Ava Risk Group Ltd. · ASX:AVA
Ava Risk — Shareholder Meeting (October 2020)
29 slides from Ava Risk's shareholder meeting presentation, Oct 29, 2020
Slide 1: ASX Announcement – Annual General Meeting Presentations
29 October 2020 ASX ANNOUNCEMENT – ANNUAL GENERAL MEETING PRESENTATIONS In accordance with the ASX Listing Rules, the Chairman’s and CEO addresses and presentations to the Annual General Meeting (“AGM”), are appended. This announcement has been approved for release by the Board of Directors. Kim Cla
Slide 2: Chairman’s Speech
CHAIRMAN’S SPEECH On behalf of my fellow Directors, I would like to thank you for taking the time to join us "virtually" today. I am pleased to report that our Directors and their related parties hold around 20% of the Company’s shares, and that the top 20 shareholders hold approximately 62% of the
Slide 3: Chairman’s Speech
While Ava Group's Board and Management continue to navigate the challenges of COVID-19, we remained focussed on improving and optimising the business to ensure that the right skills and expertise are in place to support continued growth and expansion. In July, it was announced that Technology Divisi
Slide 4: Group CEO’s Address
GROUP CEO’S ADDRESS I am pleased to be able to provide an overview of Ava Risk Group's FY2020 results and provide an update on our areas of strategic focus - before sharing an outlook for the remainder of FY2021. But first, I would like to provide a brief overview of our company structure and the ri
Slide 5: Group CEO’s Address (continued)
• Our Technology Division's gross margin was 75%, while the Services Division's gross margin was 25% • FFT’s gross margin showed a year on year improvement from 67% to 79%, driven largely driven by the Indian Ministry of Defence contract. • The group reduced operating expenses, assisted by the conso
Slide 6: Group CEO’s Address (continued)
Although revenue will start as a combined CAPEX and OPEX we plan to migrate to a full Opex model such that 100% of contracts will be based on recuring licence fees based on per meter of monitored conveyor per month. We anticipate strong recurring revenue from SaaS cloud monitoring and analytics and
Slide 7: Annual General Meeting
Annual General Meeting | Thursday 29 October 2020
Slide 8: Forward Looking Statements
Forward Looking Statements This presentation is given on behalf of Ava Risk Group Limited (AVA) Information in this presentation is for general information purposes only, and is not an offer or invitation for subscription, purchase, or recommendation of securities in AVA. Certain statements in this
Slide 9: Chairman’s Remarks
Chairman’s Remarks | David Cronin 3
Slide 10: Group CEO’s Address
Group CEO’S Address | Rob Broomfield 4
Slide 11: High Security & Sensing Experts
High Security & Sensing Experts Perimeter Access Risk Intrusions Control Consulting Readers Data High Precious Pipeline Biometric Banknotes Network Security Metals Intrusion Solutions Protection Locking Condition Custom High Risk Monitoring Encryption Valuables TECHNOLOGY DIVISION SERVICES DIVISION
Slide 12: Complimentary Mix of Revenue Streams & Margins
Complimentary Mix of Revenue Streams & Margins 2,500+ Partners in Systems 3,500+ Sites 100+ Deployed Countries 65-80% $1b 45-60% $600m 21-27% $1b Gross Addressable Gross Addressable Gross Addressable Margin Market Margin Market Margin Market Products & COTS & Recurring Services Custom Services Model
Slide 13: Our Customers
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Slide 14: Services Division | Ava Global
Services Division | Ava Global • Ava Global is a growing global provider of secure international logistics of high- risk valuables, precious metals and currency. • Provides fully insured, door to door services, utilising a network of highly experienced service providers, freight forwarders, airlines
Slide 15: Technology Division | Future Fibre Technologies
Technology Division | Future Fibre Technologies • FFT is a global leader in fibre optic intrusion detection systems, with a track record of delivering highly intelligent, reliable, and award-winning intrusion detection solutions for the protection of critical sites and infrastructures. • FFT’s advan
Slide 16: Technology Division | BQT Solutions
Technology Division | BQT Solutions • BQT’s secure, reliable smart reader and card systems, biometric solutions, electric locking, and access control products are utilised at thousands of sites in more than 50 countries. • A leader in high security access control technology used in some of the most
Slide 17: FY2020 Highlights
FY2020 Highlights • FY2020 revenues $46.1M, increased by 46% over PCP • Services Division contributed $25.1M, up 58% over PCP STRONG REVENUE • Technology Division contributed $21.1M, up 34% over PCP GROWTH • FY2020 generated $6.0M net operating cashflow and Gross Margins increased by 5% to 48%, unde
Slide 18: FY2020 Financial Summary | P&L
FY2020 Financial Summary | P&L AUD$M FY2020 FY2019 Sales Revenue 46.1 31.6 COGS (24.1) (17.9) Gross Profit 22.0 13.7 GP margin (%) 48% 43% Operating Expenses (15.1) (16.6) EBITDA* 7.4 (2.9) Profit / (Loss) after tax 4.9 (4.7) * Earnings before interest, taxes, depreciation and amortisation 12
Slide 19: FY2020 Comparison Summary
FY2020 Comparison Summary 13
Slide 20: FY2020 Financial Summary | Balance Sheet
FY2020 Financial Summary | Balance Sheet AUD$M 30 Jun 2020 30 Jun 2019 Cash and cash equivalents 7.7 3.1 Receivables 6.0 4.9 Inventories 3.9 4.5 Intangibles 12.0 12.7 Other assets 2.8 1.3 Total assets 33.7 26.5 Payables 5.4 4.0 Provisions 1.4 1.5 Borrowings - - Other liabilities 1.5 0.8 Total liabil
Slide 21: FFT | Indian Ministry of Defence Contract
FFT | Indian Ministry of Defence Contract • Large scale supply of FFT’s SecureLink technology to protect more than 40,000kms of data communications cables for the Indian Ministry of Defence. • FFT licenced technology to in-country manufacturing partner SFO Technologies Private Limited (SFO). • Total
Slide 22: FFT Sensing Technology | Expanded Applications
FFT Sensing Technology | Expanded Applications “FFT’s Aura platform is being used by technology partners for new applications such as monitoring power cables under the streets of major cities and across rivers. Most power cables have a fibre optic cable integrated into its construction to allow temp
Slide 23: Aura IQ | Overview
Aura IQ | Overview Predictive Maintenance 4.0 – Advanced Warning of Roller Failure & Fire Prevention • Aura IQ smartly monitors conveyor health through world-leading fibre optic technology, advanced signal processing algorithms, predictive analytics and cloud-based analysis, reporting and alerts. •
Slide 24: Aura IQ | Market Opportunity
Aura IQ | Market Opportunity Large Open Total Available Market opportunity sized at over $300M • Growing sale pipeline - 50+ Opportunities with revenue value over $50M for first three contract years. Strong recurring revenues planned from SaaS cloud monitoring & analytics • COVID-19 promoting increa
Slide 25: BQT Solutions | FY2021 Focus
BQT Solutions | FY2021 Focus • Australian Department of Defence orders valued at $3.4M. Incorporating more than 12,000 high security, custom encrypted BQT readers will be deployed nationally across defence facilities and bases. First systems despatched in FY2020 with balance to be fulfilled early FY
Slide 26: Ava Global | FY2021 Growth Opportunities
Ava Global | FY2021 Growth Opportunities • Significant market share upside (+$1B market) • $200M currently addressable by Ava Global • Leverage recent market consolidation opportunity • One dominant market player with +70% of market • Advanced discussions with clients that will increase addressable
Slide 27: FY2021 Growth Strategy Progress
FY2021 Growth Strategy Progress • Continued strong revenue growth with large qualified sales pipeline and addressable client spend • Q1 FY2021 revenues up by 73% over PCP to $17M*, despite CV-19 delays to underlying Technology sales STRONG REVENUE GROWTH • Well funded for growth with $11.6M* cash at
Slide 28: Future Growth Outlook
Future Growth Outlook • World leading technology products installed in more than 70 countries with blue-chip user base • Strong Intellectual Property portfolio with clear TCO and performance advantages WORLD LEADING • Growing global security concerns driving increasing demand and rapid adoption of h
Slide 29: Questions
. AVA: SECURITY 81SK MANAGEMENT