional coating techniques.
Slide 7: Electronics & Advanced Energy Applications
Electronics & Advanced Energy Applications Printed Circuit Board Fluxing Flip Chip, MEMs Semiconductor Fuel Cells Solar Cells
Slide 8: Ultrasonic Coating Solutions Applications
Ultrasonic Coating Solutions Applications Medical Devices Blood Collection Tubes/Syringes Glass Textiles/Industrial Food
Slide 9: Customer Base
Customer Base Hundres of Multi-National Companies Around the Globe
Slide 10: Worldwide Sales FY2012 Sales by Product Type
Worldwide Sales FY2012 Sales by Product Type
Slide 11: Worldwide Sales FY2012 Sales by Market Segment
Worldwide Sales FY2012 Sales by Market Segment
Slide 12: Worldwide Sales FY2012 Sales by Territory
Worldwide Sales FY2012 Sales by Territory
Slide 13: Global Distribution Network
Global Distribution Network Our extensive global support and distribution network provides factory trained representatives with local language support in dozens of countries worldwide.
Slide 14: Ultrasonic Spraying & Coating Opportunity Historical Perspective
Ultrasonic Spraying & Coating Opportunity Historical Perspective
Slide 15: Six Major Industry Areas
February 2013 Six Major Industry Areas ¢ Printed Circuit Board Manufacturing v Spray Fluxing ¥ Conductive Isolation Coatings e Advanced Energy v Fuel Cell — Proton Exchange Membrane (PEM) Coatings, Solid Oxide Fuel Cell (SOFC) Coatings ¥ Solar Cell — Thin Film and Silicon Solar Cell Manufacturing ¢
Slide 16: Food Industry Initiative
EEE Food Industry Initiative Application Applying chocolate flavor onto Applying anti-microbial onto sliced | Applying oil onto baked leading brand breakfast cereal. | meat before packaging. products. Status e Successfully completed e Successfully demonstrated R&D | Successfully completed R&D demons
Slide 17: Recent Technology Developments: Core Technology
Recent Technology Developments Core Technology Chemically resistant nozzle materials The use of chemically compatible materials opens up new markets to spray processes that previously used other deposition methods. Designed to resist greater than 30% HCl acid. No compromise in acoustical performance
Slide 18: Recent Technology Developments: Coating Systems for Niche Markets
Recent Technology Developments Coating Systems for Niche Markets MediCoat BCC balloon catheter coating system Opens a new market for coating angioplasty drug eluting balloon catheters. Designed to spray drug eluting polymers and solutions similar to already proven spray process with stent coating. F
Slide 19: Ultrasonic Spray Nozzle Innovations
Ultrasonic Spray Nozzle Innovations Established Spray Shaping Technologies Next Generation Spray Innovations Radial spray nozzle Microprinting nozzle Flat spray nozzle Ceramic nozzle Coated/modified alloys Ultra high frequency nozzle
Slide 20: Strategic Sales Initiatives
Strategic Sales Initiatives Programs Implemented to Strengthen SOTK ’ s Position Worldwide labs up and running in key countries starting to impact sales. New website structured to allow for easy expansion of product lines, as well as increased lead generation and improved SEO results. Increased vide
Slide 21: Why Invest in Sono-Tek (SOTK)
Why Invest in Sono-Tek (SOTK) Attractive Long Term Opportunity & Market Position Untapped growth potential in multiple markets Significant leadership position in the industry Largest product lines for several different industries using ultrasonic spray Industry leadership with full coating solutions
Slide 22: FY2012 Highlights
FY2012 Highlights Continued strong growth, up 22% to $12M in sales. Record net income of $1.4M, more than double FY2011. Strong cash generation and cash balance. Significant growth in solar energy coating applications. Continued success & growth in implantable medical device coating sales. Expansion
Slide 23: FY2013 Expectations
FY2013 Expectations After three years of strong growth in sales and profits, in 2013 we experienced the impact of the global economic slowdown. For the current fiscal year, we estimate a decline of approximately 20% in sales, but have taken the necessary restructuring and cost reductions to remain p
Slide 24: Financial Results
February 2013 Fi na ncial Res u Its | Income $14,000,000 = omcee $12,000,000 $1,400,000 $10,000,000 $1,200,000 $8,000,000 $1,000,000 $800,000 $6,000,000 $600,000 $4,000,000 $400,000 $2,000,000 5200000 = $0 mice) Nevis Taal eee FY2010 FY2011 FY2012 FY2013 * * ESTIMATE SONOsTEK Corporation SOTK Invest
Slide 25: Financial Results: EPS and Shareholder's Equity
February 2013 Fi na ncial Res u Its Diluted Earnings per Share Shareholder’s Equity $0.10 $7,000,000 $0.09 $0.08 $6,000,000 $0.07 $5,000,000 $0.06 $4,000,000 $0.05 $0.04 $3,000,000 ae $2,000,000 $0.02 $0.01 $1,000,000 $0.00 $0 2010 2011 2012 2013 * 2010 2011 2012 2013* * ESTIMATE SONOsTEK Corporatio
Slide 26: Financial Results: Sales per Employee and Cash
February 2013 Financial Results Sales per Employee Cash & Marketable Securities $200,000 $3,000,000 $180,000 $160,000 $2,500,000 $140,000 $2,000,000 $120,000 o hy a walesiees el a rT $1,500,000 $80,000 aEO 5 _ pa piel | $60,000 ap a $1,000,000 $40,000 B82 5 $20,000 in ae ie) $500,000 $0 $0 aa 2 BI A