Slide 1: Q1 2023 Earnings Call May 11, 2023
Q1 2023 Earnings Call May 11, 2023 2023 - 05 - 10 1 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON)
Slide 2: Today's Presenters
T od a y ’ s Presenters 2023 - 05 - 10 2 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) • Urban Forssell, CEO • Fredrik Nihlén, CFO
Slide 3: Legal Disclaimer
Legal Disclaimer 2023 - 05 - 10 3 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) This presentation contains, and related oral and written statements of Neonode Inc. (the “Company”) and its management may contain, forward - looking statements within the meaning of the Private Securities Liti
Slide 4: Agenda
Agenda 2023 - 05 - 10 4 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) 1. Summary of Key Points 2. Q1 2023 Financial Results 3. Brief Business Update 4. Q&A Neonode Inc. Q1 2023 | May 11, 2023
Slide 5: Summary of Key Points Q1
Summary of Key Points Q1 2023 - 05 - 10 5 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) • Licensing revenues stable • Worldwide semiconductor supply shortage situation has begun to improve • Printer and automotive customers’ sales have stabilized • Product sales revenues below targets • Sl
Slide 6: Agenda
Agenda 2023 - 05 - 10 6 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) 1. Summary of Key Points 2. Q1 2023 Financial Results 3. Brief Business Update 4. Q&A Neonode Inc. Q1 2023 | May 11, 2023
Slide 7: Q1/'23 Financial Results – Revenues
1,400 1,200 1,000 800 600 400 200 0 - 200 AMER EMEA APAC AMER EMEA APAC AMER EMEA APAC AMER EMEA APAC AMER EMEA APAC AMER EMEA APAC AMER EMEA Q1 - 20 Q2 - 20 Q3 - 20 Q4 - 20 Q1 - 22 Q2 - 22 Q3 - 22 Q4 - 22 Q1 - 23 Thousands Q1/’23 Financial Results – Revenues Revenues by Revenue Stream and Region Q1
Slide 8: Q1/'23 Financial Results – Gross Profit/Margin
Q1/’23 Financial Results – Gross Profit/Margin 52% Adjusted Gross Margin TSMs* Q1 2023 ź 10pp YoY 54% Gross Margin Products Q1 2023 ź 11pp YoY * See reconciliation in Appendix ”Non - GAAP Financial Measures” - 250% - 200% - 150% - 100% - 50% 0% 50% 100 50 0 - 50 - 100 - 150 - 200 200 100% 150 Q1 - 2
Slide 9: Q1/'23 Financial Results – Operating Expenses
Q1/’23 Financial Results – Operating Expenses $2.8 million Operating Expenses Q1 2023 Ÿ 5% YoY - 3,000 - 3,500 2023 - 05 - 10 9 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) - 2,500 - 2,000 - 1,500 - 1,000 - 500 0 Thousands Operating Expenses Q1 - 20 Q2 - 20 Q3 - 20 Q4 - 20 Q1 - 21 Q2 - 21
Slide 10: Q1/'23 Financial Results – Cash
Q1/’23 Financial Results – Cash $22.9 million Cash and Accounts Receivables Mar. 31, 2023 Ÿ 6.7 Million Dec. 31, 2022 $1.7 million Net Cash Burn Operating Activities Q1 2023 ź 25% YoY - 3,000 - 3,500 2023 - 05 - 10 10 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) - 2,500 - 2,000 - 1,500 -
Slide 11: Agenda
Agenda 2023 - 05 - 10 11 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) 1. Summary of Key Points 2. Q1 2023 Financial Results 3. Brief Business Update 4. Q&A Neonode Inc. Q1 2023 | May 11, 2023
Slide 12: We transform the way humans and machines interact
We transform the way humans and machines interact 2023 - 05 - 10 12 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON)
Slide 13: Business Strategy: Technology Licensing and Product Sales
Business Strategy: Technology Licensing and Product Sales INTERACTIVE KIOSKS ELEVATORS PRINTER AUTOMOTIVE TARGET SEGMENTS CUSTOMER OFFERINGS BUSINESS MODELS ZFORCE MULTISENSING TOUCH SENSOR MODULES (ZFORCE) SALES OF NRE SERVICES + TECHNOLOGY LICENSING SALES OF NRE SERVICES + PRODUCT SALES 2023 - 05
Slide 14: Key Application Areas
Key Application Areas In Our Licensing Business: • Driver and In - cabin Monitoring • HUD Obstruction Detection • Interior Controls • (Rugged) Touch • Gesture Sensing In Our Products Business: • Contactless Touch • Touchless Touch on displays, keyboards, keypads, buttons • Holographic Touch • (Rugge
Slide 15: Driver and In-Cabin Monitoring
Driver and In - Cabin Monitoring 2023 - 05 - 10 15 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON)
Slide 16: Structab taximeters powered by Neonode's Touch technology
Structab 2023 - 05 - 10 16 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) Structab taximeters are powered by Neonode’s Touch technology
Slide 17: Claridge's elevator with Contactless Touch technology
Claridge’s 2023 - 05 - 10 17 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) Claridge’s luxurious 5 - star hotel upgrades heritage elevator with Contactless Touch technology
Slide 18: Imagine…
Imagine… 2023 - 05 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 18 www.youtube.com/@NeonodeInc
Slide 19: Q1 2023 – Q1 2024 Events
Q1 2023 – Q1 2024 Events CES 2024, Las Vegas, NV NRF 2024, New York, NY Q1 2023 Q1 2024 2023 - 05 - 10 19 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) SRS & CVS, Shanghai AutoSens InCabin, Phoenix, AZ Embedded World, Germany EuroShop, Germany Passenger Terminal Expo, The Netherlands South
Slide 20: Agenda
Agenda 2023 - 05 - 10 20 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON) 1. Summary of Key Points 2. Q1 2023 Financial Results 3. Brief Business Update 4. Q&A Neonode Inc. Q1 2023 | May 11, 2023
Slide 21: Thank you
info@neonode.com neonode.com Subscribe to Neonode newsletter Thank you. 2023 - 05 - 10 21 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) 2023 - 05 - 10 21 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON)
Slide 22: Appendix
Appendix 2023 - 05 - 10 22 © Neonode 2001 - 2023 · www.neonode.com · Nasdaq (NEON)
Slide 23: Non-GAAP Financial Measures
Non - GAAP Financial Measures In addition to presenting our financial results in accordance with accounting principles generally accepted in the United States (“GAAP”), we use adjusted gross margin to measure our financial performance. We define adjusted gross margin as gross margin excluding AirBar