Phoslock Environmental Technologies Limited · ASX:PET
Phoslock Environmental Technologies — Shareholder Meeting (December 2024)
18 slides from Phoslock Environmental Technologies's shareholder meeting presentation, Dec 20, 2024
Slide 1: Phoslock Environmental Technologies 2023 AGM Corporate Presentation
Company announcement Release date 20 December 2024 Phoslock Environmental Technologies 2023 AGM For personal use only Corporate Presentation Phoslock Environmental Technologies (ASX:PET) is pleased to release its 2023 AGM Corporate presentation. This announcement has been approved by the Chairman. M
Slide 2: Disclaimer
Disclaimer 2024 ANNUAL GENERAL MEETING For personal use only Statements contained in this presentation, particularly those regarding possible or assumed future performance, estimated company earnings, potential growth of the company, industry growth or other trend projections are or may be forward l
Slide 3: AGM Presentation
2024 ANNUAL GENERAL MEETING For personal use only AGM Presentation 20 December 2024 Mr. Graeme Newing CEO/Managing Director 11
Slide 4: Today's topics
Today’s topics 2024 ANNUAL GENERAL MEETING For personal use only 2024 Performance Growth Strategy Outlook for the company 1212
Slide 5: The first few weeks
The first few weeks 2024 ANNUAL GENERAL MEETING For personal use only ➢ The new board inherited a company with an uncertain future. ➢ Company gutted with most employees terminated and just 2 left outside of China. ➢ Operations largely closed in 2023. ➢ Distributor agreements cancelled or not managed
Slide 6: Rebuilding
Rebuilding 2024 ANNUAL GENERAL MEETING For personal use only ➢ My role has evolved from non-executive to CEO. ➢ Cherry Wang promoted to CFO. ➢ Overheads much lower. ➢ Prices cut significantly. ➢ Rehired Damian Whelan as GM UK & Europe. ➢ Terminated 6 employees in China. ➢ Rehired the China R&D team
Slide 7: Phoslock Organizational Structure
Phoslock Organizational Structure 2024 ANNUAL GENERAL MEETING For personal use only Shawn van Boheemen Fred Bart Non-Exec Graeme Newing Non-Exec director Chairman CEO Company Secretary Cherry Wang CFO Damian Whelan Bush Heathman Shufeng (Alan) Sun GM UK & Europe GM USA CFO China (+4) Zhi (Will) Li S
Slide 8: 2024 Performance
2024 Performance 2024 ANNUAL GENERAL MEETING For personal use only Sharp decrease in 2024 sales Phoslock sales (t) 2,500 • Brazil from 903 last year, to 105 • USA, from 147 last year, to 110 2,000 • Europe, from 109 last year, to 27 • Australia from 62 last year, to 79 1,500 • China from 16 last yea
Slide 9: Sales to recover in 2025 and beyond
Sales to recover in 2025 and beyond 2024 ANNUAL GENERAL MEETING For personal use only • Brazil to return to normal levels, over 500t. Phoslock sales (t) 2,500 • USA could gain from strategic relationships, perhaps 300t. 2,000 • Europe to benefit from this year’s groundwork. Numerous projects being w
Slide 10: Production
Production 2024 ANNUAL GENERAL MEETING For personal use only ➢ Production at Changxing ceased in November 2021 because of excess inventory. ➢ Might need to resume in a year or two. ➢ Capacity of 3,000 tpa on 1 shift, double that on 2 shifts. Phoslock ➢ Minor expenditure required. ➢ Operating costs e
Slide 11: Focused R&D program
Focused R&D program 2024 ANNUAL GENERAL MEETING For personal use only ➢ R&D recommenced on 1 November. ➢ The team comprises Peter Cao and his assistant. ➢ Fully equipped laboratory. ✓ Excellent progress has already been made. Their task is to improve and expand the product range. ✓ Three new product
Slide 12: Class actions
Class actions 2024 ANNUAL GENERAL MEETING For personal use only ➢ Two separate class action proposals are being advanced through the preliminary discovery phase, by Levitt Robinson and by the Banton Group, with overlapping claims. ➢ The claims mainly revolve around whether the company was in breach
Slide 13: Other legal and regulatory matters
Other legal and regulatory matters 2024 ANNUAL GENERAL MEETING For personal use only ➢ The AFP investigation commenced in November 2021 when PET voluntarily reported irregularities in China including possible bribery. ➢ Costs are not covered by insurance but the indemnity agreement with key personne
Slide 14: Quarterly cash flow
Quarterly cash flow 2024 ANNUAL GENERAL MEETING For personal use only ➢ Increasing receipts. ➢ Lower costs excluding legals and related. ➢ Rising legal costs ➢ Without those, cashflow was positive in Q3. ➢ Cash position $7.9m on 30 September. ➢ Deterioration expected in the Dec Qtr. 22
Slide 15: Profitability
Profitability 2024 ANNUAL GENERAL MEETING For personal use only ➢ In September PET released its annual report for 2023, disclosing a loss of $2.1m on revenue of $3.4m. ➢ The loss for the half year to 30 June 2024 has not yet been released but internal unaudited figures are for a loss of $1.1m on rev
Slide 16: What if?
What if? 2024 ANNUAL GENERAL MEETING For personal use only ➢ Currently Phoslock captures 11 kg P per tonne of product. ➢ We are developing new products including one that is much cheaper but just as effective, and two others with considerably more capacity to capture P. ➢ If this work comes to fruit
Slide 17: Industry background
Industry background 2024 ANNUAL GENERAL MEETING For personal use only ➢ There remains a large and growing need to reduce phosphate levels in waterbodies to eliminate the curse of toxic blue green algae. ➢ Funding for projects is largely on governments, local or otherwise, and most are constrained fr
Slide 18: Conclusions
Conclusions For personal use only ➢ Phoslock is putting in place policies to grow the business. ➢ Development of new products is an important part of our plans. ➢ Legal issues relating to the past are problems for our image and cashflow. They are largely out of our control and all we can do is deal
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