Imagesat International (isi) · TASE:ISI
Imagesat International (isi) — IPO Roadshow (January 2022)
37 slides from Imagesat International (isi)'s IPO roadshow presentation, January 2022
Slide 1: A Leading Provider of Space-Based Intelligence and Information Solutions
Strictly confidential A LEADING PROVIDER OF SPACE-BASED INTELLIGENCE AND INFORMATION SOLUTIONS Roadshow Presentation January 2022
Slide 2: Disclaimer (1/2)
DISCLAIMER (1/2) THIS PRESENTATION IS BEING PROVIDED TO YOU SOLELY FOR YOUR INFORMATION, IT MAY NOT BE REPRODUCED OR PUBLISHED (IN WHOLE OR IN PART) OR FURTHER DISTRIBUTED TO ANY PERSON FOR ANY PURPOSE AND DOES NOT FORM PART OF ANY OFFER, OR THE SOLICITATION OF ANY OFFER, TO BUY, SUBSCRIBE FOR OR SE
Slide 3: Disclaimer (2/2)
DISCLAIMER (2/2) This Presentation includes certain financial measures not presented in accordance with International Financial Reporting Standards (“IFRS”), including EBITDA and Operating Free Cash Flow Conversion. These financial measures are not measures of financial performance in accordance wit
Slide 4: Offering Structure
OFFERING STRUCTURE Issuer • ImageSat International (I.S.I) Ltd (“ISI” or the “Company”) Listing venue • Tel Aviv Stock Exchange Offer size • ILS 320-480 m / US$ 100-150 m1 • Primary: 2/3 from Offer size Offering structure • Secondary: 1/3 from Offer size • Towards growth capex/investments for planne
Slide 5: "46'05.34" N 20°23'30.33" E ames
"46'05.34" N 20°23'30.33" E ames A aR sae > Area under Sh és =~ reconstruction a Pia ~ hey Instrumental landing ——~_ instrumental landing systems construction Abandoning the area
Slide 6: Today's Presenters
TODAY’S PRESENTERS Noam Segal, CEO Kfir Aviv, CPA, CFO Joined ISI in 2014 Joined ISI in 2010, CFO since 2013 Past Experience Past Experience 6
Slide 7: A Leading Provider of Space-Based Intelligence and Information Solutions
A LEADING PROVIDER OF SPACE-BASED INTELLIGENCE AND INFORMATION SOLUTIONS1 LARGE TAM & STRONG HIGH PERFORMANCE STRONG GROWTH PROSPECTS & MARKET POSITION ASSETS & CAPABILITIES ROBUST PROFITABILITY $ $1.8bn+ Pipeline5,7 TAM2: $20bn (2020) to $76bn (2030) Unique Fleet of 6 VVHR4 Satellites $171m contrac
Slide 8: We Are at a Growth Inflection Point
WE ARE AT A GROWTH INFLECTION POINT Following substantial investments over the last 5 years, ISI has reached an inflection point with a step-change increase in capabilities and expanding opportunities to accelerate growth 2026E+ Launch and commercialization of high resolution, day & night global ima
Slide 9: AI & Analytics Space-Based Intelligence
AI & ANALYTICS SPACE-BASED INTELLIGENCE PLAN’s Northern-Theatre Fleet Patterns-of-Life Analysis 9
Slide 10: Behavior Analysis
Behavior Analysis Unveil activity routine through persistent monitoring And alerting of anomalies “wns ins hnyRrher esret Som eine See SEN SERN RES (S| © vsrose sy: = Surce Cambs Sons Stent Sn 43 6 * 19 = ee heen Sm) sem) ‘erected a Shecronnes ho
Slide 11: Behavior Pattern Prediction
BEHAVIOR PATTERN PREDICTION Correlation of behavior patterns of vessels in remote Naval bases enables prediction of future activities By SteKrueBe - Own work, CC BY-SA , 3.0 8141820=diruc?php.xedni/w/gro.aidemikiw.snommoc//:sptth 370 km Xiaopingdao Naval base 039 Submarine Port Departure Qingdau Nav
Slide 12: Commercial Patterns of Life Analysis
COMMERCIAL PATTERNS OF LIFE ANALYSIS Vehicles Mining Terminal Terminal Container Dalian Steel Works Terminal Shipyard Crude Oil Grain Terminal Terminal PetroChina Iron Ore Refinery Terminal Dalian Naval Port Ship Monitoring Dalian Bay 12
Slide 13: ISI – A Leading Provider of Space-Based Intelligence and Information Solutions
ISI – A LEADING PROVIDER OF SPACE-BASED INTELLIGENCE AND INFORMATION SOLUTIONS A leading provider of space-based intelligence and information solutions, delivering insights from a comprehensive, 1 integrated portfolio of high-quality, multi-source imagery data, AI-driven analytics, and turn-key spac
Slide 14: Broad Set of Solutions, Solving Customers' Key Challenges
1 BROAD SET OF SOLUTIONS, SOLVING CUSTOMERS’ KEY CHALLENGES ISI’s integrated portfolio of solutions addresses customer needs across the space intelligence value chain Q1-Q3 2021A 2024E1 ▪ Earth observation satellites for data collection ▪ Exclusive access to customers over a defined area SATELLITE S
Slide 15: Dedicated and Experienced R&D Team
1 DEDICATED AND EXPERIENCED R&D TEAM ISI has been continuously investing in its R&D team as it develops innovative space-based intelligence and information solutions R&D PLATFORM PROJECTS INITIATED SUCCESSFULLY 44 Member team RUNNER KNIGHT Web-based CLEAR SKY platform 45% of total employee headcount
Slide 16: ISI's Competitive Landscape
1 ISI’S COMPETITIVE LANDSCAPE ISI competes with a range of companies across its product lines, with only a few having the capabilities to compete across three DATA COLLECTION ▪ Competes with Maxar and Airbus on VHR while Planet and Satellogic are INFRASTRUCTURE low resolution ▪ Larger satellite manu
Slide 17: ISI's Competitive Landscape (Cont'd)
1 ISI’S COMPETITIVE LANDSCAPE (CONT’D) ISI’s cost effective, agile and flexible solutions can serve premium markets and customers through its full suite of high-performance products Company Earth observation and Aircraft design and Satellite imaging as a Core focus Space infrastructure Earth observa
Slide 18: Chile – Case Study for Turn-Key Infrastructure Program
1 CHILE – CASE STUDY FOR TURN-KEY INFRASTRUCTURE PROGRAM ISI’s full complement of space solutions was the key factor for the success in Chile, facilitating future contract wins KEY $ HIGHLIGHTS1 5 Year, $110m Direct AI & 3 Runner 7 Micro 2 Mission 3 Multi-satellite 8 UHF Ground Contract2 Access Serv
Slide 19: Our Differentiated Long Term Strategic Partnerships
2 OUR DIFFERENTIATED LONG TERM STRATEGIC PARTNERSHIPS ISI’s strategic partnerships provide access to valuable satellite imagery data and technologies creating a leading satellite constellation on an asset-light, capital efficient basis Reciprocal use #1 ▪ Lifetime exclusivity ▪ ISI has the right to
Slide 20: Significant Long-Term Growth in Satellite-Based Data Solutions
3 SIGNIFICANT LONG-TERM GROWTH IN SATELLITE-BASED DATA SOLUTIONS EROS NG constellation is expected to strengthen ISI’s position and expand its available market, opening new selling opportunities EROS NG Imaging Collection Capacity1 (m sq. km/year) Pre EROS C1 EROS C3 EROS-NG EROS C2 EROSAR-1 EROSAR-
Slide 21: ISI Covers the Geospatial Needs of End-Markets
4 ISI COVERS THE GEOSPATIAL NEEDS OF END-MARKETS ISI’s products & services address the needs of different end-customers across the Geospatial Intelligence (GEOINT) value chain EO Data Process, Store Platforms & End-Market Infrastructure Collection & Distribute Analytics A EO Satellite Generation of
Slide 22: Defense & Intel End-Markets—The Key Driver for GEOINT
4A DEFENSE & INTEL END-MARKETS—THE KEY DRIVER FOR GEOINT Global defense and intelligence spending exceeds $2tn. These pockets of spending represent the foundation for today’s geospatial ecosystem Defense spending worldwide Europe Defense spend $378bn1 ’20–’25 CAGR% 3.5% Americas Defense spend $853bn
Slide 23: Defense & Intel End-Markets—Use Cases
4A DEFENSE & INTEL END-MARKETS—USE CASES Largely derived from defense and intelligence budgets, spending for GEOINT programs unlocks a variety of defense use cases Defense use cases Monitoring and predicting adversary or Maritime domain awareness (MDA) for Border nonstate actor activities over parti
Slide 24: Commercial End-Markets
4B COMMERCIAL END-MARKETS High imagery costs and limited availability historically constrained commercial adoption to higher value use cases where few alternatives existed, however, a variety of new opportunities are being unlocked Established commercial markets Future commercial use cases Mapping &
Slide 25: Expansion of Commercial End-Market Expected to Support ISI's Future Growth
EXPANSION OF COMMERCIAL END-MARKET IS EXPECTED TO SUPPORT 4 ISI’S FUTURE GROWTH THROUGH ITS EXPANDED SET OF OFFERINGS Strong near-term market growth with significant room for accelerated growth in the long-term CAGR 24% $76.0bn4 41% 49% 35% 52% CAGR $51.0bn 17%1 10% 13% CAGR 6% $26.3bn4 $19.9bn $15.
Slide 26: Favourable Growth Drivers Across All Product Lines Driving Market Growth
FAVOURABLE GROWTH DRIVERS ACROSS ALL PRODUCT LINES DRIVING MARKET 4 GROWTH TAM 20201 TAM 20251 TAM 20301 Drivers Defense Commercial 34% ▪ Increasing applications in security & defense due to growing geo-political $13.6bn tensions and industries such as infra., energy and insurance Satellite- $9.7bn
Slide 27: Growing Revenue Backlog and Pipeline Year-on-Year
5 GROWING REVENUE BACKLOG AND PIPELINE YEAR-ON-YEAR ISI’s comprehensive set of solutions has driven impressive growth in pipeline and revenue backlog GROWING REVENUE BACKLOG1 ($M) GROWING PIPELINE2 ($B) +7M 2.6x 1713 1.6x 164 1.8 1.8 2.6x 1.15 1.6x 63 39 0.44 2019A 2020A Sep 30, 2021A Dec 31, 2021A
Slide 28: Significant Revenue Potential with Expanding Profitability
5 SIGNIFICANT REVENUE POTENTIAL WITH EXPANDING PROFITABILITY Strong revenue growth and operating leverage expected to feed into margin growth over time REVENUE2 ($M) EBITDA2 ($M) 41% CAGR1 102-134 55% CAGR1 48-76 +38% c.36 +18-27% 26 13-14 11 2020A 2021E 2024E 2020A 2021E 2024E Source: Company infor
Slide 29: Industry Leading Financial Metrics
5 INDUSTRY LEADING FINANCIAL METRICS ISI delivers an attractive and differentiated mix of high growth and profitability and cash flow generation 1 1 2 2 Company 2021E-2024E Rev. CAGR High Moderate High High3 High EBITDA Margin (2021E) High Moderate Moderate EBITDA loss4 EBITDA loss Expect to be cash
Slide 30: Entrepreneurial and Driven Management Team with Strong Experience in Space Intelligence
ENTREPRENEURIAL AND DRIVEN MANAGEMENT TEAM WITH STRONG 6 EXPERIENCE IN SPACE INTELLIGENCE Noam Segal, CEO Noam Zafrir, Deputy CEO & CMO1 Kfir Aviv, CPA, CFO 35+ 7+ 40+ 20+ 15+ 11+ Dr Natalie Fridman, SVP R&D Barak Solomin, VP of Business Doron Shterman, CTO Brigadier General (ret.) Itamar Developmen
Slide 31: ISI in a Nutshell
ISI IN A NUTSHELL 1 A leading and long-standing space intelligence and information solutions provider 2 At a growth inflection point, leveraging 5 years of R&D and accelerating contracted backlog 3 Superior technical and AI/analytics solutions across entire value chain to win 4 $20bn TAM1 growing at
Slide 32: Appendix
APPENDIX 0s Ceeeee Wcersersl Mecsccasesl! reggestsssese:
Slide 33: Glossary
GLOSSARY
Slide 34: Glossary (1/3)
GLOSSARY (1/3) Term Definition AI Artificial Intelligence AOI Area of Interest Backlog Expected revenue from signed contracts pending operational execution COTS Commercial Off-The-Shelf DRS Direct Receiving Station EBITDA Net income plus depreciation, plus finance expenses (net), plus taxes on incom
Slide 35: Glossary (2/3)
GLOSSARY (2/3) Term Definition IAI Israeli Aerospace Industries Use COTS components, with shortened processes and minor adjustments to the space environment. Smaller and lower resolution New Space Satellite than traditional satellites OpFCF Operating Free Cash Flow = EBITDA - Capex Pipeline Total va
Slide 36: Glossary (3/3)
GLOSSARY (3/3) Term Definition SAR Synthetic Aperture Radar Sensing Satellite A satellite whose function is to remotely monitor activity on earth’s surface with an electro-optical sensor, a radar (SAR) sensor Total addressable market. ISI’s total potential market size in defence and commercial secto
Slide 37: Slide 37
ImageSat International (I.S.I) — IPO Roadshow (January 2022) on 6ix