Slide 1: Investor Presentation May 2019
I N V E S T O R P R E S E N T A T I O N MAY 2 0 1 9
Slide 2: VPR Brands brand portfolio logos
HONE Ystici VRE va pehoneystick.com VPBBRANDS.COM + VPR Brands LP a publicly traded company (VPRB) > V7 chdgoldline.com ivaporx.com Kr @ ® : CUM Vvaporin vaporin.com vapehelium.com
Slide 3: Disclaimer and Forward-Looking Statements
DISCLAIMER AND FORWARD ─ LOOKING STATEMENTS This presentation (the “Presentation”) has been prepared by VPR Brands LP (the “Company”) and is The Presentation may include certain statements, estimates and projections provided by the being delivered to parties who may be interested in considering a po
Slide 4: About Us
about us
Slide 5: About
about VPR Brands has built a portfolio of brands that target consumers in both the nicotine and cannabis verticals. HoneyStick is our flagship brand and has become our leading product and platform to drive growth for the firm across both verticals. Krave, Helium, VaporX, and Vaporin are our an
Slide 6: The Market Opportunity
THE MARKET OPPORTUNITY EXTRACTS 50% { Vape pens 20%
Slide 7: The Market Opportunity
the market opportunity VPR Brands is positioned at the intersection of two industries that share a growing trend. The trend toward smokeless products is clearly evident in both the tobacco and cannabis industries, and consumers are quickly leaving traditional consumption methods and adopting both e-
Slide 8: 2019 Vapor Market Size
2019 vapor market size YEAR END 2019 Total E-Cig/Vapor Market $9B E-Cigarettes $6.4B Vapors/Tanks/Mods& Personal Vaporizers $2.6B C-Store, Food, Online & Other Online & Drug and Mass Retail Channels Other C-Store, Food, Vape Retail Channels $2B Retail Drug and Mass Shops $4.4B Channels Retail Channe
Slide 9: 2019 Vapor Market Size
2019 vapor market size As the Market expands/matures, Market shares may moderate, but topline momentum is expected to continue Source for both images: Nielsen; Wells Fargo Securities, LLC estimates Bonnie Herzog - Wells Fargo Securities, LLC | Tobacco, Beverage & C-Store Sectors
Slide 10: Key Investment Highlights
key investment highlights Broad portfolio of tested vaporizer products that are implemented into the marketplace and driving sales across the firm. Leveraging line of CBD products to drive growth and penetrate the cannabis consumables market. Experienced management team with extensive experience in
Slide 11: Brand Portfolio
key investment highlights : brand portfolio We have developed a curated product mix consisting of vaporizers, e-liquids, cannabis consumables, disposable vapes, batteries and tanks to create synergies across our brands and to suit the consumers’ needs. In-house product development is a major dif
Slide 12: Brand Portfolio: The HoneyStick Platform
key investment highlights : brand portfolio The HoneyStick Platform: The HoneyStick product line is our lifestyle brand, targeting both major verticals of the vaporizer market. This line was developed with the vaping enthusiast in mind and has evolved through our in-house product development to suit
Slide 13: Cannabis Vertical
key investment highlights : cannabis vertical VPR Brands launched GoldLine CBD in 2018 to enter into the cannabis consumables space. We believe that this will be a major growth driver for the company in 2019 due to current trends in the market. With major regulatory shifts toward the CBD vertical, t
Slide 14: CBD Market Forecasts
: cbd market forecasts key investment highlights By 2025, it is estimated that the US CBD Market could approach $16B (from $600M - $2B in 2018) Source : Cowen and Company
Slide 15: Management Team
key investment highlights : management team VPR Brands’ management team has a combined 50+ years of experience in distribution and product development in the vaporizer industry. KEVIN FRIJA Chief Executive Officer Mr. Frija is a veteran entrepreneur possessing a broad range of experience spanning 29
Slide 16: Support Team
key investment highlights : support team Sales Team Purchasing GARY REP ALEXANDRA GITELMAN ASHLEY CELLUCCI NATASHA PERRIER MIRIAM PEREZ EZEQUIEL PAVLOTSKY BIVEN HUANG Sr. Sales Executive Sales Executive Sales Executive Sales Executive Online Sales / Director of International Sales Purchasing Directo
Slide 17: Growth Strategy
GROWTH STRATEGY VDE PR BRANDS LP
Slide 18: Growth Strategy
growth strategy • Our wholesale business is a primary revenue driver for the company. WHOLESALE • Our key strategies to drive growth in our wholesale business are scaling our internal sales team, expanding our product offerings and expanding our CBD channel through S&M and affiliate marketing initia
Slide 19: Alliances: Distribution Partners
alliances : distribution partners
Slide 20: Financials
key investment highlights : financials OPERATIONS Statement - STATEMENTS OF OPERATIONS (USD $) 12 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended Dec. 31, 2018 Dec. 31, 2017 Dec. 31, 2016 Dec. 31, 2015 REVENUES 4,613,300 3,610,379 1,580,676 342 COST OF SALES (2,697,937) (2,398,242) (1,0
Slide 21: Financials
key investment highlights : financials $5,000,000.00 $4,000,000.00 $3,000,000.00 $2,000,000.00 Total Revenue $1,000,000.00 Earnings Net Income $- $(1,000,000.00) $(2,000,000.00) 2015 2016 2017 2018 Total Revenue $342,000.00 $1,580,000.00 $3,610,000.00 $4,613,000.00 Earnings $(93,447.00) $(327,000.00
Slide 22: Cap-Ex Experts
cap-ex experts
Slide 23: Cap-Ex Experts
cap-ex experts VPR Brands’ true value proposition lies in the management team’s ability to execute and scale the firm with growth capital. With the deployment of $1M in growth capital for 2018, VPR Brands was able to nearly generate $5M in gross sales at a 40% margin. We believe that we can replicat
Slide 24: Public Market Comps (May 2019)
public market comps (MAY 2019) VPR Brands currently trades at a steep discount to its peers from a revenue multiple perspective. With a fresh capital infusion and the scaling of the firms’ CBD vertical we expect to see not only consistent year-over-year growth in 2019 but margin expansion as well. S
Slide 25: Thank You
VDI “3 VPR BRANDS LP THANK YOU