ENTYR — FY2023 Earnings Presentation
30 slides from ENTYR's earnings presentation, Sep 14, 2023
Slide 1: Investor Presentation Full Year Results FY23
Investor Presentation Full Year Results FY23 Entyr Limited (ASX: ETR) 14 September 2023 1
Slide 2: Important Note – Disclaimer
Important Note – Disclaimer Summary information - This presentation (Presentation) Not investment advice - The information contained in this from those expressed or implied by such forward-looking Financial data – All dollar values in Australian dollars (A$ has been prepared by Entyr Limited (Entyr
Slide 3: The complete circular solution for the global waste tyre problem
MULTIPLE ASX LISTED CIRCULAR SCALABLE OPERATIONS ENVIRONMENTAL (ASX: ETR) ECONOMY APPROVALS THE COMPLETE CIRCULAR SOLUTION FOR THE GLOBAL WASTE TYRE PROBLEM CLEAN RECYCLED TYRE DERIVED FUELS RECOVERED CARBON ENERGY (GAS) STEEL BLACK entyr.com.au 3 3
Slide 4: Who we are, What we do
Who we are What we do Entyr Limited Solving the waste tyre problem is an Australian company with unique Our patented thermal desorption technology that has the potential to play technology cleanly converts end-of-life a significant role in solving the global tyres into valuable products, (fuel, carb
Slide 5: FY23 Highlights Key metrics
FY23 Highlights Key metrics Operations ▪ Key infrastructure enhancements were made including the installation of a Rasper, Tank farm, and Shredder. ▪ Operational throughput milestone with a rolling 30-day average of 750 tonnes. REVENUE TYRE COLLECTION PRICE ▪ Yard improvements encompassed hardstand
Slide 6: Investment highlights
Investment highlights Company well positioned to achieve commercialisation and sell into a high-volume market that can absorb all offtake produced by Entyr now and in the future 1 Invested in excess of $40m over 12 years developing Company owned patented thermal process 2 Stapylton facility has proc
Slide 7: FY23 achievements
FY23 achievements Rasper installation Capital raise ISCC Accreditation Board renewal Lease extension Capital raise Victorian asphalt trial August 2022 November 2022 January 2023 February 2023 March 2023 May 2023 June 2023 Key materials handling $2.25m (Nov) + $4.18m International Leeanne Bond & Ter
Slide 8: Performance against 2023 operational goals
Performance against 2023 operational goals Optimise collections Infrastructure delivery Grow off-take customers Expansion customer base Objective 1 Objective 2 Objective 3 Objective 4 ✓ Complete installation and ✓ Increase customer density ▪ TDFO customer growth 3rd and ✓ Recruitment & retention
Slide 9: Improvement in key strategic focus
Improvement in key strategic focus Increasing production volumes to drive operating leverage from predominantly fixed cost base Total Revenue by Quarter - $'000 Inbound Tyre Volumes by Quarter - tonnes 1,800 +41 % 3,500 1,600 +9 % 3,000 1,400 2,500 1,200 2,000 Tonnes 1,000 $000 800 1,500 600 1,000 4
Slide 10: Improvement in key strategic focus (continued)
Improvement in key strategic focus (continued) Average Quarterly Inbound Rate per tonne Rolling 30 Days - Total Tyre Tonnes Processed 550 800 +35% 700 500 600 450 500 $/Tonne Tonnes 400 400 350 300 300 200 100 250 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 0 • The positi
Slide 11: End-of-life tyres are an unresolved large scale global issue
End-of-life tyres are an unresolved large scale global issue Every year approximately 1 billion of waste tyres are generated. However, the recycling industry processes only 100 million tyres every year. Leaving 90% to be stockpiled, buried or burnt. Tyres are indestructible in nature making them inh
Slide 12: The scale of issue in Australia
The scale of issue in Australia 56,000,000 1. 2. used tyres disposed of annually in Australia1 86% 93% 2,000 OF AUSTRALIAN WASTE OF AUSTRALIAN WASTE YEARS FOR TYRES TYRES EXPORTED TO BE MINING TYRES ARE TO DECOMPOSE.2 BURNT, DUMPED OR BURIED ON SITE. 1 BURIED.1 1. Source: National Waste Policy Actio
Slide 13: Circular solution
Circular solution Globally unique IP and proven low energy, low-cost tyre processing and re-purposing ✓ Diversion from landfill ✓ No exporting of tyres for burning ✓ Low emissions through out process ✓ Value adding products ✓ CO2-e saving benefits ✓ Decarbonising infrastructure ✓ More durable
Slide 14: Patented thermal desorption unit (TDU) technology
Patented thermal desorption unit (TDU) technology Our clean processing technology is patented in Australia, the USA and with a European patent under Entyr’s low energy, low emission technology is the only environmental licensed technology of its type in Australia examination. ▪ Low thermal energy c
Slide 15: Manufacturing process
Manufacturing process Entyr is developing a market leading end-to-end tyre recycling solution with further production capabilities to be acquired Tank Farm Purchased and installed Cogeneration Gas Fuel Power plant Condenser Not yet committed Under construction Electricity Gas Collections Tyres 80x80
Slide 16: Business model target markets
Business model target markets Entyr provides tyre collection solution and technology delivering high-value end-products to attractive markets End of Life tyre collection market Output markets Process outputs Revenue Uses End users Collection price rCB $200 per t Substitute for hydrated lime for bind
Slide 17: FY23 Financials
FY23 Financials
Slide 18: Profit & Loss
Profit & Loss Revenue A$m FY23 FY22 % ▪ 88% increase YoY with significant increase in collections revenue driven by Revenue 5.4 2.9 88% both price and volume Other income 8.2 8.8 (7%) ▪ $4.6m relates to revenue from the collection of end-of life tyres Total income 13.6 11.7 16% ▪ $0.7m from the sal
Slide 19: Balance Sheet
A$m FY23 FY22 % Balance Sheet ASSETS Cash and cash equivalents 1.3 1.6 (17%) Trade and other receivables 10.0 9.7 4% Other 0.2 1.0 (77%) Cash Total current assets 11.6 12.3 (5%) ▪ $1.3m closing position boosted by $3.7m capital raising receipts in July Property, plant & equipment 8.1 6.0 34% Right
Slide 20: Cash Flow
Cash Flow A$m FY23 FY22 Receipts from customers 6.2 3.3 Operating Payments to suppliers and employees (22.6) (13.9) ▪ Includes $8.9m R&D grant receipts relating to FY21 & FY22 tax years Government R&D grant 8.9 0.0 ▪ Extended 24/7 operations Other (0.2) (0.2) Net cash outflow (Operating activitie
Slide 21: Funding outlook
Funding outlook Cash funding profile from 30 June 2023 through to plant operational start up Outflow Inflow 31 Aug 23 Cash $2.1m 12,000 Normalised cash flow $1.6m excluding operating model 10,000 carry over from FY23 and delays in implementation 2,794 8,000 8,433 6,047 $000 6,000 3,706 1,000 694 1,0
Slide 22: Growth strategy
Growth strategy
Slide 23: FY24 operational goals
FY24 operational goals 1 2 3 4 Feedstock revenue Operational capability Offtake Expansion ▪ Grow collection volume to ▪ Complete planned ▪ Sales of 100% off take of ▪ Government funding assistance 1500t per month infrastructure program on time manufactured TDFO ▪ Strategic partner opportunities
Slide 24: Operational capability
Operational capability Key infrastructure update - Infrastructure to be completed December 2023 • Milling and Bagging unit • This critical piece of materials handling infrastructure is responsible for receiving the recovered carbon black from the thermal desorption units, milling it to a consistent
Slide 25: Operational capability
Operational capability Key infrastructure update (continued) • Electrical, hydraulic and pneumatic upgrades • This replaces original first generation plant equipment that was not fit for purpose and was unreliably running at the volumes required for commercialisation • The new equipment costing appr
Slide 26: Strategic goals to deliver shareholder value
Strategic goals to deliver shareholder value Optimise 100% Second site Domestic site International Stapylton plant offtake (Gen 2.0) roll-out sites 1 2 3 4 5 Prove the site model Sell product First Gen 2.0 site Four Australian sites International growth Optimise Stapylton site Offtake for 100% of
Slide 27: Strategic funding roadmap
Strategic funding roadmap Strategic Organic Equity Government Debt partners cashflow ▪ Reduced ops spend during ▪ Future site roll- ▪ Circa $8m raised ▪ $9.4m confirmed plant out is anticipated in last capital for FY24 from ▪ Multiple construction to be done with a raise R&D discussions with phase
Slide 28: Board and Management
Board and Management Highly experienced across the globe, from engineering and environmental management to international trading and commodities. David Wheeley (CEO) Christy Hayes (Interim CFO) For the past 20 years, Mr. Wheeley has successfully led both corporate Ms. Hayes is a finance professional
Slide 29: On the road to a greener future
On the road to a greener future For further information, please contact: David Wheeley (CEO) David.Wheeley@entyr.com.au Website https://www.entyr.com.au Pound road – road trial photograph courtesy Seymore Whyte & Alex Fraser 29
Slide 30: Sustainable, circular solutions for our planet
SUSTAINABLE, CIRCULAR SOLUTIONS FOR OUR PLANET