Deveron Corp. · OTC:DVRNF
Deveron — Investor Presentation (January 2024)
21 slides from Deveron's investor presentation, January 2024
Slide 1: 2024 Investor Presentation
2024 INVESTOR PRESENTATION DEVERON.COM | TSX-V: FARM
Slide 2: Forward Looking Statement
TSX-V: FARM Forward Looking Statement This presentation is not, and nothing in it should be construed as, an offer, invitation or recommendation in respect of Deveron UAS’s securities, or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy, the facilities or any of t
Slide 3: We help local agriculture achieve excellence by making impartial data accessible
We help local agriculture achieve excellence by making impartial data accessible and useful. TSX-V: FARM 2
Slide 4: The Annual Agronomy Cycle
The Annual Agronomy Cycle Planning Data Collection Lab Analysis Field Analysis Integrated Solutions Provider
Slide 5: The Current Agricultural Testing Market
The Current Agricultural Testing Market 11% Tested by a Deveron Lab 12M Samples Tested in North America 2021 15% Precision Ag CAGR 4
Slide 6: Industry Tailwinds
Industry Tailwinds ~$3.25B ~$500M 83M Field work and testing market as 12M Field work and lab Samples in TAM if following best practices the market adoption increase Samples tested testing market in in 2021 2021 Annual sample growth Strong EBITDA Trends continue to Customers that has tripled since 2
Slide 7: What Deveron Does
What Deveron Does z Field Services Analysis & Testing Agronomic Insights Enterprise Solutions Soil sampling is important for any farm operation With over 40 years of experience in soil analysis, Deveron’s team of data scientists and Deveron’s end-to-end ecosystem provides as it allows the grower to
Slide 8: The Value of Deveron's Vertical
The Value of Deveron’s Vertical 03 Driving Value For the Grower The foundation of Deveron’s vertical ecosystem is the regional agronomist. Agronomic Insights By utilizing Deveron’s standardized lab science and collection protocols, our regional leaders can provide a better recommendation, utilizing
Slide 9: Our High Gross Margin, and Integrated, Product Offering
Our High Gross Margin, and Integrated, Product Offering 65% 55% 85% ~65% ~75% ~85% Field Services Testing & Insights Enterprise Solutions 8
Slide 10: The Consolidation & Network Opportunity
DataAggregation&Scale The agricultural services market is very fragmented with 15,000 crop consultants and 140 independent soil laboratories representing $5B in market value across the continental US. With most being ”Mom & Pop” shops, these companies don’t have the opportunity to aggregate and dist
Slide 11: Our Growth Model
Our Growth Model Regional Execution Agriculture is a regionally driven industry, built on long standing relationship with the community. Deveron’s regionally focused sales strategy relys on our releationships with the community and regional execution, to drive sales growth at the local level. Devero
Slide 12: Our Growth Model
Our Growth Model Enterprise Solutions Regional Execution 01 Drives customer retention at the farm gate, and builds the relationship with a community of growers, ag-retail and agri- business. Standardized collection protocols and analysis drive better decision making at the farm gate and higher margi
Slide 13: Our Growth Model
Our Growth Model Consolidating a Fragmented Market The Model Acquisition Pipeline 2-5X 23% Annual Low Multiples Growth Opportunity # of Deals Targeting rural service Post acquisition Deveron has Revenue businesses, Deveron has been been able to achieve strong able to acquire these businesses organic
Slide 14: Track-Record of Accretive M&A
Track-Record of Accretive M&A Better Agronomic Frontier Woods End Farm Dog Tana Ag Stealth Ag Agri-Labs A&L Harvest Solutions Labs Completed Yes Yes Yes Yes Yes Yes Yes Yes Yes To Date Pre- Acquisition $235,000 $26,000,000 2,100,000 $656,231 $2,263,500 $330,718 $888,153 $1,946,150 $849,737 Gross Rev
Slide 15: Our Growth Model
Our Growth Model Derivative Data Blue Sky Due to the fragmentation of the soil data market, Small changes in chemistry, sampling protocols and there are many barriers standing in the way of data output make data incomparable and difficult to additional data users engaging in this market. draw valuab
Slide 16: Our Growth Strategy is Working
Our Growth Carbon & Derivatives Strategy is Working Leveraging Deveron’s network of soil technicians Deveron provide single chain of custody from the farm to our platform, Deveron Deveron continues to creates new opportunities to scale our businesses, increase revenue per acre, and has been able to
Slide 17: Our Team
Our Team David MacMillan Akshay Shirodker Karla Jackson Greg Patterson President & CEO CFO VP Customer Success President of A&L Phil Linton Craig Hogan Scott Jackman VP Corporate Development VP Finance VP Enterprise Sales
Slide 18: Our Board
Our Board Bill Linton Tim Close Joelle Faulkner Director Chairman of the Board Director Ms. Faulkner is the founder and CEO of Area One Mr. Linton is an experienced director and Farms, one of Canada’s largest agricultural focused private investor. He currently serves on the Mr. Close is the former P
Slide 19: Financial Info
Revenue YoY in Millions $35 TSX-V:FARM Financial Info Millions $30 $25 $20 $15 $10 $5 Farm Clients $- 25,000 $(5) 2017 2018 2019 2020 2021 2022 Gross Revenue EBITDA Revenue Split* Revenue By Country* Revenue Growth YoY 126% 236% 5-year CAGR 2022 Revenue Growth 200% 40% 2021 Revenue Growth 2020 Reven
Slide 20: Capital Structure
Options TSX-V:FARM Capital Structure Number of Options Exercise Price Expiry Date 1,225,000 $0.43 January 15, 2024 325,000 $0.64 February 22. 2026 175,000 $0.75 March 12, 2026 175,000 $0.74 April 27, 2026 CURRENT SHARE STRUCTURE 300,000 $0.80 June 24, 2026 Common Shares Outstanding 155.93M 105,000 $
Slide 21: Key Themes
Key Themes Old World Industry with Multiple Opportunities to Disrupt the Value Chain $5B Consolidation Opportunity of Highly Fragmented EBITDA Positive Businesses Huge Growth Opportunity Through Operational Leverage at the Labs by Controlling Throughput Get In Touch Address Email Web 1702 -141 Adela