Advanced Braking Technology Limited · ASX:ABV
Advanced Braking Technology — Micro-cap Conference 2013
23 slides from Advanced Braking Technology's conference presentation, Oct 22, 2013
Slide 1: Micro-cap Conference Presentation ASX lodgement
For personal use only 22 October 2013 AUSTRALIAN STOCK EXCHANGE LIMITED Electronic Lodgement ADVANCED BRAKING TECHNOLOGY LTD MICRO-CAP CONFERENCE PRESENTATION Please find attached a presentation to be made by Ken Johnsen, CEO. Slide 4 of the presentation precedes a video presentation of the company’
Slide 2: Micro-cap Conference – 22nd October 2013
For personal use only Advanced Braking Technology Limited Micro-cap Conference – 22nd October 2013 Ken Johnsen – CEO Advanced Braking Technology | Microcap Conference Presentation
Slide 3: Who are we?
Who are we? For personal use only › Advanced Braking Technology Ltd ASX Code ABV › ASX listed - Perth based Top 20 Holding (%) 47.3% › Manufacturing subsidiary in Ownership Directors / 15.8% Management (%) Thailand Shares on Issue 1.1 billion › Designer, developer and Market Cap $17.6 million Share
Slide 4: What do we do?
What do we do? For personal use only › Provide improved braking solutions for vehicles › Can be factory fitted or retro-fitted › Readily adapted for most vehicle types › Offer greatly reduced servicing costs › Provide improved reliability and safety › Totally eliminate fine particle emissions › Redu
Slide 5: Our Technology
Our Technology For personal use only Advanced Braking Technology | Microcap Conference Presentation 4
Slide 6: Investment Proposition
Investment Proposition For personal use only › Unique, proven and patent protected technology › Global market potential across multiple applications and sectors › Significant competitive advantages over alternative products › Compelling customer offering – ‘triple bottom line’ benefits › Robust comm
Slide 7: The Business Model
The Business Model For personal use only Proprietary technology = High margins Designed Manufactured Shipped Perth Thailand directly to export markets Selling & Service Agents located in growth markets Advanced Braking Technology | Microcap Conference Presentation 6
Slide 8: Customer Value Proposition
Customer Value Proposition For personal use only › A tangible pay back period on up-front cost TOTAL COST OF OWNERSHIP › As short as 12 months in harsh conditions $60,000 › Improved vehicle availability Standard Rear Brakes $50,000 Cost (Purchase, Parts & Labour) › Reduced spares cost and extends se
Slide 9: SIBS Mining Brakes: Established Globally
SIBS® Mining Brakes: Established Globally For personal use only Turkey Canada USA South Africa PNG Australia New Zealand Ghana South Africa Advanced Braking Technology | Microcap Conference Presentation 8
Slide 10: Blue Chip Customers
Blue Chip Customers For personal use only Advanced Braking Technology | Microcap Conference Presentation 9
Slide 11: Mining: Growth Drivers
Mining: Growth Drivers For personal use only • Slowdown in sector has renewed focus on improving mine productivity › SIBS® brakes increase productivity by reducing brake overhaul and therefore vehicle downtime on site • Increased focus on Corporate and Government Safety Regulations › SIBS® brakes si
Slide 12: Next Horizon - On Road Truck Brakes
Next Horizon - On Road Truck Brakes For personal use only Identified need for improved truck brakes › Brakes are the second biggest expenditure after fuel for garbage truck fleet operators › Brake reliability and safety concerns due to high wear and maintenance requirements › Public desire for noise
Slide 13: SIBS Truck Brakes: Customer Proposition
SIBS® Truck Brakes: Customer Proposition For personal use only › Financial Savings • SIBS® Truck Brakes are virtually wear and maintenance-free, unlike conventional drum and disc brakes • Dramatically reduces frequency of brake overhauls from more than twice a year, to once every two years or longer
Slide 14: Compelling Commercial Model
Compelling Commercial Model For personal use only Attractive and established business › High margin, low cost model › Highly scalable cost base › Established supplier base › Established global contacts through SIBS® mining › Benefits from offshore outsourced manufacturing › Low capital intensity Adv
Slide 15: SIBS Truck Brakes: Revenue Potential
SIBS® Truck Brakes: Revenue Potential For personal use only Australia Annual sales 800 trucks Installed Fleet 8,000 trucks 25% share of retro-fit = $60M revenue over 3 to 5 years 50% share new sales = $12M pa North America Annual sales 20,000 trucks Installed Fleet 200,000 trucks 25% share of retro-
Slide 16: SIBS Truck Brakes: Market Strategy
SIBS® Truck Brakes: Market Strategy For personal use only › Based on the proven mining brake, ABT has invested over $8 million developing the technology for application on road going heavy trucks › Development was directed to first application in the waste industry and commercial sales have now comm
Slide 17: FY13 Financial Highlights
FY13 Financial Highlights For personal use only Financial › Total revenues of approximately $8 million • Solid contribution from mining sales ($5.9m) • R&D Tax Incentive and grant income ($1.85 million) › Significant investment in SIBS® Truck Brake ahead of commercialisation › Capitalisation of Truc
Slide 18: Sustained Revenue Growth
Sustained Revenue Growth For personal use only Total Revenue Profit & Loss $9,000 (After Tax) $8,000 $7,000 $1,000 $000’s $6,000 $- $000’s $5,000 -$1,000 $4,000 -$2,000 $3,000 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 $2,000 First Half Second Half $1,000 $- 05/06 06/07 07/08 08/09 09/10 10/11
Slide 19: Investment in Truck Brake Development
Investment in Truck Brake Development For personal use only $3,500 $000’s $3,000 $2,500 $2,000 Truck Pre-Production $1,500 Truck Brake R&D $1,000 $500 $-00 07/08 08/09 09/10 10/11 11/12 12/13 › Development cost supported by: • Third Party Funding ($2.5 million) • Commonwealth CA Grant ($2 million) •
Slide 20: FY13 Operational Highlights
FY13 Operational Highlights For personal use only Operations › Successful first production and delivery of SIBS® Truck Brakes › Brake sets in-service on eastern and western seaboards › Reliability and low wear of SIBS® Truck Brake reinforced through ongoing in-service operation › Suppliers ready for
Slide 21: Revised Board Composition
Revised Board Composition For personal use only Mr Bruce Grey Mr Ken Johnsen Chairman Executive Director and CEO › Managing Director of Advanced › Over 40 years experience in the Manufacturing CRC Ltd, Non-Executive development and licensing of advanced Director of CAP XX listed on AIM in London tec
Slide 22: FY14 Outlook and Priorities
FY14 Outlook and Priorities For personal use only › Commercial roll out of the SIBS® Truck Brake in Australia • A progressive and controlled launch is underway • Long term sales expected to provide a consistent income stream › Strong focus on maintaining mining sales to meet or exceed current levels
Slide 23: For personal use only
For personal use only www.advancedbraking.com info.perth@advancedbraking.com Phone: +61 8 9273 4800 | Fax: +61 8 9201 9986 Advanced Braking Technology | Microcap Conference Presentation
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