Ceragon Networks Ltd. · NASDAQ:CRNT
Ceragon Networks — Investor Presentation (December 2021)
22 slides from Ceragon Networks's investor presentation, December 2021
Slide 1: The Global Innovator & Provider of 5G Wireless Transport Solutions
THE GLOBAL INNOVATOR & PROVIDER OF 5G WIRELESS TRANSPORT SOLUTIONS CAPITALIZING ON 5G EVOLUTION DECEMBER | 2021 1
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Ceragon Networks Ltd. (“Ceragon” or the “Company”) for informational purposes only. This presentation is proprietary to the Company and may not be reproduced (in whole or in part) nor summarized, passed, distributed, disseminated and/or copied withou
Slide 3: Our Vision
OUR VISION To create equal digital opportunities for all people around the world by bringing communication capabilities everywhere. 3
Slide 4: Our Wireless Transport Specialty
OUR WIRELESS TRANSPORT SPECIALTY A KEY DIFFERENTIATOR & A CRITICAL TECHNOLOGY FOR 4G & 5G NETWORKS WIRELESS TRANSPORT – AN ALTERNATIVE TO FIBER DEPLOYMENT AN ESSENTIAL PART OF ANY NETWORK EVOLUTION FOR FASTER AND MORE COST-EFFECTIVE DEPLOYMENTS Connects approximately 45% of all cell sites globally (
Slide 5: Company Snapshot: Strong Position
COMPANY SNAPSHOT: STRONG POSITION INNOVATIVE MARKET LEADER GLOBAL COMPANY COMPANY SNAPSHOT 4G & 5G NETWORK ENABLER Customers who choose based on value Significant activity in each region of technology select Ceragon (Q3 20 - Q2 21) (UNITS) +2,000 TOTAL CUSTOMERS +1M SYSTEMS DEPLOYED 15% COUNTRIES WI
Slide 6: Ceragon Growth Path
CERAGON GROWTH PATH 6
Slide 7: Disruption in the Market Drives Our Growth
DISRUPTION IN THE MARKET DRIVES OUR GROWTH $55M $160M $300M 190%+ 80%+ Future Growth Growth Growth 2005 2009 2018 2021+ 18 5G Design Wins as of Q3 2021 7
Slide 8: Market Snapshot: Growing TAM
MARKET SNAPSHOT: GROWING TAM Ceragon boasts repeated to success in introducing to disruptive technologies for and now wireless transitions from: to 5G ERA & OPENRAN ADOPTION EXPECTED TO INCREASE OUR TAM FOR 1ST TIME IN YEARS 5G requires higher In parallel, with OpenRAN, Our SoC will enable us to Man
Slide 9: Key Driver of 5G Wireless Gen Transition
KEY DRIVER OF 5G WIRELESS GEN TRANSITION Exodus to online world creating 1 urgent need for more capacity 7 Extensive global presence to diverse clientele - Offering backhaul, fronthaul and Managed Services solutions 2 Telcos everywhere are developing 5G network plans 6 Well-positioned to provide ope
Slide 10: 73+ Operators Increase Fronthaul
73+ OPERATORS INCREASE FRONTHAUL IN 38 MARKETS ALREADY IN BEST-OF-BREED NEW WIRELESS TRANSPORT DEPLOYING OR COMMITTED SEGMENT (BACKHAUL) MARKET FOR CERAGON 10
Slide 11: New Deals, Increased Demand, Domain Expertise
NEW DEALS INCREASED DEMAND DOMAIN EXPERTISE 5G networks complexity to drive increased An organic & natural evolution Awarded a multi-year agreement by demand for network monitoring, of our extensive domain’s experience leading US network service provider optimization & upgrades & software tools 11
Slide 12: Best-of-Breed Versus Bundled-Deals Segment
BEST-OF-BREED VERSUS BUNDLED-DEALS SEGMENT Best-of-Breed (units) Market is slightly growing Segment is growing 15% Other 26% 5% Ceragon Nokia $2.28B 7% BEST-OF-BREED Aviat Networks 9% SIAE 17% Huawei $1.52B 10% BUNDLED DEALS Ericsson 11% NEC Best-of-breed is the larger segment Open networks architec
Slide 13: Recent Highlights
December 7, 2021 RECENT Ceragon Networks and IP Infusion Partner to Deliver Industry’s First Radio-Aware Disaggregated Cell Site Router HIGHLIGHTS November 8, 2021 Ceragon to Renew & Maintain the Wireless Transport Network Infrastructure for RAI WAY, Italy’s National TV and Radio Network Provider Se
Slide 14: Ceragon Competitive Position
CERAGON COMPETITIVE POSITION 14
Slide 15: Ceragon Product Strategy
CERAGON PRODUCT STRATEGY A FLEXIBLE APPROACH TO 5G NETWORK TRANSFORMATION LEADING VECTOR: FLEXIBLE, OPEN ALL-OUTDOOR WIRELESS TRANSPORT KEY ENABLER 1: DISAGGREGATED WIRELESS TRANSPORT LATENCY CAPACITY Fits industry trend 100Gbps The ‘Best-in-Breed’ approach - no vendor lock in <10,000us Low total ne
Slide 16: 460+ Operators Globally
460+ OPERATORS GLOBALLY ABLE TO CAPITALIZE ON WORLDWIDE 5G TRENDS 16
Slide 17: Ceragon's Unique Position
CERAGON’S UNIQUE POSITION CHIPSET SYSTEMS SOFTWARE UNIQUE MULTICORE TECHNOLOGY BEST-FIT FOR PIONEERING OPEN NETWORKS OUTDOOR NETWORK SOLUTIONS IN THE WIRELESS TRANSPORT DOMAIN FAST DEPLOYMENT | SIMPLE SITE ACQUISITION LOW TOTAL NETWORK INVESTMENT ENABLER FOR NETWORK DENSIFICATION FAST NETWORK ROLLOU
Slide 18: Financials
FINANCIALS 18
Slide 19: Strong Third Quarter Amid Worldwide Crises
STRONG THIRD QUARTER AMID WORLDWIDE CRISES INCREASED REVENUES COMPARED TO Q2 2021 Strong bookings, revenues, and backlog in Q3 - increasing visibility for the remainder of the year Healthy quarter in North America, Europe and India New 5G design wins across several geographies. 18 5G design wins to-
Slide 20: Selected Financial Metrics
SELECTED FINANCIAL METRICS Q4 2020 – Q3 2021 STRONG BALANCE SHEET WITH 50% EQUITY GEOGRAPHIC REVENUE MIX ($ Millions) 8% 18% FINANCIAL Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 Q1’21 Q2’21 Q3’21 Africa Latin America METRICS 12% APAC Revenue $72.2 $71.3 $55.9 $62.4 $70.6 $74.0 $68.3 $68.6 $76.1 Cash(1) $20
Slide 21: Ceragon Investment Thesis - We Adapt and Grow!
CERAGON INVESTMENT THESIS - WE ADAPT AND GROW! 5G-ERA & OPENRAN EXTENSIVE GLOBAL OFFERING BACKHAUL, IN-HOUSE SOC: HIGHER ADOPTION EXPECT TO PRESENCE TO DIVERSE FRONTHAUL & MANAGED PERFORMANCE AT SPEEDS INCREASE TAM FOR 1ST CLIENTELE SERVICES SOLUTIONS TO OF UP TO 100GB, COST TIME IN YEARS SUPPORT TA
Slide 22: Thank You
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