Eden Innovations Ltd · ASX:EDE
Eden Innovations — H1 FY2018 Earnings Presentation
31 slides from Eden Innovations's earnings presentation, Mar 20, 2018
Slide 1: FY18 Half Year Results
For personal use only FY18 Half Year Results INVESTOR PRESENTATION MARCH 2018 EDE:ASX EDEN INNOVATIONS | ASX: EDE 1
Slide 2: Disclaimer
Disclaimer For personal use only FORWARD LOOKING STATEMENTS This presentation includes certain forward-looking statements of Eden’s management. Forward-looking statements are statements that contemplate the happening of possible future events and are not based on historical fact. Forward-looking sta
Slide 3: Company Overview
Company Overview For personal use only Eden Innovations Ltd, an Australian listed company, has a patented and proprietary method of producing carbon nanotubes that it has commercialised in Denver, Colorado, US EdenCrete®, its primary commercial product, is a high performance, world leading carbon na
Slide 4: Corporate Snapshot
Corporate Snapshot For personal use only CORPORATE STRUCTURE CAPITAL STRUCTURE Eden Innovations Ltd Eden Innovations Ltd Symbol EDE Issued shares 1,378,892,424 Stock Price (1) A$0.092 Market Cap (1) ~ A$137 million (2) Eden Innovations India •Eden Innovations LLC EdenCrete Industries Inc Pvt Ltd Cas
Slide 5: Investment Highlights
Investment Highlights For personal use only Core product EdenCrete®, is a liquid concrete admixture that delivers significant cost and product advantages, facilitating denser, tougher, stronger cement and longer lasting, more durable concrete Operating in the global concrete market expected to reach
Slide 6: Corporate Journey
Corporate Journey For personal use only 2005 2007 2009 2010 2011 • Eden & University of Queensland • May – Eden enters agreement with • March – Ashok Leyland launches • February – Eden signs agreement • January – First US Production – awarded ARC Grant for Carbon Larsen & Toubro Engineering group ne
Slide 7: Product Overview
For personal use only 2. PRODUCT OVERVIEW EDEN INNOVATIONS | ASX: EDE 7
Slide 8: Core Expertise – Carbon Nanotubes
Core Expertise – How carbon Carbon Nanotubes nanotubes work For personal use only Harnessing the Act as nucleation points for dense cement hydration - benefits of carbon builds on all surfaces of CNT nanotube technology for commercial application in concrete and plastics Create quintillions (1018) o
Slide 9: EdenCrete Range
® EdenCrete Range For personal use only EdenCrete® is a cost effective, carbon nanotube enriched liquid admixture for concrete that is mixed into wet concrete • Increases flexural, tensile & compressive strength, and abrasion resistance • Reduces shrinkage, permeability and damage from salt and chem
Slide 10: Value Proposition
Value Proposition For personal use only Increases Increase Increases Reduces Reduces Increases Products Compressiv s Flexural Shrinkage Permeability Abrasion Drawback • Cost advantages e Strength Split- Strength Resistance Tensile resulting from price and Strength reduced concrete volumes, plus fast
Slide 11: Applications & Customers
Applications & Customers For personal use only ADVANTAGE SUITABLE FOR CUSTOMERS Permeability / • Roads, airfields, coastal, marine, dams, • Government Department sewers, bridges, runways, coastal/marine salt resistance / environments, dams, sewer/water of Transport authorities - shrinkage pipelines
Slide 12: Outstanding Product Benefits
Outstanding Product Benefits For personal use only ABRASION RESISTANCE REDUCED PERMEABILITY Chloride Content (Wt.%) Control Mix – Control Mix – Penetrated Depth (mm) Not Ponded Ponded Chloride Values 10-20 0.004 0.059 0.055 25-35 0.006 0.045 0.039 40-50 0.004 0.005 0.001 55-65 0.003 0.004 0.001 Test
Slide 13: Cost Comparison
Cost Comparison For personal use only Ultra High Wear /Abrasion Resistance Application Concrete slab Concrete slab Concrete slab with wire mesh with steel with EdenCrete® or macro-fibers Higher wearing ~ $15/ ft.2 ~ $22/ ft.2 ~ $12/ ft.2 concrete requires Concrete slab less depth, without 8.5” Concr
Slide 14: Government Validation and Commercialisation
Government Validation and Commercialisation For personal use only WR VT Government approval for use by Departments of Transport (DOTs) in 11 US MT States, 26% of total US bridges in need of repair, with 11 further DOT OR applications pending MI NV CO WV VA MD Georgia Department of Transport (GDOT) m
Slide 15: Barriers to Entry
Barriers to Entry For personal use only 10 years of product development Product field testing by Government departments after initial approval typically requires 12 months, including lab tests Typical sales cycle for EdenCrete® is 6 -9 months, after successful field testing by the relevant DOT 100%
Slide 16: Case Study
Case Study For personal use only ABRASION RESISTANCE / ULTRA HIGH WEAR APPLICATION CONTROL TRIAL SLAB TYPICAL ULTRA HIGH LOAD EdenCrete® TRIAL SLAB Significant cracks and High loading/ abrasive application No cracks or evidence of wear wear after 6 months at site – repeat contracts EDEN INNOVATIONS
Slide 17: OptiBlend
OptiBlend ® For personal use only OptiBlend® is a custom fitted hardware technology that allows conventional diesel engines to run on natural gas as its primary fuel without modifying the engine or the diesel fuel system. • Comprised of a proprietary Air-Gas Mixer and a Fuel Control Valve • Works by
Slide 18: Global Market Opportunity
For personal use only 3. GLOBAL MARKET OPPORTUNITY EDEN INNOVATIONS | ASX: EDE 18
Slide 19: Growing Market Opportunity
Growing Market Opportunity For personal use only US $921 billion US $18.1 billion Key drivers of US growth: The GLOBAL CONCRETE AND CEMENT The CONCRETE ADMIXTURES MARKET • Need to upgrade infrastructure MARKET is expected to exceed US $921 was estimated to be US $11.68 billion in In 2015, the US gov
Slide 20: Growth Strategy
For personal use only 4. GROWTH STRATEGY EDEN INNOVATIONS | ASX: EDE 20
Slide 21: Current sales pipeline
Current sales pipeline For personal use only GEORGIA TEXAS GDOT State funded projects using EdenCrete® Texas Department of Transport (TxDOT) • 6 currently underway or open for tender • Additional precast contractors, manufacturers • 9 further projects expected by July 2018 COLORADO FHWA Federally fu
Slide 22: Growth Strategy
Growth Strategy For personal use only • Georgia production plant– USD $24.76m in incentives secured from Georgia Govt to establish EdenCrete® plant in Augusta, GA Will expand 2.4m gallon per year output capacity of Colorado • Enter the global plastics market ® production facility, with initial with
Slide 23: New product development: EdenPlast
New product development: EdenPlastTM For personal use only Eden aims to enter the Suitable plastics markets: Proven in-house plastics market with its • Automotive and packaging capability new product, EdenPlastTM Development, testing and commercialisation Highly encouraging preliminary results: • Ed
Slide 24: Financials
For personal use only 5. FINANCIALS EDEN INNOVATIONS | ASX: EDE 24
Slide 25: Commercialisation Progress
Commercialisation Progress For personal use only EDENCRETE REVENUE 300 250 EdenCrete® 200 US $,000 • Bulk distribution contracts 150 100 • Repeat business customers - government and private 50 • Supply contracts vary by volume for each project 0 • Significant revenue growth projected FY 2019 and FY
Slide 26: Outlook & Summary
For personal use only 6. OUTLOOK & SUMMARY EDEN INNOVATIONS | ASX: EDE 26
Slide 27: Outlook & News Flow Pipeline
Outlook & News Flow Pipeline For personal use only OUTLOOK NEWS FLOW Strong year on year revenue growth expected for FY18 and FY 19, driven by EdenCrete® sales: Further significant contract wins for EdenCrete® • Existing projects already underway State DOT approval process by the US National Transpo
Slide 28: Investment Summary
Investment Summary For personal use only 1 EdenCrete® admixture product delivers significant cost and product advantages in concrete Large global concrete market expected to reach 2 US $921 billion by 2020, with significant barriers to entry for competitors 3 Proprietary technology and core expertis
Slide 29: Management Team
Management Team For personal use only Gregory Howard Aaron P. Gates Roger Marmaro Robert Reid III Solomon CFO, Company President / CEO - Executive Business Director- Executive Chairman Secretary Eden Innovations U.S EdenCrete Industries Inc. US Chairman of Eden since A qualified accountant with more
Slide 30: Financials – Half Year Ended Dec 2017
Financials For personal use only Half Year Ended Dec 2017 SUMMARY BALANCE SHEET CASH FLOW $,000 $,000 % change $,000 $,000 $,000 $,000 FY17 1H FY18 30 June 2017 31 Dec 2017 31 Dec 2016 31 Dec 2017 Cash and cash 7,985 1,040 Receipts from 299 584 Revenue 468 856 82.9% up equivalents customers Other co
Slide 31: For personal use only
For personal use only GREG SOLOMON EXECUTIVE CHAIRMAN Level 15, 197 St. Georges Terrace, Perth, Western Australia Telephone: +61 8 9282 5889 Email: gsolomon@edeninnovations.com www.edeninnovations.com EDEN INNOVATIONS | ASX: EDE 31