Transportation And Logistics Systems, Inc. · OTC:TLSS
Transportation And Logistics Systems — Investor Presentation (May 2019)
23 slides from Transportation And Logistics Systems's investor presentation, May 3, 2019
Slide 1: Delivering at the Speed of Ecommerce
eCommerce Fulfillment Solutions DELIVERING AT THE SPEED OF ECOMMERCE 2019 Investor Presentation / CONFIDENTIAL / Do Not Redistribute
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Statements made in this presentation that are not historical or current facts are “forward-looking statements’ made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exch
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS Route Growth (# of Routes) = We are an end-to-end ecommerce fulfillment solutions provider to one of the largest ecommerce companies in the world. a = Operating in the largest region for ecommerce within a five- “ state delivery area custom fit for our fleet's capabilities. 800
Slide 4: Traditional Retail vs. Ecommerce
TRADITIONAL RETAIL VS. ECOMMERCE Traditional (measured in days, weeks or even months) es —— f8] —— I — sts Manufacturer Warehouse Retail Store Customer ECOMM ERCE (measured in minutes and hours) be — fai — fe — ith Manufacturer Warehouse Distribution Center _.Customer Mn. (4) “~~ WEBSITE Gi - 4 time
Slide 5: Our Services
OUR SERVICES At Home (Over the Threshold) Delivery Including 2-Person Delivery The delivery of heavy/bulky items requiring larger vehicles and two-person delivery teams is one of the fastest growing segments. We are bringing our successful Last Mile experience to the heavy/bulky space by deploying t
Slide 6: Ecommerce market share and growth
S for 47% of US. 0 line re tail. ‘ f i e market for ecommerce B2B of $1.4 trillion by 2021 1a ed $761 billion market for consumer ecommerce. a , 2019 * onsumers are more likely to buy products from amazon than other ecommerce sites. Forbes , 2019 \ __ ae — 1 7 CONFIDENTIAL Do Not Redistribute / 7
Slide 7: Major Retailers in the Game
MAJOR RETAILERS IN THE GAME The Top 10 E-Retailers in 2018 Are All Targets for Our Services Forbes, 2019 pRane Compa Market Share (2018) #1 Amazon 411% #2 eBay 6.6% #3 Apple 3.9% #4 Walmart 3.1% #5 The Home Depot 1.5% #6 Best Buy 13% #] Quarte Retail Group 1.2% #8 Macy's 1.2% #9 Costco 1.2% #10 Wayf
Slide 8: Ecommerce Has Changed Delivery
ECOMMERCE HAS CHANGED DELIVERY Customer expectations have required logistics companies to adapt to the market's requirements. Prime v The Need for Faster Delivery has increased the number of distribution centers and is reducing the average length of hauls, which today averages 533 miles. (Freight Wa
Slide 9: Ecommerce Drives Delivery Demand
" =>=ECOMMERCE DRIVES DELIVERY DEMAND. == a — —— = i q 74°%o,of,consumers go to Amazon when they're ready-to buy something. a 92019. — = Amazon took over the $176 B market for cloud computing. Now it's using the same playbook in logistics: ~ BUSINESS INSIDER . 2019 ——= => ~ Since 2015, the number of
Slide 10: Amazon's Effect on Logistics
AMAZON'S EFFECT ON LOGISTICS = Amazon has made delivery a core customer value and is now offering 1 day-delivery for participating customers. = Amazon has taken the lead by managing more shipments in-house with dedicated, third-party logistics companies. = Amazon is building a logistics empire — and
Slide 11: How We Built Our Business and Reputation
Prime Prime eCommerce Fulfillment Solutions HOW WE BUILT OUR BUSINESS AND REPUTATION Page 11
Slide 12: About Us
ABOUT US We have built a specialty ecommerce logistics company by providing transportation including line haul, mid mile, last mile and ‘over the threshold’ and ‘white glove’ delivery for ecommerce. We provide end-to-end solutions from distribution centers or manufacturer's docks to customers’ doors
Slide 13: Management Team
MANAGEMENT TEAM John Mercadante, Chairman of the Board, President and Chief Executive Officer John cofounded Leisure Line, Inc., a motor coach company serving New York City and Atlantic City, New Jersey, in 1970 and served as the Chief Executive Officer for a ten year period through the sale of the
Slide 14: We Are an Asset-Based Carrier
WE ARE AN ASSET-BASED CARRIER = All of our staff are W-2 employees and we do not use independent contractors. = Our equipment is owned or leased by us, and maintained by us. = We are better positioned than our competition to control safety, reliability and overall performance. = Increasingly, leadin
Slide 15: Growth Plans
GROWTH PLANS 1. Expand relationships with existing customers and secure new customers organically. An example of a contract we won is chronicled on the following slide. = Scale our metro markets and penetrate new, large metro areas outside of our current geographical footprint. = Leverage our strong
Slide 16: Case Study: EWR5 DDU Award
CASE STUDY “EWRS5 DDU’ AWARD 1/30/2019 RFP for EWRS5 DDU routes released for servicing 140 dedicated daily routes originating out of Amazon's sort center in Avenel New Jersey - EWRS. 2/4/2019 Bids are submitted from dozens of service providers. 2/11/2019 Bid awarded to Prime EFS for 58 of the 140 ro
Slide 17: On-Time Delivery
ON-TIME DELIVERY How we meet and exceed the #1 metric for our clients = We closely communicate within our client's system to ensure our clients’ customers specific delivery instructions are followed. = We focus on ‘First Time/Attempt Delivery’ which measures our success rate in hand-delivering goods
Slide 18: Network Operations Center (NOC)
NETWORK OPERATIONS CENTER “NOC” On-time delivery and client tracking is handled 24/7 by our NOC = Through our NOC we manage end-to-end logistics from meeting our client's ‘critical-pull-time’ to our deliveries. =» Our NOC allows us to manage on-road disruptions in real time and communicate the most
Slide 19: We Adapt to Our Clients' Systems
WE ADAPT TO OUR CLIENTS’ SYSTEMS Our clients’ tracking systems are essential to their success. We become experts on using their platforms. + Weare technology agnostic to our clients’ platforms. We know the value of using our client's systems versus connecting other, third party logistics systems to
Slide 20: Financials
FINANCIALS 2018 Results and 2019 Projections
Slide 21: 2018 Results and 2019 Projections
2018 RESULTS AND 2019 PROJECTIONS AUDITED For the full year ended December 31, 2018 Transportation and Logistics Services, Inc. 2019 PROJECTIONS For the full year ending December 31,2019 Transportation and Logistics Services, Inc. NET REVENUE $ 18,118,659 $ 60,000,000 Cost of Revenue (16,223,981) GR
Slide 22: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION Reconciliation of GAAP Measures to Non-GAAP Measures AUDITED For the fiscal year ended December 31, 2018 NET LOSS $ (14,478,157) Depreciation & Amortization 664,351 Interest Expense 1,913,692 Derivatives Expense 5,779,282 Non Cash Stock Compensation 3,090,000 One Time
Slide 23: Balance Sheet
BALANCE SHEET AUDITED For the fiscal year ended December 31, 2018 Cash $ 296,196 Accounts Receivable 775,772 Other Current Assets 510,687 Total Current Assets 1,582,655, Security Deposit 5,000 Property and Equipment 936,831 Intangible Assets 4,668,334 Total Other Assets 5,610,165 TOTAL ASSETS $7,192
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