Eurotech S.p.a. · MIL:ETH
Eurotech — Mid and Small Conference (December 2021)
26 slides from Eurotech's conference presentation, Dec 2, 2021
Slide 1: Company Introduction
Company Introduction December 2nd, 2021
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Eurotech S.p.A. (or “Eurotech”) and has to be read in conjunction with its oral presentation. The information contained in this presentation does nor purport to be comprehensive. Neither Eurotech nor any of its officers, employees, advisers or agents
Slide 3: The journey we want to talk you through today
The journey we want to talk you through today … on the long run back to growth from mostly Customized HW to more Standard HW plus SW from any market vertical needing high reliability & ruggedization to 5 focused market verticals from volatile revenues to more re-occurring revenues from SW to sell mo
Slide 4: Eurotech's mission is to connect Edge assets securely and simply and enable AI Computing
Eurotech’s mission is to connect Edge assets securely and simply and enable AI Computing in mission critical environments Simplify complexity Champion a secure Enable next generation of at the edge digitization of assets smart products Open-source Agnosticity Better Time To Market Minimum Risk Enabl
Slide 5: New benefits to potato farmers with precision agriculture
NEW BENEFITS TO POTATO FARMERS WITH PRECISION AGRICULTURE CUSTOMER REQUIREMENTS THE SOLUTION • Enable precise field performance assessment • Maximize yield while improving sustainability • Perform remote and predictive maintenance CONFIDENTIAL | INTERNAL USE ONLY
Slide 6: Intelligent data logging for train locomotives
INTELLIGENT DATA LOGGING FOR TRAIN LOCOMOTIVES CUSTOMER REQUIREMENTS THE SOLUTION • Securely collect data from locomotives • Publish data in customer’s private cloud in near real time • Aggregate data on the Edge for effective data transfer • Enable load measurement and preventive maintenance CONFID
Slide 7: IoT platform for globally deployed medical devices
IOT PLATFORM FOR GLOBALLY DEPLOYED MEDICAL DEVICES CUSTOMER REQUIREMENTS THE SOLUTION • Integrating with existing IT infrastructure with zero changes on products and applications • High level of cybersecurity and reliability • Advanced Edge computing performances CONFIDENTIAL | INTERNAL USE ONLY
Slide 8: Our Essence: we connect OT with IT
Our Essence: we connect Operational Technology (OT) with Information Technology (IT) through our Edge HW, Edge SW and our Integration Platform High performance computing Edge systems with GPU accelerators to AI run AI algorithms at the edge Datacenter-like server units deployed Edge at the edge for
Slide 9: Why our differentiation matters
Why our differentiation matters: we solve the #1 roadblock of IoT deployments “IT-OT integration is the most challenging aspect of IoT deployments and Eurotech has created processes and solutions that simplify this process and ensure that their customers achieve expected low total cost of ownership
Slide 10: We are a top player in IoT SW with distinctive offering
We are a top player in IoT SW with distinctive offering 450+ 113 25 4 SW& HW Industry Analysts recognize & appreciate: TOP premium cybersecurity = less risk for customers easiness of use / implementation = low cost & low effort to market RELEVANT We are different because: open-source = agnosticity &
Slide 11: How we want to grow: FOCUS is the name of the game
How we want to grow: FOCUS is the name of the game Playing in markets with combination of higher size and higher CAGR in next 5 years Serving applications with higher and mild ruggedization needs Focusing on target verticals / applications where the IT-OT integration is valued more Creating growth o
Slide 12: Focus on strong growing Edge Gateways, Edge AI and IoT Platforms
Focus on strong growing Edge Gateways, Edge AI and IoT Platforms Global market of Industrial IoT by product segment 21,9% 31,7% 18,8% (in US $Bn – 2020-2025) CAGR CAGR CAGR 6,0% 6,8% 3,5% CAGR CAGR CAGR 11,5 5,0 4,5 4,0 3,6 3,5 3,0 2,5 2,9 2,1 1,9 1,3 Boards & Systems IPCs Edge Servers IoT Platforms
Slide 13: The verticals where we will focus (TAM 21B$ in 2025)
The 5 verticals where we will focus (TAM 21B$ in 2025) CAGR 20-25 CAGR 20-25 13,4% 14,8% 20,98 CAGR 20-25 CAGR 20-25 CAGR 20-25 CAGR 20-25 16,3% 16,9% 18,8% 13,4% 8,84 Source: adapted from MEC, VDC, IoT Analytics 10,53 4,71 4,12 3,44 2,31 2,27 2,19 1,57 1,09 0,96 2020 2025 2020 2025 2020 2025 2020 2
Slide 14: Four routes to connect with end customers
Four routes to connect with end customers: the Partners Ecosystem will be paramount to growth Route 1 Route 2 Hyperscalers Route 3 Large System Integrators Route 4 Distributors # 14
Slide 15: Moving towards more re-occurring type of revenues
Moving towards more re-occurring type of revenues Custom Embedded HW Standard Edge HW and SW # 15
Slide 16: Using M&A to accelerate our strategy implementation
Using M&A to accelerate our strategy implementation Accelerate vertical penetration Complement our portfolio Accelerate scaling Bring accretive revenues Add channels & distribution bandwidth # 16
Slide 17: "Do Different" recap
“Do Different” recap Focus on Where-we-play Create bandwidth to enable our strategic growth imperatives Operationalize better our go to market Channels and front-line resources Drive a growth culture via a new Management Long Term Incentive Plan # 17
Slide 18: Why Eurotech
Why Eurotech We have top class EDGE technology We are long term committed We aim at growing double digit … by leveraging secular trends and using M&A to accelerate With solid margins … because of our differentiation in high reliability & ruggedized applications and our innovation in Edge software Wi
Slide 19: Business Update
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Slide 20: Good prospects for 2022
Good prospects for 2022 +50% in opening book for 2022 vs opening book for 2021, up from +30% in Q2 Mid-long term growth potential on IoT is real: Third year consecutively in Gartner IoT Magic Quadrant Our integrated HW+SW certified according the most prominent cybersecurity international standard SW
Slide 21: Industry Analysts Recognition. Again.
Industry Analysts Recognition. Again. Gartner Magic Quadrant for Industrial IoT Platforms: a trusted objective insight used by C-levels at potential customers to support their decision- making process when selecting vendors for their IoT project just 18 companies in this élite, out of a crowd of
Slide 22: Our new generation of integrated solutions is cybersecure by design
Our new generation of integrated hardware and software solutions is cybersecure by design and certified according to IEC 62443 S E C U R E I N T E G R A T E D H W + S W IEC 62443-4-2 IEC 62443-4-1 S E C U R E D E V E L O P M E N T P R O C E S S # 22
Slide 23: Sticky & Growing SW business
Sticky & Growing SW business Revenues from Licenses and Subscriptions 3 M€ - 3.5 M€ € 3.500.000 € 3.000.000 € 2.500.000 € 2.000.000 € 1.500.000 € 1.000.000 € 500.000 €- 2018 2019 2020 2021 2022 # 23
Slide 24: Connecting over 2.000 trains in the next 18-24 months
Design wins coming live: connecting over 2.000 trains in the next 18-24 months Integrated HW+SW solution to collect data useful for advanced diagnostics + # 24
Slide 25: The other side of component shortage: semiconductor machinery growing
The other side of component shortage: semiconductor machinery growing and driving our core business 4 customers in Japan driving over 42M€ business win of which 24M€ incremental in 4 years Eurotech Board # 25
Slide 26: Thank You!
Thank You! www.eurotech.com