Alkaline Water Company Inc. (the) · OTC:WTER
Alkaline Water Company Inc. (the) — Investor Presentation (July 2019)
24 slides from Alkaline Water Company Inc. (the)'s investor presentation, Jul 22, 2019
Slide 1: Ey f
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Slide 2: Cautionary Note Regarding Forward-Looking Statement and Health Claims
Cautionary Note Regarding Forward-Looking Statement and Health Claims ‘This presentation contains forwardiooking statements relating The Alkaline Water Company Inc. tthe “Company. Statements in this presentation that are nat purely historical! are forward-iooking statements and include any statement
Slide 3: Category Leader
CATEGORY LEADER Alkaline88® achieved $10 million in net sales for Q1 2020 Alkali iness The Power af 88. Alkaline88® was ranked as the fastest growing alkaline 2 a water brand in 2019 per Nielson data } ran ig Infused flavors shipped last quarter telne! pe ig He" VER Bas i8S| Me ‘: | The Family Hydra
Slide 4: Nos =
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Slide 5: It's a Growth Story
ITS A GROWTHSTORY $60.00 $50.00 $40.00 $30.00 $20.00 $10.00 $0.00 Revenue (in $Millions) Fvezois —FYE015——FYEROL7.«—FYEZOIS.«—FY209 est FY2020 Revenue (in $Milions) Sixth Consecutive Year of Revenue Growth Above 50% ALKALINE WATER CO
Slide 6: Building on Our Strengths
BUILDING ON OUR STRENGTHS FLAGSHIP + The Alkaline Water Company Inc.'s flagship brand, Alkaline88® is available in all 50 states and the District of Columbia BEST BRAND NAME + Alkaline88? is the perfect trademark in the category CLEANEST PURIFIED WATER + Purified Water and Pink Himalayan Rock Salt “
Slide 7: Building on Our Strengths (continued)
BUILDING ON OUR STRENGTHS (continued) HIGHEST SELLING . Weare the #1 selling bulk Alkaline water in America UNIQUE BUSINESS MODEL + Direct-to-Warehouse Distribution + Eight Strategically Placed Co-Packing Facilities + Broker alliances with EA Berg, Impact Group, Advantage Solutions, CA Fortune, Cros
Slide 8: Accelerating Our Growth
ACCELERATING OUR GROWTH EXPANSION OF MARKETS AND CHANNELS BRAND MESSAGING AND POSITIONING + Ecommerce + C-stores + All day hydration for family + Drug stores activities and adventures * Big Box + The family hydration solution * Club + Sustainable and defendable brand messaging PRODUCT AND CATEGORYEX
Slide 9: New Marketing Initiative
NEW MARKETING INITIATIVE POWER OF 88 FIND YOUR BALANCE aq, Nama-st
Slide 10: Building on Our Brand Loyalty
BUILDING ON OUR BRAND LOYALTY R « °88,.MERERASENT tE FLAVor-inrusep Sate FLAVORED SOOTHE* All day hydration for family Taste the hydration. Relax/unwind in the hydration. adventures and activities. When you are Alkaline88? hydrated, you can tackle life's daily activities andadventures. AIChPOINt rep
Slide 11: Strengthening Our Core Competencies
STRENGTHENING OUR CORE COMPETENCIES ArchPoint &@ ArchPoint is a vertically integrated CPG consulting firm Development and Implementation of our brand marketing strategy for existing and future products/brands Develop and monitor national marketing programs, chain specific, and mass media Oise + Wate
Slide 12: Innovating and Disrupting
INNOVATING AND DISRUPTING Introducing the New Infused Product Line Mas : aasnaNni-yoay Fike Sah asim | Gasn4Nni-YOAvia iM ERs toad "BBs sg Sai | GasNsNni-¥OAv id= Titieiwmaenntaand BB
Slide 13: Growth Is There for the Taking
GROWTH IS THERE FOR THE TAKING Bottled Water Sales Rank — Major Brand — Total US Food Major Brand |Manufacturer | Dollar Sales |Dollar Sales, Name Name Hint Hint INC $32,902,724 $19,522,043 68.5% 22,991,831 13,789,634 36 Core Natural Core Natural LLC $32,659,555 $14,987,647 119.4% 20,681,700 9,021,3
Slide 14: Significant Growth Potential
SIGNIFICANT GROWTH POTENTIAL Alkaline88® Soothe, made with Full-Spectrum Hemp Extract All Natural Pasteurized Less than 70 Calories Three great flavors
Slide 15: Significant Growth Potential
SIGNIFICANT GROWTH POTENTIAL US CBD drinks market value 2018-23 USS million 1500 18 Ll > . oi i y, | 2018 2018 2020 ‘Soureo ‘Zenith Giobal Ltd
Slide 16: Best in Class Hemp/CBD Relationships
BEST IN CLASS HEMP/CBD RELATIONSHIPS Cc Centuria Foods, Inc. + Veterans in the industry that can meet out QC standards + Largest importer one record of CBD since 2014 * Company with NSF, ICCT and Organic verification under an FDA certified facility
Slide 17: FDA Is Accelerating CBD Legislation
FDA IS ACCELERATING CBD LEGISLATION FDA announced Friday, July 12" that it is speeding up its efforts to develop rules for CBD and plans to issue a report on the department's process by early fall. FDA Acting Chief Information Officer Amy Abernethy tweeted that “FDA is expediting its work to address
Slide 18: Selective Financial Disclosure, July 22, 2019
TNWATERCO SELECTIVE FINANCIAL DISCLOSURE JULY 22, 2019
Slide 19: Sales Guidance
40 30 20 10 SALES GUIDANCE Fiscal Year Sales Ending March 31* 43-55% Increase from Prior Year Projected 54.33% CAGR a 63% Increase from Prior Year wEstimate Range mSales 55% Increase from Prior Year 80% Increase from Prior Year 92% Increase from fl Year 2015 eal 2017 2018 2019 2020 Estimate #54650 i
Slide 20: Q1 Sales
Q1 SALES For Quarter Ending June 30th 12019 Q1 Dollar Sales 27% Increase from Prior Year Qt 2020 Estimate Sales ALKALINE WATER CO 20
Slide 21: Gross Margin
GROSS MARGIN For Fiscal Year Ending March 31st 30 25 Gross Margin 20 ™% of Sales 7 mEstimate Range 10 & oO 2016 2017 2018 2019 2020 Estimate WATERCO | 7"
Slide 22: Select Balance Sheet Items
Select Balance Sheet Items US Dollars in millions Accounts receivable $3.0 $2.6 Prepaid expenses — = re Fixed assets - net $2.0 $1.2 Total assets $18.4 $6.1 Accounts payable $2.9 $2.1 Revolving financing i i ‘Total liabilities $7.1 $5.6 Total stockholders’ equity $11.3 $0.5
Slide 23: ic Weights a founder of The
ic Weights a founder of The ‘Alkaline Water Company Inc. and responsibe for is rapid growth. He is {former Regions! Director of Taxand Financia Planning wth one ofthe "Big Four accounting frms. He ‘onngs over 40 years of experience 125.3 CFO, CPA, and entrepreneur Mec Wright has extensive knowledge
Slide 24: Questions?
Questions? BASELINE FLAVORED: All day hydration for family a Taste the hydration. adventures and activities. “speee sesso any ag seces, sate rs Te cute of Soan¥ occ congertn U3 Fan anc Acorn ae ale ae SOOTHE* Relax/unwind in the hydration. “Cees wt ace ssh ea tu ene ov Ea ees ons es thine wate coke