Flux Power Holdings, Inc. · NASDAQ:FLUX
Flux Power — Investor Presentation (October 2021)
25 slides from Flux Power's investor presentation, Oct 5, 2021
Slide 1: Leading Lithium Adoption
(—L_LI9-¢ POWER LEADING LITHIUM ADOPTION
Slide 2: Safe Harbor Language
Safe Harbor Language mLLp< This presentation contains forward-looking statements. All statements other than statements of historical fact contained in this presentation, including statements as to the Company's future results of operations and financial position, planned products and services, busin
Slide 3: Who is Flux Power?
Who is Flux Power? A Premier Design & Delivering Comprehensive Partner manufacturing Sustainability Support expertise A decade of experience UL Listed products « Lowers carbon footprint « Industry knowledge » * Strong OEM ISO 9001 « Patent Maintenance free » High Application expertise relationships
Slide 4: A Message From The CEO
A Message From The CEO Latest Updates and Milestones Acquired new customers includii + 5 Fortune 500 customers + New dealer network that covers Mexico Expanding in solar storage (BEAM Global) and autonomous vehicles $15M raise: offering of common stock with 50% warrant coverage at $7 strike price La
Slide 5: A Foundation Built for Fortune Electrification
FULD < A Foundation Built for Fortune 500 Electrification + 3.wheel battery pack launched \. “Airport Ground Support + UL Listing: narrow aisle battery pack Equipmencracks launched + SkyBMS telematics introduced - BD + Walkie pallet + Counterbalanced forklift battery + NASDAQ uplisting focus on EV j
Slide 6: aesyT- =
aesyT- 7 = ge_Leaye
Slide 7: Flux Power Lithium-ion vs Lead Acid Batteries
Attribute Lead Acid Batteries Flux Power Lithium-ion Battery Packs Flux Power battery packs mitigate operational pain points AND at a lower total cost of ownership Multiple batteries required for One battery required for Performance multi-shift operations multi-shift operations Lifespan* 500-1500 cy
Slide 8: Fortune Customer ROI: 81% Savings
Fortune 100 Customer ROI: 81% Savings” Global manufacturer with 80 Class 1 lift trucks in fleet + 1 lithium-ion battery per lift truck + 3 lead acid batteries per lift truck Power Battery Costs* | Lea Lithiumdon | Net Savings Price per Battery $6,500 $22,000 $0 A 5 M $6 a 4 M es 0,000 | $1,257,143 B
Slide 9: Material Handling Equipment is a Mass Market
Fu S-Series, M-Series, L48, X-Series - battery packs are designed to Material Handling Equipment is a Mass Market “plug and play” with lift equipment from most OEMs. lecisicatan™ Industry ends. = me ho aul.5 Industry is undergoing a “0% 62% 65% 69% multi-year transition away ~~ 5 % 0% from internal
Slide 10: Ground Support Equipment
FuUU<¢ Pushback Tractors Ground Support Equipment Belt Loaders Baggage Tugs “Green Initiatives” to reduce emissions at airports (SLC > ational) favor a lithium-ion solution Delta Air Lines announced $1B spend to become carbon neutral in 10 years Only 15-25% of airline GSE fleets are electric — 75-85
Slide 11: Stationary Energy Storage
Fru < The C-Series battery pack used in Power stationary energy storage is a natural Stationary Energy Storage product extension, which utilizes our modular design adapted for form & power requirements Emerging New Applications Electrification has allowed many new applications that require (>) non-m
Slide 12: Total Battery Packs Shipped Throughout North America
Total Battery Packs Shipped Throughout North America bin 2017 2018 2019 2020 2021 See ea Battery Packs Shipped
Slide 13: Go To Market — Sales Channels by Sector
Go To Market — Sales Channels by Sector OEMs Sales Channel End Users Toyota, Crown Equip. Raymond, CLARK, Hyster- Yale, others OEM national accounts sales, forklift dealers, & regional battery distributors, some direct sales Pepsi, Frito Lay, JBS, Subaru, etc. TLD, Charlatte, Trepel Averest (airline
Slide 14: Customers by Sector
Food Beverage Retail & Manufacturing Distribution Stationary Airport Grocery gay GSE torage is ; Us ARCTIC GLACIER Pocdociseh (ee @ US. my ADELTA Lzone FOODS o @ 6 ‘2 cmown cork a sea. * SpartanNash. swissport £7 “a Ff CATERPILLAR CBS) th be sei BENTELERV
Slide 15: Increased Sales of Large Battery Packs Drive Higher Revenue
Increased Sales of Large Battery Packs Drive Higher Revenue FY 2021 ($26.3M) FY 2020 ($16.8M) Stationary Stationary Energy Storage Energy 6% __ Storage 3% Large Battery Packs 60% Flux Power Presentation 10/4/2021 15
Slide 16: New Customer Acquisitions Create Long Term Relationships
re Fru < New Customer Acquisitions Create mower Long Term Relationships $30 Annual Customer Revenue $25 mNew Customers Acquired FY'21 on m= New Customers Acquired FY'20 mNew Customers Acquired FY'19 2 5 315 = m= New Customers Acquired FY'18 sto —— mNew Customers Acquired FY'17 $5 $0 — LJ FY FY"18 FY
Slide 17: Engineering Expertise
Engineering Expertise Intellectual Property In-house engineering and software 2 protected IP patents: experts to design lithium-ion battery + Patented BMS firmware & packs optimized for performance battery design and safety. 3 patents pending: Experience with thermodynamics, + Predictive balancing p
Slide 18: SkyBMS Telematics: Access to Fleet Management
SkyBMS Telematics: Access to Fleet Management ~‘*? Anywhere & Anytime Data is translated & a F . ¥, portfolio of real time Data is transmitted via Pag i . cellular / Wi-Fi connection vee reports made available to: & stored in cloud base ae A + Customer i “se. * Dealer + Flux Power — Data is collecte
Slide 19: Manufacturing at Flux Power
Manufacturing at Flux Power Quality * 1$09001 certified to ensure consistent quality products Strategy * Deploying lean manufacturing concepts to focus on performance CNEE Flux Power Presentation 10/4/2021 19
Slide 20: Revenue and Gross Margin
$Millions FU Revenue and Gross Margin cm $30 30% $26.3 $25 25% $20 20% $16.8 $15 15% * Substantial positive revenue growth despite Covid-19 $10 $9.3 10% + Gross margin increased to $5 $4.1 5% 3 22.1% in FY’21 from 13.0% in $0.9 of om FY'20 FY 2017 FY 2018 FY 2019 Fy 2020 FY 2021 “Gross Margins were
Slide 21: Flux Power Financial Snapshot
Flux Power Financial Snapshot Closing Price (10/1/21): 52 Week Range Nasdaq: FLUX es Outstanding Revenue FY’21 Borrowing on Lines of Ci * No long-term debt. Flux Power Presentation 10/4/2021 21
Slide 22: Management Team
Fu ¢ Management Team Ron Dutt Jon Berry Chuck Scheiwe Chief Executive Officer Chief Operating Officer Chief Financial Officer —— Tan ep Visa PACCAR ALSTOM (a) neler — gracat O'R Paulus Geantil Tod Kilgore és Tim Vaughan Chief Technology Officer Director of Sales b -*] Director of Engineering .) QUAN
Slide 23: Environmental, Social, and Governance
Environmental, Social, and Governance Social Governance Provide good quality jobs, + Implemented Board of have a diverse workforce Directors diversity goals Product & employee safety - + Management Team with deep Safety is a key focus, UL skill sets certification for our products + Audit, governance
Slide 24: Lithium-ion technology enables transformational change for many different industries
1 Lithium-ion technology enables transformational change for many different industries Pe Lithium-ion adoption is growing at high double-digit rate 3 Flux Power goal is to be the leader in the adoption of lithium-ion battery packs in multiple sectors Flux Power Presentation 10/4/2021 24
Slide 25: Flux Power
Flux Power info@fluxpower.com FHLUd>¢ | 2685 S. Melrose Drive, POWER Vista, CA 92081 Flux Power Presentation 10/4/2021 25
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