Cyanconnode Holdings Plc · LSE:CYAN
Cyanconnode — Investor Presentation (September 2018)
17 slides from Cyanconnode's investor presentation, September 2018
Slide 1: A World Leader in Narrowband Mesh Networks
A WORLD LEADER IN NARROWBAND MESH NETWORKS 1
Slide 2: Disclaimer
Disclaimer The information contained in this confidential document (“Presentation”) has been prepared by CyanConnode Holdings Plc (the "Company"). It has not been fully verified and is subject to material updating, revision and further amendment. This Presentation has not been approved by an authori
Slide 3: Index
Index • Introduction • Technology and Market Opportunity • Current Contracts and Pipeline • Financials • Summary © CyanConnode 2018 3
Slide 4: Introduction
Introduction • Largest Indian order to date of $11.6M through established partner. Separate maintenance and support contract for $2.9m relating to this order also won. • New Omnimesh platform extends market opportunity and facilitates technology licensing. Three large contracts won in India for this
Slide 5: Narrowband Technology
Narrowband Technology • CyanConnode provides last mile wireless mesh communications to utilities – Electricity, gas and water metering – Street lighting – Licence free radio bands • Wi-Fi, broadband and mobile spectrums have limitations – Coverage – Penetration (through buildings etc) – Cost and ava
Slide 6: Typical Metering Installation
Typical Metering Installation © CyanConnode 2018 6
Slide 7: Live Meters in Mysore, India
Live Meters in Mysore, India Reading history for each individual meter DCU and meters in mesh network Last reading data = DCU Location Meter list for DCU for each meter in Network Manager Software 7 © CyanConnode 2018
Slide 8: Expansion from Smart Metering to IoT Platform
Expansion from Smart Metering to IoT Platform IoT Solutions Platform • CyanConnode’s hardware and software can be used in any IoT device/application • Omnimesh platform supports third party communication technologies – enabling smart city multi-application networks Smart Metering © CyanConnode 2018
Slide 9: Global Partners
Global Partners • Established eco-system of local partners in focus markets – Supports the transfer of skills and experience – Local wealth generation – feeds sales pipeline – Enables full end-to-end solution delivery • Partners not resellers – CyanConnode solutions enable larger partner sale © Cyan
Slide 10: Business Model
Business Model Current revenue model • Perpetual licenses – Module, Gateway, Software. One off payment plus 22% annual SMC • Term licenses - Module, Gateway, Software over X years, recurring revenue per year • Support & maintenance contract – per device once installed, recurring revenue • NRE (non-r
Slide 11: Smart Prepaid Meters India
Smart Prepaid Meters India • “All meters to be smart prepaid in 3 years,” says R K Singh, Minister of State (IC) for Power and New & Renewable Energy. Advises meter manufacturers to scale up production • Uday Scheme – 75% debt put into Government bodies conditional on them signing up to Smart Meteri
Slide 12: Recent Customer Orders
Recent Customer Orders • Indian Utility – $2.9M purchase order for 5 year support and maintenance contract for Omnimesh smart meters – Order received from Tier 1 meter manufacturer • Indian Utility – $11.6M order for smart metering deployment, announced 18 September 2018 – Order received from Tier 1
Slide 13: Sales Pipeline Extract – India
Sales Pipeline* Extract – India Customer Solution Units’000 Public entity Electricity Meters 20 Public utility Electricity Meters 375 Public utility Electricity Meters 250 Private utility (2 opportunities) Electricity Meters 362 +650 Public utility Electricity Meters 385 Public utility Electricity M
Slide 14: Sales Pipeline Extract – Rest of World outside India
Sales Pipeline* Extract – Rest of World outside India Region Solution Units’000 Asia Pacific Electricity Meters, Lighting, Smart City >2,000 Middle East Electricity Meters 850 Asia Pacific Electricity Meters 625 Europe Electricity Meters 500 Asia Pacific Metering, Lighting 400 Africa Electricity Met
Slide 15: UK Smart Meter Implementation Programme
UK Smart Meter Implementation Programme CyanConnode’s solution connects meters in ‘not-spots’ UK SMIP Ecosystem Contract and delivery model Hosting Telefonica M2M Payments for Platform CommsHub & Connode Bespoke Work Server Connode Agent Source: Smart DCC + Bespoke services for integration & product
Slide 16: Financials – P&L
Financials – P&L 1H 2018 FY 2017 FY 2016 £’000 £’000 £’000 Revenue 1,637 1,171 1,823 Cost of Sales -342 -674 -1,128 Gross Profit 1,295 497 695 Gross Profit Percent 79% 42% 38% Other Operating Costs -4,373 -11,161 -6,814 Acquisition costs, Amortisation & Depreciation -238 -489 -1,820 Finance costs 5.
Slide 17: 2018 and 2019 Priorities
2018 and 2019 Priorities • Complete delivery of India contracts won in prior years & secure larger follow-on orders • Rollout new Omnimesh platform through delivery of larger contracts won in India during 2018 and 2019 through Tier 1 partners • Close further large contracts in India and ROW through
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