Slide 1: Investor presentation September 2018
Investor presentation September 2018 ASX: XTE www.XTEK.net | 1800 500 032 | ABN 90 103 629 107
Slide 2: Corporate overview
Corporate overview XTEK is focused on commercialising proprietary products globally and becoming an integral part of the global supply chain within the Australian defence industry Trading information LTM share price performance Share price (11 Sep 2018) A$0.445 Share price (A$) Volume (m) No of shar
Slide 3: Key activities and product focus
Key activities and product focus XTEK is focused on being the supplier of choice for a range of products and support services to the defence, law enforcement and government sectors globally Ballistic products Intelligence and Small Unmanned Additional defence and technology surveillance Aerial Syste
Slide 4: FY18 operational and financial highlights
FY18 operational and financial highlights
Slide 5: FY18 operational highlights
FY18 operational highlights Continued commercialisation of XTclaveTM and XtatlasTM during FY18, which underpins XTEK’s laser-focus to grow shareholder value Key FY18 operational highlights1 Achieved first domestic and • Signed A$50m of contracts during the year, with A$38m contracted revenue current
Slide 6: FY18 financial highlights
FY18 financial highlights FY18 was a transformational year in which XTEK delivered strong financial growth Revenue Gross Profit Operating cashflow A$17.3m A$4.7m A$1.8m FY17: A$9.0m FY17: A$3.5m FY17: (A$1.4m) 91% 35% +ve NPAT Contracted revenue1 Cash position A$139k A$38.0m A$5.9m FY17: A$61k FY17:
Slide 7: FY18 results summary
FY18 results summary XTEK’s strategy delivered strong FY18 financial growth and results Overview • Significant FY18 revenue growth: driven by strong sales growth in value added reseller products, which includes the initial deployment of SUAS with the ADF • Strong performance across key metrics: gros
Slide 8: FY18 income statement
FY18 income statement While a shift in product mix impacted margins in FY18, XTEK was still able to grow earnings while maintaining investment in R&D for high margin proprietary products Summary income statement (A$m) FY18 commentary 0.2 • Significant increase in revenue from VAR products Grant and
Slide 9: FY18 cash flow and balance sheet
FY18 cash flow and balance sheet XTEK achieved strong cash generation in FY18 and is in a strong financial position for future growth Key cash flow and balance sheet metrics (A$m) Cash flow summary FY17 FY18 Variance Operating cashflow (1.4) 1.8 na Achieved positive operating cashflow Investing cash
Slide 10: Strategic update and outlook
Strategic update and outlook
Slide 11: Operational strategy
Operational strategy XTEK’s focus on commercialising proprietary products leverages existing strategic networks and relationships to deliver shareholder value • XTEK is focused on the commercialisation of its proprietary product range: XTclaveTM and XTatlasTM XTclaveTM • These high margin products h
Slide 12: XTclave – overview
XTClaveTM – overview XTClaveTM is a patented manufacturing technology that can produce the world’s lightest and strongest body armour Ballistic Armour Plates Helmet Shells Body armour plates up to 30% lighter compared to Only composite helmet that can most competitors with equal performance stop com
Slide 13: XTclave – significant market opportunity
XTclaveTM – significant market opportunity Entry into the global body armour and personal protection market is estimated to be worth US$3.5bn p.a. by 2028 Overview Global Body • Body armour market worth US$3.5bn p.a. by 2028. Armour Market Growing at 4.6% CAGR • New XTClave™ production facility by H
Slide 14: XTatlas – real-time situational awareness
XTatlasTM – real-time situational awareness First commercial sales following significant development and represents an exciting growth opportunity Overview Global Aerial • SUAS software application. Real-time 3D imaging, accurate geo-referenced video mapping Imagery • Diverse uses including law enfo
Slide 15: M&A Opportunities
M&A Opportunities Overview • Australian total defence expenditure forecast to grow to A$42.4bn by FY2021 • Government tendering and executing on large strategic procurement packages – including Land 200, Land 400, Future Submarine, Future Frigates and JSF contracts • Australian Government is mandati
Slide 16: Favourable defence sector themes
Favourable defence sector themes XTEK is well positioned to capitalise on favourable domestic and international trends Significant and growing target markets Steady growth in Australian defence budget XTclaveTM Growth drivers Global Body US$3.5bn • Increased supply of FY26 Armour Market by 2028 (CAG
Slide 17: Outlook
Outlook XTEK continues to execute on its operational strategy and is well positioned to deliver further revenue growth in FY19 FY19 revenue guidance1 (A$m) Key catalysts High case’ forecasts Up to • Develop XTclaveTM production Contracted Revenue A$26m capabilities, receive first Revenue significant
Slide 18: Key investment highlights
Key investment highlights XTEK about to delivering high-margin and high-growth proprietary products to global markets supported by a profitable underlying business • Significant opportunity with strong appetite for locally developed products in the domestic market • Commercialisation of high-margin
Slide 19: Disclaimer
Disclaimer This document is issued by XTEK Limited, ABN 90 103 629 107 (“XTEK”). It is intended only for those persons to whom it is delivered personally by or on behalf of XTEK (being 'wholesale clients' under the Corporations Act who are also sophisticated investors and persons to whom an offer of