Aviat Networks, Inc. · NASDAQ:AVNW
Aviat Networks — Q1 2021 Earnings Presentation
18 slides from Aviat Networks's earnings presentation, Nov 5, 2020
Slide 1: Aviat Networks Corporate Presentation
Aviat Networks (NASDAQ: AVNW) Corporate Presentation November 5th, 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements The information contained in this presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 21E of the Securities Exchange Act and Section 27A of the Securities Act, including expectations regarding
Slide 3: Aviat Company Profile
Aviat Company Profile OVERVIEW GLOBAL BUSINESS Q1 FY21 • Aviat Networks is a leading pureplay wireless microwave transport Revenue by region Revenue by market Revenue by product/service equipment, software and services provider APAC Europe 8% 3% Latin • US Headquarters (Austin, TX) America • Global
Slide 4: Business Financial Summary
Business Financial Summary KEY STATISTICS KEY FINANCIAL METRICS LTM Trading Symbol AVNW REVENUE $246M Shares outstanding ~5.4 million Stock Price $19.34* Adjusted EBITDA* $17.8M Market Cap ~$104.9 million* Cash (10/2/2020) $36.2M Headquarters Austin, Texas # of Employees ~700 Debt (10/2/2020) $0.0M
Slide 5: Aviat – Pureplay Microwave Transport Solutions
AVIAT – PUREPLAY MICROWAVE TRANSPORT SOLUTIONS UTILITY 5G AND RURAL BROADBAND NETWORKS Demand Drivers Government Grid 5G Data Explosion Substation Home Security-Related Spending Rural Broadband Investment Home Generation PUBLIC SAFETY AVIAT NOC Aviat Differentiation Enterprise Best in Class Wireless
Slide 6: Aviat's Investment Thesis
Aviat’s Investment Thesis Tremendous Market • 5G, Critical Communications, Rural Broadband, Emerging Economies Underpin Demand Opportunity • 6% Share in a $3B Market, Significant Opportunity for Growth Well Positioned to Capture • Strong Incumbency to Grow with Installed Base • Compelling Value Prop
Slide 7: Well Positioned in Growing Wireless Transport Market
Well Positioned in Growing Wireless Transport Market GROWTH DRIVERS AVIAT SOLUTIONS • 5G Networks • Best in Class Wireless Transport • Higher capacity, new services Products • Industry’s highest capacity, highest power radios • Public Safety and Security Related Communications • First to integrate m
Slide 8: Aviat – A Highly Differentiated Offering
Aviat – A Highly Differentiated Offering Innovations in Products, Software & Services, & Supply Chain WIRELESS TRANSPORT SOFTWARE & SERVICES SUPPLY CHAIN & DELIVERY PRODUCTS Ex: FREQUENCY ASSURANCE Ex: AVIAT STORE Ex: MULTI-BAND SOFTWARE (FAS) Industry’s only single box multi- Industry's only expert
Slide 9: Aviat Cloud
Aviat Cloud Innovative Cloud-Based Platform to Simplify Microwave for 5G, Public Safety, and Rural Broadband AVIAT CLOUD Secure Hosted Software and Services (www.aviatcloud.com) HOSTED EXPERT SERVICES AVIAT AVIAT AVIAT AVIAT DESIGN STORE SW LICENSING CARE MANAGE FAS Cloud-based support, Interference
Slide 10: Aviat - Large and Growing 5G Opportunity
Aviat - Large and Growing 5G Opportunity 5G is Driving Demand Aviat has a Compelling 5G Solution • 5G wireless transport will have a 5-year CAGR of 41% • 10+Gbps radios especially all-outdoor, multi-band, and and will reach to over $1.5B worldwide by 2024 integrated MPLS solutions for 5G • New cell
Slide 11: Aviat: The Leader in Private Networks Microwave Why we win
Aviat: The Leader in Private Networks Microwave Why we win Growth Drivers Segments We Address Aviat Leadership Increased Demand for Critical Gas Mission Critical Product Differentiation Communications Water - Highest Power Radios (CAGR 13.2%) Electric Utilities - IP/MPLS Integration - Software Innov
Slide 12: Rural Broadband Represents Significant Growth Opportunity for Aviat
Rural Broadband Represents Significant Growth Opportunity for Aviat $1.5B $20B $9B CAF II Rural Digital 5G Fund for Opportunity Rural America Fund Aviat: Highest Capacity Radios, Unique Ecommerce Solution for Lowest Cost, Faster Deliveries, Best Customer Experience 12 November 2020 AVIAT NETWORKS
Slide 13: Competitive Positioning: Why We Will Win Versus…
Competitive Positioning: Why We Will Win Versus… Specialists » Aviat Advantage Competitor Implication Highly leveraged in chipsets, products designed for cost Modular radio platform. Full portfolio of radios and – difficult to create new product variants quickly, and Products routers. Better RF perf
Slide 14: First Fiscal Quarter 2021 Financial Highlights and Historical Performance
First Fiscal Quarter 2021 Financial Highlights and Historical Performance
Slide 15: First Fiscal Quarter 2021 & LTM Financial Highlights
Year-Over-Year Comparison • Total Revenue of $66.3 Million, First Fiscal ($’s in millions) Q1 FY21 Actual Q1 FY20 Actual up 13% Year-Over-Year Quarter 2021 & Revenue $66.3 $58.6 • Adjusted EBITDA of $8.4 Million; LTM Gross Margin % 36.7% 38.6% Up 103% Year-Over-Year Non-GAAP Operating Expenses $17.2
Slide 16: Balance Sheet Highlights
($’s in millions, Q1 FY21 Q4 FY20 Q3 FY20 Q2 FY20 except for DSO, Actual Actual Actual Actual Balance Sheet DPO and Turns) Cash and Cash Highlights Equivalents $36.2 $41.6 $39.2 $38.1 Third-Party Debt $0.0 $9.0 $9.0 $9.0 $36.2 million Net Cash, +$3.6 million from prior sequential Net Cash $36.2 $32.
Slide 17: Historical Performance
Historical Performance ($’s million) Total Revenue Non-GAAP Gross Margin $70 40% 38.6% $66.3 38% 36.7% $65 $62.7 35.9% $61.4 36% 34.9% $60 $58.6 34% 32.8% $56.0 32% $55 30% $50 28% Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 ($’s million) Non-GAAP Operating Expenses ($’s mi
Slide 18: Aviat Networks
Aviat NETWORKS DOGOOd WWW.AVIATNETWORKS.COM