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
Slide 1: Investor Presentation
Investor Presentation August 2019
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
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
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.
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
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
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
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
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
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
Slide 11: Current core products
Current core products Fully Sealed With Failsafe Driveline Brakes Terra Dura ® Fully Sealed Failsafe Capability For Durability
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
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
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 $800k+ of overheads removed from the business Geoff Lewis Sales Director Strategy to achieve break-even making good progress Paige E
Slide 15: Mining customers and end users
Mining customers and end users
Slide 16: Product, customer and industry diversification
Product, customer and industry diversification New customers secured in Q4FY19 Defence Waste Management Civil Construction
Slide 17: Product, customer and industry diversification
Product, customer and industry diversification Surface Mining Off-road Logistics and Haulage Untapped markets Specialised Fleet Electric and automated vehicles
Slide 18: Financial performance
Financial performance Quarterly Results Full Year Results ($'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
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
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
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
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
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
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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