BIO-key International, Inc. · NASDAQ:BKYI
BIO-key International — Marcum Microcap Conference 2017
25 slides from BIO-key International's conference presentation, June 2017
Slide 1: BIO-key International Investor Presentation
BIO-key International Investor Presentation Marcum Microcap Conference June 2017 OTCQB: BKYI www.bio-key.com
Slide 2: Safe Harbor Language
Safe Harbor Language Certain statements contained in this press release may be construed as "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 (the "Act"). The words "estimate," "project," "intends," "expects," "anticipates," "believes" and similar expres
Slide 3: At a Glance
At a Glance • OTCQB BKYI • Recent Price $3.00 • 52-Week Range $1.44 - $3.72 • TTM Revenue $3.0M • 2017 Revenue Guidance $6M - $12M • Adj. Market Cap (a) $35.7M • Adj. Enterprise Value (a) $34.7M • Adj. EV / 2016 Rev. Guidance (a) 2.5x – 5x • Shares Out 6.1M • Adj. Shares Out (a) 11.9M (a) Assumes fu
Slide 4: Efficient, Secure Solutions for a Global Threat
Efficient, Secure Solutions for a Global Threat Traditional security methods are failing to protect against data breaches, identity theft, fraud and malicious threats. These methods are often costly and inefficient as well. BIO-key provides biometric security that is fast and accurate in securely au
Slide 5: Core Software Solutions
Core Software Solutions Vector Segment Technology™ VST: Software algorithm extracts unique fingerprint data for matching / verification against other fingerprint records. WEB-key™: Securely transports biometric data from device -> cloud -> device, enabling strong local or cloud authentication. ID Di
Slide 6: Hardware Reader Solutions
Hardware Reader Solutions BIO-key has developed a line of compact, high accuracy, affordable and easy-to-use USB-based fingerprint readers compatible with Windows 7, 8.1 and 10 and interoperable with other systems. BIO-key readers conveniently incorporate biometric authentication into the sign-in pr
Slide 7: New Products for 2017
New Products for 2017 Pioneering the Biometric of Things (BoT) • ‘Internet of Things’ is a fast emerging technology trend connecting more devices to the internet. • With increased connectivity, comes the inherent threat of breaches from cyber hacks • BIO-key’s line of “Biometric of Things” (BoT) pro
Slide 8: New Products for 2017
New Products for 2017 TouchLock™ fingerprint biometric padlocks TouchLock - fingerprint biometric padlocks, including the Bluetooth enabled TouchLock BLE™ that can be operated with a smartphone. FreePass™ wearable USB fingerprint reader FreePass - wearable, mobile USB fingerprint reader for Windows.
Slide 9: New Products for 2017
New Products for 2017 SidePass™ durable, compact mobile touch reader SidePass, a compact, square, mobile and durable touch reader for Windows. One touch instant access to your device, websites, files and applications using your Q-180 Touch, Micro USB biometric. fingerprint reader for Android Q-180 T
Slide 10: New Patent for Small Surface Area Sensors
New Patent for Small Surface Area Sensors Granted US Patent # 9,646,146 for the Utilization of Biometric Data. • Patent enables BIO-key to accurately capture and match biometric data from small surface area sensors. • Ensures higher security fingerprint authentication scenarios using small area sens
Slide 11: Significant competitive advantages
Significant competitive advantages • Strong Intellectual Property • Low Price Point Products • Most Accurate Readers • Scalable Solutions • Secure and Fast Deliver to the Cloud
Slide 12: Markets and Customers
Markets and Customers Markets Applications Customers Government Criminal investigations / Background checks Border control Social services fraud prevention FBI Healthcare Electronic health records / E-prescriptions Financial Services ATM transaction authentication Mobile Payments Mobile payment auth
Slide 13: Biometric Security Growth Drivers
Biometric Security Growth Drivers • Increase in breaches, fraud and proliferation of devices, data & applications. • 2-factor authentication mandates for electronic health records and e- prescriptions. • Emergence of cloud computing and SaaS drives growing need for secure authentication. • Fingerpri
Slide 14: Core Growth Initiatives
Core Growth Initiatives • Focus on Healthcare Technology Mandates and Partnerships. • Windows 10 Authentication Opportunity Supported by Microsoft Marketing Partnership for Hardware and Software Sales. • Asia-Pacific Growth Opportunities, Leverage Expanding China Operations. • Expand Enterprise/Con
Slide 15: Healthcare Mandates
Healthcare Mandates • Healthcare represents one of the most available markets for biometric deployments based on federal mandates for patient health record security and e-prescriptions. • Partners include: • BIO-key partners “build-in” our authentication solutions (software and/or hardware) into the
Slide 16: Microsoft - Windows 10 Opportunity
Microsoft - Windows 10 Opportunity • Microsoft built biometric security into Windows 10 OS. • MSFT is extending biometrics authentication from device to web applications. • Windows 10 already on +400M devices. • BIO-key developed high quality, moderately priced readers for Windows and forged marketi
Slide 17: Asia Pacific
Asia Pacific ”Growing Adoption of Fingerprint Technology in China Brings New Opportunities for Biometric Sensor Supplies” - Gartner Asia is one of the largest and fastest growing adopters of biometrics. BIO-key is building foundation to tap sales & hardware sourcing opportunities. • Strategic Partne
Slide 18: Ramping Distribution Channels
Ramping Distribution Channels BIO-key is building a broad base of distribution relationships to tap enterprise and consumer sales opportunities. BIO-key Readers are Available via: • Microsoftstore.com • D&H (Live) • Dell.com (Live) • Ingram Micro (Live) • B&H Photo (Live) • Microsoft VAR’s (Live) •
Slide 19: Marketing Support
Marketing Support O-key readers are garnering a solid base of visibility and favorable product review
Slide 20: Payments and Mobile
Payments and Mobile “by 2020 it will contribute US$5.5B in revenue for companies involved in delivering biometric systems to the banking industry.” • Mobile payments represent emerging area of opportunity for BIO-key solutions. • Initial traction providing authentication solutions for a specialized
Slide 21: Summary Balance Sheet
Summary Balance Sheet Mar. 31, 2016 Adjusted Current Assets (1) $2.6M (2) Less: Accts. Payable & $0.5M Accrued Liab. Adj. (cash basis) Working $2.1M Capital (1)Excludes $1.83 million of intangible software license rights. (2)On May 3, 2017, BIO-key announced a $1M private placement at $3.60 per shar
Slide 22: Performance Outlook
Performance Outlook • 2017 Revenue Guidance: $6M - $12M • Gross Margin Target: 53% - 70% • Break-even revenue: ~ $7.7M * * Excluding non-cash amortization of software license rights.
Slide 23: Recent News
Recent News • $1.1M Enterprise Biometric Subscription from Fortune 500 Company in December –first large scale subscription win for its enterprise biometric solutions. • CES debut of new Wearable & Micro USB Fingerprint Readers + Biometric Padlocks. • A global medical device & data management solutio
Slide 24: Management
Management • Michael W. DePasquale – CEO 25+ years in executive management, sales and marketing. Previously CEO of Prism eSolutions, Inc. • Kelvin Wong –MD HK Subsidiary, co-founder of China Goldjoy Group, brings 14+ years senior management exp. in manufacturing, supply chain, & marketing in tech in
Slide 25: Thank You!
Thank You! Company Contact: Michael DePasquale Chairman & CEO michael.depasquale@bio-key.com 732.359.1100 Investor & Media Contacts: David Collins; William Jones; Tanya Kamatu Catalyst Global bkyi@catalyst-ir.com 212.924.9800
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