Intellicheck, Inc. · NASDAQ:IDN
Intellicheck — Investor Presentation (November 2020)
22 slides from Intellicheck's investor presentation, Nov 17, 2020
Slide 1: Intellicheck: Authentication made simple
INTELLICHECK Authentication made simple Investor Presentation — November 16, 2020
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Forward-Looking Statements: This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the forward-looking statements in this pr
Slide 3: Intellicheck at a Glance
INTELLICHECK AT A GLANCE IDENTITY ASA SERVICE INSTANTLY AUTHENTICATES ID’STO STOP: * Identity theft « Underage access to age-restricted products PRIMARY FOCUS IS STOPPING IDENTITY THEFT IN THE FINANCIAL SERVICES AND RETAIL MARKETS, WHICH WE BELIEVE ISTHE FASTEST PATH TO REVENUE GROWTH AND PROFITABIL
Slide 4: How do you know who they are?
How do you know who they are? Names, Social Security Numbers, and Dates of Birth breached at Equifax in 2017 —The beginning of the glut f. With consumer identity easily accessible and cheap to buy, the data is out there for criminals to easily acquire and commit ro fraud. Proving someone is who they
Slide 5: About Intellicheck
About Intellicheck The industry leader in real-time document authentication ° Began 25 years ago authenticating IDs for military bases and secure US government facilities e Led to a 21-year relationship as the Courtesy Verification Provider for AAMVA, the association of all DMVs in the US, Canada an
Slide 6: Authentication Capabilities...
Authentication Capabilities... Licence Optical Character Facial Wide-ranging Authentication Recognition Recognition Applications Wf \NTELLICHECK
Slide 7: How it works...
How it works... J e “| ID is presented => ID and/or Facial Biometric Scan fl | H7 INTELLICHECK | Authentication Results and wp o ——- , — Barcode Data is Parsed, Decrypted & Analyzed
Slide 8: Customer Journey for Person-not-Present...
Customer Journey for Person-not-Present... Customer receives text message on their mobile device to begin the authentication process on back of ID document image of front of ID facial biometric and document liveness Ee 3 : WN |) ep IL — ix a Customer scans barcode Customer captures Customer provides
Slide 9: Solution Platforms...
Solution Platforms... DCHECK uthentication Engine @ bed = Point of Sale Mobile ™ e-Commerce « @ @ Personal Computer ie, Kiosks Teller Platform
Slide 10: Financial Services — Use Cases
Financial Services — Use Cases In-Store, Online, Call Centers — the victim’s stolen data is used to open an account Estimated stolen in 2019 () The victim’s stolen data is used where they have an account Estimated to cost Retailers through 2020 ?) Domain of Organized Crime Estimated to cost Retailer
Slide 11: ROI for Banks, Issuers and Retailers
ROI for Banks, Issuers and Retailers NO NEW HARDWARE REQUIRED Typically works through existing point of sale platform, a mobile device, or online SIMPLE ‘(ih Pre-populates the application, less work for the customer and results in fewer data entry j errors | | oe H7 INTELLICHECK’| QUICK SECURE Scan
Slide 12: Business Model Changes Driving Growth
Business Model Changes Driving Growth 6 Engage Market at Primary Pain Point eS Professional Services Team Loss Savings Solution with Compelling ROI Banks bear primary risk for fraud Get value for Loss Savings Professionalized by our (“hold the bag”) and typically pay Implementation Team with the pri
Slide 13: Impacts/Benefits of Per-Scan Pricing Model
Impacts/Benefits of Per-Scan Pricing Model MOST NEW CLIENTS AND ALL AVERAGE SCAN SEASONALITY BASED ON RETAILERS FULLY IMPLEMENTED FOR A MAJOR RENEWALS ARE ONA WHOLE YEAR: PAY PER-SCAN PLATFORM RETAIL SALES CYCLE IS SEASONAL -— PAY PER-SCAN ALLOWS US TO SHARE THE BENEFIT OF STOPPING FRAUD DURING THE
Slide 14: These Changes Have Led to Notable Wins and Improved Financial Results
THESE CHANGES HAVE LEDTO NOTABLE WINS AND IMPROVED FINANCIAL RESULTS
Slide 15: Revenue 2018 — Q3 2020
Revenue 2018 — Q3 2020 QUARTERLY REVENUE ($ in 000s) p—— YEARLY SaaS REVENUE —— ($ in 000s) : $3,115.3 $ $2,896.5 $8 0 $2,699.0 $339.8 $8769 Pe F 0 $1,930.2 518422 ss $1,558.0 [REaay $5,000.( : a 5437.3 $1.0621 g4.991.4 $1,039 i i Looe Poy $4,000 34674 53767 J $3089 $1,5637] roma 50 12 fy E207 35947
Slide 16: Q3 Wins
Q3 Wins * On-boarded a 3,700-location beauty supply retailer for account opening and account lookup use cases * Women’s clothing and intimate apparel company went live with remaining 350 stores for both account opening and account lookup * Gourmet kitchen retailer completed testing and is rolling ac
Slide 17: ID Check Authentication Engine Numbers
ID Check Authentication Engine Numbers: * Intellicheck’s ID Check Authentication Engine is in use: — By 5 of the top 10 lenders and credit card issuers — At over 30,000 retail locations — In over 3,000 bank branches — By 54 law enforcement agencies — In bank call centers to stop person-not-present a
Slide 18: Why Intellicheck?
Why Intellicheck? * 99%+ effectiveness of ID authentication solution in both person-present and person-not-present environments * Instant authentication results. Fully automated. No human intervention required due to accuracy of barcode authentication. * No new hardware required * Ubiquitous coverag
Slide 19: Financial Overview
FINANCIAL OVERVIEW
Slide 20: Q3 2020 Financial Highlights
Q3 2020 FINANCIAL HIGHLIGHTS * Total Revenue: $2,698,975 (+40% YoY) ° SaaS Revenue: $2,451,381 (+57% YoY) * Gross Margin: 89.1% Revenue Growth * Cash: $12,812,322 * Stockholder Equity: $20,793,668 * Debt: $806,100 Balance Sheet (as of Sept. 30) Nemiitiutn (kes ° Net Income: $32,412 vs. Net Loss prio
Slide 21: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION 31-Mar 30-Jun 30-Sep 31-Dec 31-Mar 30-Jun 320-Sep 31-Dec 31-Mar 30-Jun 30-Sep Net Income / (Loss) ($1,067,957) ($1,100,375) ($1,131,219) ($664,025) ($1,212,991) ($873,677) ($568,230) $106,187 $26,602 ($760,273) $32,412 Reconciling Items Interest and Other Income (813,8
Slide 22: Intellicheck
INTELLICHECK Authentication made simple BRYAN LEWIS BILL WHITE 516.453.6647 516.992.1985 blewis@invellicieck com bwiite@inelichedccant GAR JACKSON Global IR Group 949.873.2789 Gai@¢lobeliteroujs.cen