Slide 1: Earnings Presentation Q3 June 2021
TSXV: EGT EARNINGS PRESENTATION Q3 JUNE 2021 NOT FOR DISTRIBUTION PRIVATE & CONFIDENTIAL
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS • Some of the information provided in this presentation constitutes international operations such as political, economic and other "forward-looking information" within the meaning of applicable securities uncertainties; the ability of the Company to raise additional capita
Slide 3: Prime for Growth Execution
PRIME FOR GROWTH EXECUTION 1 SUPPLY CHAIN ENHANCED – FLOW MANUFACTURING 2 POSITIONED FOR ACCERLERATED GROWTH – DOUBLE DIGIT REVENUE TARGETS 3 BALANCE SHEET OPTIMIZATION 4 VERTICALLY INTEGRATED BATTERY SUPPLY CHAIN 3
Slide 4: Financial Data – Q3
FINANCIAL DATA – Q3 Revenue / Gross Margin (millions) Operating Expenses (millions) Q3 - Q2 - Q3 - Q4 Q1 2020 2021 2021 $3.0 10.0% General and Administrative $0.46 $0.75 $0.81 $1.10 $1.08 $2.5 $0.2 8.2% 8.0% Selling and Marketing $0.50 $0.41 $0.46 $0.47 $0.48 $2.0 $0.3 6.0% Product Research and Deve
Slide 5: Financial Data – Q3
FINANCIAL DATA – Q3 Key Balance Sheet / Cash Flow Items in $ millions Q3 - 20 Q4 - 20 Q1- 21 Q2- 21 Q3- 21 Balance Sheet $M Strike Price $0.6 $0.5 $0.2 $15.0 $7.7 Convertible - - Cash Preferred Shares $4.9 $0.24 $1.3 $0.7 $0.8 $0.4 $1.5 Accounts receivable Senior Loan $0.5 - $1.4 $1.5 $1.5 $2.3 $5.7
Slide 6: Supply Chain Update
SUPPLY CHAIN UPDATE • Pressure on global supply chains has not eased and port congestion continues to cause transit time delays with increasing costs across the board • Global micro-chip shortage has become a critical constraint with current orders pushed out to August 2022 • Inventory position plan
Slide 7: Raw Material Investment
Other inventory + RAW test equipment Q.Home $.47M MATERIAL $.41M Magnetics INVESTMENT $.41M LFP Batteries SUPPLY CHAIN PRIMED FOR 600 EVOLVE AND $4M Enclosures 300 ENDURO $.55M 50% ADDITIONAL BATTERY MODULE COVERAGE TO 900 EVOLVE AND 500 ENDURO Electronics ALL MATERIALS $.75M EXPECTED BY JUNE 30 POS
Slide 8: Development Objectives
DEVELOPMENT OBJECTIVES Industry standard, chemistry agnostic battery management system 24M based next generation semi solid state lithium battery module 10kW/28kWh full home back up LFP system certification Fleet aggregation and VPP platform development EMS app and commissioning tools Multi-Unit End
Slide 9: Safe, Flexible Whole-home backup.
Safe, Flexible Whole-home backup. Safe and reliable Cobalt-free battery chemistry • Pylontech Lithium Iron Phosphate (LFP) battery modules • Non-toxic and non-hazardous • Superior thermal and chemical stability • Incombustible and thermal runaway resistant Indoor or Outdoor Use • NEMA 3R rated enclo