Fluence Corporation Limited · ASX:FLC
Fluence — Investor Presentation (November 2022)
33 slides from Fluence's investor presentation, Nov 22, 2022
Slide 1: Investor Presentation
Investor Presentation November 2022 Sustainable Water Solutions
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Fluence Corporation Limited (ASX: FLC). All currencies quoted as “$” are US dollars unless otherwise specified. Some totals may vary slightly due to rounding. This presentation may contain forward-looking statements which are identified by words such
Slide 3: Fluence: What We Do
Fluence: What We Do Fluence provides water purification systems and water supply services to these markets: 1. Municipal wastewater treatment 2. Industrial wastewater treatment 3. Wastewater to energy 4. Water desalination lowering reliance on stressed municipal drinking water and wastewater treatme
Slide 4: Fluence: Proven Solutions For Global Water Challenges
Fluence: Proven Solutions For Global Water Challenges Key milestones achieved - now positioned to scale up with sustained profitability Strategic Positioning of Fluence – De-Risked Growth and Improved Profitability ✓ Smart Product Solutions (“SPS”) have grown significantly – Developed leading modula
Slide 5: Fluence: Proven Solutions For Global Water Challenges
Fluence: Proven Solutions For Global Water Challenges OUR MISSION • We make the world a better place by delivering sustainable water treatment solutions that produce high quality water, while saving energy and improving resilience • We are committed to becoming the global leader in smart water and w
Slide 6: Focus on SPS with Recurring Revenue
Focus on SPS with Recurring Revenue Focusing business on SPS segment significantly improves profitability and leaves Fluence poised to accelerate its capture of a massive addressable market Improved Revenue Mix Transition To Higher Margin Segments Illustrative 8% 10% 2% 12% 16% 3% Increasing 25% Gro
Slide 7: Financial Profile & Reorganization
Financial Profile & Reorganization All numbers US$M $123M $112M $97M $38M • Sell more SPS by realigning business from regions to product lines: – Decentralized and municipal water and wastewater treatment (MABR, Nirobox) – High-strength wastewater treatment wastewater-to-energy – Specialized industr
Slide 8: Investment Highlights
Investment Highlights Proven, Proprietary & Advantaged Water Treatment Products High Growth Markets Leading ESG Impact in Wastewater-to-Energy, Water Treatment & Desalination Attractive Financial Profile World Class Leadership Team 8
Slide 9: Fluence: Company Overview
FLUENCE: COMPANY OVERVIEW
Slide 10: Proven & Proprietary Wastewater Treatment Products: MABR Aspiral
Proven & Proprietary Wastewater Treatment Products: MABR Aspiral Smart, automated wastewater products deploy fast and require minimal maintenance Wastewater Treatment Products Business Model Preferred model: Containerized Smart Packaged Plants Equipment Sale Treatment/Reuse as a Service 303 plants s
Slide 11: Proven & Proprietary Wastewater Treatment Products: MABR SUBRE
Proven & Proprietary Wastewater Treatment Products: MABR SUBRE Smart, automated wastewater products deploy fast, can upgrade existing plants and require minimal maintenance Larger Wastewater Treatment Products Business Model Larger Plant Retrofit / New build New-Build Upgrade 28 plants serving 440K
Slide 12: Advantages of MABR: Greenest Wastewater Treatment Technology
Advantages of MABR: Greenest Wastewater Treatment Technology MABR enables migration of wastewater treatment from centralized to decentralized, disrupting $100bn market Fluence Smart MABR Beats Competing Technologies (1) MABR Competition Fluence vs Competing Technologies Fluence Suez Dupont Capex 17%
Slide 13: Proven Wastewater-to-Energy & Industrial Wastewater Products
Proven Wastewater-to-Energy & Industrial Wastewater Products Wastewater-to-Energy & Business Model Industrial Wastewater Products • 42 plants serving meat, fish, dairy, candy processing Preferred model: • Generate 221 GWh/year clean energy from biomass • Mitigate 155,700 Tons CO2 / year Energy / Was
Slide 14: Proven Drinking Water Products
Proven Drinking Water Products Drinking Water Products Business Model Preferred model: 30 plants serving 500K people Containerized Smart Packaged Plants Equipment Sale Drinking Water as a Service Financed by Fluence, customer 18 plants serving 210K people Price: $1 – 3M signs Take or Pay (TOP) contr
Slide 15: Proven Industrial Water Products
Proven Industrial Water Products Industrial Water Products Business Model 329 plants serving 6.3M people in 31 countries Equipment Sale Price: 400K – 10M+ Target GM: 25% Lithium mine brine treatment, Argentina Recurring revenue: ~50% of sales (spare parts, chemicals, O&M) Key Advantages: Industrial
Slide 16: Advantages of Decentralized Water & Wastewater Solutions
Advantages of Decentralized Water & Wastewater Solutions Decentralized wastewater treatment is the most cost-effective, energy-efficient, sustainable solution Centralized Systems Decentralized Systems Decentralized Urban Water Decentralized advantages: Decentralized advantages : • Centralized plants
Slide 17: Leading ESG Impact in Water Treatment
Leading ESG Impact in Water Treatment Existing Fluence Plants Mitigate The Equivalent of 272K tons of CO2/year Committed to UN SDGs Sustainability Impact from Fluence’s Installations • Fluence technologies are highly energy efficient (MABR, desalination) and lower CO2 and other harmful contaminants
Slide 18: Fluence's Wastewater Treatment & Wastewater-to-Energy Plant Footprint
Fluence’s Wastewater Treatment & Wastewater-to-Energy Plant Footprint TOTAL WWTPs : 403 MABR: 331 W2E & OTHER: 72 18
Slide 19: Fluence's Drinking & Industrial Water Treatment Plant Footprint
Fluence’s Drinking & Industrial Water Treatment Plant Footprint TOTAL PLANTS : 376 19
Slide 20: MABR Plants Scaling Up With Sustained Cost Reduction
MABR Plants Scaling Up With Sustained Cost Reduction 331 758 311 714 93% cost reduction since introduction 457 244 263 138 41 124 1 7 10 2 2016 2017 2018 2019 2020 2021 YTD 2022 2016 2017 2018 2019 2020 2021 YTD 2022 2016 2017 2018 2022 Installed Added Installed Added MABR Sales By Plant Capacity MA
Slide 21: Strategy Summary
Strategy Summary Upgraded Team Well Positioned To Drive Growth • MABR now highly proven to deliver top discharge water quality with lowest cost and energy use, enabling reuse • MABR serves widest market versus competition: from a cluster of homes to city scale • MABR uniquely enables fully decentral
Slide 22: World Class Leadership Team
World Class Leadership Team Key Management Board of Directors Tom Pokorsky, Ben Fash Richard Irving Paul Donnelly CEO & Managing Director CFO Chairman Lead Independent • 35 years executive • 18 years’ experience in water • Over 30 years’ tech Director experience in water and private equity and ventu
Slide 23: Investment Highlights
Investment Highlights Proven, Proprietary & Advantaged Water Treatment Products High Growth Markets Leading ESG Impact in Wastewater-to-Energy, Water Treatment & Desalination Attractive Financial Profile World Class Leadership Team 23
Slide 24: Thank You
Thank You For further information, please contact: Richard Irving Tom Pokorsky Andrew Angus Chairman CEO and Managing Director Investor Relations E: rirving@fluencecorp.com E: tpokorsky@fluencecorp.com E: andrewangus@overlandadvisers.com.au P: +1 408 382 9790 P:+1 414 243 4582 P: +61 402 823 757 Abo
Slide 25: Appendix & Case Studies
APPENDIX & CASE STUDIES
Slide 26: High Growth Market Potential
High Growth Market Potential Massive, growing, and de-centralizing market opportunities Wastewater Treatment Water Treatment Growing Demand $650 Billion Global Water Market $650 Billion Global Water Market 9.7 billion estimated global $150 Billion population by 2050 Addressable $118 Billion Wastewat
Slide 27: How MABR Works
How MABR Works Our proprietary technology: Membrane Aerated Biofilm Reactor (MABR) MABR Development Product Applications SUBRE Upgrade Retrofitting existing WWTPs using MABR SUBRE Plant Increasing Decentralization Using MABR to build new concrete WWTPs Aspiral™ Plant End-to-end solution • Our team o
Slide 28: Fluence Plants Deployed Worldwide
Fluence Plants Deployed Worldwide 28
Slide 29: Case Study: Aspiral Plants Installed in China
Case Study: Aspiral Plants Installed in China Leadership in wastewater treatment decentralization Aspiral Micro treats home Aspiral S1 near homes, Buried Aspiral plant, Highway rest stop Aspiral L4 cluster, Liaoning province Hefei, Anhui province Hangzhou, Zhejiang province plant, Xiaogian, Hubei pr
Slide 30: Case Study: SUBRE Plants in Sihanoukville, Cambodia
Case Study: SUBRE Plants in Sihanoukville, Cambodia Country’s first biological wastewater treatment plants support 260,000 people: includes world’s largest MABR plant Pool Hotel Operating MABR plant Capacity: 40K people Luxury villas Design for world’s largest MABR plant Operating MABR plant Capacit
Slide 31: Case Study: Wastewater-to-Energy Plants
Case Study: Wastewater-to-Energy Plants Fish processing plant, Ecuador - 2016 Arrebeef processing plant, Argentina - 2020 Mater Biotech bioplastics plant, Italy - 2016 Dairy processing plant, Caseificio Moro, Italy - 2014 31
Slide 32: Ivory Coast Overview
Ivory Coast Overview Ivory Coast Project: Our Last Major Custom Engineered Project • Fluence awarded project in 2019 and construction commenced in January 2021 • 150,000 m3/day water treatment plant near Abidjan by Q1 2023 – water for 1 million+ people • $165mm project with $110mm collected to date,
Slide 33: Thank You
Thank You For further information, please contact: Richard Irving Tom Pokorsky Andrew Angus Chairman CEO and Managing Director Investor Relations E: rirving@fluencecorp.com E: tpokorsky@fluencecorp.com E: andrewangus@overlandadvisers.com.au P: +1 408 382 9790 P:+1 414 243 4582 P: +61 402 823 757 Abo