Droneshield Limited · ASX:DRO
Droneshield — Canaccord Genuity Defence Conference (December 2023)
31 slides from Droneshield's conference presentation, Dec 5, 2023
Slide 1: Artificial Intelligence For Multi-Mission Threat Protection and C-UAS Defence
Artificial Intelligence For Multi- Mission Threat Protection and C-UAS Defence DroneShield Limited (ASX:DRO) Canaccord Genuity Defence Conference 5 December 2023
Slide 2: Business Update
Business Update • Record contracts and rapidly growing cash receipts – $68.8 million cash receipts YTD to 5 Dec 2023, up 4.4x vs entire FY22 – $49.2 million revenue YTD to 5 Dec 2023, up 2.9x vs entire FY22 – The revenue vs cash receipt difference due to advanced payments on product subscriptions (S
Slide 3: Continued Rapid Growth ($m, Dec YE)
Continued Rapid Growth ($m, Dec YE) The business stands at an inflection point Strong Revenue Growth (A$m) Rapid Cash Receipt Growth (Sales + Grants) (A$m) 68.8 ~7x growth 49.2 over Q3 2022 ~2.5x growth over Q3 2022 39.7 16.9 10.6 14.8 15.7 25.5 3.6 5.6 5.4 1.2 1.8 3.7 5.7 10.9 2018 2019 2020 2021 2
Slide 4: DroneShield “Secret Sauce”
DroneShield “Secret Sauce” C-UAS pioneer, full in-house suite of products, with a culture of innovation and deep channels to market Market leading, differentiated technology Complete product, integration and geographic coverage All hardware (except radar and camera) developed and ü made in-house (wi
Slide 5: Problem and Opportunity: Drones as a Threat
Problem and Opportunity: Drones as a Threat
Slide 6: Drones - A Critical and Growing Threat Vector
Drones - A Critical and Growing Threat Vector 6
Slide 7: Why is the Malicious Use of Drones a Threat?
Why is the Malicious Use of Drones a Threat? The Widespread Adoption of Drone Technology has Increased the Risk and Prevalence of Disruptive Use Payload Delivery • Attacks: Dropping harmful / explosive payloads (including chemical or biological substances) or creating damage via collision • Smugglin
Slide 8: Counterdrone: US$10bn Diverse Addressable Market
Counterdrone: US$10bn Diverse Addressable Market Rapidly Improving and Easily Available Drone Technology is Driving Demand for Counterdrone Solutions Sources: Addressable market: https://www.DroneShield.com/counterdrone-market Markets and Markets: https://www.marketsandmarkets.com/Market-Reports/ant
Slide 9: How a Counterdrone System Works
How a Counterdrone System Works DroneShield Performs all 3 steps of the Process DETECT ASSESS RESPOND State of the art, multi-sensor drone Machine learning and AI based detection and Respond / defeat technologies offer detection products provide optimal classification software for near-real time tra
Slide 10: Geopolitical Environment Providing Market Tailwinds
Geopolitical Environment Providing Market Tailwinds • Increased expenditure by Western Governments in response to the war in Ukraine – US DoD increasing 2023 budget to over US$800bn, a record peacetime amount1 – Germany increasing spending to over 2% of GDP (from 1.53% in 2021), including a new EUR1
Slide 11: DroneShield Overview
DroneShield Overview
Slide 12: Executive Summary
Executive Summary • Founded in 2014 and listed on the ASX in 2016, DroneShield provides Artificial Intelligence platforms for protection against drones DroneShield • Hardware and software to detect and safely neutralise small drones used for warfare, terrorism, contraband delivery, Overview and airp
Slide 13: Investment Highlights
Investment Highlights Leader in World leading provider of state-of-the-art counterdrone solutions and electronic warfare systems Counter-drone used in a diverse array of critical end markets Proprietary Full-scale hardware and SaaS offering used to detect, assess, and safely counteract threats from
Slide 14: DroneShield: Complete Proprietary Hardware and Software
DroneShield: Complete Proprietary Hardware and Software High IP, yet Mass-production Hardware, with a Software Subscription Platform and Electronic Warfare Work • Company-owned production facility, supplemented by outsourced manufacturers, to ensure ability to manage large hardware orders • The focu
Slide 15: Explosive Growth Based on a Strong Foundation
Explosive Growth Based on a Strong Foundation 2014-2017 2018-2022 2023 2024-2028 Building the Foundation “Green Shoots” Explosive Growth Transforming to Next Level • Setting up in Australia and US • Multiple $1m+ orders • $33m U.S. Govt sale • 5-year target*: • ASX IPO (raising $7m) • $3.8m 2-year R
Slide 16: Competitor Analysis
Competitor Analysis FPF Leo AY ———
Slide 17: Competitor Analysis
Competitor Analysis DroneShield is the only global provider of its own individual sensors, integrated into a complete system, fully in-house Origin Integrator ü ü ü ü ü - - - - - Detect Dismounted ü - - - - - - - - - Vehicle ü - ü - - - - ü ü ü Fixed Site ü ü ü - ü - - ü ü ü Defeat Dismounted ü - -
Slide 18: Key Execution Priorities and Growth Strategy
Key Execution Priorities and Growth Strategy
Slide 19: Leadership in Counterdrone, Grow Adjacent Capabilities and SaaS
Leadership in Counterdrone, Grow Adjacent Capabilities and SaaS Mission: Making the World a Safer Place through Mass Deployments of Drone Detection and Neutralization Systems Three-part Strategy Continue Leadership in the Counter-drone/Unmanned Threat Sector • The counter-drone market is growing rap
Slide 20: Appendices
Appendices
Slide 21: Counterdrone Detection Solutions
Counterdrone Detection Solutions Droneshield uses Multi-sensor Drone Detection for Optimal Results, Unaffected by time of Day or Weather Radio frequency Radar* Cameras* Acoustic* Imagery • Electro-Optical (EO), Infrared • Foundational layer • Motion tracker - emits signals (IR) and Thermal • Compare
Slide 22: Counter-drone Defeat Solutions
Counter-drone Defeat Solutions DroneShield uses smart jamming which has advantages over other technologies, particularly, in its use across civil and military applications, and does not compete against large Defence Primes Large Defence Primes Exotic Tech, Dominance Area DroneShield Offering Safe –
Slide 23: Benefits and Applications of Safe, Layered, Counterdrone Systems over Kinetic Systems
Benefits and Applications of Safe, Layered, Counterdrone Systems over Kinetic Systems Safe Counter-drone Systems Have Many Advantages over Kinetic Counter-drone Systems, which are only Practical for Deployment in War-like Scenarios Avoidance of Evidence for Legal Multi-Platform with Intelligence Gat
Slide 24: DroneShield AI Software Sees Through Noise – Radiofrequency Spectrum
DroneShield AI Software Sees Through Noise – Radiofrequency Spectrum World Leading Proprietary RF AI Platform for Protection Against Advanced Threats, such as Drones • Drones operate in the densest parts of the Radio Frequency (“RF”) Spectrum with “noise” coming from all kinds of other emitters incl
Slide 25: DroneOptID AI Software – Optical and Thermal Spectrum Counterdrone Surveillance
DroneOptID AI Software – Optical and Thermal Spectrum Counterdrone Surveillance DroneShield’s DroneOptID AI engine detects and tracks complex threats such as drones in cluttered environments • Drones are small, fast-moving objects, hard to detect with naked eye more than 50m away, against complex ba
Slide 26: Artificial Intelligence in Electronic Warfare
Artificial Intelligence in Electronic Warfare DroneShield is Favourably Exposed to the Fast-growing Electronic Warfare Business Segment • Electronic warfare (EW) is any action involving the use of the electromagnetic spectrum (EM spectrum) or directed energy to control the spectrum, attack an enemy,
Slide 27: Seasoned Senior Team
Seasoned Senior Team DroneShield’s experienced team carries a solid track record of delivering growth Peter Oleg Jethro Carla Red Tom James Vornik Marks Balanco McClintock Branstetter Independent CEO and Independent CFO and Sales U.S. Director Non- Managing Non- Joint Director of Business Executive
Slide 28: Industry and Media Recognition
Industry and Media Recognition 28 28
Slide 29: Capital Structure
Capital Structure Capital Structure (approximately 10,000 shareholders) - 4 December 2023 Research Coverage DRO Shares on Issue 611,403,611 DRO Options on Issue1 11,420,000 Fully Diluted Shares on Issue 622,823,611 Fully Diluted Equity Value2 $196.2m Cash (as at 5 December 2023) $59.2m Debt $nil Ful
Slide 30: Legal Disclaimer
Legal Disclaimer These presentation materials (the Presentation Materials) have been prepared by DroneShield Limited (the Company). By receiving the Presentation Materials, you acknowledge and represent to the Company that you have read, understood and accepted the terms of this disclaimer. It is th
Slide 31: Artificial Intelligence For Multi-Mission Threat Protection and C-UAS Defense
Artificial Intelligence For Multi-Mission Threat Protection and C-UAS Defense DroneShield Limited (ASX:DRO) Investor Presentation Oleg Vornik CEO and Managing Director oleg.vornik@droneshield.com +61 2 9995 7280
DroneShield — Canaccord Genuity Defence Conference (December 2023) on 6ix