Liqtech International, Inc. · NASDAQ:LIQT
Liqtech International — Investor Presentation (September 2022)
27 slides from Liqtech International's investor presentation, Sep 13, 2022
Slide 1: LIQT — Investor Update
LIQT — Investor Update September 2022
Slide 2: Introduction
Introduction — Fei Chen, President & Chief Executive Alex Buehler, Board Member Officer ‘Serva ItvienCEOomMarh 8 -Septbe 12022 ‘Seeds CrOince ‘Avpolntdes EO on Sptember 2,222 Background: mam TOPSOE _ Sactorund © GD) TE nzcion eee: Welltec @ Grtad LIQTECH | improvingour future
Slide 3: Agenda
Agenda + LiqTech at a Glance + Recent Events + Financial Highlights + Appendix + ESG Commitment + Case Studies + CEO Biography LIQTECH | improvingour future
Slide 4: LiqTech at a Glance
LiqTech at a Glance +130,000 ft? 300+ B, pasa ka 000 LIQTECH | improvingour future
Slide 5: Business Highlights
Business Highlights Differentiated Technology Buoyant End Markets LIQTECH | improvingour future Scalable Business Material Science Advantage Compelling Value Proposition Opportunity for Improvement
Slide 6: Differentiated Technology
Differentiated Technology Water Treatment Systems Crossflow Filtration System Microfittration System Silicon Carbide Ceramic Filters Diesel Particulate Filters Tubular membranes.
Slide 7: Buoyant End Markets
Buoyant End Markets Transportation & Machinery Oil & Gas Diesel Particulate Filters forlarge Produced water, MEG recovery, and vehicles, heavy offroad vehicles, and injection water. other machinery. Water Treatment Marine Marine scrubber water treatment, scrubber conversion, black carbon reduction,
Slide 8: Compelling Value Proposition
Compelling Value Proposition Agile ceramic membrane ultrafiltration system for different end markets — modular and easily scalable for future growth. ‘System Advantages: + Unique ceramic membrane technology Simple system to maintain and use Fully automated system with remote monitoring Flexible syst
Slide 9: Scalable Business
Scalable Business ‘Ample production ( — capacity New production equipment Qo LIQTECH | improvingour future Streamlined organization Consolidated sales and marketing efforts
Slide 10: Material Science Advantage
Material Science Advantage + More than two decades of manufacturing experience + Unique advantages of silicon carbide ceramic membranes + Able to withstand all types of liquids regardless of temperature and pH + Consistent permeate quality regardless of feedwater + Extremely durable material + Exten
Slide 11: Opportunity for Improvement
Opportunity for Improvement Organizational Financial + Appoint sales leadership * Develop sales organization + Drive sales productivity iflti Commercial + Build market share in existing markets (marine & pool) + Penetrate new end markets (oil & gas, acid filtration) * Optimize price and mix + Elevat
Slide 12: Agenda
Agenda + LiqTech at a Glance + Recent Events + Financial Highlights + Appendix + ESG Commitment + Case Studies + CEO Biography LIQTECH | improvingour future
Slide 13: Recent Events
Recent Events + CEO transition with Fei Chen as Presidentand CEO + Corporate reorganization and streamlining + Headcount reduction of roughly 25% $26m of public equity raise and $6m of private debt placement Retirementof convertible note Rationalization of Capex / +$4 millon reduction in commitments
Slide 14: Recent Events - Continued
Recent Events - Continued + Commissioned first commercial-scale oil & gas system in the Middle East + Commissioned first acid filtration systemin the U.S. validating value proposition + Receivednew orders for the marine scrubber market + Received firstblack carbon marine orderwith shipments planned
Slide 15: Agenda
Agenda + LiqTech at a Glance + Recent Events + Financial Highlights + Appendix + ESG Commitment + Case Studies + CEO Biography LIQTECH | improvingour future
Slide 16: Revenue Performance and Outlook
Revenue Performance and Outlook External Revenue$m a poi prevating ‘nee Imosctrammattet saunas Fr-z2.uicanee lw FY-22 Guidance a Outlook “Due to the worsening energy crisis in Europe, continued supply chain disruptions, and customer-imposed delays caused by macro- ‘economic uncertainty, the Company
Slide 17: Revenue Breakdown
Revenue Breakdown Commercial efforts have successfully diversified the LiqTech business across applications, geographies, and industries with more than 200 clients serviced during 2021/22 Revenue bySegment Revenue by Geography Opportunity Pipeline — = EI : ‘4 a ./ a A ands et Transportation other on
Slide 18: Q2 Financial Results and Q3 Outlook
Q2 Financial Results and Q3 Outlook Quarterly Revenue $m 50 | | LIQTECH | improvingour future 20 40 Q2 results Q2 2022 revenue of $5.0 million, an increase of 25% from Q2 2021 and 38% sequentially Gross margin of 3.0%, compared to 8.0% in Q2 2021 Net loss of $(6.5) million that included $3.8 million
Slide 19: Balance Sheet Strength
Balance Sheet Strength Successful refinancing and restructuring efforts completed in H1 2022, significantly improving capital structure and cash balance Reported CashandNet Cash*- $m BalanceSheet Composition Capital structure Capital structu 1 2022 oPgn 2022 107 = ety cau = = torosem (IEE tong tem t
Slide 20: Agenda
Agenda + LiqTech at a Glance + Recent Events + Financial Highlights - Appendix + ESG Commitment + Case Studies + CEO Biography LIQTECH | improvingour future
Slide 21: ESG Commitment
ESG Commitment + The impact on the environment is one of our main challenges + Minimize the impact from some of the most polluting industries + Shipping, power plants, oil, and gas, etc. + Ensure progress and sustainability through innovative thinking + Unique technology for purification and/or recy
Slide 22: Business Case — Acid Purification
Business Case — Acid Purification Phosphoric Acid Plant, US Application: + Remove solids from phosphoric acid + Obtain a clean permeate acid to protect downstream carbon beds + Permeate production: 100gpm (22.7m*/h) Product: + 6 pos of feed units + 12 pes of filtration skids Raw Feed Value Propsitio
Slide 23: Business Case — Aquifer & Produced Water
Business Case — Aquifer & Produced Water Middle East Oil & Gas Background + Large amounts of produced water pumped to local disposal wells + Reduction in available disposal wells and increased water scrutiny + Contamination from disposal wells to aquifer water Application: + Achieve high-quality wat
Slide 24: Business Case — Commercial Pool Filtration
Business Case —- Commercial Pool Filtration Stretford Sports Village, UK Background: + Existing steel filters had reached the end of their life and needed replacement Application: + Refurbishment of poo! filtration system Product: + 6membrane microfiltration systems Value Proposition: + Excellent wa
Slide 25: Business Case - Marine Black Carbon
Business Case - Marine Black Carbon China Marine Application Background: + Inland waterway ships in Asia adopting regulations to remove Black carbon/soot particulates from heavy engines + Fine-particulate particles (PM 2,5) contribute to air pollution with two-weeks lifetime in the atmosphere Applic
Slide 26: Biography — Fei Chen
Biography — Fei Chen CAREER BEFORE LIQTECH 2013 - 2022: Topsoe + Group Senior Vice President + Vice President, Licensing and Project Sales + Vice President, New Business Research and Development + 2010 - 2013 Grundtos - innovation Platform Director + 2008 - 2010 Coloplast - Director, Technology Scou
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