Duos Technologies Group, Inc. · NASDAQ:DUOT
Duos Technologies — Investor Presentation (February 2020)
23 slides from Duos Technologies's investor presentation, Feb 7, 2020
Slide 1: Investor Presentation February 2020
GOVERNMENT UTILITIES OIL AND GAS RAIL CHEMICAL DISTRIBUTION INVESTOR PRESENTATION Pending NASDAQ: DUOT FEBRUARY 2020
Slide 2: Safe Harbor Statement
2 Safe Harbor Statement This presentation, as well as other written or oral statements made from time to time, includes “forward - looking statements,” within the meaning of the U . S . Securities Act of 1933 , as amended and the U . S . Securities Exchange Act of 1934 , as amended, or the “Exchange
Slide 3: Who We Are
3 Who We Are Headquartered in Jacksonville, FL Staff of 74 employees and 11 full - time contractors ( 85 Total ) We design, develop and implement Turnkey Advanced Intelligent Technologies • Intelligent Sensor and Data Acquisition Systems • Decode inputs from virtually any sensor or data output/input
Slide 4: Who We Serve
4 Who We Serve Our Products are Industry Agnostic with current focus on • Rail transportation (highlighted in this presentation) • Retail distribution centers • Critical infrastructure security 9 patents and 16 trademarks granted and/or pending 4 February 2019 - Launched AI and deep learning subsidi
Slide 5: What is Connected Intelligence
5 What is Connected Intelligence • Advanced, intelligent technologies are becoming increasingly complex • Development requires multiple skill sets across different areas of expertise • Industry - wide trend to outsource development and maintenance of these complex technology systems 5 We provide end
Slide 6: Our Solutions for Rail
6 Our Solutions for Rail Significant Revenue Driver
Slide 7: Rapidly Changing Rail Industry
7 Rapidly Changing Rail Industry » Freight railroads generally have operated the same way for more than a century » Recently the business model has changed significantly » Now railroads want to run more like commercial airlines , where departure times are set » “Precision - scheduled railroading … s
Slide 8: The Current Railcar Inspection Process
8 The Current Railcar Inspection Process NORTH AMERICAN AMERICAN RAIL RAIL MARKET DATA 60B Freight Rail /yr. 1.56M Freight Cars 26,500 Locomotives 140,000 Miles of Class 1 Track 500 + Freight Rail Yards 21 Regional Railroads 510 Local Railroads $ Source: US Federal Railroad Administration 8 • Railca
Slide 9: Our Solution: Railcar Inspection Portal (rip)
9 Our Solution Railcar Inspection Portal ( r i p ® ) duos tech r i p ® solution: Remote, four - sided (360 ° ), automated mechanical inspection while traveling at speeds ≥ 120 MPH before train enters a yard Implementations: Mechanical Inspections B order Crossings S ecurity Inspections Benefit
Slide 10: rip Example Detections at Speed
10 r i p ® 360 ° Example Detections at Speed Dead Body (Mexico) Separated Truck Illegal Riders Oil Leak Spring out of Position Shaved Axel
Slide 11: The Future of Railcar Mechanical Inspections
11 The Future of Railcar Mechanical Inspections r i p ® Railcar Inspection Portal 360 o Inspection explains … See video at https://vimeo.com/332002914
Slide 12: The North American Rail Market
12 The North American Rail Market NORTH AMERICAN RAIL NETWORK NORTH AMERICAN RAILYARDS Significant Growth Opportunity, Revenue Driver
Slide 13: Railcar Inspection Portal Recent Developments
13 r i p ® Railcar Inspection Portal Recent Developments: Canadian National • 7 Inspection portal systems completed over two years • Significant expansion of existing systems planned for 2020 (additional aspects also to be included) KCSM • 1 portal shipped in Q4/2019, final installation Q1/2020 • Co
Slide 14: Our Technologies' Future in Artificial Intelligence and Intelligent Analytics
Our Technologies' Future in Artificial Intelligence and Intelligent Analytics NEURAL NETWORKING true vue 360 TM a duos tech company
Slide 15: true vue 360 Platform Capabilities
15 Proprietary AI platform including privately hosted cloud architecture Industry agnostic with initial target industries: • Rail • Logistics • Security • Government Current deployments: • 22 rail applications completed or in learning mode for multiple customers • Gate automation (logistics) • Secur
Slide 16: true vue 360 Roadmap
16 2019 2020 x Sales team hired and executing Q3 Q1 Q2 x Launched AI and deep learning subsidiary true vue360 TM x Establish company, resources and begin platform development x Release first version of platform x Establish modeling hardware x First revenues from existing customers x Expanded contrac
Slide 17: Financial Overview
11.445 31.532 82D 66.232: 947.234 89.111 981.321 335.234 S832: 111.439 602.252 es 256425; ee 41.332 882.118: 354.234 61.323; 909.123: 636.111 78.673: 2339.134 67.532 96.232 2933.462! 12.543} 55,896: Financial Overview
Slide 18: Consolidated Income Statement and Financial Review
18 Consolidated Income Statement (in ‘000s) 9 Months 2019 (Unaudited) 9 Months 2018 (Unaudited) FY 2018 FY 2017 Revenue $7,896 $9,490 $12,048 $3,885 Cost of Sales 4,566 5,428 6,844 2,295 Gross Profit 3,330 4,062 5,204 1,590 % of Revenue 42% 43% 43% 41% Operating Expenses 6,365 4,796 6,774 5,034 Inco
Slide 19: Balance Sheet
19 Balance Sheet (in ‘000s) Based on September 30, 2019 10Q (Unaudited) Current Assets $4,026 Cash, A/R, Contract Assets* $3,767 Current Liabilities $5,326 Deferred Revenue, Contract Liabilities** $1,597 Debt (non - convertible, 3% Coupon) $1,000 ____________ * Contract Assets become A/R as projects
Slide 20: Capital Structure
20 Common Stock 1,980,085 Warrants Options 1,521,250 * 163,010 ** Series B Convertible Preferred *** 243,572 Total Share Count Fully Diluted 3,907,917 Capital Structure ____________ * Weighted Average Exercise Price: $8.78/share ** Exercise Price : $14.00/share *** Common Stock Equivalent as convert
Slide 21: Experienced Leadership Team
21 Experienced Leadership Team Adrian Goldfarb EVP, Chief Financial Officer, Director Mr . Goldfarb is an industry veteran including more than 35 years in information technology beginning at IBM . For the last 20 years, Mr . Goldfarb has specialized in new venture and early stage organizations where
Slide 22: Investment Highlights
22 Investment Highlights Significant, Global Market Opportunities • Combined North American markets exceed $100B • $60B North American Rail Industry • $53B Enterprise Information Management (EIM) Market • $ 2B Video Analytics Market • Unquantifiable AI Market Growing, Tier - one Customer Base • Mult
Slide 23: Contact Us
23 Contact Us Duos Technologies Corporate Tracie Hutchins Duos Technologies Group, Inc. 904 - 652 - 1601 tlh@duostech.com Investor Relations Matt Glover or Tom Colton Gateway Investor Relations 949 - 574 - 3860 DUOT@gatewayir.com Pending NASDAQ: DUOT
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