Slide 1: Investor's Presentation for 2019
INVESTOR’S PRESENTATION FOR 2019 XTPL S.A. April 23, 2020 xtpl.com
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Slide 3: Agenda
AGENDA EQUITY STORY 1. 2. 3. 4. 5. TECHNOLOGY APPLICATIONS VALUE MARKET COMMERCIALIZATION 6. 7. 8. 9. 10. PIPELINE EVENTS FINANCE TEAM VISION xtpl.com 3
Slide 4: Equity Story
EQUITY STORY XTPL develops the most precise printing technology in the world applicable in the rapidly growing electronics market. Global value of printed, flexible and Value of printed electronics $ 74 billion organic electronics market in 2030 market in 2018 $ 10 billion Number of application fiel
Slide 5: Technology Breakthrough
TECHNOLOGY BREAKTHROUGH XTPL’s nanoprinting method is ground-breaking. This is because of a unique combination of several features: it offers the level of precision it allows for the traditional additive method it does not require electric field, that cannot be achieved by any advantages of print –
Slide 6: Technology Precision
TECHNOLOGY PRECISION CURENT STANDARD XTPL METHOD The minimum feature size is 20 μm The minimum current feature size is 1 μm Due to the progressing miniaturization and growing complexity of devices, the market expects precision at the level of single micrometers. Such a precision cannot be provided b
Slide 7: Additive vs Subtractive Method
TECHNOLOGY ADDITIVE VS SUBTRACTIVE METHOD APPLICATION TIME AND COSTS ENVIRONMENT SUBSTRATE ADDITIVE Precise application/ simple process Effective and flexible Safe for the environment Most substrates/ even curved ones SUBTRACTIVE Removal of unnecessary material to Time and material consuming Require
Slide 8: Technology Comparison
TECHNOLOGY COMPARISON XTPL nanoprinting technology eliminates all the disadvantages of methods comparable in various application fields PARAMETERS INKJET EHD LCVD LITHOGRAPHY XTPL low high average very high high precision up to several tens of up to single micrometers up to several micrometers at th
Slide 9: Technology Protected Intellectual Property
TECHNOLOGY PROTECTED INTELLECTUAL PROPERTY XTPL global solution is systematically secured by expanding the patent cloud. The company has already submitted 13 patent applications. Unique and well-protected intellectual property • is a product • determines the company's market position • significantly
Slide 10: Applications Platform Character
APPLICATIONS PLATFORM CHARACTER • The global value of printed, flexible and organic electronics market amounted to $ 37.1 billion in 2019 ADVANCED ELECTRONICS • Its estimated value in 2030 is $74 billion • CAGR 2019–2030 – 6.5% Production of technologically advanced devices using STRONG MEGATREND co
Slide 11: Value Benefits
VALUE BENEFITS XTPL technology offers unique benefits for each • maximum density of conductive structures application field: • potential for further miniaturization • cost effective and scalable process ADVANCED PCBs • increasing production yield • significant reduction of glass conversion time • im
Slide 12: Market: First Targeted Markets
MARKET FIRST TARGETED MARKETS SMART GLASS DISPLAYS XTPL technology used for creating XTPL technology used for repairing invisible conductive structures for open defects occurring during display glass conversion production WYŚWIETLACZE 2 μm 5 μm Application: smart glass Application: open defect repai
Slide 13: Commercialization Business Model
COMMERCIALIZATION BUSINESS MODEL LICENSING • the company develops technological solution dedicated to a particular application field and license it to a partner; • on its basis, the partner builds devices that allow the technology to be used in the industry; • the company generates revenues from one
Slide 14: Pipeline
PIPELINE Verified sales prospects in several Active projects with large international corporations 7 41 application fields CLIENT A CLIENT B CLIENT C CLIENT D CLIENT E CLIENT F CLIENT G Smart glass Manufacturer of devices for Manufacturer of devices Manufacturer of devices Manufacturer of devices Li
Slide 15: Events: XTPL Inc. – Branch in USA
EVENTS XTPL INC. – BRANCH IN USA FEBRUARY 2019 • in February 2019, the Issuer launched its subsidiary XTPL Inc. in Sunnyvale, in Silicon Valley, whose board includes: Filip Granek, Harold Hughes and Amir Nayyerhabibi • the Silicon Valley direction is natural for XTPL, mostly due to the concentration
Slide 16: Events: XTPL Debuts on WSE
EVENTS XTPL DEBUTS ON WSE FEBRUARY 2019 • February 20, 2019 is the date of the first trading session of XTPL on the WSE main market • several months earlier XTPL debuted on the New Connect market • XTPL has decided to transfer the listing of shares to the main market of the Warsaw Stock Exchange to
Slide 17: Events: XTPL on the Podium in Shenzhen
EVENTS XTPL ON THE PODIUM OF COMPETITION IN SHENZHEN APRIL 2019 • XTPL on the podium of the China Innovation & Entrepreneurship competition in the advanced manufacturing category • the competition attracted high-quality projects and companies from around the world • the main goal of the event is the
Slide 18: Events: Display Week in San Jose
EVENTS DISPLAY WEEK IN SAN JOSE MAY 2019 • during the Display Week - 14-16 May in San Jose - XTPL presented its additive technology for the display sector • the company presented itself to over 7,000 key professionals operating in the displays market: decision makers, engineers, suppliers, as well a
Slide 19: Events: Hiroshi Menjo in Management Board of XTPL Inc.
EVENTS HIROSHI MENJO IN THE MANAGEMENT BOARD OF XTPL INC. MAY 2019 • Hiroshi Menjo on the board of directors of XTPL Inc. • co-founder and managing partner at NSV Wolf Capital, the strategic fund in Silicon Valley • career at Konica, research at Massachusetts Institute of Technology and MIT Microele
Slide 20: Events: Successful Issue of Shares
EVENTS FINANCIAL DATA SELECTED SUCCESSFUL ISSUE OF SHARES JULY 2019 • successfully completed issue of shares for PLN 10 million • share capital increase through a private placement • shares taken up both by Polish individual investors and Western institutional investors • nearly a half of the stock
Slide 21: Events: Technology Licensing
EVENTS FINANCIAL DATA SELECTED TECHNOLOGY LICENSING AUGUST 2019 TWO PAYMENT STREAMS to the licensor (XTPL in this case) • adoption of a licensing model as a method of commercialization of XTPL technology for open defect repair in the display market • licensing is preferred by most potential clients
Slide 22: Events: Extension of the Patent Cloud
EVENTS FINANCIAL DATA SELECTED EXTENSION OF THE PATENT CLOUD SEPTEMBER 2019 • at present, XTPL has 13 international applications. • for deep-tech companies intellectual property is a product and a competitive advantage, and the size of the patent cloud has a major impact on their value • from the po
Slide 23: Events: Cooperation with BOE
WYDARZENIA EVENTS COOPERATION WITH BOE NOVEMBER 2019 • one of the world's leading players on the display market - BOE - interested in the breakthrough XTPL technology of ultra-precise nanoprinting • both entities signed an agreement (TEA - Technology Evaluation Agreement), launching the evaluation o
Slide 24: Events: Cooperation with HPK Inc.
EVENTS COOPERATION WITH HPK INC. NOVEMBER 2019 • XTPL and the Korean company HPK Inc., one of the main suppliers of devices for defect repair in displays for LG - one of the world’s largest manufacturers of consumer electronics - have signed a Memorandum of Understanding (MoU) • representatives of t
Slide 25: Commercialization – Open Defect Repair
ACTUALIZATION WYBRANE DANE FINASOWE COMMERCIALIZATION – OPEN DEFECT REPAIR • there is a clear market need for a new open defect repair technology, mainly related to the • Click icon to add picture implementation of next generation displays • rejects on display production lines can reach up to 50% (i
Slide 26: Commercialization – Smart Glass
ACTUALIZATION WYBRANE DANE FINASOWE COMMERCIALIZATION – SMART GLASS • XTPL is currently implementing the third phase of an advanced proof of concept project • the main purpose of the current testing phase is to check new formulations of XTPL inks, specifically designed to suit the partner’s needs, r
Slide 27: Expansion of the Patent Portfolio
ACTUALIZATION EXPANSION OF THE PATENT PORTFOLIO The first two patent applications relate to the ultra-precise deposition process (UPD) The third patent application concerns the ink used in the UPD process 2019 The fourth application claims the method of precise positioning of the printing head and c
Slide 28: Events After 2019: Herbert Wirth in the Supervisory Board
EVENTS AFTER 2019 HERBERT WIRTH IN THE SUPERVISORY BOARD JANUARY 2020 • on 9 January 2020, XTPL shareholders appointed Prof. Herbert Wirth, the former CEO of KGHM Polska Miedź S.A., to the company’s Supervisory Board • Mr. Wirth has significant experience in business development on global markets an
Slide 29: Events After 2019: Cooperation with Cowin
EVENTS AFTER 2019 COOPERATION WITH COWIN FEBRUARY 2020 • on 28 February, XTPL S.A. and Suzhou Cowin Laser Technology Co Ltd based in China signed a Technology Evaluation Agreement (TEA) • Cowin is looking for a technology for repairing open defects in new generation displays • The aim of the proof o
Slide 30: Events After 2019: First Commercial Orders
EVENTS AFTER 2019 FIRST COMMERCIAL ORDERS MARCH 2020 • XTPL carried out three sales transactions of nanoink based on silver nanoparticles • nanoink is one of the key elements of the XTPL technology, protected by international patent applications • two deliveries were carried out for the partners ope
Slide 31: Events After 2019: Expansion of the Patent Portfolio
EVENTS AFTER 2019 EXPANSION OF THE PATENT PORTFOLIO The first two patent applications submitted in 2020 are related to the method and apparatus for characterising and optimising ink flow in the printing head. This method is generic and can be applied not only to the XTPL technology, but also to othe
Slide 32: Selected Consolidated Financial Data
FINANCE DANE FINASOWE WYBRANE SELECTED CONSOLIDATED FINANCIAL DATA BALANCE SHEET STRUCTURE CASH FLOWS NET REVENUE FROM SALES Net cash flows from investing activities Net cash flows from operating activities Net cash flows from financing activities * figures in EUR thousand xtpl.com 32
Slide 33: Selected P&L
FINANCE DANE FINASOWE WYBRANE P&L 01.01.2019 - 31.12.2019 WITHOUT ESOP WITH ESOP Revenue from sales 2 063 2 063 Research and development expenses 5 048 7 316 Gross profit (loss) -2 985 -5 253 General and administrative expenses 8 076 18 834 Other operating income and operating costs -5 -5 Operating
Slide 34: Supervisory Board in Poland and Board in USA
TEAM XTPL SUPERVISORY BOARD IN POLAND AND MANAGEMENT MILESTONES / KPI BOARD IN USA WIESŁAW ROZŁUCKI HERBERT WIRTH CHAIRMAN OF THE SUPERVISORY BOARD SUPERVISORY BOARD MEMBER Co-founder and former president of the Former President of the Management Board of Warsaw Stock Exchange in Warsaw KGHM S.A. He
Slide 35: Team: XTPL Milestones / KPI
TEAM XTPL MILESTONES / KPI Filip Granek Filip Auksztol Currently over 30 people in Poland and the United States MANAGEMENT BOARD BUSINESS PRESIDENT/ CEO DEVELOPMENT TECHNOLOGY BUSINESS an interdisciplinary, well-balanced business leaders & highly skilled team with advanced knowledge & professionals
Slide 36: Vision
VISION VISION In the near future, we will print displays, solar cells, biosensors and other advanced elements just as cheaply and quickly as we print newspapers or books today. This is not just a vision any more. With XTPL nanoprinting technology, this is a fast approaching reality! xtpl.com 36
Slide 37: Thank You
XTPL S.A. Stabłowicka 147 54-066 Wrocław, Poland xtpl.com THANK YOU
Slide 38: Disclaimer
DISCLAIMER This presentation has been prepared by XTPL S.A. (“Company”) for the sole purpose of giving an introduction on the business of the Company. The presentation: • has selected information; it does not give a comprehensive description of business or financial analysis of the Company; • is not