Space42 Plc · ADX:SPACE42
Space42 — Investor Day (November 2024)
81 slides from Space42's investor day presentation, Nov 28, 2024
Slide 1: Investor Day
Investor Day 28th November 2024 Copyright © 2024 Space42 Plc (Space42) PUBLIC
Slide 2: Space42 leadership
Space42 leadership Investor day speakers Karim Michel Sabbagh Hasan Al Hosani Ali Al Hashemi Andrew Cole Managing Director Chief Executive Officer Chief Executive Officer Chief Financial Officer Bayanat Smart Solutions Yahsat Space Services Amit Somani Jassem Nasser Dr. Prashanth Marpu Chief Strateg
Slide 3: Agenda
Agenda 1 10:00 -10:20: Space42: At the intersection of SatCom, Geospatial and AI 2 10:20 -10:40: Space42 growth strategy 3 10:40 -11:00: Strengths and capabilities in space infrastructure and services 4 11:00 -11:25: Space technology and applications 11:25 – 11:40: Coffee break 5 11:40 -12:00: Trans
Slide 4: Space42: At the intersection of SatCom, Geospatial and AI
1 Space42: At the intersection of SatCom, Geospatial and AI Karim Michel Sabbagh, Managing Director PUBLIC
Slide 5: Enlighten the world from space
Enlighten the world from space Space42 is an unprecedented combination between Yahsat's advanced satellite (S) communication capabilities and Bayanat’s geospatial (G) data analytics expertise to create an artificial intelligence (AI) powered space technology champion. Key Financials LTM as of 30 Sep
Slide 6: Space42 to become a global leader in AI-driven space technology
Space42 to become a global leader in AI-driven space technology AI Analytics AI-enabled advanced multi-intelligence data analytics generating insights derived from Space42 is uniquely positioned to space assets leverage capabilities across all three sectors SatCom Geospatial Combination creates oppo
Slide 7: Assets covering the entire value chain – from Earth to Space
Assets covering the entire value chain – from Earth to Space Geostationary Al Yah 1–3 Thuraya T2 & T3 Al Yah 4 & 5(1) Thuraya T4(1) 5 Orbit (GEO) Satellites (36,000 km Existing above Earth) Satellites and 3 AI Multi-intelligence Platform in pipeline Integrated for SatCom and Geospatial Low Earth AI
Slide 8: Yahsat Space Services and Bayanat Smart Solutions
Yahsat Space Services Bayanat Smart Solutions Business unit focuses on Upstream and Midstream Business unit focuses on Downstream AI-enabled infrastructure-centric activities, mainly covering services and new technology incubation, mainly Yahsat’s satellite communications business covering Bayanat’s
Slide 9: Business aligned with growth trends
Business aligned with growth trends Positioned to capture high-growth opportunities in key areas of play 2023 Global Market Size CAGR 2023-2028 Space Services Market size 2023: • Secure satellite AED 22 Bn Military satellite communications with 13% Space Services communications government long-term
Slide 10: Strategic plan objective
Strategic plan objective Guided by five principles Programmatic Scalability Growth Prioritize clearly defined growth Unlock opportunities and business programs that bring incremental models which can be materially and recurring value scaled and are not constrained by geography, customer segment or s
Slide 11: Space42 growth strategy
2 Space42 growth strategy Amit Somani, Chief Strategy Officer PUBLIC
Slide 12: Strategic pillars: Translating vision into reality
Strategic pillars: Translating vision into reality Core pillars and sectorial priority will secure future growth, with indirect uplift in the longer-term from key enablers Core Pillars Enabling Pillar Become the preferred partner for premium geospatial data 1 Drive in-country space value Build tier-
Slide 13: Our unique integration of capabilities will serve critical verticals
Our unique integration of capabilities will serve critical verticals Autonomous mobility stands to gain the most from our combined capabilities SatCom Geospatial Intelligence Verticalized solutions Synthetic Aperture Critical Narrow Band Data Processing Government Infrastructure & Autonomous Radar (
Slide 14: Become the preferred partner for premium geospatial data 1/2
1 Become the preferred partner for premium geospatial data 1/2 Develop a global Synthetic Aperture Radar (SAR) constellation for commercialization and build local capabilities SAR Market Opportunity (USD Mn) In August 2024, Space42 launched UAE’s first SAR Satellite, Foresight -1, Global CAGR 7% pla
Slide 15: Become the preferred partner for premium geospatial data 2/2
1 Become the preferred partner for premium geospatial data 2/2 Develop end-to-end High-Altitude Platform Stations (HAPS) proposition and commercialize solutions Under development Products APUS NEO30 ▪ 30m wingspan • HAPS are large, solar-powered, unmanned aerial vehicles designed to operate in Earth
Slide 16: Become a leader in geospatial intelligence AI platform and services
2 Become a leader in geospatial intelligence AI platform and services Develop and deliver geospatial intelligence services and industry-specific platforms Geospatial Intelligence Services Geospatial Intelligence Platforms Cloud-based platforms that offer users access to a variety of analytics and On
Slide 17: Become a global NTN leader
3 Become a global NTN leader Develop Direct-to-Device (D2D) constellation to unlock mass market potential with satellite connectivity D2D Market Opportunity1 (USD Mn) D2D Constellation D2D LEO satellite constellation will leverage 3GPP NTN standard with the objective to: Global CAGR 217% • Provide d
Slide 18: Enhance leadership position as a secure connectivity solution provider
4 Enhance leadership position as a secure connectivity solution provider Deliver next gen GEO Al Yah 4 (AY4) & Al Yah 5 (AY5) program Global market Al Yah 4 & Al Yah 5 Overview Assets (AY 4 & AY 5) Superior capabilities Enhanced coverage USD 12% 2.3 Bn Military capacity leasing Annual growth revenue
Slide 19: Become MENA's most vertically integrated mobility leader
Become MENA's most vertically integrated mobility leader Complement Autonomous Mobility solutions and offerings Autonomy 1.0 Autonomy 2.0 Market Opportunity Initial wave of autonomous mobility technology, Leverages AI to learn from historical driving data, focusing on foundational capabilities for s
Slide 20: Strengths and capabilities in space infrastructure and services
3 Strengths and capabilities in space infrastructure and services Ali Al Hashemi, CEO - Yahsat Space Services PUBLIC
Slide 21: Yahsat Space Services
Yahsat Space Services Fixed and mobility satellite solutions Yahsat Space Services is a satellite infrastructure-centric unit that focuses on upstream and midstream satellite operations for both fixed and mobility satellite solutions 5 GEO satellites in orbit 3 new GEO satellites to be launched (T4,
Slide 22: Solutions offering
Solutions offering Yahsat Space Services Government Services Commercial Services Infrastructure Managed Solutions Mobility Solutions (Thuraya) Data Solutions (YahClick) Leasing of critical satellite O&M, consultancy and managed Narrowband services (voice and Broadband, backhauling, corporate capacit
Slide 23: Government services
Government services Secure satellite solutions for land, sea and air Govt. Solutions Coverage Architecture YSS Anchor Govt. HQs Global Beam GCC Beam L-Band Coverage Services Yahsat and 3rd party bandwidth Equipment leasing Operations and maintenance Consultancy Copyright © 2024 Space42 PLC (Space42)
Slide 24: Commercial services 1/2
Commercial services 1/2 Mobility Solutions - Thuraya Coverage Products Land voice Land data Maritime Aero IoT & M2M Compact Mobile data Connectivity for Connectivity for Ubiquitous handheld connectivity vessels and connected smart fixed and rotary terminals offshore users applications (>1Mbps1) wing
Slide 25: Commercial services 2/2
Commercial services 2/2 Data Solutions - YahClick YahClick Coverage Architecture Africa JV* Backhaul Internet *Africa JV with Hughes owned 80% by Yahsat Other networks AY2 & 3 Ka-Band AY3 Ka-Band AY1 C-Band (e.g. telecom, corporate) Services Community Wi-Fi hotspot High speed broadband Dedicated Dir
Slide 26: Overview: Market segments and target customers
Overview: Market segments and target customers Land IOT/M2M Government Maritime Aero Solutions Enterprise Industrial Defence and Security Commercial Commercial Commercial Oil and Gas Transportation Land Merchant ships Business Jets Government Wildfire Prevention Mining Energy Air Fishery General avi
Slide 27: Revenue model overview
Revenue model overview Differentiating government and commercial services • 75% of Yahsat Space Services revenue is secured for 2025 • USD 6.6 Bn contracted future revenues (as of today until 2043) Government Services Commercial Services • Subscription and pay as you go Nature of Contract Predominan
Slide 28: Space technology and applications
4 Space technology and applications Jassem Nasser, Chief Business Development Officer – Yahsat Space Services PUBLIC
Slide 29: Technology mission
Technology mission Yahsat Space Services Secure Seek to solidify its role as a trusted provider of secure connectivity 1 communications by delivering next gen GEO Al Yah 4 and Al Yah 5 Innovative Enhance MSS services and kick-start the IoT journey with the new 2 mobility Thuraya 4 satellite Enhanced
Slide 30: Secure communications
1 Secure communications Al Yah 4 and Al Yah 5 will bring superior capabilities to customers Al Yah 4 and Al Yah 5 Characteristics Mission • Primary mission: Government Mil-Ka-Band • Secondary mission: C-Band on AY5 Al Yah 4 Advantage to Al Yah 1 and Al Yah 2 • Increased capacity Al Yah 5 • Enhanced
Slide 31: Innovative mobility 1/5
2 Innovative mobility 1/5 Thuraya 4 and new applications T4 Characteristics Coverage Coverage Versatile platform for Advanced future applications technology Wider footprint Higher throughput coverage New product development T2 L-Band Coverage T4 Extended Coverage opportunities New Products and Appli
Slide 32: Innovative mobility 2/5
2 Innovative mobility 2/5 T-TAC: comms for man-pack, aero, maritime and land • Most secure communication due to single-hop technology direct to satellite • Light weight solution for ease of use and long battery life • Universal for land, maritime and aero Easy-to-use and light weight Copyright © 202
Slide 33: Innovative mobility 3/5
2 Innovative mobility 3/5 Thuraya One First-ever universal smartphone with cellular and satellite connectivity Satellite calls and SMS as part of every- day phone Satellite coverage over 150 countries across the globe 370+ roaming partners worldwide Everyday use 5G Android smartphone with simultaneo
Slide 34: Innovative mobility 4/5
2 Innovative mobility 4/5 Broadband user terminals Copyright © 2024 Space42 PLC (Space42) Highest throughput (~1Mbps) in our sector allowing us to offer more services 34 PUBLIC
Slide 35: Innovative mobility 5/5
2 Innovative mobility 5/5 IoT system • High-capacity systems design to support various IoT applications and capable to serve millions of devices • Available throughout Thuraya coverage GPS • IoT module / chipset can be used to develop customized third-party products which result in quick to market s
Slide 36: Enhanced situational awareness
3 Enhanced situational awareness Foresight constellation: state-of-the-art satellites delivering high resolution Strategic positioning of Space42 Foresight Characteristics • Through our partnership with ICEYE, Space42 gains access to the advanced SAR capabilities 7 1200 MHz Daily 99% ~150 kg of 1200
Slide 37: Expanded mobility 1/2
4 Expanded mobility 1/2 D2D enables personal devices to connect directly to satellites Mobile Satellite Direct-to-Device • D2D is like a cellular service from space – offers seamless transition between terrestrial and satellite networks: Services market market Subscribers receive connectivity from t
Slide 38: Expanded mobility 2/2
4 Expanded mobility 2/2 IoT – D2D a global IoT connectivity offering 2024 2025 2028+ Thuraya 2 Thuraya 3 Thuraya 4 D2D Robust MSS Satcom capabilities, however, T4 will offer a versatile platform for future Space42 is pursuing a D2D constellation the satellites some face limitations in applications a
Slide 39: Transformative end-to-end solutions
5 Transformative end-to-end solutions Hasan Al Hosani, CEO - Bayanat Smart Solutions PUBLIC
Slide 40: Bayanat Smart Solutions generates actionable, meaningful insights
Bayanat Smart Solutions generates actionable, meaningful insights 1 DATA ACQUISITION Trusted partner and provider of traditional geospatial data sourced by: Aerial Survey Mobile Survey Hydro Survey Geodesy & Field Survey Access and provision of a full range of geospatial data New capabilities in hig
Slide 41: Data acquisition
Data acquisition Strong foundation, built on unique access to differentiating data sources and assets 1 2 TRUSTED PARTNER FOR TRADITIONAL GEOSPATIAL DATA SOURCES NEW CAPABILITIES IN HIGH-TECH DATA ACQUISITION Riding on the mega-trend towards space-based data, BSS adopted a Building on its genesis as
Slide 42: Data processing
Data processing AI-based GIQ platform is designed to revolutionize how we interact with geospatial data KEY FEATURES • Seamless ingestion and analysis of multiple data formats • Immersive data exploration with the interactive 3D globe • Precise annotation and segmentation for raster files • Streamli
Slide 43: AI-enabled services
AI-enabled services Applications on GIQ can be spun off as stand-alone solutions to critical verticals Platform of platforms Focused on generic geospatial capabilities, with a heavy emphasis on remote sensing analysis and integration with all sorts of Geo-referenced data, connected directly to the b
Slide 44: New technologies
New technologies Pioneering autonomous mobility in the UAE H.H. Sheikh Khaled bin Mohamed bin Zayed Al Abu Dhabi ATRC announces UAE Government issues Autonomous Mobility accomplishments Nahyan, issued a resolution to establish the Smart ventures in Smart federal decree-law on led to prioritized inte
Slide 45: Clients & partners
Clients & partners Selected Customers Selected Partners • Partnering to build a satellites constellation with progressive transfer of technology to UAE • Bayanat Smart Solutions is the authorized reseller of ESRI’s products and solutions in the UAE • Bayanat Smart Solutions has an exclusive access t
Slide 46: Revenue model overview
Revenue model overview Transitioning to a diversified revenue model with Data and Analytics services Current Future Geospatial Analytics Advanced Solutions Geospatial Analytics Advanced Solutions Service and Project and Nature of Contract Primarily project based subscription based service based Tenu
Slide 47: Geospatial technology and applications
6 Geospatial technology and applications Hasan Al Hosani, CEO and Dr. Prashanth Marpu, Vice President R&D - Bayanat Smart Solutions PUBLIC
Slide 48: Autonomous mobility
6a Autonomous mobility Hasan Al Hosani, CEO - Bayanat Smart Solutions PUBLIC
Slide 49: Autonomous mobility: Core capabilities
Autonomous mobility Core capabilities Bayanat Smart Solutions covers the entire value chain of autonomous mobility, providing both autonomous vehicles and interconnected operations Ecosystem Fleet management & development control systems Build and maintain a robust network of Provide robust systems
Slide 50: Autonomous vehicles for passenger transportation
Autonomous vehicles for passenger transportation Vehicles 1/2 Our fleet ranges from vehicles for urban travel over short to medium distances, alongside mass transit options, enabling us to effectively and safely cater to diverse transportation needs Robo Taxi Robo SUV Robo Minibus Robo Van ART Passeng
Slide 51: Autonomous vehicles for service delivery
Autonomous vehicles for service delivery Vehicles 2/2 Robo street sweeper Delivery shuttles Robo patrol Driverless robo sweeper for open Small shuttles for delivery A wheeled electric vehicle platform road in compound/campus of goods and services with autonomous driving suitable for all-day, all-wea
Slide 52: Digital platform
Digital platform TXAI is the first in the UAE to offer autonomous taxi services, pioneering a new era of transportation in Abu Dhabi TXAI represents a comprehensive system that integrates end-user interfaces, a fleet of autonomous vehicles, and a robust back-end infrastructure for operation monitoring
Slide 53: High-Altitude Platform Stations (HAPS)
6b High-Altitude Platform Stations (HAPS) Dr. Prashanth Marpu, Vice President R&D - Bayanat Smart Solutions PUBLIC
Slide 54: MIRA Aerospace: HAPS portfolio
MIRA Aerospace: HAPS portfolio Current Model New Models ApusNeo14 ApusNeo18 ApusNeo30 Wingspan 14 meters 18 meters 30 meters Maximum 6kg 6kg 12kg Payload Maximum Operating 16,000m 18,000m 18,000m Altitude • Demonstrator of HAPS • Connectivity and Earth • Main model to be technology Observation use c
Slide 55: Earth Observation payloads
Earth Observation payloads STRATOSPHERIC OBSERVATION POD (SOP) SAR PAYLOAD • A tactical stratospheric Earth observation • Developed by selected partners, Mira Aerospace currently offers 2 payload designed specifically for deployment via SAR payloads suitable for deployment on ApusNeo30: L-Band HAPS
Slide 56: HAPS use case 1/2
HAPS use case 1/2 Telecommunications Green field High-Altitude Platform Stations are an innovative tool that bridge the digital divide by acting as a stratospheric network tower offering direct to device connectivity White spots As a fully-maneuverable stratospheric platform, HAPS can fill gaps in e
Slide 57: HAPS use case 2/2
HAPS use case 2/2 Earth Observation Imagery & video With varying payloads and access to cutting-edge imaging and sensor tech, HAPS enable clients to access to data from a range of high-resolution imagery, including electro-optical, infrared hyperspectral and full motion video capabilities Wildfire m
Slide 58: GIQ platform and use cases
6c GIQ platform and use cases Dr. Prashanth Marpu, Vice President R&D - Bayanat Smart Solutions PUBLIC
Slide 59: GIQ
GIQ GIQ is an innovative geospatial intelligence platform powered by advanced AI. It processes diverse satellite datasets using state-of-the-art algorithms for detailed image analysis, real- time tracking, and predictive analytics GIQ helps uncover patterns, identify trends, and gain comprehensive i
Slide 60: What is GIQ solving for?
What is GIQ solving for? The Problem Rapid Growth in Data Sources Training Pipelines Data Sensitivity Analytics Latency Exponential growth in satellites Long training pipelines for new Data not in sufficient quantities Long times between image means exponential and experienced analysts on for AI mod
Slide 61: GIQ designed to be future-ready and aid decision making
GIQ designed to be future-ready and aid decision making Marketplace Insights • Algorithms and Analysis tools • Timely insights • AI Models • Informative storytelling • Applications and Solutions • Connected insights Data World Co-innovation Call-for-action • Access per organization • Support decisio
Slide 62: GIQ information products
GIQ information products Platform of platforms: applications in GIQ, once matured, will be spun-off as stand-alone platforms Disaster management Focuses on interconnecting multiple Global platform to establish a unified environmental systems powered by gateway for international crisis AI response Oper
Slide 63: Advanced AI
Advanced AI Aerial/Satellite SAR Imagery AI AI AI Model Model Model Billions of objects • GIX has the end-to-end capability that is required to develop state of the art AI algorithms - from domain knowledge, annotation tools, data storage and model building cloud infrastructure • Combined with the e
Slide 64: AI models
AI models Buildings, roads, ships, planes and vehicle detection examples • Each imagery type has different utility and can be complimented with insights from other image sources • Optical imagery due to its high resolution is very useful for detection and classification of smaller objects • Fine gra
Slide 65: Use cases
Use cases GIX already used for intelligence production New Checkpoints in Depth Coherent Change Detection Vessel Detection SAM Exercise Monitoring Object Detection and Fusion SAR Based Change Detection Vessel AI, Change Detection Missile AI, Change Detection Copyright © 2024 Space42 PLC (Space42) 65
Slide 66: Financial profile
7 Financial profile Andrew Cole, Chief Financial Officer PUBLIC
Slide 67: Financial framework built on three pillars
Financial framework built on three pillars Vision Capitalize on superior standalone and merged SGAI services and pursue profitable growth opportunities, leading to increased company valuation Organic Growth 1 Inorganic Growth 2 Returns Maximization 3 Strategic Scalability, value-chain expansion Cash
Slide 68: Strong balance sheet and backlog
Strong balance sheet and backlog Organic growth from 2025 onwards 9M 2024 Pro-forma financial highlights1 9M 2023 9M 2024 1 Revenue USD 462 Mn USD 428 Mn -7% 2 EBITDA USD 218 Mn USD 230 Mn +6% 3 EBITDA margin 47% 54% +7pp 4 Net profit USD 101 Mn USD 119 Mn +18% 5 Net profit margin 22% 28% +6pp 6 Con
Slide 69: Strong growth potential for Bayanat Smart Solutions
Strong growth potential for Bayanat Smart Solutions Revenue mix will evolve within five years Revenue by business unit Adjusted EBITDA by business unit +6% -7% 9M’24 9M’24 462 230 428 217 18 26 8% 139 130 30% 212 70% 191 323 298 92% Yahsat Space Services 9M’23 9M’24 9M’23 9M’24 Bayanat Smart Solutio
Slide 70: Growth supported by significant organic investment
Growth supported by significant organic investment Projected CapEx of more than USD 1.3 Bn over next five years to support growth CapEx roll-out 2025-2029 CapEx by program 425 5% 84 23% 2 324 57 298 81 57 23 1 4 1% 47 170 220 50 131 16% 55% 218 17 3 43 190 3 101 69 62 15 2025 2026 2027 2028 2029 T4
Slide 71: Contracted future revenues
Contracted future revenues From today until 2043 c.10x LTM revenue Yahsat Space Services 5,108 7,141 Bayanat Smart Solutions 5,059 400 49 354 419 46 358 6,597 499 61 of which: CMSM1 – USD 5.1 Bn 387 CSA - USD 0.5 Bn T42 - USD 0.8 Bn 551 112 MSM: USD 0.1 Bn 347 164 204 544 92 72 Q4’2024 2025 2026 202
Slide 72: Strong balance sheet to fund growth
Strong balance sheet to fund growth Total Assets1 Net Debt 2,702 -207 1,988 -121 540 -40 31 Dec. 2023 30 Sept. 2024 31 Dec. 2023 30 Sept. 2024 Yahsat Space Services Yahsat Space Services Bayanat Smart Solutions Bayanat Smart Solutions • USD 1.4 Bn PPE including satellite and ground assets • Total bo
Slide 73: Low leverage and substantial headroom
Low leverage and substantial headroom Prime position to fund organic and inorganic growth Net Debt and Financial Headroom Net leverage 1,014 • Net cash position of USD 40 Mn as at 30th September 2024 Headroom • Estimated headroom of c. USD 1.1 Bn 1,054 • Substantial capacity to fund organic and inor
Slide 74: Returns maximization
Returns maximization Approach to Finance Decisions Financial Framework is focused on returns: Key component of Space42 Financial Framework is focused on returns: how we will make How we make finance decisions and deploy financial and decisions and ultimately deploy capital will be presented on the f
Slide 75: Approach to finance decisions
Approach to finance decisions Optimal capital structure to be refined and aligned to growth ambitions Subject Approach • Strong operating cash flow with cash conversion above 90% Primary sources of cash • Existing debt facilities of over USD 600 Mn across three instruments • 4,761 Mn shares with a m
Slide 76: Debt maturity profile
Debt maturity profile Attractive tenors and low all-in cost of financing Existing facilities 391 • All facilities relate to Yahsat Space Services • Term Loan 5 to be fully repaid by 2026 110 • T4 ECA facility of USD 273 Mn with repayment starting in December 2024 31 until 2032 • USD 250 Mn Bridge lo
Slide 77: Approach to investment decisions
Approach to investment decisions IRR metrics will be applied when assessing large infrastructure investment cases Metric Pros Cons • Direct reflection of value to business • Requires business risk adjusted discount rate • Relevant for both BSS and Net Present Value (NPV) • Allowing for evolving disc
Slide 78: Financial profile to evolve significantly
Financial profile to evolve significantly Strategic priorities to shape a resilient financial future 2023 Medium-term ambition Grow 2x revenue by end of decade Revenue of USD 762 Mn • Bayanat Smart Solutions: double digit CAGR • Yahsat Space Services mid-single digit CAGR Sustain EBITDA margin of ~4
Slide 79: ir@space42.ai
ir@space42.ai Copyright © 2024 Space42 Plc (Space42) This document contains Space42's proprietary and confidential information. Any disclosure, copying, distribution or use is prohibited, if not otherwise explicitly agreed with Space42 in writing. PUBLIC
Slide 80: Acronyms
Acronyms Acronym Full Definition Acronym Full Definition Acronym Full Definition 3GPP 3G Partnership Project GEO Geostationary Earth Orbit MoD Ministry of Defence AI Artificial Intelligence GHz GigaHertz MSS Mobile Satellite Services AV Autonomous Vehicle GIQ Geo-Spatial Analytics Platform Nb-IoT Na
Slide 81: Disclaimer
Disclaimer This presentation has been prepared by Space42 Plc (the "Company"). The Company does not represent or warrant the accuracy or the completeness of the information contained in this presentation. This presentation does not contain all the information that is or may be considered material. T