Alexium International Group Limited · ASX:AJX
Alexium International — 2019 Gabelli & Company Specialty Chemicals Conference
30 slides from Alexium International's conference presentation, Mar 13, 2019
Slide 1: 2019 Gabelli & Company Specialty Chemicals Conference Presentation
For personal use only 2019 Gabelli & Company Specialty Chemicals Conference Presentation Jason Lewis, CFO March 13, 2019
Slide 2: Agenda
2019 Gabelli & Company Specialty Chemicals Conference For personal use only 1 Company Overview 2 Products and Markets 3 Financial Analysis 4 Management Bios This presentation has been prepared by Alexium International Group Limited (“Alexium”) or the (“Company”). It should not be considered as an of
Slide 3: Company Overview
Company Overview For personal use only 12 Month Share Price (AUD) Key Statistics (AUD) ASX Code AJX Current Share Price $0.115 52 Week High $0.295 52 Week Low $0.096 Shares on Issue ~345m Market Capitalisation ~$40m Cash (31 December 2018) US$6.0m Investor Mix Company Highlights Management • H1 2019
Slide 4: Who We Are
Who We Are For personal use only • Alexium International is a speciality chemicals innovator headquartered in Greer, South Carolina, USA Innovation Driven • Cost effective, patented products for both textile and non- textile markets Exceptional Product Performance • Focus on high-performance, enviro
Slide 5: Agenda
2019 Gabelli & Company Specialty Chemicals Conference For personal use only 1 Company Overview 2 Products and Markets 3 Financial Analysis 4 Management Bios This presentation has been prepared by Alexium International Group Limited (“Alexium”) or the (“Company”). It should not be considered as an of
Slide 6: Market Applications of Alexium Technology
Market Applications of Alexium Technology For personal use only Product Line Value Proposition Applicable Markets Patented flame retardant providing a Alexiflam® FR durable finish with a soft fabric hand for Apparel, mattress synthetic-rich fabrics Patent pending product providing Alexiflam® NF exce
Slide 7: Alexiflam FR
For personal use only Alexiflam® FR Flame-treatment for nylon-cotton fabrics as used in military uniforms Cornerstone Initiative #1
Slide 8: Alexiflam FR: Application to nylon/cotton for military uniforms
ALEXIFLAM® FR Application to nylon/cotton (NyCo) for military uniforms For personal use only Alexiflam®FR NyCo • Effective FR performance on 50/50 NyCo • Patented chemistry developed by Alexium • Production viable FR NyCo has been a market gap for decades • Successes in FR NyCo are a paradigm shift
Slide 9: Market Opportunities in Military Uniforms (FR-ACU)
ALEXIFLAM® FR Market Opportunities in Military Uniforms For personal use only Motivation for Adoption by the Military FR-ACU Program – Opportunity Specs Seeking a next-generation fabric that address critical flaws of the incumbent Segment of Military High-risk personnel (e.g., Special Ops) Current S
Slide 10: Market Opportunities in Military Uniforms (General ACU)
ALEXIFLAM® FR Market Opportunities in Military Uniforms For personal use only Motivation for Adoption by the Military General ACU Program – Opportunity Specs Call to industry to provide basic flame retardant protection for all military Segment of Military All personnel branches Approximate Number of
Slide 11: Alexiflam NF
For personal use only Alexiflam® NF Flame-treatment for cotton-rich materials Cornerstone Initiative #2
Slide 12: Alexiflam NF Introduction
ALEXIFLAM® NF Introduction For personal use only Alexium recognized that established FR cotton technologies are simply too complicated and require too much nuance. Alexiflam® NF was developed to address this gap. BENEFITS OF ALEXIFLAM® NF ✓Simplified Process ✓Durable finish (50+ laundering cycles) ✓
Slide 13: Alexiflam NF Key Market Opportunities
ALEXIFLAM® NF Key Market Opportunities For personal use only FR sock for bedding Market: foam mattress Value of Alexiflam® NF: Potential reduced cost of mattress sock by ~50% relative to market standard FR treatment for fleece Global Market Size (FR Basis): ~$10M Market: apparel Value of Alexiflam®
Slide 14: Alexiflam NF Application to Fleece Garments
ALEXIFLAM® NF Application to Fleece Garments For personal use only Due to high surface area of fleece fabrics, combustion due to “surface flash” is a critical concern; for flame retardant effects, synthetic fleece made from polyester is widely used • Environmentalists have established that a single
Slide 15: Alexiflam NF Application to Fleece Garments
ALEXIFLAM® NF Application to Fleece Garments For personal use only Due to the high surface area of a cotton-fleece nap, the fabric will burn with a “surface flash” when exposed to an ignition source for even short periods of time (1+ seconds). This flammability of raised-surface apparel is tested ac
Slide 16: Alexicool Technology
For personal use only Alexicool® Technology PCM-based products for thermal regulation Cornerstone Initiative #3
Slide 17: Alexicool Technology – Textiles: Achievements in CY 2018
ALEXICOOL® TECHNOLOGY – TEXTILES Achievements in CY 2018 For personal use only ✓ Development of analytical method for assessing cooling effects of PCM on textiles ✓ Expansion of Alexicool® products into broad range of mattress components ✓ Expansion of Alexicool® products into higher volume mattress
Slide 18: Platforms for Growth and Achieving Profitability
ALEXICOOL® TECHNOLOGY – TEXTILES Platforms for Growth and Achieving Profitability For personal use only Product Development Proprietary products for market Customer differentiation Production & Supply- Engagement Chain Knowledge Joint developments with Facile commercialization of customer for PCM-pr
Slide 19: Created Foundation to Poise Alexium for Profitable Growth
ALEXICOOL® TECHNOLOGY – TEXTILES Created Foundation to Poise Alexium for Profitable Growth For personal use only Number of Commercial Products Analytical Tools for Evaluating Alexicool Products 11 4 1 2 Q3 2017 Q3 2019 Q3 2017 Q3 2019 Number of Application Methods Number of Alexicool Customers 7 10
Slide 20: Customer Relationship/Education
ALEXICOOL® TECHNOLOGY Customer Relationship/Education For personal use only Identifying key decision makers and influencers and creating offerings to drive customer confidence and loyalty ➢ New branding and logo, establishing our Alexicool® technology identity in the bedding marketplace ➢ A microsit
Slide 21: Next Steps and Future Targets
ALEXICOOL® TECHNOLOGY– TEXTILES Next Steps and Future Targets For personal use only Further Expansion in Translate Successes Lead with Innovation Mattress and Top-of- in Mattress Industry and Analytical Rigor Bed Products to Other Markets • R&D goals are driven by Work with customers to While curren
Slide 22: Alexicool Technology – Foam: New Cornerstone Initiative
ALEXICOOL® TECHNOLOGY– FOAM New Cornerstone Initiative For personal use only Alexium is launching a new product line in calendar Quarter 1, 2019 with Alexicool® FM – the application of Alexicool technology to foam products Why focus on Alexicool® FM? ❑ Identical market gaps in the foam market as tex
Slide 23: Alexicool Foam Market Opportunity
ALEXICOOL® TECHNOLOGY– FOAM Market Opportunity For personal use only Our analysis has shown that the market size for PCM on foam is significantly larger than PCM on ticking: A. PCM on foam is in 50+% more mattresses than PCM on ticking B. significantly greater quantities of PCM are applied to foam A
Slide 24: Agenda
2019 Gabelli & Company Specialty Chemicals Conference For personal use only 1 Company Overview 2 Products and Markets 3 Financial Analysis 4 Management Bios This presentation has been prepared by Alexium International Group Limited (“Alexium”) or the (“Company”). It should not be considered as an of
Slide 25: Financial Analysis: Revenue & Gross Margin Trend
Financial Analysis Revenue & Gross Margin Trend For personal use only Revenue & Gross Profit • Completed removal of low margin sales in H2 • Shipments to PCM customers continue to rise each quarter with new product introduction • Focus on core competency showing results • Evaluating multiple commerc
Slide 26: Foundations for Achieving Profitability
Foundations for Achieving Profitability For personal use only Sustainability Through Innovation Leadership Team Gain customer confidence and loyalty by Team comprised of professionals with enabling them with state-of-the-art skills/experience for specialty chemical products commercialization Partner
Slide 27: Agenda
2019 Gabelli & Company Specialty Chemicals Conference For personal use only 1 Company Overview 2 Products and Markets 3 Financial Analysis 4 Management Bios This presentation has been prepared by Alexium International Group Limited (“Alexium”) or the (“Company”). It should not be considered as an of
Slide 28: Executive Management
Executive Management For personal use only Robert Brookins – Chief Executive Officer and Managing Director Robert (Bob) Brookins, Ph.D., M.A.E. B.A. B.Sc. is the Chief Executive Officer. Dr. Brookins has experience in organic synthesis, materials chemistry, and chem/bio decontamination. He received
Slide 29: Contact
For personal use only Contact: InvestorRelations@AlexiumInternational.com U.S.: +1.864.254.9923
Slide 30: Disclaimer
Disclaimer To the maximum extent permitted by law, the information contained in this presentation is given without any liability whatsoever being accepted by Alexium International Group Limited (Alexium) or any of its related entities or their respective directors or officers, employees, advisors an
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