Hexagon Purus Asa · OSL:HPUR
Hexagon Purus Asa — Q4 2021 Earnings Presentation
38 slides from Hexagon Purus Asa's earnings presentation, Feb 15, 2022
Slide 1: Hexagon Purus Q4 2021 Presentation
HEXAGON PURUS Q4 2021 PRESENTATION 15 FEBRUARY 2022 MORTEN HOLUM, CEO DILIP WARRIER, CFO
Slide 2: Disclaimer and important notice
Disclaimer and important notice This company presentation (the “Presentation”) has been prepared by Hexagon Purus ASA (“Purus” or the “Company”). The Presentation has not been reviewed or registered with, or approved by, any public authority, stock exchange or regulated marketplace. The Company make
Slide 3: Agenda
Agenda 1 2 3 HIGHLIGHTS FROM FINANCIALS OUTLOOK AND Q&A Q4 2021 AND FY 2021 3
Slide 4: Highlights from Q4 2021 and FY 2021
HIGHLIGHTS FROM Q4 2021 AND FY 2021 4
Slide 5: Key highlights from Q4 and FY 2021
Key highlights from Q4 and FY 2021 LANDMARK SIGNIFICANTLY DE-RISKED RECORD REVENUE CONTRACTS SECURED BUSINESS OUTLOOK HEXAGON PURUS 5-YEAR REVENUE AMBITION, NOKM MAJOR COMMERCIAL ~4,000-5,000 NOK YoY TRUCK OEM Q4’21 259m +690% LEADING EUROPEAN BUS OEM NOK YoY FY’21 508m +182% 508 180 2020A 2021A 202
Slide 6: Delivered on robust revenue growth in Q4 and FY 2021
Delivered on robust revenue growth in Q4 and FY 2021 ~8X REVENUE GROWTH YOY… …ADDING TO STRONG LTM REVENUE TREND AND… …CONTRIBUTING TO RECORD 2021 REVENUE +182% +276% Wystrach’s 508 +691% EBITDA margin 677 259 in the period was 12% 508 142 142 282 231 180 183 +110% 211 +297% 180 378 130 33 -12 -12 Q
Slide 7: Hydrogen distribution driving majority of revenue growth in Q4'21
Hydrogen distribution driving majority of revenue growth in Q4’21 Revenue in Q4 2021 grew almost 8x YoY: HEXAGON PURUS, GROUP REVENUES | NOKM – Increase in deliveries of hydrogen +227 (+692%) distribution cylinders and modules 259 to Air Liquide, Everfuel, Infraserv, among others 52 – Battery electr
Slide 8: Wystrach acquisition secures market leading position in hydrogen distribution
Wystrach acquisition secures market leading position in the early-moving and already profitable hydrogen distribution segment ADDS SIGNIFICANT SCALE TO PURUS’ HYDROGEN DISTRIBUTION IS ALREADY AT INCREASES HYDROGEN SYSTEMS PLATFORM AND INCREASES CUSTOMER COMMERCIAL SCALE, DRIVING ASSEMBLY CAPACITY MA
Slide 9: Wystrach also provides exposure to the growing hydrogen refueling segment
Wystrach also provides exposure to the growing hydrogen refueling segment is using Wystrach’s mobile hydrogen refuling station • DHL is, together with Apple, piloting hydrogen-fueled long-haul trucking across the Belgian-Dutch border transporting product deliveries for Apple • The truck covers a dai
Slide 10: Several transformative agreements secured in the past 12 months
Several transformative agreements secured in the past 12 months… Multi-year supply contract Exclusive supply agreement Global supply and national Long-term agreement with for hydrogen cylinders with for hydrogen systems to exclusivity agreement for Certarus for supply of hydrogen Nikola major Europe
Slide 11: …and other important contracts and development work
…and other important contracts and development work Hexagon Purus joins forces with BMW, Bosch and TesTneT to research innovative hydrogen storage system solutions for FCEVs Hexagon Purus will, in this publicly funded project led by BMW, develop high-pressure hydrogen cylinders as well as the vehicl
Slide 12: Breakthrough battery system supply agreements with major truck OEMs
Breakthrough battery system supply agreements with major automotive Breakthrough truck OEMs announced Nominated for serial Long-term binding LOI supply of battery with Hino Motors for systems to major serial supply of battery commercial truck OEM systems for multiple from 2024-2027 (2029)1 Hino truc
Slide 13: Hexagon Purus is a leading provider of battery systems and electric drivetrain integration
Hexagon Purus is a leading provider of battery systems and electric drivetrain integration… SELECTED HIGHLIGHTS OF HEXAGON PURUS’ BATTERY ELECTRIC DEVELOPMENT Examples of components Hexagon Purus integrates onto fuel cell/battery electric heavy-duty trucks 2017 Inaugural electric vehicle contract fr
Slide 14: Proven product leadership demonstrated through significant customer experience
…with proven product leadership demonstrated through significant customer experience • In 2017, Hexagon Purus was awarded two contracts with Daimler for their North American zero-emission truck fleet called the Innovation Fleet • Hexagon Purus delivered battery systems to the Freightliner eCascadia
Slide 15: Battery systems and drivetrain offering based on 25-year+ track record
Hexagon Purus’ battery systems and electric drivetrain offering is based on our 25-year+ track record of safely and durably storing clean energy on over 70,000 commercial vehicles HEXAGON PURUS’ BATTERY SYSTEM FOR HEAVY-DUTY VEHICLES • Hexagon Purus has one of the most energy dense and lightest batt
Slide 16: Market leading hydrogen and battery electric solutions for zero-emission mobility
Hexagon Purus offers market leading hydrogen and battery electric solutions for zero-emission mobility FCEV BEV Zero emission Type 4 hydrogen cylinders and cylinder systems… Complete vehicle integration for fuel Battery systems and EV components cell electric and battery electric medium/heavy-duty t
Slide 17: Addressable market expected to grow more than 10x by 2030
Hexagon Purus’ addressable market is expected to grow by more than 10x by 2030 reaching USD ~24bn Hexagon Purus’ total addressable market, USDbn Electric drivetrain integration ~5x HYDROGEN VEHICLE MAIN GROWTH DRIVERS SINCE Battery systems ADOPTION RATE IN 2030 LAST MARKET UPDATE Hydrogen cylinders
Slide 18: Financials
FINANCIALS
Slide 19: Financial highlights | Q4 and FY 2021
Financial highlights | Q4 and FY 2021 Hexagon Purus e-mobility (excl. CNG LDV) +690% +151% +182% 259 508 REVENUE • Hydrogen distribution (including NOK 103 Wystrach contribution) and transit 94 180 MILLION bus applications continue to drive 48 46 53 52 sequential and YoY growth 33 Q1’20 Q2’20 Q3’20
Slide 20: Revenue split by application
Revenue split by application Hexagon Purus e-mobility (excl. CNG LDV) Q4 2021 vs. Q4 2020 FY 2021 vs. FY 2020 Hydrogen storage systems, battery packs and EV NOK NOK NOK NOK drivetrain integration 33M 259M 180M 508M Hydrogen distribution modules OTHER 10% 7% 16% 25% 10% LIGHT-DUTY Hydrogen cylinders
Slide 21: Balance sheet | Q4 2021
Balance sheet | Q4 2021 Hexagon Purus e-mobility Assets | NOKm Equity & Liabilities | NOKm 2,095 2,090 2,095 2,090 Cash balance of NOK 453m and 67 77 equity ratio of 68% 220 220 27 15 353 432 62 261 Significant pick up in working capital 35 236 YoY driven by higher activity levels 525 and Wystrach a
Slide 22: Cash flow | FY 2021
Cash flow | FY 2021 Hexagon Purus e-mobility NOKm -793 Cash outflow from operations 1,246 include c. NOK 164m increase in working capital -459 Cash flow from investing includes Wystrach acquisition cash consideration of NOK 147m -297 453 -37 Cash flow from financing reflects settlement of intercompa
Slide 23: Outlook and Q&A
OUTLOOK AND Q&A 23
Slide 24: Momentum towards zero-emission mobility has strongly accelerated
Momentum towards zero-emission mobility has strongly accelerated in the past 2 years… 1,200 COMPANIES ACROSS SECTORS # companies committed to 480 DEFINE DECARBONIZATION science-based targets TARGETS 2020 2022 OEMS ARE ANNOUNCING # OEMs with announced 6 end dates for ICE vehicle PHASE-OUT OF COMBUSTI
Slide 25: Ideally positioned with market leading positions in several application areas
…and Hexagon Purus is ideally positioned to benefit from the momentum with market leading positions in several application areas SEGMENTS THAT ALREADY ARE SELECTION OF SEGMENTS THAT ARE EXPECTED TO SELECTION OF SEGMENTS THAT ARE EXPECTED TO AT COMMERCIAL SCALE APPROACH COMMERCIAL SCALE WITHIN ~2-3 Y
Slide 26: We are now entering the phase of industrial scale-up
We are now entering the phase of industrial scale-up Overview of ongoing or planned capacity expansion initiatives A C B D A KELOWNA B MARYLAND C GERMANY D CHINA AUTOMATED MANUFACTURING FACILITY ENGINEERING & CYLINDER EUROPEAN HUB FOR JOINT VENTURE HYDROGEN FOR BATTERY PACKS AND HYDROGEN MANUFACTURI
Slide 27: Joint venture activity in China with CIMC Enric is progressing well
Joint venture activity in China with CIMC Enric is progressing well Key organizational appointments and broader organization have been onboarded Several commercial Site selection for dialogues ongoing manufacturing facility with potential ongoing; negotiating customers; investment agreement preparin
Slide 28: Intention to move to the main list of the Oslo Stock Exchange in 2022
Intention to move to the main list of the Oslo Stock Exchange in 2022 Hexagon Purus was listed on Euronext Growth on 14 December 2020 Internal processes are underway to prepare for a transfer to the main list of the Oslo Stock Exchange before the summer of 2022 28
Slide 29: Targeting NOK 900m of revenues in 2022
Targeting NOK 900m of revenues in 2022, ~75% growth YoY, with strong visibility NOKm Original organic revenue growth guidance for 2021: >50% YoY Revised organic revenue c. +75% >90% YoY growth guidance for 2021: ~900 Actual organic revenue 110% YoY • Hydrogen distribution expected to growth in 2021:
Slide 30: Scale-up investments will continue to impact EBITDA in 2022
Scale-up investments will continue to impact EBITDA in 2022 MAIN DRIVERS OF EBITDA IN 2022 • Higher personnel costs driven by continued growth of organization to support scale up efforts EBITDA 2021A EBITDA 2022E • Expect to add ~150 FTEs in 2022 (~35% growth YoY) EBITDA losses NOK expected to • Con
Slide 31: On track to reach revenue target of NOK 4-5bn in 2025
On track to reach revenue target of NOK 4-5bn in 2025 NOKm ~4,000-5,000 ~75-80% OF TARGETED 2025 REVENUE IS EXPECTED TO BE Commercial wins DRIVEN BY ANNOUNCED since IPO have LONG-TERM AGREEMENTS significantly de-risked Hexagon Purus’ business outlook To be ~20-25% secured Announced ~75-80% +77% LTAs
Slide 32: Ideally positioned to benefit from strong global momentum in zero emission mobility
Hexagon Purus is ideally positioned to benefit from the strong global momentum in zero emission mobility YOUR TITLE 01 HEXAGON PURUS IS A GLOBAL LEADER IN A ZERO-EMISSION MOBILITY MARKET THAT IS POISED FOR VERY STRONG GROWTH IN THE YEARS TO COME 2021 REVENUE GROWTH AND BREAKTHROUGH COMMERCIAL SUCCES
Slide 33: Q&A
Q&A
Slide 34: Appendix
APPENDIX HEXAGON PURUS
Slide 35: Financial statements | P&L
Financial statements | P&L Hexagon Purus e-mobility (excl. CNG LDV) INCOME STATEMENT (NOK 1 000) Q4 2021 Q4 2020 FY 2021 FY 2020 Revenue from contracts with customers 257 957 32 455 506 039 178 121 Other operating income 877 293 1 679 1 693 Total revenue 258 834 32 749 507 718 179 814 Cost of materi
Slide 36: Financial statements | Balance sheet & cash flow
Financial statements | Balance sheet & cash flow Hexagon Purus e-mobility (excl. CNG LDV) BALANCE SHEET (NOK 1 000) 31.12.2021 31.12.2020 CONDENSED CASH FLOW (NOK 1 000) FY 2021 ASSETS Profit before tax -348 731 Property, plant and equipment 274 816 76 634 Right-of-use assets 52 219 30 457 Depreciat
Slide 37: Investor relations information
Investor relations information Hexagon Purus EXCHANGE INFORMATION SHARE TRADING STATISTICS INVESTOR BASE1 • TICKER SYMBOL: HPUR • ISIN: NO0010904923 • EXCHANGE: EURONEXT GROWTH OSLO NOK ~6bn ~4,800 MARKET CAPITALIZATION1 SHAREHOLDERS NOK ~15m 73.3% DAILY TURNOVER2 OWNED BY HEXAGON COMPOSITES ASA 202
Slide 38: Top 20 shareholders
Top 20 shareholders Hexagon Purus # SHAREHOLDER NUMBER OF SHARES HELD % OF SHARES OUTSTANDING 1 Hexagon Composites ASA 171,166,135 73.3% 2 Clearstream Banking S.A. 15,054,865 6.4% 3 Mitsui & Co. Ltd 5,204,029 2.2% 4 Deutsche Bank Aktiengesellschaft 4,699,768 2.0% 5 Flakk Composites AS 3,027,799 1.3%