Aviat Networks, Inc. · NASDAQ:AVNW
Aviat Networks — Q4 2023 Earnings Presentation
21 slides from Aviat Networks's earnings presentation, Aug 23, 2023
Slide 1: Aviat Networks Fiscal Q4 2023 Investor Presentation
Aviat Networks (Nasdaq: AVNW) Fiscal Q4 2023 Investor Presentation August 23, 2023
Slide 2: Forward-Looking Statements
Forward-Looking Statements The information contained in this presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 21E of the Securities Exchange Act and Section 27A of the Securities Act, including expectations regarding
Slide 3: Aviat Networks Company Profile
Aviat Networks Company Profile Overview Revenue Summary Revenue by Region Revenue by Market Revenue by Category • Aviat Networks is a leading wireless access and microwave Latin America Europe transport equipment, software and services provider 5% 5% – US Headquarters (Austin, TX) – Global Customer
Slide 4: Business Financial Summary
Business Financial Summary Key Statistics Key Financial Metrics LTM Trading Symbol AVNW Revenue $346.6 million Shares Outstanding ~11.4 million Adjusted EBITDA* $47.0 million Stock Price $27.78 Cash & Mkt Securities $22.2 million Market Cap $318 million # of Employees ~700 Debt $0.0 million As of Au
Slide 5: Aviat Networks is the Wireless Solutions Pureplay
Aviat Networks is the Wireless Solutions Pureplay WIRELESS TRANSPORT WIRELESS ACCESS STATE & Core Markets INDUSTRIAL Growth Markets Aviat LOCAL GOV’T INDUSTRIAL LICENSED/ $8B UNLICENSED UTILITY PV+ PTP/PTMP Differentiation TAM $150M WISP TAM* Best in Class Wireless Transport PUBLIC Products SAFETY I
Slide 6: Aviat's Investment Thesis
Aviat’s Investment Thesis • 5G, critical communications, rural broadband, emerging Tremendous Market economies underpin demand Opportunity • 6% share in a $3B market, significant opportunity for growth • Strong incumbency to grow with installed base Well Positioned to • Compelling value proposition
Slide 7: Aviat is the Leader in Private Networks Wireless Transport
Aviat is the Leader in Private Networks Wireless Transport WHY WE WIN Growth Drivers Segments We Address Aviat Leadership ARPA Funding Gas Mission Critical Product Differentiation ($350B for US States’ water, sewer Water • Highest Power Radios and broadband infrastructure). States Electric Utilities
Slide 8: Well Positioned in Growing 5G and Rural Broadband Markets
Well Positioned in Growing 5G and Rural Broadband Markets • Best in Class Wireless Transport Products – Industry’s highest capacity, highest power radios on the market for lowest TCO – First to integrate microwave and IP/MPLS routing – Unique multi-band solution for 5G AviatCloud • Unique Software (
Slide 9: Rural Broadband Opportunity
Rural Broadband Opportunity “There are up to 42 million Americans for whom this essential network is not available, and millions more for whom it is available but unaffordable.” – Brookings Institute Over $70B in Wireless Transport is Aviat is #1 in USA Rural Available Funding the Solution Broadband
Slide 10: Aviat's Large and Growing 5G Opportunity
Aviat’s Large and Growing 5G Opportunity Wireless transport accounts for 60% of cellular Modest growth in overall wireless transport transport links with significant 5G market growth rates Global 5G Wireless Transport Market ($M) Satelitte Copper $1,800 $1,600 Fiber $1,400 Microwave / Millimeter $1,
Slide 11: Aviat's Multi-Band is the Ideal Solution for 5G Transportation
Aviat’s Multi-Band is the Ideal Solution for 5G Transportation Gbps More Capacity Longer Distance Lower Spectrum Costs $100K 10 MULTI-BAND XD $70,000 EXTENDED DISTANCE 5 SAVINGS $50K Software scalable 2.5 No new hardware MULTI- BAND $25K No site visits 1 Time Distance, Km $10K Year 1 Year 2 Year 3 Y
Slide 12: Aviat's Innovations Mean a Highly Differentiated Offering
Aviat’s Innovations Mean a Highly Differentiated Offering WIRELESS PRODUCTS SOFTWARE & SERVICES SUPPLY CHAIN & DELIVERY Ex: Multi-Band Ex: Health Assurance Software (HAS) Ex: Aviat Store Unique Attribute Industry’s only single box multi- Comprehensive Hosted Assurance Disintermediation of complex ba
Slide 13: Why Aviat Wins
Why Aviat Wins vs. Specialists » Aviat’s Advantage Competitor Implication Highly leveraged in chipsets, products designed for cost – Modular radio platform. Full portfolio of radios and routers. Products Better RF performance, Multi-Band difficult to create new product variants quickly, and unable t
Slide 14: Aviat Operating Model Framework
Aviat Operating Model Framework Excellence in Customer Focus Innovation Talent Supply Chain Our Actions We listen during the commercial We deliver innovative, high-quality We drive a performance culture and We achieve a competitive and sales process to understand our solutions that meet key customer
Slide 15: Fourth Fiscal Quarter 2023 Financial Highlights and Historical Performance
Fourth Fiscal Quarter 2023 Financial Highlights and Historical Performance
Slide 16: Fourth Fiscal Quarter 2023 Non-GAAP Financial Highlights
Fourth Fiscal Quarter 2023 Non-GAAP Financial Highlights Quarterly Year-Over-Year Comparison • Q4 Fiscal 2023 revenue of $91.2 million, up Q4 FY22 Q4 FY23 17.8% compared to the same period last year ($’s in millions) Actual Actual Revenue $77.4 $91.2 • Q4 Fiscal 2023 Adjusted EBITDA up $12.6 Gross M
Slide 17: Fourth Fiscal Quarter 2023 Balance Sheet Highlights
Fourth Fiscal Quarter 2023 Balance Sheet Highlights ($’s in millions, except for Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 DSO, DPO and Turns) Actual Actual Actual Actual Actual Actual Actual Actual • Improvement in Net Cash Cash Equivalents and position, driven by $47.3 $42.3
Slide 18: Rolling Trailing Twelve Month Historical Performance
Rolling Trailing Twelve Month Historical Performance ($’s million) Rolling TTM Revenue $347 $333 $333 $324 $313 $311 $298 $297 $303 $289 $282 $269 $275 $266 $247 $245 $244 $242 $250 $251 $240 $243 $247 $242 $244 $242 $240 $239 $246 $233 $236 $233 ($’s million) $47 $44 Rolling TTM Adj. EBITDA $42 $38
Slide 19: Cash Benefit of Historical Net Operating Losses (NOLs)
Cash Benefit of Historical Net Operating Losses (NOLs) Total NOLs (M) Deferred Tax Asset on AVNW Balance Sheet $102 $100 $98 $95 Intl., $186 $92 $90 $89 $87 US, $304 • $490 million of gross NOLs • Improved financial performance and outlook for Aviat • NOL’s reduce Aviat’s statutory federal and state
Slide 20: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Fiscal Year 2023 Fourth Quarter Summary RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES (1) Consolidated Statements of Operations (Unaudited) T h re e M o n t h s E n d e d T we lv e M o n t h s E n d e d T h re e M o n t h s E n d e d T we lv e M o n t h s E n d e d %
Slide 21: Aviat Networks
Aviat NETWORKS DOGeO WWW.AVIATNETWORKS.COM