Dynatronics Corporation · OTC:DYNTQ
Dynatronics — Q2 FY2021 Earnings Presentation
14 slides from Dynatronics's earnings presentation, Feb 11, 2021
Slide 1: Q2 FY'21 Conference Call and Review
Dynatronics Corporation Q2 FY’21 Conference Call and Review Business Optimization and Operating Leverage Delivering Results Our Brands > Dynatronics, EIRDE, CRONIN’ February 11,2021 | NASDAQ:DYNT
Slide 2: Safe Harbor
SAFE HARBOR This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. Those statements include references to the Company's expectations and similar statements. Such forward-looking statements reflect
Slide 3: Up-Leveled Leadership
UP-LEVELED LEADERSHIP Is Creating Significant Transformative Opportunities John Krier Norm Roegner President & Chief Executive Officer Chief Financial Officer Background Background Appointed CEO in July 2020 John joined Dynatronics as CFO in March 2020, and prior to that VP, ‘Commercial Operations a
Slide 4: Dynatronics Is in Attractive, Growing Markets
DYNATRONICS IS IN ATTRACTIVE, GROWING MARKETS Favorable Market Trends ‘Aging population, obesity, higher focus on rehabilitation support systems Value-Based Physicians and clinics moving towards a Healthcare more conservative treatment style Lower Acuity Incentives to treat patients in lower Treatme
Slide 5: Keys to Dynatronics' Long-Term Success
KEYS TO DYNATRONICS’ LONG-TERM SUCCESS + Deliver commercial success, emphasizing quality for cost and a differentiated customer experience + Continue focus on cash flow from operations + Improve margins through consolidations and financial discipline + Timely commercial launch of new products focuse
Slide 6: Second Quarter FY'21
SECOND QUARTER FY’21 Business optimization and 2 Upleveling leadership operating leverage are team focused on revenue on track. Delivering results and profit growth + Improve operating leverage: cash + Norm Roegner joined as CFO in Q2 flow from operations $1.5M in Q2 FY 21: Over 20 years of experien
Slide 7: Strengthening Balance Sheet and Financial Flexibility
STRENGTHENING BALANCE SHEET AND FINANCIAL FLEXIBILITY Early Signs Encouraging: Results August 2019 to December 2020 Cash Flow From Operations $ in thousands Up 34% Q2FY'21 $2,632 Sequential Growth $1,508 . a QUFY'21 Q2FY'21 1H FY'21 ‘Debt was $30,000 as of 12/31/20 excluding Paycheck Protection Prog
Slide 8: Business Optimization and Operating Leverage — On Track
BUSINESS OPTIMIZATION AND OPERATING LEVERAGE — ON TRACK Early Signs Encouraging: Results August 2019 to December 2020 Stabilizing business Increase cash flow from ‘Aigning sales and Rationalizing product Targeting acquisitions in and up-level leadership ‘operations. Improve margins | distribution ch
Slide 9: M&A Strategy
M&A STRATEGY Acquisition growth opportunities in a fragmented market to add scale with an accomplished M&A team and demonstrated ability to successfully integrate VALUE BUYER WITH FOCUSED CRITERIA Revenue Products focused target on existing or $5M to $30M. adjacent market segments Gross margin Respe
Slide 10: Why Invest in Dynatronics
WHY INVEST IN DYNATRONICS (NASDAQ: DYNT) Optimization and operating leverage to deliver a competitive and durable business model, demonstrating strong financial performance from emerging scalable operations Valuable . Products Serving ‘ oak Markets Relevant product portfolio serving our growth marke
Slide 11: Up-Leveled Leadership
UP-LEVELED LEADERSHIP 1s Creating Significant Transformative Opportunities Joined Dynatronics in 2020; medical-device industry prior to that, was leading ‘Specializes in driving @ Quality & Regulat QARA at Salter Labs ‘operational efficiencies, building + 25 years of Quality Fiolia iuadiee: high-per
Slide 12: Investor Relations Contacts
Dynatronics Corporation Investor Relations Contacts SKYLER BLACK PETER SELTZBERG Dynatronics Darrow Associates skyler.black@dynatronics.com pseltzberg@darrowir.com Our Brands > Dynatronics, BIROE CRONIN
Slide 13: Dynatronics at a Glance
DYNATRONICS AT A GLANCE + Provider of high-quality restorative medical device products to the orthopedic and rehabilitation industry — favorable market trends + Growing and sticky customer base, “2,000 customers + Optimization and operating leverage to deliver a compelling and durable business model
Slide 14: Capitalization / Ownership
CAPITALIZATION / OWNERSHIP Share count as of December 31, 2020 ‘Common Shares Outstanding 14,719,711 8% Convertible Preferred Stock'") 3,351,000 Debt’ $0 Less: Cash $3,509,240 Net Bank Debt ($3,509,240) Enterprise Value including convertible preferred stock $16,394,514 (1) Convertible one for one in