Vecima Networks Inc. · TSX:VCM

Vecima Networks — Q3 2025 Earnings Presentation

31 slides from Vecima Networks's earnings presentation, May 15, 2025

  1. Slide 1: Investor Overview

    Investor Overview FY 2025 – Q3 RESULTS | Ending March 31, 2025 VECIMA NETWORKS (TSX: VCM) May 15, 2025 © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved.

  2. Slide 2: Safe Harbour

    SAFE HARBOUR Forward-Looking Statements Certain statements in this presentation may constitute forward-looking statements within the meaning of applicable securities laws. All statements other than statements of historical fact are forward-looking statements. These statements include but are not lim

  3. Slide 3: Dynamics Accelerating Network Expansion

    Dynamics Accelerating Network Expansion 10 + 25 % $B Bandwidth- GBPS CAGR Broadband Intensive Apps Data Rates Network Traffic Equity Stimuli 4K & 8K, AR, VR & XR Symmetrical services Up to 3,300 EB/m Bridging ‘digital divide’ Cloud Gaming & AI with <5ms latency by 2030 accelerates growth Source: ITU

  4. Slide 4: Dynamics Driving Network Evolution

    Dynamics Driving Network Evolution FROM TO 1 Analog Hubs & Nodes Digital Hub & Nodes RPD, RMD, OLT DIGITIZATION OF THE NETWORK 2 Integrated CMTS VIRTUALIZATION OF THE NETWORK vCMTS vPON MONETIZATION OF STREAMING VIDEO Monetizing OTT Video 3 Bundled Video Packages With Open CDN & Dynamic Ad Insertion

  5. Slide 5: Network Evolution has Dramatic Benefits for the BSP

    Network Evolution has Dramatic Benefits for the BSP FROM TO Cost Reductions in: 1 Analog Hubs & Nodes Space 6X Power 3x DIGITIZATION OF THE NETWORK Truck Rolls 2 Integrated CMTS VIRTUALIZATION OF THE NETWORK Improvements in: MONETIZATION OF STREAMING VIDEO Signal Quality Data Rates 10x 3 Bundled Vid

  6. Slide 6: Huge and growing Rural Broadband FTTH Investment

    Huge and growing Rural Broadband FTTH Investment More than $65B in subsidies pouring into North American Broadband Networks Rural Digital Opportunity Fund Universal Broadband Broadband Equity Access and Deployment (BEAD) (RDOF) Fund in Canada $20.4B USD to: $3.225B CAD to: $42.45B USD to: • Build ou

  7. Slide 7: Widest Next Gen Portfolio in the Industry

    Widest Next Gen Portfolio in the Industry Cloud / Data Center / Hubsite Access Network / Outside Plant Residential / Enterprise Combo XGS R-OLT 2, 4 & 8 port Fiber PON vPON OLT 8, 16 & 32 10G Shelf & node- DPoE port EPON based 8, 16, 32 2, 4, 8 broadband delivery for Commercial video commercial & MD

  8. Slide 8: Strategic, Calculated Growth Spanning 35+ Years

    Strategic, Calculated Growth Spanning 35+ Years Falcon V Adds R&D Center of Excellence in Poland Vecima acquires Falcon V Systems, deepening focus on Vecima Vecima supplies First direct Tier 1 Vecima acquires Vecima acquires Nokia Software Solutions founded solutions for early MSO engagements Concur

  9. Slide 9: TAM - Every Investment Focused on 10G and Beyond

    TAM - Every Investment Focused on 10G and Beyond $9,000 Millions Legacy technology continues to decline rapidly, $8,000 while next-gen technology steadily increases $7,000 Vecima has invested >$500M $6,000 $5,000 $4,000 in preparation for this $3,000 massive, multi-year upgrade $2,000 cycle with $8B

  10. Slide 10: Proudly serving 100+ Operators and 100M people globally

    Proudly serving 100+ Operators and 100M people globally 127 OPERATOR ENGAGEMENTS FIBER 245 OPPORTUNITIES ACTIVE CABLE AMERICAS EMEA APAC © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. 10

  11. Slide 11: Three Businesses in the early stages of growth

    Three Businesses in the early stages of growth Video & Content Broadband Delivery Telematics Solutions 81% of business & Storage 17% of business 2% of business Business segment percentages based on FY’24 full year results © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. 11

  12. Slide 12: Accelerating next-generation broadband networks

    Accelerating next-generation broadband networks Video & Broadband Solutions • Cox Communications chooses Vecima's Entra vCMTS to modernize and enhance its DOCSIS network • Dell'Oro group named Vecima global market share leader for 2024 in R-OLTs and R-MACPHY nodes • Made significant progress on the

  13. Slide 13: Transforming next-gen Broadband Networks

    Transforming next-gen Broadband Networks Cloud / Data Center / Hubsite Access Network / Outside Plant Residential / Enterprise Combo 2021-2024 XGS R-OLT 2, 4 & 8 port Fiber PON Commercial video vPON OLT 8, 16 & 32 10G Shelf & node- DPoE port EPON based 8, 16, 32 2, 4, 8 broadband delivery for commer

  14. Slide 14: Partnered with the largest Broadband Service Providers

    Partnered with the largest Broadband Service Providers U.S. Tier 1 Success Case Study CLOUD / DATA CENTER HUB SITE ACCESS NETWORK RESIDENTIAL / ENTERPRISE DAA for Cable 21 2,000+ 195,000+ 50M homes will be CABLE Hub Sites passed with DAA Network Regional Data Centers Analog Nodes being replaced Upgr

  15. Slide 15: Cable Access Fiber Access: >$1.1B in Sales Since FY 2021

    >$1.1B in Sales Since FY 2021 & Accumulating Market Share BSP Network Incumbency CAD$ Cable Access $1,200 Millions $1,000 2021-2024 $800 $600 $400 $200 $0 Fiber Access 2021-2024 2021 2022 2023 2024 2025 © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. Source: Dell’Oro Group

  16. Slide 16: vCMTS, DOCSIS 4.0 & XGS are the next frontiers

    vCMTS, DOCSIS® 4.0 & XGS are the next frontiers Cable Access Fiber Access All New SAM CY25 Accumulating CY25 All New SAM CY25 April 2025 announced Millions Millions Millions $450 $900 $7,000 Cox vCMTS $400 Agreement. Expect to $800 $6,000 participate in $350 $700 significant TAM $5,000 $300 growth i

  17. Slide 17: Exceptional video experiences, new revenue streams

    Exceptional video experiences, new revenue streams Content Delivery & Storage • Continued progress with Media Scale Open CDN and Dynamic Ad Insertion (DAI) technologies • MediaScale platforms accelerate IPTV customer subscriber growth with migration from QAM to IPTV • Showcased dh/KeyFrame Media Opt

  18. Slide 18: Lower costs, higher video quality and revenues

    Lower costs, higher video quality and revenues RESIDENTIAL CLOUD ACCESS NETWORK / OUTSIDE PLANT / ENTERPRISE ORIGIN COMMUNITY / STORAGE Managed IPTV Platform for Service Providers MICRO-CACHE TRANSCODE OPTIMIZE CACHE MONETIZE COMMERCIAL VIDEO CACHE GATEWAYS CACHE Video Platform for Commercial Servic

  19. Slide 19: Igniting new experiences, revenues & loyalty

    Igniting new experiences, revenues & loyalty • Improve video stream quality, reduce bitrates + + + + by up to 80% • Dramatically improved OTT QoE Open CDN + + + + • Reduced network loading NEW SOLUTIONS • New revenue streams Dynamic Content & + + + + • Pinpoint ad targeting and reduced ad-waste • Ne

  20. Slide 20: Real-time asset tracking, anywhere in the world

    Real-time asset tracking, anywhere in the world Telematics • Cloud-based tracking & monitoring of vehicles, assets, and people • Secured additional deployments in high-value verticals, including municipal governments and moveable asset sectors such as restoration • Added 15 new customers for the NER

  21. Slide 21: GPS Fleet & Equipment Management Software

    GPS Fleet & Equipment Management Software Equipment in warehouse Access data at home, in the office, or on the go Fleet vehicles Equipment Equipment on vehicles on jobsites Data-driven, full visibility Faster deployment and asset ROI Automation © 2025 Vecima Networks. Confidential & Proprietary. All

  22. Slide 22: Focused on growth and profitability

    Focused on growth and profitability © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. 22

  23. Slide 23: Core focus on growth and profitability

    Core focus on growth and profitability CASH, NET OF REV. LOC ($CAD) SHORT & LONG-TERM DEBT ($CAD) 56% MANAGEMENT / ($44.23) $22.82M INSIDERS 44% INSTITUTIONAL RETAIL / OTHERS WORKING CAPITAL ($CAD) SHAREHOLDER’S EQUITY ($CAD) 24.3M BASIC SHARES $60.29M $232.2M OUTSTANDING Market Cap ~$233.4M (as at

  24. Slide 24: Strong, consistent financial performance

    Strong, consistent financial performance $87.5 $41.9 $17.2 $80.1 $81.9 $38.8 $16.0 $71.1 $34.2 ($4.3) FX Losses $64.0 $30.5 non-cash $11.6 QUARTERLY $25.9 $9.4 $1.1 48% 48% 42% 36% 48% 3Q24 4Q24 1Q25 2Q25 3Q25 3Q24 4Q24 1Q25 2Q25 3Q25 3Q24 4Q24 1Q25 2Q25 3Q25 $303.4 $291.0 $147.0 $141.6 $59.8 $53.8

  25. Slide 25: Stewarding another high-growth era for Vecima

    Stewarding another high-growth era for Vecima © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. 25

  26. Slide 26: Unique in the market, strong competitive edge

    Unique in the market, strong competitive edge Most open & Most Industry- Widest Solution Global Sales Strong Industry Interoperable Focused Vendor Ecosystem Team Reputation To better deliver $500M+ R&D Cable, Fiber Scale, Invented on customer accumulated IP Video and Knowledge & Developed expectatio

  27. Slide 27: In summary

    In summary Bandwidth-intensive Opportunities to Broadband Service More than $65B in apps and competitive improve monetization Providers (BSPs) must government subsidies pressures are driving for both Managed IPTV upgrade and digitize will continue to drive utilization, network & OTT content will the

  28. Slide 28: Executive Management Team

    Executive Management Team Judd Schmid Dean Rockwell Clay McCreery Colin Howlett Bjorn Roos Sumit Kumar CHIEF FINANCIAL EXECUTIVE VICE CHIEF OPERATING CHIEF TECHNOLOGY HEAD OF LEGAL & PRESIDENT & CEO OFFICER PRESIDENT OFFICER OFFICER CORPORATE SECRETARY 30 years of C-level 35 years of finance & 30+ y

  29. Slide 29: Board of Directors

    Board of Directors Surinder Kumar Sumit Kumar James Blackley Scott Edmonds Samuel Chernak David Rowat PRESIDENT & CEO INDEPENDENT INDEPENDENT INDEPENDENT INDEPENDENT CHAIRMAN DIRECTOR DIRECTOR DIRECTOR DIRECTOR Founder, 30 years of C-level 2020 Cable Hall of Advisor to the CEO 30+ Years leading C-le

  30. Slide 30: Thank you.

    Thank you. 201-771 Vanalman Avenue, Victoria, BC, Canada V8Z 3B8 Tel: (250) 881-1982 Fax: (250) 881-1974 invest@vecima.com vecima.com © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved.

  31. Slide 31: © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved.

    © 2025 Vecima Networks. Confidential & Proprietary. All rights reserved. 31

Vecima Networks — Q3 2025 Earnings Presentation on 6ix