Slide 1: Q3 2024 IMS Presentation
Q3 2024 IMS Presentation Lars Boilesen, CEO Heine Thorsgaard, CFO Tuesday, November 5, 2024 NAPATECH A/S © COPYRIGHT 2024
Slide 2: Q&A Session
Q&A Session Following the presentation DK: +45 89 87 50 45 NO: +47 81 50 33 08 UK: +44 20 3936 2999 US: +1 646 787 9445 Access Code: 184300 To ask a question, press *1 on your telephone keypad To withdraw your question, press *2 Texted questions can be submitted using the button on the website 2 NAP
Slide 3: Safe Harbor Statement
Safe Harbor Statement This presentation has been prepared by Napatech A/S (the “Company”) solely for information purposes. The presentation does not constitute an invitation or offer to acquire, purchase or subscribe for securities. Certain statements included in this presentation contain various fo
Slide 4: Agenda
Agenda • Business Status 3Q-2024 • Business Outlook • Financial Review and Outlook • Q&A Session 4 NAPATECH A/S © COPYRIGHT 2024
Slide 5: Business Status and Outlook
Business Status and Outlook 5 NAPATECH A/S © COPYRIGHT 2024
Slide 6: Business Status – 3Q 2024
Business Status – 3Q 2024 2Q-2024 Progress: • Notable strides towards our design-win goals for transformational volumes Napatech Strategic Plan: Existing projects achieving key mileposts • Innovative applications fueling market growth and napatech opportunity • Retain and expand our New customers an
Slide 7: Design Win Focus: Notable Strides Towards Transformational Volumes
Design Win Focus: Notable Strides Towards Transformational Volumes Tier-1 Server Manufacturer High Growth Big Data Management ISV Global Banking and Finance Enterprise US Government Network Equipment Cloud and Enterprise Datacenter Datacenter AI/ML Datacenter Microservices Security and Monitoring >2
Slide 8: Innovative Applications: Fuelling Market Growth and Expanding Napatech Opportunities
Innovative Applications: Fuelling Market Growth and Expanding Napatech Opportunities Napatech has transformed from a niche supplier to a Mega industry trends are driving more high-volume partner in a high growth market applications to run on programmable NICs Cloud, edge computing and storage AI inf
Slide 9: Emerging Use Cases: Fueling Market Growth and Expanding Napatech Opportunities
Emerging Use Cases: Fueling Market Growth and Expanding Napatech Opportunities A D A Infrastructure Processing Unit E B SmartNIC B D C GPU or FPGA for AI D Memory chip C E E Central Processing Unit D F Server F Napatech’s Programmable NICs play a crucial role … providing access to CPUs and GPUs reso
Slide 10: New Solution Spotlight: Myrtle.ai
New Solution Spotlight: Myrtle.ai Optimizing Machine Learning Inference at Scale Multiple Napatech hardware configurations Stunning STAC ML benchmark results 10 NAPATECH A/S © COPYRIGHT 2024
Slide 11: Core Business Begins to Stabilize and Sees New Wins
Core Business Begins to Stabilize and Sees New Wins Existing Customer Launch New Products and Projects Leading Financial Services Companies Choose Napatech • New design win cPacket doubles the speed of its packet capture appliance https://www.networkworld.com/article/3574703/cpacket-doubles-the-spee
Slide 12: Extended Product and Technology Collaboration with Intel-Altera
Extended Product and Technology Collaboration with Intel-Altera Disclosed N3070X Programmable SmartNIC - Artificial Intelligence infrastructure - Cloud and enterprise data centers Launched Software Solutions on NT-400 - 5G mobile infrastructure - UPF offload and acceleration - https://www.napatech.c
Slide 13: Upcoming Industry Events
Upcoming Industry Events Suricon Cybersecurity November 13-15, 2024 Madrid, Spain STAC Financial Services December 3, 2024 London, UK Needham Growth Conference Investor summit January 14-15 New York, USA 13 NAPATECH A/S © COPYRIGHT 2024
Slide 14: Financial Review and Outlook
Financial Review and Outlook 14 NAPATECH A/S © COPYRIGHT 2024
Slide 15: Consolidated Income Statement Q3 & YTD 2024
Consolidated Income Statement Q3 & YTD 2024 Q3 YTD Q3 YTD DK K '000 2024 2023 2024 2023 ∆ ∆ Key Developments Revenue 34,012 49,651 78,730 124,593 -31% -37% • Revenue in Q3 is up 47% compared to Q2 but down Cost of goods sold (9,763) (10,886) (23,980) (36,643) 31% compared to Q3’23. Gro ss pro fit 24
Slide 16: Consolidated Cash Flow Statement Q3 & YTD 2024
Consolidated Cash Flow Statement Q3 & YTD 2024 Q3 YTD DK K '000 2024 2023 2024 2023 Key Developments Earnings before tax (EBT) (25,571) (178) (93,561) (34,247) Adjustments to reconcile profit before tax to net cash flows 11,155 8,596 32,168 27,657 • Net Cash flow from operating activities in Q3 Work
Slide 17: 2024 Status
2024 Status Strategic Targets • We remain focused on developing new designs wins for transformational volume. • Our target remains 4-6 wins that yield 40,000-60,000 units in peak annual volumes. Financial Targets • Staff costs in the range of DKK 170m-180 • Gross margins 69%-71% • Q1-Q2 revenues wer
Slide 18: Q&A Session
Q&A Session Following the presentation DK: +45 89 87 50 45 NO: +47 81 50 33 08 UK: +44 20 3936 2999 US: +1 646 787 9445 Access Code: 184300 To ask a question, press *1 on your telephone keypad To withdraw your question, press *2 Texted questions can be submitted using the button on the website 18 NA
Slide 19: Stay Connected With Napatech
Stay Connected With Napatech On The Web: Social Media: Other News: www.google.com/alerts https://newsweb.oslobors.no/ www.napatech.com www.napatech.com/newsletter 19 NAPATECH A/S © COPYRIGHT 2024