Aviat Networks, Inc. · NASDAQ:AVNW
Aviat Networks — FY2019 Earnings Presentation
21 slides from Aviat Networks's earnings presentation, Aug 27, 2019
Slide 1: Fiscal 2019 Fourth Quarter and Year-End Investor Presentation
Fiscal 2019 Fourth Quarter and Year-End Investor Presentation AVNW (NASDAQ) August 27, 2019
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS The information contained in this presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 21E of the Securities Exchange Act and Section 27A of the Securities Act, including expectations regarding
Slide 3: Our Value Proposition
Our Value Proposition Aviat
Slide 4: Technology Focus: Evolving Intelligent Wireless Connectivity
TECHNOLOGY FOCUS 1 2 INCREASED 5G+ IP/MPLS TO CAPACITY THE EDGE 5G 3 AUTOMATION 4G AND SDN EVOLVING INTELLIGENT WIRELESS CONNECTIVITY SLIDE 4 AVIAT NETWORKS
Slide 5: Unique Ability to Address Multiple Vertical Markets
UNIQUE ABILITY TO ADDRESS MULTIPLE VERTICAL MARKETS Multi-Gigabit SDN-Based Management Solutions for Network- Microwave for 5G Wide Operations Ready Mobile Simplification Backhaul Zero Footprint, Integrated Microwave Routing Solutions for Enterprise Access SDN-Based Wireless Solutions: Best TCO for
Slide 6: Industry Leading Products
INDUSTRY LEADING PRODUCTS MOST SECURE, HYBRID SPLIT-MOUNT ALL-OUTDOOR NETWORK MISSION-CRITICAL PLATFORM OUTDOOR RADIO UNIT ETHERNET MANAGEMENT ECLIPSE 6-42 GHz ODU 600 6-42 GHz WTM 4000 PROVISION MICROWAVE ROUTERS HIGHEST POWER ALL-OUTDOOR MICROWAVE RADIO EBAND/MULTI-BAND ALL NEW AVIATCLOUD PLATFORM
Slide 7: It's a No Brainer: Multi-Band with WTM 4800
MULTI-BAND WITH WTM 4800 NEW WTM 4800 EBAND & MULTI-BAND RADIO IT’S A NO BRAINER in 2019 WITH AVIAT’S SINGLE- BOX MULTI-BAND SOLUTION YOU CAN VIRTUALLY SIGNIFICANTLY ELIMINATE IMPROVE CAPACITY BY UP TO OUTAGES (compare to traditional microwave) (compare to E-Band) SLIDE 7 7 5G SOLUTION AT SIGNIFICAN
Slide 8: Industry-Leading Services Capabilities
INDUSTRY-LEADING SERVICES CAPABILITIES AVIATDEPLOY INDUSTRY’S LEADING AUTOMATION PLATFORM FOR AVIATDESIGN CUSTOMER MICROWAVE New Multi-Year ASSURANCE NETWORK Subscription SERVICES Based Upgrade Offerings AVIATCARE MICROWAVE SIMPLIFIED Strong Recurring Revenue with Growth Potential SLIDE 8 AVIAT NETW
Slide 9: Diverse, Stable Business with Growth Potential
DIVERSE, STABLE BUSINESS WITH GROWTH POTENTIAL VERTICALS DIVERSITY (FY19) GEOGRAPHICAL DIVERSITY (FY19) Service Private Provider 53% Americas EMEA Asia Pacific 47% 54% 27% 19% Positive Momentum in service provider and private networks Presence in all geographies, strongest in high margin regions SOL
Slide 10: Specialization and Reach to Drive Growth Within Private Networks Vertical
SPECIALIZATION AND REACH TO DRIVE GROWTH WITHIN PRIVATE NETWORKS VERTICAL Segment Leader The Clear Choice National Security Networks France, Middle East, North Public Safety Global Partners in Africa, Asia Pacific Presence in all 50 States, Security & Defense With 27 U.S. Statewide Networks #1 Suppl
Slide 11: Gaining Momentum and Market Share Across Private Network Verticals
GAINING MOMENTUM AND MARKET SHARE ACROSS PRIVATE NETWORK VERTICALS Aviat Awarded Aviat Awarded Nearly Aviat Networks Wins Aviat Networks Aviat Networks Microwave and $40M in Business with ~$20 Million in U.S. Selected by Motorola Awarded Microwave IP/MPLS Business by the State of Colorado Utility Bu
Slide 12: Gaining Momentum with Service Providers Globally
GAINING MOMENTUM WITH SERVICE PROVIDERS GLOBALLY Aviat Receives Orders from a Top-5 Aviat Networks Signs Global Frame U.S. Wireless Carrier for 5G Agreement with Ooredoo Group Transport • 5-year global supplier frame agreement with • Received 5G related orders from a top-5 U.S. Ooredoo wireless carr
Slide 13: Fiscal 2019 Fourth Quarter and Year-End Financial Results
Fiscal 2019 Fourth Quarter and Year-End Financial Results
Slide 14: Executive Commentary
EXECUTIVE COMMENTARY “While our fiscal 2019 fourth quarter results came in below prior expectations, much of it was due to the current spending environment in Africa and a few deals in North America that moved into our fiscal 2020 first quarter. Notwithstanding Africa, we had a strong quarter and fu
Slide 15: Fiscal 2019 Q4 Non-GAAP Financial Highlights
FISCAL 2019 Q4 NON-GAAP FINANCIAL HIGHLIGHTS Income Statement Summary (Non-GAAP) (In Millions $) Q4 FY19 Q4 FY18 YOY Q4 FY19 Q3 FY19 Sequential Actual Actual Variance Actual Actual Variance Revenue $64.2 $62.5 $1.7 $64.2 $54.0 $10.2 Gross Margin $22.6 $23.0 $(0.4) $22.6 $16.3 $6.3 Gross Margin % 35.
Slide 16: Fiscal 2019 Q4 Non-GAAP Financial Highlights (Cont'd)
FISCAL 2019 Q4 NON-GAAP FINANCIAL HIGHLIGHTS (CONT’D) Key Highlights ➢ North America revenue increased by $7.9 million or 25.2%. Market Verticals FY19 Q4 Broadcast 1 ➢ International revenue declined by $6.2 million or 19.8%, with the majority related to Africa, offset by strong growth in the APAC re
Slide 17: Fiscal 2019 Non-GAAP Full Year Financial Highlights
FISCAL 2019 NON-GAAP FULL YEAR FINANCIAL HIGHLIGHTS Income Statement Summary (Non-GAAP) Key Highlights FY19 FY18 (In Millions $) Variance ➢ North America revenue increased by $1.8 million or 1.4%, driven by new Actual Actual customer accounts and continued momentum with existing customers; which is
Slide 18: Fiscal 2019 Q4 Balance Sheet Key Indicators
FISCAL 2019 Q4 BALANCE SHEET KEY INDICATORS Q4 Q3 Q2 Q1 Key Take-Aways ($’s in millions) FY19 FY19 FY19 FY19 Cash/Cash ➢ Cash balance improved by $3.5 million from Q1; declined by $4.2 $31.9 $36.1 $31.5 $28.4 Equivalents million sequentially due to timing of customer payments with the majority colle
Slide 19: Fiscal 2020 First Half Non-GAAP Financial Outlook
FISCAL 2020 FIRST HALF NON-GAAP FINANCIAL OUTLOOK Income Statement Summary (Non-GAAP) 1H FY19 1H FY20 (In Millions $) Commentary Actuals Estimates Uncertain spending environment in Africa and lower revenue in the APAC Revenue $125.6 Down modestly Y/Y region based on strong FY19 performance, offset b
Slide 20: Summary: Well Positioned in FY20 and Beyond
SUMMARY: WELL POSITIONED IN FY20 AND BEYOND • North America business is growing; FY19 bookings, and new customer accounts and partnerships, anticipated to contribute to significant profitability improvements • Competitive position continues to strengthen in North America and in select international
Slide 21: Aviat Networks
Aviat NETWORKS WWW.AVIATNETWORKS.COM