Wrap Technologies, Inc. · NASDAQ:WRAP
Wrap Technologies — Investor Presentation (November 2022)
30 slides from Wrap Technologies's investor presentation, November 2022
Slide 1: Investor Update November 2022
INVESTOR UPDATE NOVEMBER 2022
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements within the meaning of Section27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), including statements, without limitat
Slide 3: The Mission Is Simple: Save Lives
THE MISSION IS SIMPLE SAVE LIVES wrap.com
Slide 4: Rising Conflict Leads to the Need for De-escalation
RISING CONFLICT LEADS TO THE NEED FOR DE-ESCALATION Rising conflict is leading to an increased need for immediate de-escalation Mental Health Crisis In 2019, nearly a billion people – including 14% of the world’s adolescents – were living 1 in 10 with a mental disorder. 1 Police encounters 4 involve
Slide 5: We Are Only Targeting the De-escalation Market
WE ARE ONLY TARGETING THE DE-ESCALATION MARKET 2% Pain The 98% pre pain compliance market Wrap is targeting Compliance LEAST FORCE LIKELIHOOD OF USE LETHAL FORCE PREVENTING INJURY - WE COVER FROM VOICE TO USE OF FORCE PAIN COMPLIANCE FIREARMS CEWS / TASER LAUNCHERS BOLAWRAP PEPPER SPRAY / OC SPRAY I
Slide 6: De-escalation Leads to Safer Policing Outcomes
DE-ESCALATION LEADS TO SAFER POLICING OUTCOMES BOLA WRAP 150® At WRAP, we save lives and DEVICE Customizable colors and reduce the risk of injury by accessories for personalized departments equipping the public safety industry with innovative tools CASSETTE Serialized, ACCESSORIES Holsters, belt and
Slide 7: BolaWrap Saves Lives
BOLA WRAP 150: BOLAWRAP ® SAVES LIVES
Slide 8: BolaWrap Remote Restraint Device
BOLAWRAP 150 REMOTE RESTRAINT DEVICE ® DEVICE Customizable colors and BolaWrap 150 accessories for personalized departments § Compliance Without Pain § De-escalate Encounters § Helps Keep Officers & Subjects Safe § Reduces Litigation § Contributes to Restoring Trust Between Community & Law Enforceme
Slide 9: Defining a Successful BolaWrap Outcome
DEFINING A SUCCESSFUL BOLAWRAP OUTCOME A SUCCESSFUL OUTCOME IS WHEN: BolaWrap® aids in a suspect being taken into custody, without the escalation of force and without significant injury to the suspect or officers. wrap.com 9
Slide 10: BolaWrap Deployment Is Growing
BOLAWRAP DEPLOYMENT IS GROWING 825+ Police agencies in the US and 58 countries currently have BolaWrap® devices. wrap.com 10
Slide 11: Wrap Reality: Immersive Training Saves Lives
WRAP REALITY: IMMERSIVE TRAINING SAVE LIVES
Slide 12: Wrap Reality Is the Future of Training Today
WRAP REALITY IS THE FUTURE OF TRAINING TODAY FULL IMMERSION Cutting-edge virtual reality training QUALITY CONTENT technology for law WIDE SPECTRUM OF SKILL SETS enforcement and LARGE LIBRARY OF TRAINING MODULES security personnel 360 THREAT VECTORS INNOVATION EASE OF TRANSPORT EASE OF USE EASE OF IN
Slide 13: Significant Market Outlook
SIGNIFICANT MARKET OUTLOOK NASDAQ: WRAP wrap.com
Slide 14: Significant Total Addressable Market
SIGNIFICANT TOTAL ADDRESSABLE MARKET NON-LETHAL DEVICE MARKET 900,000 $16.1B Police officers in the US [1] 12,435,974 2027 Police Officers globally [1] 105,000,000+ Total Addressable Market $9.0B 2021 75,000,000 Military personnel globally [1] 20,000,000+ Private security workers worldwide [2] wrap.
Slide 15: BolaWrap Has a Large Serviceable Addressable Market
BOLA WRAP HAS A LARGE SERVICE ADDRESSABLE MARKET BolaWrap 150® 3-Year Market Opportunity Potential full market opportunity for BolaWrap® 5% Current Deployed Agencies <1% Currently Deployed Officers 18K+ 11.5M International Penetration 5% Total US Police Agencies International Police Officers 15% 5%
Slide 16: Solid Go Forward Strategy
CORPORATE STRATEGY SOLID GO FORWARD STRATEGY NASDAQ: WRAP wrap.com
Slide 17: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM TJ KENNEDY KEVIN MULLINS CHRIS DEALMEIDA GLENN HICKMAN CHIEF EXECUTIVE OFFICER PRESIDENT CHIEF FINANCIAL OFFICER CHIEF OPERATING OFFICER 29 31 26 12 YEARS OF EXPERIENCE YEARS OF EXPERIENCE YEARS OF EXPERIENCE YEARS OF EXPERIENCE wrap.com 17
Slide 18: Our Strategic Roadmap for Success
OUR STRATEGIC ROADMAP FOR SUCCESS § Execute on comprehensive roadmap focused on sustainable growing revenue, driving strong margins, and supporting long run profitability § Implement enhanced sales approach for long-term value creation § Use improved pricing to expand domestically, internationally,
Slide 19: Our Go-to-Market Priorities
OUR GO-TO-MARKET PRIORITIES § Achieving Repeatable and Predictable Sales § Expanding the Sales Function § Building Stronger Relationships with Key Distribution Partners § Focusing on Increasing Sales Successes & Lead Generation § Dedicated Inside Sales Function § Improved Quota and Commission Struct
Slide 20: Robust Distribution Network
ROBUST DISTRIBUTION NETWORK International United States International Distributor Network US Distributor Network 49 13 International Distributors Distributors DISTRIBUTION 50 NETWORK 58 States covered by Distributors Countries currently 120+ with BolaWrap products 58 Distributor personnel selling Bo
Slide 21: Robust Sales Cycle Can Take Time
ROBUST SALES CYCLE CAN TAKE TIME United States - decisions made by each department’s Chief Internal Sales Team Trained by WRAP Training Academy Large Departments Demonstration Federal Agencies More Decision Makers Longer Sales Cycle Larger Orders Distributor Network Trained Full Agency Training By W
Slide 22: Q3 2022 Update – A Quarter of Continued Progress
Q3 2022 UPDATE – A QUARTER OF CONTINUED PROGRESS Strategic Update Continued to Deploy Cost Savings 2022 Year of Deployed Products Implemented Transition § Strategic Roadmap § Trained law enforcement § Operating Expense down § Achieved 54% gross deployed agencies up 39% YOY 21% YOY due to cost margin
Slide 23: Strong Financial Outlook
STRONG FINANCIAL OUTLOOK NASDAQ: WRAP wrap.com
Slide 24: Continuing to Build on Historical Revenue Growth
CONTINUING TO BUILD ON HISTORICAL REVENUE GROWTH Annual Revenue Continues Strong Growth 2022 YTD Revenue Breakdown $7.7M Americas Asia Pacific $4.5M 78% 12% 2022 YTD s REVENUE ar EMEA Ye 10% e re Th er ov $3.9M $4.5M International Revenue Growth GR YTD CA % 82 2021 $4.4 2020 $2.5 $0.7M ($ in Million
Slide 25: Focused on Reducing Cost and Increasing Cash Flow
FOCUSED ON REDUCING COST AND INCREASING CASH FLOW As a company, we are focused on improving sales FOCUSED ON REDUCING OPEX COST while reducing and eliminating non-critical mission SG&A and R&D costs. In 2022, we have already reduced our OPEX costs by over $5M on an annualized basis. $7.7M $6.7M $6.0
Slide 26: Strong Balance Sheet Supports Future Growth
STRONG BALANCE SHEET SUPPORTS FUTURE GROWTH ($ in millions) 09/30/22 12/31/21 CORPORATE HIGHLIGHTS Assets Current Assets Cash & ST Investments $ 23.7 $ 34.9 41.13 million $23.7 million Shares Outstanding Other Current Assets 5.8 6.3 (09/30/2022) Cash & Short-term investments Total Current Assets $ 2
Slide 27: Focused Targets for the Future
FOCUSED TARGETS FOR THE FUTURE QUARTER SALES ABOVE QUARTER OPEX BELOW $5M IN 2023 $5M IN 2023 ADJUSTED QUARTER QUARTER EBITDA BREAKEVEN IN 2023 PROFITABILITY IN 2024 wrap.com 27
Slide 28: Summary
SUMMARY NASDAQ: WRAP wrap.com
Slide 29: Summary of Key Considerations
SUMMARY OF KEY CONSIDERATIONS § We are executing on our strategic roadmap. § We have improved Gross Margin through manufacturing, improved pricing, and sales process. § We have reduced Operating Expenses significantly and expect our cash burn to continue to improve. § We have improved our go to mark
Slide 30: Wrap Technologies, Inc. Investor Relations
Wrap Technologies, Inc. 1817 W 4TH STREET TEMPE, ARIZONA 85281 Wrap Investor Relations Matt Glover and Tom Colton Gateway Group, Inc. 949-574-3860 WRAP@gatewayir.com ©2022 | Wrap Technologies, Inc.
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