Butler National Corporation · OTC:BUKS
Butler National — Shareholder Meeting (October 2023)
31 slides from Butler National's shareholder meeting presentation, Oct 3, 2023
Slide 1: Annual Shareholder Meeting
Butler National Corporation Annual Shareholder Meeting October 3, 2023
Slide 2: Directors and Officers
Directors R, Warren Wagoner - Chairman John M. Edgar David 8. Hayden Bradley Hoffman Aric Peters Officers Chris Reedy - President & CEO Tad McMahon ~ CFO & Secretary
Slide 3: Agenda
Agenda ‘Welcome to the 2023 Annual Shareholder Meeting 1. Business Meeting 2. Presentation 1. Fiscal Year 2023 Discussions 2. Activities 3. Questions: 3. Thank you for your Interest () 10/03/2023
Slide 4: Cautionary Statement
Butler National Corporation Cautionary Statement The statements in the presentation may conctute fonard otal reut, pato Prospects. and oppartnts to sor material fom those rpresced mor mplsdby tne forwardsookingstatomont Tass css unessaindes, and other (ators include those et ra SATO (eugl Banett op
Slide 5: Business Segments
@ 30/03/2023 ic © S 8 Q S s) Tofessional mies Segment Kansas In (Develop; | DDG ment)
Slide 6: Key Facilities - New Century Airport, Kansas
ey Facilities New Century Airport - Kansas Butler National Corporate Headquarters ‘The Butler National new corporate headquarters are located on the second floor of our 50,000 square-foot facilities at 4 Aero Plaza, New Century, Kansas. Butler Avionics, Inc. Butler Avionics is co-located with the Co
Slide 7: Facilities - Tempe, Arizona
Facilities Butler National - Tempe, Arizona Butler National Corporation has an office and manufacturing operations at 4654 South Ash Ave., Tempe, AZ in a 16,110 square foot owned facility.
Slide 8: Facilities - Avcon, Newton, Kansas
Facilities Avcon - Newton, Kansas AVCON ISR SOLUTIONS Avcon Industries is located at 714 North Oliver Road, Newton, Kansas in a 42,700 square foot leased facility of hangar and office space at the Newton City-County Airport in Newton, Kansas. ®& 0/03/2023 8
Slide 9: Our Business
Our Business * Aerospace Segment * Aircraft Modifications + Avionics + Special Mission Electronics * Services Segment + Gaming Management Services + Kansas State Owned Gaming ©) ps0
Slide 10: Fiscal 2023 Performance
Fiscal 2023 Performance See SEC Form 10-K for FY Ended Apr. 30, 2023 FY2023 Earnings Per Share: $0.06 Comparative information for fiscal years ending April 308" Dollars in Thousands Total Revenue Net income cash Assets “Stockholder’s Equity Backlog on Api 30" Research & Development Outstanding share
Slide 11: Key Economic Drivers - Aerospace
Key Economic Drivers for Business Segments Aerospace ‘Avcon, Butler Avionics, BNC Tempe Global Government Interests Aircraft Firefighting / Search & Rescue / Mapping Special Mission ~ Worldwide Stability Current Aircraft Fleet Obsolescence Regulatory / Aviation Mandates Technical Advances in Special
Slide 12: Key Economic Drivers - Professional Services / Gaming
Key Economic Drivers for Business Segments Professional Services / Gaming Boot Hill Casino & Resort Discretionary Spending Inclement Weather + Patrons feel at home and have fun at SHOR Patron Attitude towards Future of Markets + Gas & Oil Prices Grain & Cattle Prices + Economic Factors
Slide 13: Avcon Industries, Inc. - Aircraft Modifications
Avcon Industries, Inc. Aircraft Modifications VLe ig —— ot
Slide 14: Aircraft Modifications - Unique Resources & Capabilities
Avcon Industries, Inc. Aircraft Modifications - Unique Resources & Capabilities = = Structural Modifications Manufacturing - Fabrication Electrical Systems Integration Engineering - Design/Aero/Structural/Electrical Designated Representatives Supplemental Type Certificate Approvals (STC)/Parts Manuf
Slide 15: Aircraft Modifications - Product/Service Uses
Avcon Industries, Inc. Aircraft Modifications - Product/Service Uses NY a md Special Mission Design Engineering Manufacturing Mods & Installation ‘Avcon Industries has developed FAA/EASA/DGAC/CAA approved solutions that support: earch and Rescue (SAR) ‘Environmental / Atmospheric Research ire Detect
Slide 16: Butler Avionics, Inc.
Butler Avionics, Inc. Installation, Service, & Repair Avionics + Engineering for FAA Approvals 15 Team Members | 2023 Revenue $2.3 Million | 2022 Revenue $2.4 Million @) ps0
Slide 17: Butler Avionics - Installations, Service & Repair
Butler Avionics Installations, Service & Repair Installations Repair & Service + New Focus: + Learjets + King Air + JET. Products + Learjets + “Go-To” Company + Autopilots + Systems Issues STC Certification & Manufacturing Regulatory Solutions + Standby Instruments Obsolescence
Slide 18: Product Support for Legacy Aircraft
Product Support for Legacy Aircraft al ee ' ae 4 Te
Slide 19: Butler National Corporation - Tempe
Butler National Corporation - Tempe Control Products Gun Controls
Slide 20: Gun Controls - Products
Gun Controls - Products + Systems Control / Logic + Simulation Equipment * Test Equipment + Highly Specialized Cabling + COTS Manufacturing
Slide 21: BNSC/BHCMC, LLC - Boot Hill Casino & Resort
BNSC/BHCMC, LLC Boot Hill Casino & Resort + Management Services + Kansas State Owned Gaming + Gaming Management Contract with the Kansas Lottery through Deo. 2039 + Sports Wagering Management Contract with the Kansas Lottery through Sept. 2027 + Team Members: 264
Slide 22: Professional Services - Gaming
Professional Services - Gaming SZ £42003 Revenue Traditional Games (Slots and Tables) $30.6 Million $32.4 Million Revenue Sports Wagering (8 Months*) $ 2.7 Million N/A Casino Non-Gaming Revenue $ 4.5 Million $ 4.4 Million Total Revenue $37.8 Million $36.8 Million Long Term Debt (Gaming) $40.8 Millio
Slide 23: The Butler Plan - Considerations
The Butler Plan Considerations Highly Regulated Highly Specialized (Background) Engineering Intensive Fabrication Growable Highly Expansive Market Professional Services @ Highly Regulated Capital Intensive Extension Competition Difficult to Expand Markets Market Limited - Geographic
Slide 24: The Butler Plan - Core Competencies
The Butler Plan Core Competencies Ability to receive/understand customer desires and creatively specify products to meet them (frequently new and changing technology) Integrate the products, designing provisions (structural and electrical) that will allow the acceptance of the products Obtain regula
Slide 25: The Butler Plan - Aerospace Growth
The Butler Plan Aerospace Growth Internal Growth External Growth + Product Development + Acquisitions + Derivative Products + Supplemental Manufacturing + Mid-Size Aircraft Mods * Machine Shop + Cessna 208/208B Caravan + Supplemental Contract Opportunities + Other Airplanes / Existing + Composite Ma
Slide 26: Aerospace Growth - Short Term
Aerospace Growth- Short Term Products / Derivatives * King Air Cargo Door * Most-Requested Product * Unique Design- Kit Sales (New Focus) $550,000 Target per Kit/$700,000 Instalied King Air Market - 2,000 Airplane Opportunity Anticipated 10 First 12 Months Anticipated Margin $3.5-4.0 Million First 1
Slide 27: Aerospace Growth - Machine Shop Acquisition
Aerospace Growth- Short Term Machine Shop Acquisition + September 2023 - Acquisition + ITAR Registered Manufacturer * ISO. 9000 * DoD and Other Customers * Specialty Machine Shop + Avcon King Air Door Fabrication + Minimizes Burden to Avcon Operations + Focus on the King Air Door Kits + Avcon Synerg
Slide 28: Forward Looking - Near Term Acquisitions
- Forward Looking- Near Term Complementary Acquisitions + Aviation Businesses + Scope: Complementary to Aerospace Segment FAA Credentialed + Financing: $15 Million Commitment Regional Bank familiar with Aviation + Targeting: 2-5 Company Acquisitions in 2-3 Years
Slide 29: Aerospace Growth
Aerospace Growth Manufacturing / Fabrication ~ Aviation Parts Composite Manufacturing (Acquisition vs Organic) support existing Avcon Demand CFAA Approved Parts ‘Significant 3 Party Demand Aircraft Modifications * Fixed Wing - Complementary to Avcon — Focus on Synergy Niche Maintenance/Structural/El
Slide 30: Questions?
Questions? Butler National Corporation Annual Shareholder Meeting October 3, 2023
Slide 31: Thank you for your interest in Butler National.
Thank you for your interest in Butler National. Butler National Corporation Annual Shareholder Meeting October 3, 2023