Baylin Technologies, Inc. · TSX:BYL
Baylin Technologies — Investor Presentation (May 2018)
20 slides from Baylin Technologies's investor presentation, May 2018
Slide 1: Investor Presentation May 2018
C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . INVESTOR PRESENTATION May 2018 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . This disclosure contains “forward-looking information” within the meaning of applicable Canadian securities legislation, including the “safe harbour” provisions of the Securities Act (Ontario) of the provincial se
Slide 3: Baylin is a World-Leader in Data Transmission
Baylin is a World-Leader in Data Transmission C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Mobile antennas ~23% compound annual growth in revenue since 2014 $126M 2017 revenue (1) ~1,200 employees Satellite Infrastructure connectivity products antennas 100+ patents Embedded antennas 4
Slide 4: Recent Hires Have Enhanced our Management Team
Recent Hires Have Enhanced our Management Team C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Randy Dewey Michael Wolfe Helder Constantino Director, President & CEO CFO Chief Strategy Officer Year Joined: 2015 Year Joined: 2017 Year Joined: 2015 Dr. Minya Gavrilovic Jay Giblon EVP, Inno
Slide 5: Experienced Board of Directors
Experienced Board of Directors C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Jeffrey C. Royer Harold Wolkin Randy Dewey Stockwell Day Chairman Vice-Chairman Director, President Director & CEO Director Since: Director Since: Director Since: Sep. 2013 Nov. 2013 Director Since: Nov. 2013
Slide 6: Innovation and R&D Expertise Are Baylin's Key Competitive Advantage
Innovation and R&D Expertise Are Baylin’s Key Competitive Advantage C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . How Baylin Wins Clients High Barriers to Entry Nimble Supplier Contracts Some of our competitors are too large to Carriers, service providers and OEMs have compete on s
Slide 7: Recent Acquisition of Advantech Significantly Expands Baylin's Capabilities
Recent Acquisition of Advantech Significantly Expands Baylin’s Capabilities C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Advantech Profile Acquisition Highlights Designer and manufacturer of customizable RF and microwave products for highly specialized wireless communications market
Slide 8: Baylin's Key Addressable Markets are Large & Growing
Baylin’s Key Addressable Markets are Large & Growing C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . $10.0 $9.0 Addressable Market (US$B) $8.0 $3.2 $7.0 $6.0 $5.0 $8.9 $4.0 $4.4 $3.0 $2.0 $0.4 $1.0 $0.9 $0.0 (1) (2) (3) Mobile Antennas Embedded Antennas Infrastructure Antennas Satellite
Slide 9: Continued Investment in 4G-LTE and Rollout of 5G Will Drive Sustained Growth
Continued Investment in 4G-LTE and Rollout of 5G Network Will Drive Sustained Growth for Years to Come C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . 1G 2G 3G 4G - LTE 5G Launch Date 1980 1990 2000 2010 2020 Network Peak Date 2000 2010 2020 2030 2040 Primary Services Analogue phone Digi
Slide 10: Infrastructure Antennas Division is Perfectly Positioned to Capitalize
Infrastructure Antennas Division is Perfectly Positioned to Capitalize on These Investments C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Distributed Antenna Systems Small Cell Base Station Antennas (“DAS”) Wireless providers under Growth opportunities driven by Current antennae
Slide 11: As is the Satellite Connectivity Products Division
As is the Satellite Connectivity Products Division C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Overview Representative End-Markets Satellite communication is used to send signals long distances where the Earth’s curvature creates an obstruction. Government Broadcast & Military Re
Slide 12: Embedded & Mobile Antennas Divisions are Well Positioned to Contribute to Growth
Embedded & Mobile Antennas Divisions are Well Positioned to Contribute to Growth C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Embedded Antennas Mobile Antennas 12+ years of experience ~40 years of experience 3+ new hardware OEMs added in 2017, 12+ year relationship with a large mobile
Slide 13: Broad Geographic Footprint
Broad Geographic Footprint C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Cambridgeshire, UK Moscow, Russia Ottawa, ON Canada Montreal, QC Canada Toronto, ON Canada Seoul, South Korea Newark, NJ USA Wuxi, China Buford, GA USA Kolkata, India Dallas, TX USA Tempe, AZ USA Hanoi, Vietnam Gu
Slide 14: Blue Chip Customer Base
Blue Chip Customer Base C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Infrastructure Antennas Satellite Connectivity Products Embedded Antennas Mobile Antennas 14 14
Slide 15: Growth Strategy
Growth Strategy C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Organic Inorganic Focus on innovation in each of Baylin’s four Actively seeking acquisitions which provide: key segments Technological capabilities Expansion into more sophisticated product lines New geographical markets F
Slide 16: Financials
Financials C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Revenue Adj. EBITDA (C$M) (C$M) $140 Revenue $126.3 $15 Adjusted EBITDA $10.6 $120 $10 $91.6 $5.0 $100 $84.1 $5 $1.8 $80 $55.3 $0 $60 $49.6 -$5 $40 $20 -$10 -$9.6 -$8.8 $0 -$15 2014A 2015A 2016A 2017A 2017A PF 2014A 2015A 2016A 2
Slide 17: Improving Results - Q1 2018
IMPROVING RESULTS-Q1 2018 ALL FIGURES IN CAD C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . REVENUE 35.0 29.4 30.0 27.1 22.5 24.4 25.0 20.8 20.0 20.9 19.8 20.3 20.0 17.3 CAD'M 15.8 14.6 15.0 12.4 11.7 12.3 10.7 9.9 10.0 5.0 0.0 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16
Slide 18: Q1-2018 Summary Income Statement
Q1-2018 SUMMARY INCOME STATEMENT C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . (CAD in 000's) 2018 2017 F/(U) Revenue $29,438 $19,801 48.7% Gross profit 10,562 5,942 77.8% as % of Revenue 35.9% 30.0% 5.9% Operating costs 13,602 7,168 -47.3% Operating loss (3,040) (1,226) 148.0% Net los
Slide 19: Trading Data & Capitalization
Trading Data & Capitalization C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Share Price Performance (Last Four Years) Capitalization Table $5.00 Summary Share Price (05.01.2018) $3.44 $4.50 Issued Shares $4.00 Basic Share Outstanding 31.2M $3.50 Fully Diluted Shares Outstanding 34.1M B
Slide 20: Comparable Company Analysis
Comparable Company Analysis C L E A R S I G N A L S . S O U N D I N V E S T M E N T S . Antenna Comparable Companies (Reported currency in millions, except per share data) Enterprise Value / Operating Metrics 05/01/18 Market Revenue EBITDA Revenue Growth EBITDA Margin % Company Price Cap 2017A 2018E
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