Lucid Group, Inc. · NASDAQ:LCID
Lucid — Churchill Capital Corp IV — SPAC Merger (May 2021)
74 slides from Lucid's SPAC merger presentation, May 13, 2021
Slide 1: Analyst Day Presentation May 2021
CHURCHILL CAPITAL Analyst Day Presentation May 2021 CHURCHILL CAPITAL
Slide 2: About This Presentation
CHURCHILL CAPITAL ABOUT THIS PRESENTATION This presentation is provided for informational purposes only and has been prepared to assist interested parties in making their own evaluation with respect to a potential business combination (the “proposed business combination”) between Atieva, Inc . (“Luc
Slide 3: About This Presentation: Use of Projections
CHURCHILL CAPITAL ABOUT THIS PRESENTATION Use of Projections This presentation contains projected financial information with respect to the combined company, namely revenue, cost of goods sold, gross profit, capital expenditures, EBIT, EBITDA and Free Cash Flow for 2021 – 2026 . Such projected finan
Slide 4: About This Presentation: Industry, Market and Vehicle Data
CHURCHILL CAPITAL ABOUT THIS PRESENTATION Industry, Market and Vehicle Data Industry and market data used in this presentation have been obtained from third - party industry publications and sources as well as from research reports prepared for other purposes . Neither Lucid nor CCIV has independent
Slide 5: Today's Presenters
CHURCHILL CAPITAL PRESENTERS Today’s Presenters 5 Peter Rawlinson CEO, CTO • Automotive Industry Executive with +30 years of experience • Previous Vice President of Vehicle Engineering at Tesla and Chief Engineer of the Model S Derek Jenkins SENIOR VICE PRESIDENT OF DESIGN & BRAND • Leads Lucid’s de
Slide 6: Key Updates Since Merger Announcement
CHURCHILL CAPITAL 6 Key Updates Since Merger Announcement UPDATES Lucid Air Dream Edition is now sold out, and total Air reservations are above 9,000.
Slide 7: Key Updates Since Merger Announcement
CHURCHILL CAPITAL 7 Key Updates Since Merger Announcement UPDATES Continued expansion of team in North America, Europe and Middle East, with key additions to leadership and employee base now over 2,000. Margaret Burgraff HEAD OF SOFTWARE QUALITY Sanjay Chandra VICE PRESIDENT OF INFORMATION TECHNOLOG
Slide 8: Key Updates Since Merger Announcement
CHURCHILL CAPITAL 9 Key Updates Since Merger Announcement UPDATES Manufacturing processes and build quality continue to be refined as part of the pre - production run, with 74 pre - production vehic les now built in our AMP - 1 manufacturing facility in Arizona. Production readiness build is on trac
Slide 9: Key Updates Since Merger Announcement
CHURCHILL CAPITAL 10 Key Updates Since Merger Announcement UPDATES Further build - out of retail and service network, with additional locations in New York, Illinois, Arizona, and California to open over the coming two months.
Slide 10: Key Updates Since Merger Announcement
CHURCHILL CAPITAL 11 UPDATES Key Updates Since Merger Announcement Lucid ESS prototype undergoing testing now, including integration tests with the solar panel installation at our headquarters.
Slide 11: Upcoming Unveiling of Lucid User Experience
CHURCHILL CAPITAL 12 Upcoming Unveiling of Lucid User Experience UPDATES On May 26, Lucid will share with the world additional information regarding its digital user experience.
Slide 12: Lucid's Mission
CHURCHILL CAPITAL Lucid’s mission is to inspire the adoption of sustainable transportation by creating the most captivating luxury electric vehicles centered around the human experience. Lucid’s first product, the Lucid Air, is on track for expected production and deliveries in 2H 2021. MISSION CHUR
Slide 13: Investment Highlights
CHURCHILL CAPITAL INVESTMENT HIGHLIGHTS 14 Lucid, a leader in EV technologies, defines a new generation of EVs, ushering in a new paradigm for the automotive industry. Favorable Market Forces Large addressable market with favorable tailwinds 3 Long Term Success High - end first product, followed by
Slide 14: Lucid's Management Team
CHURCHILL CAPITAL Michael Smuts VICE PRESIDENT OF FINANCE Andrew Rogan DIRECTOR OF CORPORATE DEVELOPMENT Doreen Allen SENIOR DIRECTOR OF SALES Eugene Lee SENIOR DIRECTOR OF AD/ADAS Zak Edson SENIOR DIRECTOR OF RETAIL OPERATIONS Peter Hochholdinger VICE PRESIDENT OF MANUFACTURING Peter Hasenkamp VICE
Slide 15: Investment Highlights
CHURCHILL CAPITAL INVESTMENT HIGHLIGHTS 16 Note: Projected range, performance and specifications are for the Lucid Air Dream Edition are based on Lucid testing data. Mi les per kWh is calculated for Lucid Air Grand Touring based on projected range. Projected range based upon manufacturer’s projected
Slide 16: Market Positioning: Establishing the Lucid Brand
CHURCHILL CAPITAL Market Positioning Establishing the Lucid Brand CHURCHILL CAPITAL 17
Slide 17: Changing Luxury Market Values
CHURCHILL CAPITAL MARKET POSITIONING Changing Luxury Market Values Status Opulence Materialism Indulgence Physical Engagement Well - being Refinement Experience Sustainability Physical & Emotional Engagement “Post - luxury” consumers increasingly seek brands that align with their values - brands tha
Slide 18: Lucid Air is Pioneering Post-Luxury
CHURCHILL CAPITAL 19 Lucid Air is pioneering “Post - Luxury.” This, Lucid’s first product, will effectively define the Lucid brand. MARKET POSITIONING Opulence + Indulgence Elegance + Modernity
Slide 19: Post-Luxury: Increased Expectations
CHURCHILL CAPITAL Post - Luxury: Increased Expectations We look past traditional definitions of luxury in order to appeal to customers who expect more , including brand values, experiences and designs without constraints. Lucid appeals to people who value purpose and meaning , and who realize that t
Slide 20: The Brand Proposition
CHURCHILL CAPITAL California Cool Understated Luxury Reflection of Customer Values Sustainable Effortless Performance Silicon Valley Tech Technological Tour - de - Force Connected Computer on Wheels Race Proven Battery Technology Sophisticated Software Heart + Mind MARKET POSITIONING The Brand Propo
Slide 21: Product
CHURCHILL CAPITAL Product CHURCHILL CAPITAL 22
Slide 22: Lucid Air
CHURCHILL CAPITAL 23 PRODUCT Lucid’s first product, the Lucid Air, fuses art and science to capture the full potential of electrification. As Lucid’s flagship product, the Air establishes the bar for excellence across all Lucid products and experiences. STARTING FROM $77,400 MAX PROJECTED RANGE 2) >
Slide 23: Lucid Space Concept
CHURCHILL CAPITAL Lucid's Space Concept represents a technical breakthrough, achieved through a ground up rethink in the way an automobile is designed. Lucid’s reimagining of the car has resulted in more interior space for driver, passengers and storage within a more compact, sporty and efficient ex
Slide 24: Lucid Air Rear Seat
CHURCHILL CAPITAL 25 PRODUCT Lucid Air will launch with a “bench” style rear seat, providing expansive space for three adults with class - leading legroom.
Slide 25: Lucid Air Interior Themes
CHURCHILL CAPITAL 26 PRODUCT Lucid Air’s interior themes are crafted with colors and materials that invoke iconic California locations at various times of day and night.
Slide 26: Glass Canopy
CHURCHILL CAPITAL 27 PRODUCT A glass canopy sweeps over the cabin, creating an even more extravagant sense of space.
Slide 27: Glass Cockpit
CHURCHILL CAPITAL 28 PRODUCT Introducing “Glass Cockpit;” Lucid Air’s beautifully integrated, configurable infotainment system is a technical marvel, providing a seamless connected experience.
Slide 28: Aerodynamics
CHURCHILL CAPITAL 29 PRODUCT With a drag coefficient of only 0.21, Lucid Air offers outstanding aerodynamics that enable greater range and performance.
Slide 29: Efficiency is the Ultimate Measure of EV Technology
CHURCHILL CAPITAL Vehicle Range (miles) Efficiency is the ultimate measure of EV technology, and Lucid is the clear winner. High efficiency is crucial in that it provides key benefits: • Longer range in its own right • Faster miles - per - minute charging for the equivalent power charger • Equivalen
Slide 30: Long Range and High Performance Co-Exist
CHURCHILL CAPITAL Lucid’s advanced technology has enabled long - range and high - performance to co - exist. Other EVs have either range or performance, not both. PRODUCT 31 Tesla Model S Long Range (Dual Motor) Tesla Model S Plaid 3) (Tri Motor) Lucid Air Dream Edition Tesla Model S Long Range Tesl
Slide 31: Lucid Air vs Mercedes-Benz S-Class
CHURCHILL CAPITAL Lucid Air redefines luxury by offering more than Mercedes - Benz S - Class across price points. PRODUCT Air Dream Edition vs. Mercedes S65 AMG Air Grand Touring vs. Mercedes S63 AMG Air Touring vs. Mercedes S560 Note: Chart based on data advertised by Mercedes - Benz and Lucid test
Slide 32: Lucid Air Trims and Price Points
CHURCHILL CAPITAL Dream Edition Grand Touring Touring Pure Horsepower 1) 1,080 hp 800 hp 620 hp 480 hp Range 1) Projected >500 mi. Projected >500 mi. Projected >400 mi. Projected >400 mi. Cost 2 $169,000 inclusive From $139,000 From $95,000 From $77,400 Reservation Payment 3) $7,500 $1,000 $1,000 $3
Slide 33: Lucid Skateboard EV Platform
CHURCHILL CAPITAL Lucid “Skateboard” EV Platform In - house design, underpinning Lucid’s “Space Concept” The LEAP platform incorporates Lucid’s 6 key powertrain elements, designed and developed fully in - house: • Battery Pack & Battery Management Software • Electric Motors • Power Electronics • Tra
Slide 34: Project Gravity
CHURCHILL CAPITAL 35 PRODUCT Project Gravity
Slide 35: Project Gravity Reimagining the SUV
CHURCHILL CAPITAL Project Gravity elevates the SUV to a new level with extraordinary performance, as well as category - redefining interior space. Reimagining the SUV Introducing Utility 2.0 Project Gravity’s maximized interior space will allow for seven passengers, made possible by Lucid’s miniatur
Slide 36: Lucid Family of Products
CHURCHILL CAPITAL Lucid Air and Project Gravity are the initial cornerstones of a broader Lucid family of products. PRODUCT 2021 2023 2030 Lucid Air Project Gravity Planned Sedans Planned SUVs Other Planned Vehicles Lucid plans to offer a portfolio of products with varying body styles and price poin
Slide 37: Energy Storage Systems Technology Supplier
CHURCHILL CAPITAL Energy Storage Systems (ESS) Technology Supplier • Early prototype already operating at Lucid Headquarters • Leverages Lucid’s extensive battery pack and battery management systems (BMS) experience • Opportunity to leverage Lucid vehicle battery module and power electronics technol
Slide 38: Technology
CHURCHILL CAPITAL Technology CHURCHILL CAPITAL 39
Slide 39: Potential Applications Across Multiple Industries
CHURCHILL CAPITAL Battery Pack Motor & Transmission Inverter Software Potential Applications Across Multiple Industries CVs/Buses Helicopters/ Drones/Aircraft Static Energy Storage Systems Heavy Equipment/ Agriculture Passenger Vehicles • Compact and energy dense pack developed in - house embodies i
Slide 40: Race-Proven Battery Technology
CHURCHILL CAPITAL 10+ years’ experience in the design, engineering and manufacturing of battery packs and battery management software . Millions of real - world vehicle miles of data accrued . Our battery pack and battery management software power all teams in the world’s premier EV racing series. O
Slide 41: Power Dense Drive Unit
CHURCHILL CAPITAL 42 TECHNOLOGY Lucid has developed an incredibly power dense drive unit. Comprising integrated motor, transmission and inverter, Lucid’s Drive Unit is designed to increase efficiency and power outpu t, while reducing size and weight; attributes that enhance range and enable the “spa
Slide 42: Ultra-Fast and Bi-Directional Charging
CHURCHILL CAPITAL Time to Charge Grand Touring / Dream Edition ~20 Minutes/ 300 Miles Tesla Model S Long Range 15 Minutes / 200 Miles Tesla Model S Plaid / Plaid+ 15 Minutes / 200 Miles Porsche Taycan Turbo S 22.5 Minutes / 160 Miles TECHNOLOGY Lucid’s proprietary technology enables ultra - fast and
Slide 43: Lucid Infotainment System
CHURCHILL CAPITAL The Lucid Infotainment System is designed to provide a seamless Connected Experience, both inside the car and out. TECHNOLOGY With highly advanced processing capabilities, the system is designed to leverage data analytics and OTA updates to improve over time. Expected Features* inc
Slide 44: Sensor Suite and Autonomous Driving
CHURCHILL CAPITAL 45 45 Lucid Air is equipped with an extensive sensor suite, high on - board computing power, and back - up systems for advanced autonomous driving functionality. TECHNOLOGY Note: Expected specifications are for the Lucid Air Dream Edition. Vehicles are in pre - production and speci
Slide 45: Micro Lens Array Lighting
CHURCHILL CAPITAL TECHNOLOGY 46 Note: Vehicles are in pre - production and specifications are subject to change. Lucid’s Micro Lens Array Lighting - A Revolution in Optical Technology Lucid's in - house created and engineered Intelligent Micro Lens Array (MLA) headlights provide an incredibly homoge
Slide 46: R&D Leadership
CHURCHILL CAPITAL TECHNOLOGY 47 R&D Leadership • Innovation is at our core • Our in - house R&D establishes Lucid as a leader across multiple technologies and areas of expertise • Lucid has developed a state - of - the - art electric powertrain • Over 80% of our filed patent applications have issued
Slide 47: Designed for Mass Production
CHURCHILL CAPITAL Designed for Mass Production TECHNOLOGY 48 Lucid’s vision is to truly revolutionize EV technology through mass industrialization on a scale hitherto not achieved. Lucid’s single piece “brick” injection moulded battery module is race derived yet designed for manufacture in the milli
Slide 48: Go-To-Market Strategy
CHURCHILL CAPITAL Go - To - Market Strategy CHURCHILL CAPITAL 49
Slide 49: Reservations Represent Over $800mm in Anticipated Sales
CHURCHILL CAPITAL GO - TO - MARKET With existing reservations already representing over >$800mm in anticipated sales, customer traction is strong and has continued to grow as brand awareness has increased. 1) Depending on final trim specification and package. As of May 3, 2021. Includes reservations
Slide 50: Direct Sales Strategy
CHURCHILL CAPITAL Lucid’s direct sales strategy enables full control over the customer experience, to ensure that interactions are on - brand and pressure - free. First six retail stores are now open, with numerous additional stores opening in North America throughout 2021. Entry to European and Mid
Slide 51: Lucid Studios Retail Locations
CHURCHILL CAPITAL Century City – West Los Angeles, CA Multiple Lucid Studios are currently open, and additional high - profile locations are under construction or in development. Lucid HQ – Newark, CA Valley Fair Mall – San Jose, CA Beverly Hills – Los Angeles, CA Brickell City Center – Miami, FL GO
Slide 52: The Lucid Digital Journey
CHURCHILL CAPITAL GO - TO - MARKET The Lucid Digital Journey Customers engage with Lucid through its advanced digital platform. *Some elements of the platform are in development and are not yet available. * 53
Slide 53: Charging Solutions
CHURCHILL CAPITAL • Home energy management system • Plug & Play using portable EV Supply Equipment (EVSE) included with every vehicle OR • Purchase optional wall mount EVSE 1) • Installation through official Lucid - Installation partner, QMerit , or an electrician of choice • Capable of AC up to ~20
Slide 54: Tesla Supercharger vs Lucid Electrify America Strategy
CHURCHILL CAPITAL Tesla Supercharger Network vs Lucid Strategy with Electrify America GO - TO - MARKET Tesla Supercharger Network • First Mover perception of advantage • Highly capital intensive • 400V, first generation system • Max 250kW with latest v3 units • Unique closed source system Lucid - El
Slide 55: Manufacturing
CHURCHILL CAPITAL Manufacturing CHURCHILL CAPITAL 56
Slide 56: Advanced Manufacturing Plant AMP-1
CHURCHILL CAPITAL Our Advanced Manufacturing Plant (AMP - 1) in Casa Grande, Arizona is scheduled to begin production in 2H 2021. Built with strong incentives package and excellent support from government team. By building the facility from a clean slate and leveraging our decades of previous experi
Slide 57: Lucid Powertrain Manufacturing LPM-1
CHURCHILL CAPITAL MANUFACTURING 58 Powertrain technology is a key Lucid differentiator. Therefore core manufacture is conducted exclusively in - house (other than the battery cells). Lucid Powertrain Manufacturing (LPM - 1) plant is located just a few miles away from our vehicle manufacturing (AMP -
Slide 58: Arizona Site Selection
CHURCHILL CAPITAL Good proximity to Lucid HQ and existing automotive supply base. All utilities fully in place: • Power • Water/sewer • Road infrastructure • Rail Zoning suitable for automotive factory (“attainment” status for air quality). Site well positioned between Phoenix + Tucson with ample lo
Slide 59: Market Opportunity and Financial Outlook
CHURCHILL CAPITAL CHURCHILL CAPITAL Market Opportunity and Financial Outlook 60
Slide 60: Luxury Vehicle Market Opportunity
CHURCHILL CAPITAL The global luxury car market was estimated to be $495.7 billion in 2018 and is projected to reach $733.2 billion by 2026, registering a CAGR of ~5.0% from 2018 to 2026 This presents an opportunity for a true luxury EV company to address unmet needs and revolutionize this market Wit
Slide 61: 2030 Production and Market Share Opportunity
CHURCHILL CAPITAL By 2030, Lucid anticipates run - rate production of >500,000 units, representing ~4% market share of an anticipated 2030 TAM of 15mm units. Source: Management projections 1) TAM based on competitor vehicle set 2) 2030 TAM reflects expected 2020 - 2030 market growth. 2021 Products 2
Slide 62: Projected Market Share vs Tesla Model S
CHURCHILL CAPITAL 23.9% 18.3% 16.1% 12.0% 8.3% 2013 2014 2015 2016 2017 Source: Company, EV - volumes, Chinese new car registrations, McKinsey Center for Future Mobility. Tesla Model S Market Share After Launch Lucid Air Planned Market Share After Launch Model S Launch Year: 2012 Air Expected Launch
Slide 63: Production Volume and Revenue Forecast
CHURCHILL CAPITAL $2,219 $5,532 $9,931 $13,985 $22,756 2022 2023 2024 2025 2026 Production Volume and Revenue Forecast FINANCIAL OVERVIEW • Lucid is launching first in North American markets to solidify establishment of luxury brand position • Advanced Manufacturing Plant (AMP - 1) in Casa Grande, A
Slide 64: Near Term Profitability: EBITDA, Gross Profit, Free Cash Flow
CHURCHILL CAPITAL ($1,090) ($637) $592 $1,671 $2,885 2022 2023 2024 2025 2026 $34 $1,149 $2,125 $3,096 $5,280 2022 2023 2024 2025 2026 ($2,759) ($3,250) ($1,485) $321 $1,515 2022 2023 2024 2025 2026 Significant Investment and Progress to Date Leads to Near Term Profitability FINANCIAL OVERVIEW EBITD
Slide 65: Financial Operating Summary
CHURCHILL CAPITAL 66 FINANCIAL OVERVIEW Financial Operating Summary Note: EBITDA is a non - GAAP financial measure and should not be considered in isolation or as alternatives to measures derived in accordance with GAAP. See slide 74 for reconciliations. Figures presented may not sum due to rounding
Slide 66: Free Cash Flow
CHURCHILL CAPITAL 67 FINANCIAL OVERVIEW Free Cash Flow ($ Millions) 2021E 2022E 2023E 2024E 2025E 2026E EBITDA $ (1,389) $ (1,090) $ (637) $ 592 $ 1,671 $ 2,885 ) ( - ) Change in NWC (50) (334) (706) (327) (675) (903) ( - ) Cash Taxes - ) - ) - ) - ) (5) (70) (+) Incentives 4 ) 7 ) 10 ) 34 ) 105 ) 1
Slide 67: Transaction Overview
CHURCHILL CAPITAL Transaction Overview CHURCHILL CAPITAL 68
Slide 68: Transaction Overview
CHURCHILL CAPITAL • $11.75B Acquisition Value • $2,070M Churchill Capital IV Cash in Trust + $2,500M PIPE • Transaction expected to close by early Q3 2021 • CCIV ticker will convert to LCID upon closing Note: Dollars and shares in millions, except for per share values. 1) Assumes no redemptions in c
Slide 69: Investment Highlights
CHURCHILL CAPITAL INVESTMENT HIGHLIGHTS 70 Lucid, a leader in EV technologies, defines a new generation of EVs, ushering in a new paradigm for the automotive industry. Favorable Market Forces Large addressable market with favorable tailwinds 3 Long Term Success High - end first product, followed by
Slide 70: Q&A
CHURCHILL CAPITAL Q&A
Slide 71: Thank you!
CHURCHILL CAPITAL Thank you!
Slide 72: Reconciliation of Non-GAAP Financials
CHURCHILL CAPITAL 73 FINANCIAL OVERVIEW Reconciliation of Non - GAAP Financials EBITDA ($ Million) 2021E 2022E 2023E 2024E 2025E 2026E Net Income ($1,494) ($1,361) ($1,026) ($150) $632 $1,698 (+) Income Tax -- -- -- -- 5 70 EBIT ($1,494) ($1,361) ($1,026) ($150) $637 $1,768 (+) Depreciation & Amorti
Slide 73: Attractive Entry Valuation vs Other Entrants
CHURCHILL CAPITAL 74 TRANSACTION OVERVIEW & VALUATION Source: Company filings, Management estimates, Wall Street research, CapIQ and FactSet as of May 11, 2021. Note: Lucid valuation based on acquisition value of $11,750m at $10.00 per share. 2.1x 8.3x 4.4x 2.1x 2.1x 1.2x 5.3x 10.2x 7.6x 7.1x 6.3x 3
Slide 74: Lucid Positioned at a Fraction of Tesla's Valuation Multiple
CHURCHILL CAPITAL 75 TRANSACTION OVERVIEW & VALUATION 0.0x 3.0x 6.0x 9.0x 12.0x 15.0x 18.0x Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 8.3x Peak: 16.3x Tesla EV / 3 - Year Forward Revenue Since 2012 Lucid: 2.1x 1) (2023E Revenue) Source: FactSet as of May 11, 2021. 1) Luci