Amaero Ltd · ASX:3DA
Amaero — Amaero International — Investor Presentation (August 2024)
33 slides from Amaero's investor presentation, Aug 14, 2024
Slide 1: Amaero International Limited Investor Update
For personal use only AMAERO INTERNATIONAL LIMITED (ASX:3DA) Investor Update | 14 August 2024
Slide 2: Important notice and disclaimer
Important notice and disclaimer This presentation has been prepared by Amaero International Ltd (ACN 633 541 634) (“Amaero” or the “Company”) and does not constitute or form part of, and should not be construed as, an offer, solicitation or invitation to subscribe for, underwrite or otherwise acquir
Slide 3: Table of Contents
Table of Contents Section For personal use only 1 Amaero and Strategic Positioning 2 Make More in America Again 3 Milestones 4 FY2025 Estimated Capital Requirements 5 Share Register 6 Q&A
Slide 4: Amaero and Strategic Positioning
For personal use only 1 Amaero and Strategic Positioning
Slide 5: Who is Amaero?
Who is Amaero? For personal use only Amaero is a producer of high-value refractory, specialty and titanium alloy powder for additive and advanced manufacturing of mission-critical components utilized by the defense, space and aviation industries 1
Slide 6: Three Pillars of Amaero's Business
Three Pillars of Amaero’s Business Specialty Metal Powders Production of refractory, specialty and titanium powders for the defense, aerospace For personal use only and industrial manufacturing sectors AMAERO As-HIP Near Net Shape Parts Leveraging the Amaero team’s decades of PM HIP manufacturing Sp
Slide 7: Amaero Addresses Critical Gap in the Supply Chain
Amaero Addresses Critical Gap in the Supply Chain Raw Material C103 Powder Tier 1 Supplier End Customer Provider Provider For personal use only Additive Manufacturing AM HIP Manufacturing Mining Melt Cast / Refractory & Defense Prime Military Feedstock Specialty Powder Contractors Branches Productio
Slide 8: Amaero's Strategic Direction
Amaero’s Strategic Direction For personal use only 1 U.S. Domestic Manufacturer Established corporate and manufacturing headquarters in Tennessee 2 Experienced Leadership Attracted seasoned technical and operating team 3 Specialty Focus Expertise in specialty alloy powder production 4
Slide 9: Amaero Locates Manufacturing and Corporate Headquarters in Tennessee
1 Amaero Locates Manufacturing and Corporate Headquarters in Tennessee For personal use only 100,000 Square Feet – Option to Purchase 10-year agreement with Tennessee Valley Authority provides subsidized electricity at ~A$0.09 / kWh National average: ~A$0.28 / kWh ________________________ Source: U.
Slide 10: Chief Executive and Board
2 Chief Executive and Board Hank Holland Lieutenant General (Retired) H.R. McMaster c Chairman & Chief Executive Officer Special Advisor to Chairman and CEO For personal use only Background Background Mr. Holland serves as Managing Partner of Pegasus Growth Capital, Mr. McMaster will advise Mr. Holl
Slide 11: Technical, Operational and Commercial Leadership
2 Technical, Operational and Commercial Leadership For personal use only Eric Bono Ron Aman Fred Yolton Dave Schmidt Chris Scanlon Jay Chandran Steve Kachur President & Vice President of Technical Fellow Director of Chief Financial Chief Operating Chief Commercial Chief Technical Manufacturing Powde
Slide 12: Specialty Is Our Focus — Unlocking New, High-Value Market Opportunities
3 Specialty Is Our Focus — Unlocking New, High-Value Market Opportunities Estimated Manufacturing Powder Demand in U.S. by Weight (Metric tonnes in thousands, % of market) For personal use only Metric Commentary Tonnes % • Positioning as the largest 0.9 3% Material Feedstock Price Est. Powder Price
Slide 13: “A Moment With…” Interview
“A Moment With…” Interview For personal use only 9
Slide 14: Make More in America Again
For personal use only 2 Make More in America Again
Slide 15: Make More in America Again
Make More in America Again • We are witnessing a generational industrial For personal use only opportunity in reshoring critical industrial base capabilities to the U.S. • Amaero operates at the fulcrum of the reshoring opportunity — building secure, vertically integrated defense and industrial supp
Slide 16: Reviving the Arsenal of Democracy
Reviving the Arsenal of Democracy “ I want to make it clear that it is the purpose of the nation to build now with all possible speed every machine, every – U . S . P r e s i de nt Franklin D. For personal use only arsenal, every factory that we need to manufacture our defense Roosevelt in a Radio m
Slide 17: Shortage of Domestic Casting and Forging
Shortage of Domestic Casting and Forging Commentary • Market void exists for domestic casting and forging activities • U.S. DoD has prioritized casting and forging as one of four focus areas For personal use only posing a pressing threat to national security • National investment into casting, forgi
Slide 18: Manufacturing Has Significantly Fallen in Recent Decades
Manufacturing Has Significantly Fallen in Recent Decades Decline in U.S. Manufacturing Jobs — Jan. 2000–Dec. 2023 (In millions) % Decline For personal use only 17.3 (25.0%) 16.4 15.3 14.5 14.3 14.2 14.2 13.9 13.4 12.7 12.8 12.8 12.9 12.2 12.3 12.4 12.4 12.2 12.4 11.8 11.9 12.0 11.5 11.7 '00 '01 '02
Slide 19: Strong Bipartisan Support to Re-establish Manufacturing Economy
Strong Bipartisan Support to Re-establish Manufacturing Economy Annual Manufacturing Job Announcements (In thousands) Commentary For personal use only 406 • 80% of North American % Growth 363 manufacturers are considering reshoring 176.5% operations, which is leading to the creation of 400K+ jobs •
Slide 20: The Case for Additive Manufacturing
The Case for Additive Manufacturing Benefits of Design for AM Multiscale Structure Design For personal use only Enables the realization of parts with multiscale complexities and provides significant design freedom to use cellular structures or lattice structures Design for Mass Customization Allows
Slide 21: High Value Specialty Focus Targets Buy-to-Fly Sensitive Applications
Amaero High Value Specialty Focus Targets Buy-to-Fly Sensitive Applications Commentary • Buy-to-Fly ratios are an important driver of total part cost, For personal use only particularly when the raw material is expensive • Additive manufacturing can reduce traditional manufacturing buy-to-fly ratios
Slide 22: High-Temperature Materials Essential to Generational Investment Cycle
High-Temperature Materials Essential to Generational Investment Cycle Hypersonics Strategic Missiles Space Launch Satellites For personal use only • Thermal • First-, second-, • First- and protection and third-stage second-stage systems rocket nozzles rocket motor nozzles • First- and • Reentry seco
Slide 23: Milestones
For personal use only 3 Milestones
Slide 24: Binding Offtake and Preferred Supplier Agreement
Binding Offtake and Preferred Supplier Agreement “ For personal use only • March 2024: Amaero announced it entered a binding offtake agreement for supply of C103 AM powder This is a very important milestone for Amaero. Amaero aspires to be the • Counterparty is a leading, deeply resourced additive l
Slide 25: Recent Progress and On the Horizon Milestones
Recent Progress and On the Horizon Milestones Q4 FY2024 Q1 FY2025 Q2 FY2025 For personal use only A M J J A S O N D Offtake and Preferred Supplier Agreement and A$20M Institutional Capital Raise Key Milestones 1 Atomizer Commissioning 2 Delivery of C103 Powder for Testing 3 Completion of C103 Qualif
Slide 26: Trading Summary
Trading Summary 3DA Historical Share Performance, 1 July 2023 – 13 August 2024 (Share prices in AUD) $0.28 (+262%) ↑ since 1 Jul 2023 For personal use only 27 Mar 2024: Offtake and preferred A$0.50 29 Jul 2024: supplier agreement and A$20M institutional capital Delivered powder to Offtake raise coun
Slide 27: FY2025 Anticipated Milestones
FY2025 Anticipated Milestones • Ship C103 powder for testing For personal use only • Achieve C103 qualification; disclose offtake and preferred supplier agreement counterparty • Order Atomizer #3 • Commence commercial sales of C103, specialty and titanium alloy powder; manufacture developmental refr
Slide 28: FY2025 Estimated Capital Requirements
For personal use only 4 FY2025 Estimated Capital Requirements
Slide 29: Planned Capital Investments
Planned Capital Investments Estimated Capital Investment Detail by Year — Current Estimate vs. February 2024 Investor Presentation Budget Feb ’24 Current $71.3 $71.5 For personal use only Estimate Estimate Machinery & Equipment Facility $43.8 $48.3 Anticipate FY2026 $42.7 EBITDA Breakeven $36.3 $22.
Slide 30: Share Register
For personal use only 5 Share Register
Slide 31: Shares and Options Outstanding
Shares and Options Outstanding (Share count in millions, strike prices in AUD) Capitalization Table Amount Ordinary O/S % For personal use only Top Shareholders Pegasus Growth Capital 191.7 35.3% Fidelity International 30.3 5.6% Australian-Based Private Investor 20.9 3.8% U.S.-Based Investor & Board
Slide 32: Q&A
For personal use only 6 Q&A
Slide 33: Questions
For personal use only Questions
Amaero International — Investor Presentation (August 2024) on 6ix