eMagin — Needham Growth Conference 2017
22 slides from eMagin's conference presentation, Jan 11, 2017
Slide 1: eMagin Corporation
eMagin Corporation Making virtual imaging a reality Needham Growth Conference NYSE MKT: EMAN www.emagin.com January 11, 2017
Slide 2: Cautionary Forward Looking Statements
Cautionary Forward Looking Statements Certain statements made by us in this presentation that are not historical facts or that relate to future plans, events or performances are forward‐looking statements within the meaning of the federal securities laws. Our actual results may differ materially fro
Slide 3: Company Overview
Company Overview • Market leader in OLED Microdisplays • Military, Industrial and Commercial end‐ markets SVGA display • High barriers to entry • Strong IP portfolio – 45 patents and applications • Technology and manufacturing know‐how • Penetrating Broad Consumer Market Applications • Gaming, Night
Slide 4: eMagin Investment Highlights
eMagin Investment Highlights MARKET LEADER IN OLED MICRODISPLAY TECHNOLOGY SINCE 2001 DOMINANT PLAYER IN OLED MICRODISPLAY SOLUTIONS FOR MILITARY AND AVIATION MARKETS WHERE PERFORMANCE AND RELIABILITY STANDARDS ARE VERY HIGH STABLE BASE OF MILITARY AND R&D CONTRACT BASED WORK CAPITALIZING ON THE SEI
Slide 5: eMagin's Strategy to Drive Value
eMagin’s Strategy to Drive Value • Build on our technology leadership • eMagin’s direct patterning brings superior features and capabilities • Maintain our global dominance in military microdisplay market • Expand our commercial and industrial presence by further penetrating early adopters • Pursue
Slide 6: eMagin's OLED Technology Advantages
eMagin’s OLED Technology Advantages Lowest Power and Highest Brightness • Lowest power – longest battery life • Most compact form factor • Lightest weight solution • Field tested for reliability and performance • Nausea‐free operation • Clear see‐thru capability – no background glow • Brightest OLED
Slide 7: eMagin Microdisplay Advantage
eMagin Microdisplay Advantage OLED Cell Phone Display Images same scale eMagin OLED Microdisplay eMagin’s smaller pixel pitch and higher fill factor provide unparalleled resolution and intensity 7
Slide 8: OLED Micro-displays Provide Better VR/AR Experience
OLED Micro‐displays Provide Better VR/AR Experience 1 mm 1 mm Magnified Cell Phone Display eMagin Microdisplay ~600 ppi >2,500 ppi 8
Slide 9: eMagin Microdisplay and Headset Success
eMagin Microdisplay and Headset Success Full color WUXGA OLED microdisplay Commercial full color SVGA+ Full color SXGA Full HD+ 3D Ultra High‐Brightness Consumer Active Matrix OLED microdisplay OLED microdisplay Stereoscopic Headset Color OLED Night Vision: Microdisplay (4500 BlazeSpark and nits) Bl
Slide 10: eMagin Dominates Military Market
eMagin Dominates Military Market • Military 1st mover in AR/VR • Longstanding, sticky customer relationships • Long product lifecycles • Predominately sole‐source • US Army, Special Forces, Navy/Marines ― Goggles, thermal weapon sights, binoculars • Worldwide Foreign Military Sales Military Provides
Slide 11: eMagin's Product Roadmap To Success
eMagin’s Product Roadmap To Success Years Ahead of the competition in Brightness & Power Entertainment • Gaming & V/R Consumer Military Commercial • Avionics • Avionics 11
Slide 12: AR/VR: The Next Generation
AR/VR: The Next Generation OLED technology needed for switching speed (no smear) Microdisplays needed for size, resolution, and power 12
Slide 13: Consumer Headset Market Exploding
Consumer Headset Market Exploding eMagin OLED Microdisplays the Right Answer for All! 13
Slide 14: VR/AR Funding News – Largest Players Investing
VR/AR Funding News – Largest Players Investing Magic Leap raises $800 million led by Alibaba; now Disney bets on Virtual Reality With $65 valued at $4.5 billion (March 2016) million investment in startup Jaunt (September 2015) IMAX creates $50 million investment fund focused on virtual reality media
Slide 15: Consumer Products
Consumer Products BlazeTorch BlazeSpark www.blazethenight.com 15
Slide 16: Consumer Night Vision Market
Consumer Night Vision Market OPPORTUNITY: $5 Billion Market • Night Vision enhances everyday life by extending daytime activities into the night • Our unique hardware and simple and compelling ecosystem creates new activity while generating new avenues for revenue MISSION • Create an explosive new c
Slide 17: Bring On The Night with BlazeSpark!
Bring On The Night with BlazeSpark! • Provides night vision capability for smart‐phones • Enhances wildlife, sports, and other activities by providing user experience at night • Spark Application enables users to broadcast and share content worldwide 17
Slide 18: Bring On The Night with BlazeTorch!
Bring On The Night with BlazeTorch! • Remove the cloak of darkness and discover nature’s night side with BlazeTorch • Put on BlazeTorch and move through the night, hands free • Record your adventure in HD quality video and upload or share your night adventure with others worldwide 18
Slide 19: eMagin's Management Team
eMagin’s Management Team Andrew Sculley Over 15 years experience in OLED technology and manufacturing. Led Kodak CEO OLED Systems. MS Physics Cornell, MBA Carnegie‐Mellon..13 Jeffrey Lucas CFO of public technology and manufacturing companies. Emphasis on operations CFO improvement and technology com
Slide 20: Operating Results
Operating Results (millions) YTD Sept 2014 2015 2016 Revenue $25.7 $25.1 $16.8 Gross Margin % 29% 28% 35% Operating Expense $12.6 $11.0 $8.0 Operating Income $(5.3) $(4.1) $(4.6) EBITDAS $(2.9) $(1.5) $(1.7) 20
Slide 21: Balance Sheet and Capital Structure
Balance Sheet and Capital Structure (millions) Balance Sheet ($) Dec 31, 2015 Sep 30, 2016 Cash & Equivalents $9.3 $6.9 Total Assets $28.1 $27.8 Total Debt* none none Total Liabilities $4.7 $4.0 Total Shareholders Equity $23.4 $23.8 Capital Structure (shares) Basic Shares Outstanding 29.6 31.8 Optio
Slide 22: eMagin Investment Highlights
eMagin Investment Highlights MARKET LEADER IN OLED MICRODISPLAY TECHNOLOGY SINCE 2001 DOMINANT PLAYER IN OLED MICRODISPLAY SOLUTIONS FOR MILITARY AND AVIATION MARKETS WHERE PERFORMANCE AND RELIABILITY STANDARDS ARE VERY HIGH STABLE BASE OF MILITARY AND R&D CONTRACT BASED WORK CAPITALIZING ON THE SEI