Fluence Corporation Limited · ASX:FLC
Fluence — Bell Potter Environmental Conference 2023
22 slides from Fluence's conference presentation, Nov 22, 2023
Slide 1: Investor Presentation November 2023
For personal use only B E L L P OT T E R E N V I R O N M E N TA L Sustainable Water Solutions CONFERENCE 2023 Investor Presentation NOVEMBER 2023
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Fluence Corporation Limited an offer or invitation to apply for any securities, including in any (ASX: FLC). All currencies quoted as “$” are US dollars unless otherwise jurisdiction where, or to any person to whom, such an offer or invitation specif
Slide 3: Company Overview
For personal use only C O M PA N Y O V E R V I E W
Slide 4: Executive Summary
Executive Summary New and Highly • Over 100 years of experience in the water and wastewater treatment industry Experienced • Chairman, CEO, CFO, and CCO all joined within the last two years Leadership • Notable turnaround experience and a number of highly successful exits leading to material returns
Slide 5: World Class Management Team
World Class Management Team Newly appointed management team with significant experience in water treatment leading to multiple successful exits DOUG BROWN TOM POKORSKY For personal use only Chairman CEO and Managing Director • Fluence BOD Advisor May 2022, BOD Chairman March 2023 • Joined in March 2
Slide 6: The Water and Wastewater Market Opportunity is Large and Growing
The Water and Wastewater Market Opportunity is Large and Growing Wastewater treatment, water re-use, and Wastewater-to-Energy is becoming increasingly more important as the world seeks to address a growing global water scarcity crisis • 2.3 billion people live in water-stressed countries, of which 7
Slide 7: Proven and Established Products and Technologies
Proven and Established Products and Technologies Trusted brand with extensive installation base with 877 installed plants across the world TOTAL PLANTS: 842 MABR - 354 Anaerobic Digestion - 41 Other Wastewater - 80 NIROBOX - 34 Other Water - 368 For personal use only Excluding Aerators and Tipton sa
Slide 8: Leading ESG Impact in Water Treatment
Leading ESG Impact in Water Treatment Sustainability Impact from Fluence’s Installations Committed to UN Sustainable Development Goals MABR & NIROBOX Wastewater-to-Energy • Fluence technologies are highly energy efficient (MABR, desalination) and lower CO2 and other harmful contaminants For personal
Slide 9: Fluence Business Segments
Fluence Business Segments The water and wastewater treatment market is highly fragmented, offering a direct opportunity for Fluence to focus on unserved markets DECENTRALIZED MUNICIPAL WATER HIGH-STRENGTH WASTEWATER SPECIALIZED INDUSTRIAL SOUTHEAST ASIA For personal use only & WASTEWATER (“DMWW”) &
Slide 10: Shifting Focus on Smart Product Solutions and Recurring Revenue
Shifting Focus on Smart Product Solutions (“SPS”) and Recurring Revenue Focusing our business on SPS significantly improves profitability, recurring revenue and growth • Stronger Focus on SPS: Ramping sales of TRANSITION TO HIGHER MARGIN SEGMENTS For personal use only our unique, proven water and wa
Slide 11: Fluence Proprietary Technology - MABR
Fluence Proprietary Technology - MABR MABR technology disrupts $100bn wastewater treatment market MABR Technology MABR Configurations For personal use only Aspiral Micro On-site sewage SUBRE Upgrade treatment Retrofit using Air is supplied to a spirally MABR wound, semi permeable membrane Aspiral Th
Slide 12: Proven Wastewater-to-Energy Products
Proven Wastewater-to-Energy Products Strongly positioned for rapidly growing market Wastewater-to-Energy & Business Model Industrial Wastewater Products Preferred model: For personal use only • 41 plants serving meat, fish, dairy, candy processing Equipment Sale • Generate 182 GWh/year clean energy
Slide 13: Recurring Revenue – BOO, O&M, and Parts & Service
Recurring Revenue – BOO, O&M, and Parts & Service Greater emphasis being placed on high-growth, high-margin recurring revenue segment that is offered across all market segments Product Offering For personal use only • Build, Own, & Operate (“BOO”) offers water-as-a-service where Fluence provides the
Slide 14: Case Study: Wastewater-to-Energy BOO Project
Case Study: Wastewater-to-Energy BOO Project: Confidential Client, USA Current Client needs 9,300 m3/day Fluence • BOO wastewater treatment, anaerobic digester, For personal use only Situation wastewater treatment for Solution biogas to the grid meat processing plant • Project can be structured in a
Slide 15: Financial Summary
For personal use only FINANCIAL SUMMARY
Slide 16: 3-Year Vision
3-Year Vision Focused on growing presence in North America and transitioning from CES revenue to SPS and Recurring Revenue segments Medium-Term 2022 TARGETS GEOGRAPHY For personal use only • Increasing share in North America, Caribbean and SEA PRODUCTS • Increasing higher margin SPS and Recurring Re
Slide 17: Recent Orders
Recent Orders Fluence has won multiple new contracts highlighting traction against the new strategy and realignment • For personal use only Waste to Energy: US$8m in New Contracts (18th September 2023) – Three wastewater treatment and waste-to-energy contracts in Mexico and Italy • Water reuse in se
Slide 18: Strong and Growing Pipeline
Strong and Growing Pipeline Investment in sales, particularly in North America, paying dividends through rapidly growing pipeline • Total current sales pipeline of $619M, up from $332M (US$ millions) $619 For personal use only at the beginning of 2023 (1) • Pipeline has almost doubled since beginnin
Slide 19: US$132M in New Order Bookings Forecast in 2H 2023
US$132M in New Order Bookings Forecast in 2H 2023 New order bookings boosts revenue outlook ($ in millions) For personal use only ($50) $132 $135 $53 1 2 Backlog Actual Backlog 1 as of 1H Order Bookings Forecast Order2H Revenue Forecast from revenue Backlog ExpectedJanbacklog 1 2024 2023 1H 2023 Boo
Slide 20: Financial Summary
Financial Summary As the business transitions to SPS, Wastewater-to-Energy and Recurring Revenue, profitability increases quickly ($ in millions) Revenue Gross Margin (US$ millions) For personal use only $119 $120+ $112 32%+ $80-85 26% 24% 21% 2021A 2022A 2023E Medium-Term 2025E 2021A 2022A 2023E Me
Slide 21: Pro Forma Summary Balance Sheet
Pro Forma Summary Balance Sheet* Pro Forma net cash of $9.8m at July 2024 (USD M$) PF 6/30/23: PF 6/30/23: Balance Sheet Cap Raise PF Adj: Upwell Upwell Summary Balance Sheet as at 6/30/23 PF Adj: Closing Closing Maturity(2) Maturity For personal use only Cash $18.1 $8.6 $26.8 ($12.2) $14.6 Other Cu
Slide 22: For further information, please contact
For personal use only www.fluencecorp.com For further information, please contact: Australia United States of America Canada Andrew Angus Thomas Pokorsky Ben Fash Investor Relations CEO and Managing Director CFO E: andrewangus@overlandadvisers.com.au E: tpokorsky@fluencecorp.com E: bfash@fluencecorp