Advanced Braking Technology Limited · ASX:ABV

Advanced Braking Technology — Investor Presentation (August 2019)

24 slides from Advanced Braking Technology's investor presentation, Aug 14, 2019

  1. Slide 1: Investor Presentation

    Investor Presentation August 2019

  2. Slide 2: Disclaimer

    Disclaimer The material contained in this presentation sets out general background information It does not constitute or contain an offer or invitation to subscribe All statements, other than statements of historical fact, included in for or purchase any securities nor does it constitute an induceme

  3. Slide 3: Company Overview

    Company Overview • Headquartered in Perth, Advanced Braking Technology Ltd (ABT) designs, manufactures and distributes braking solutions worldwide • ABT develops innovative braking solutions for industries that have a strong requirement for safety and environmental responsibility and wish to reduce

  4. Slide 4: Corporate snapshot

    Corporate snapshot Capital Structure Shareholders Share Price (as at 12 Aug 2019) 2.3cps Directors 47m 16% Shares on issue 298m Top 20 155m 52% Unlisted options (ex. 2.5c, exp. 06/22) 5m Share Price History (last 6 months) Convertible Notes (conv. 2.0c, exp 12/19) $1.6m Last 2.3cps High (11/6/19) 2.

  5. Slide 5: Leadership Team

    Leadership Team John Annand Tony Van Litsensborgh Geoff Lewis Paige Exley Chief Executive Officer Engineering Manager Sales Director Financial Controller John brings significant experience to Tony brings extensive engineering, Geoff brings significant sales and Paige brings extensive financial and t

  6. Slide 6: Investment highlights

    Investment highlights Aggressive Growth Strategy Global Distribution Networks Through diversification of products, customers and Comprehensive distribution and channel partner industries, ABT is set for significant organic growth as engagement model with 14+ distributors globally with well as obtain

  7. Slide 7: Our customers value proposition

    Our customers value proposition SAFETY FIRST Safety Environment Cost Failsafe Sealed brake technology Less downtime Failsafe Emergency Zero emissions; no brake Lower maintenance costs Terra Dura particles released to atmosphere Hill-hold

  8. Slide 8: Strategy implementation

    Strategy EXPLOIT implementation our existing product range and historical INNOVATION R&D DISTRIBUTION Product development supplier networks, and R&D based on geographical safety, the environment coverage and and voice of customer customer support GROWTH SHAREHOLDER ORGANISATIONAL M&A, joint ventures

  9. Slide 9: Market opportunities

    Market GLOBAL MINING opportunities Underground and surface mining CIVIL LOGISTICS AND CONSTRUCTION HAULAGE Infrastructure Off-road transport, projects heavy vehicle safety solutions SHAREHOLDER ELECTRIC & WASTE AUTOMATED MANAGEMENT VALUE VEHICLES National fleets Mining DEFENCE & SPECIALISED FLEET Sa

  10. Slide 10: Growth plan: Revenues & Market Capitalisation

    Growth Growth plan results in increased product plan offering, customers, industries and revenues FY19 FY20 FY21 FY22 Products Universal Failsafe Industries Truck brake Universal F/S Driveline Trailer brake Universal Terra Dura Revenues & Market Capitalisation Terra Dura Truck brake Hill-hold Traile

  11. Slide 11: Current core products

    Current core products Fully Sealed With Failsafe Driveline Brakes Terra Dura ® Fully Sealed Failsafe Capability For Durability

  12. Slide 12: Current core products

    Current core products ▪ Exceptionally durable 4WD brake ▪ Maximum safety 4WD brake ▪ Maximum safety driveline brake ▪ Fully enclosed design protects internal ▪ Fully enclosed wet brake design equipped ▪ Contains all the safety features of Failsafe brake components from abrasion and with failsafe tec

  13. Slide 13: A strong future

    A strong future Recent progress to support our strategy Organisational review undertaken; new leadership team appointed Cost saving initiatives implemented; cash burn significantly reduced Sales results significantly improved Margins significantly improved; EBITDA positive results achieved Product d

  14. Slide 14: A strong future

    A strong future New leadership Cost reduction initiatives John Annand Chief Executive Officer Organisational review undertaken Tony Van Litsenborgh Engineering Manager $800k+ of overheads removed from the business Geoff Lewis Sales Director Strategy to achieve break-even making good progress Paige E

  15. Slide 15: Mining customers and end users

    Mining customers and end users

  16. Slide 16: Product, customer and industry diversification

    Product, customer and industry diversification New customers secured in Q4FY19 Defence Waste Management Civil Construction

  17. Slide 17: Product, customer and industry diversification

    Product, customer and industry diversification Surface Mining Off-road Logistics and Haulage Untapped markets Specialised Fleet Electric and automated vehicles

  18. Slide 18: Financial performance

    Financial performance Quarterly Results Full Year Results ($'000) Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 2019 2018 Sales pipeline Sales revenue 1,636 1,612 1,663 1,553 2,019 6,847 6,974 ▪ Ramp up of Terra Dura sales - Polymer cover EBITDA (552) (295) (813) (236) 99 (1,245) (1,179) - Metal cover ▪ Failsa

  19. Slide 19: Cash Flow performance

    Cash Flow performance Quarterly Results ($'000) Q4FY18 Q1FY19 Q2FY19 Q3FY19 Q4FY19 Net cash inflow (outflow) from operating activities (799) 448 (1,210) (634) (55) Net cash inflow (outflow) from investing activities (14) (64) (59) (1) (9) Net cash inflow (outflow) from financing activities 600 854 4

  20. Slide 20: Global distribution network

    Global distribution network ABT is well-positioned to take innovative solutions to market and capture additional business development opportunities globally with: ➔ ~ 14 active distributors across key global markets. ➔ Additional distributors to be engaged to enhance market penetration, with the pri

  21. Slide 21: Ability to generate news flow

    Ability to generate news flow Recent announcements Anticipated newsflow 13 May: provision of brake design services to Thales Update on further progress made in the defence, Australia for the Hawkei Project waste management and civil construction industries 27 May: provision of brake design services

  22. Slide 22: The investment case

    The investment case ✓ An aggressive growth strategy ✓ A leadership team that can deliver the growth strategy ✓ $30+ million in historical R&D that has delivered a strong IP and patent portfolio ✓ A growing product range ✓ A growing customer base across numerous industries ✓ A strong future which wil

  23. Slide 23: Our plans for FY20

    Our plans for FY20 ✓ Exploit our current product offering to both existing and new customers across a range of industries ✓ Increase market awareness of ABT through focussed sales and marketing activity; face-to-face discussions and improved digital communications across numerous industries ✓ Develo

  24. Slide 24: Key messages

    Key messages An aggressive growth strategy is being implemented With a significant addressable market there is very strong growth potential Key focus going forward will be to exploit our existing product range, with future R&D to be on product improvement and universal applications The environment,

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