Eltek Ltd. · NASDAQ:ELTK
Eltek — Investor Presentation (August 2021)
19 slides from Eltek's investor presentation, Aug 30, 2021
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Slide 2: Disclaimer
Disclaimer GeneralThe information contained in this presentation does not purport to be all inclusive or to contain all information that prospective investors may require. Prospective investors are encouraged to conduct their own analysis and review of information contained in this presentation as w
Slide 3: Eltek History & Overview
Eltek History & Overview Founded in 1970, Eltek is a global PCB manufacturer. We have 50 years of experience in the space, a wealth of key engineering talent, and additional capacity in our facility tohouse immediate growth. Petach Tikva,IsraelLocation 100,000 ft2Facility Size $36.7MRevenues 2020 NA
Slide 4: Where Eltek PCBs are Used
Where Eltek PCBs are Used eltek
Slide 5: Where We Shine
Where We Shine Eltek is a leading global manufacturer of quality and highly-reliable printed circuit boards (PCBs)—creating rigid, flex-rigid, and flex PCBs for use in a variety of industries, including Aerospace, Military, Medical, Satellite, and many others. Strong Portfolio of OEM Customers We ar
Slide 6: Since 2009, Western PCB Manufacturing Market Share has shrunk ~66%
Since 2009, Western PCB Manufacturing Market Share has shrunk ~66% Source: Cluster Consulting Group PCB manufacturers in the West have disappeared—leaving global manufacturing highly concentrated in China and Taiwan. China’s PCB dominance and global security issues have caused western government and
Slide 7: High Barriers for New Entrants in PCB Production
High Barriers for New Entrants in PCB Production Technical “Know-How” There are no university degrees for PCB production, engineers become experts in PCBs on the job and advance over time Machine Infrastructure Cost$35m+ machine and infrastructure investment is needed to start a small PCB manufactur
Slide 8: Growing to Satisfy Market Appetite
R&D programs in partnership with Israeli innovation authorities. Developing unique, high-end, advanced PCBs. Growing to Satisfy Market Appetite Unlocking 30% in additional productioncapacity via a 3rd shift in Petach Tikva facility. Vertical and Horizontal mergers can fuel growth, both domestically
Slide 9: What Makes Eltek Unique
What Makes Eltek Unique 50 years of operational history developing PCBs ITAR and EAR CertificationsCertifications allow Eltek to sell to defense contractors and other companies in the United States Pioneers inFlex PCBsEltek is a brand-name in the Flex PCB market, trusted by leading brands around the
Slide 10: Total Available Market
Total Available Market Global PCBs, 2027Growing at a 4.8% CAGR $76B Serviceable Addressable Market Global Flex-Rigid PCBs, 2025Growing at a 9.8% CAGR $7.5B Massive Global Opportunity Size ReportLinker, Research & Markets 10 $87M Serviceable Obtainable Market 2 Eltek Facilities (max production capabi
Slide 11: Generating Profits in a Capital Intensive Industry
Generating Profits in a Capital Intensive Industry Rigid PCB Manufacturing consistently covers a majority of our costs Breakeven Point Complex Flex PCB Manufacturing with 50%+ Positive Contribution Rigid PCB manufacturing supports the capital intensive fixed costs of our facility, machinery, and sta
Slide 12: Setting the Stage for Rampant Growth
Setting the Stage for Rampant Growth In 2018, newly hired Eltek management led a turnaround plan and implementation of “Achieving Competitive Excellence”. Our turnaround targeted higher operational efficiency by reducing fixed costs and improving our pricing strategy. Since 2019, we have been able t
Slide 13: Eltek Growth Pillars
Eltek Growth Pillars Business Excellence Operational Efficiency Market Share Expansion Right pricing Adopt Achieve Competitive Excellence program (ACE-similar to 6-sigma) Focus on US market Product rationalization Look for M&A Expand capacity Trade PCB FMF between USA and Israel Add technical capabi
Slide 14: Our R&D Roadmap
Mirrored to Global Demand of High Reliability, Miniaturization, Faster Data Traffic, and High Power Our R&D Roadmap 2021/22Fine line X-ray assisted drillingPersonalized productionImproved inner layer registration [H1 2022] Transparent & stretchable PCB’s [H2 2022]Ultra precise drilling [H2 2022] 202
Slide 15: Experienced Leadership Team
Experienced Leadership Team Joined Eltek as CEO in July 2018. Prior, Eli served as the CEO of Carmel Forge Ltd. (Aerospace), and prior thereto he served as the CEO of Urdan Industries Ltd. (Defense). Holds a B.Sc. degree from the Technion-Israel Institute of Technology, M.Sc. in Mechanical Engineeri
Slide 16: 2020 Revenues By Sector and Geography
By Sector 2020 Revenues By Geography
Slide 17: Financial Snapshot
Financial Snapshot Revenues Net Profit (loss) Gross Profit H1 2021 $16.3MRevenues $3.5MGross Profit $1.1MOperating Profit $1.0MNet Profit $2.0MEBITDA Eltek uses EBITDA as a non-GAAP financial performance measurement. Reconciliation between the company's results on a GAAP and non-GAAP basis is provid
Slide 18: Company Capitalization
Company Capitalization Nistec 3,891,596 66.6% Yitzhak Nissan (Chairman) 174,316 3.0% Total Nistec and Yitzhak Nissan 4,065,912 69.6% Public Float 1,774,445 30.4% Total 5,840,357 100.0% As of June 30, 2021 Eltek has 5,840,357 issued and outstanding shares: As of June 30, 2021 Eltek has granted 304,73
Slide 19: Contact Us
www.nisteceltek.com ManufacturingEltek Ltd.20 Ben Zion Gelis Street Petach Tikvah, 4927920, IsraelTel: +972 3 939 5050Fax: +972 3 9342584Email: main@nisteceltek.com Customer ServiceSales – EngineeringEltek USA Inc.250 Commercial Street Suite 3010Manchester, New Hampshire, USAPhone: (603) 965-4321Ema