Surface Transforms Plc · LSE:SCE
Surface Transforms — Investor Presentation (April 2024)
10 slides from Surface Transforms's investor presentation, April 2024
Slide 1: Project BumbleBEE – April 2024
Kevin Johnson, CEO Isabelle Maddock, CFO Stephen Easton, COO APRIL 2024
Slide 2: Disclaimer
Disclaimer The information contained in these slides and any accompanying verbal presentation, any question and answer session and any document or material distributed at or in connection with the verbal presentation (together, the “Presentation”) have not been approved by an authorised person withi
Slide 3: Presentation team
Presentation team Kevin has a doctorate in Chemistry from the University of Liverpool and an MBA from Manchester Business School. He has spent six years in Dr Kevin Johnson product development for the chemical industry and has a broad experience with OEM multinationals in the area of new technology
Slide 4: About Surface Transforms
About Surface Transforms Manufactures carbon-ceramic brake discs for automotive Automotive brake discs • Brake components installed on all four wheels of the car • Key safety and performance feature of the vehicle • Integrated complex system • Braking achieved by the caliper pressing the brake pads
Slide 5: Current status & Strategy
Current status & Strategy Ambition to reach £100m/yr sales in next 5 years 1 Business KPIs Key Actual Current Quarter 3 2024-25 targets Strategic goal Challenges Progress made Production stability • Meeting growth in customer Quarterly Revenues £’m2 • Growing revenues # process refinements demand 30
Slide 6: Cash Utilisation
Cash Utilisation 6 months to the end of Q1 2024 comparison to Optimus Missed Sales - Capacity constraint £1.5m Sales plan for FY24 reduced from Optimus plan - Contribution lost Cost of Scrap £2.4m High with improving scrap rates - Contribution & costs lost High overhead cost - Developing capacity £1
Slide 7: Project BumbleBEE
Project BumbleBEE Proposed £6.5m placing with open offer • Supports immediate working capital requirements - existing operations and scale up • Building effective manufacturing capacity for positive EBITDA in the near term – Improving yield – 5 contracts in multi-year revenue generation phase – Adva
Slide 8: Manufacturing capacity
Manufacturing capacity Increasing capacity capability and capacity resilience Capacity Revenue Capacity in place – supports ‘in series’ contracts £20m/yr • Installed and in production • Improving effectiveness, with opportunity to deliver more than £20m/yr £14m1 investment capacity expansion - fully
Slide 9: Business development KPIs
Business development kpis Sustainable growth with strong order book and prospective contract pipeline (PCP) 1 • Strong and growing number of contract awards providing sustainable, high growth over next 5 years • Substantial number of follow on contracts leveraging ST product technology and customer
Slide 10: Investment Summary
INVESTMENT SUMMARY Building effective manufacturing capacity for positive EBITDA in the near term – 5 contracts in multi-year revenue generation phase – Improving yield – Advancing cost reduction plan Phase 2 manufacturing capacity of £50m/yr in 2024 and £75m/yr in 2025 – Debt finance in place – Boo
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