Desert Control As · OSL:DSRT
Desert Control As — Q2 2024 Earnings Presentation
27 slides from Desert Control As's earnings presentation, Aug 1, 2024
Slide 1: Q2 Report 2024 Company Update
Q2 REPORT 2024 Company Update Desert Control AS
Slide 2: Desert Control in Brief
DESERT CONTROL IN BRIEF Provider of Liquid Natural Clay (LNC) 12+ years of R&D, 5+ years of for soil improvement and water independent validation and field pilots. conservation. Proven water savings of 35-50% while Currently operating in the U.S. and improving plant health and crop through licensed
Slide 3: Agenda
Q2 2024 AGENDA COMPANY UPDATE PRESENTATION Highlights Financials Outlook Questions and answers 3 | Q2 2024 Company Update
Slide 4: Highlights
Q2 2024 HIGHLIGHTS TECHNOLOGY UNITED STATES MIDDLE EAST Technological Breakthroughs Drove Record Increased Pilot Acquisition Rate and Accelerated Regulatory Integration and Growth in Installations Expanded Markets Solidified Position • Significant improvement in unit economics • Record number of ins
Slide 5: Highlights: Validation and Partnerships
Q2 2024 HIGHLIGHTS VALIDATION PARTNERSHIPS Independent Validation Strengthens LNC’s New Partnerships Underscores the Growing Market Position Recognition of LNC • The University of Arizona • MoU with Syngenta • The University of California • Other partnerships in development 5 | Q2 2024 Company Updat
Slide 6: Technological Breakthroughs
TECHNOLOGICAL BREAKTHROUGHS LNC APPLICATION • From Manual to Automated Application • Integration with Clients Irrigation Systems LNC PRODUCTION • Identified Improvement Opportunities for the Current LNC Production Systems Platform ”Each contai ner unit weighs 6 metric tonnes and is 6.1 meters long”
Slide 7: The Next-Gen LNC Production Systems Prototype
TECHNOLOGICAL BREAKTHROUGHS The Next-Gen LNC Production Systems Prototype MOBILITY UNIT PRODUCTION ECONOMICS CAPACITY SCALABILITY ENERGY "The next-gen production system aims to deliv er more capacit y than four current units combined, at l ess than half the cost.” EFFICIENCY AGILITY LABOR EFFICIENCY
Slide 8: Record Number of Installations, Increased Pilot Acquisition Rate, Expanded Markets in the U.S.
RECORD NUMBER OF INSTALLATIONS, INCREASED PILOT ACQUISITION RATE, AND EXPANDED MARKETS IN THE UNITED STATES INSTALLATIONS EXPANDED MARKETS • 15 Installations Completed Since the Q1 Report • Expansion in High-Value Segments • 9 Installations Executed in Q2-2024 • Several New Opportunities with Notabl
Slide 9: U.S. Pilot Program Update: Q2 & YTD 2024 (38 Projects)
U.S. PILOT PROGRAM UPDATE: Q2 & YTD 2024 (38 PROJECTS) STAGE 1 Agriculture (20) • 8 Permanent Crop Pilots • 3 Specialty Pilots ▪ 4 Citrus, 2 dates, 2 vineyards ▪ Land restoration Technical Pilots ▪ 2 Farm road dust control • 3 Row-Crop Pilots Engagement with potential clients initiated ▪ Various veg
Slide 10: Solid Pilot Performance: Agriculture
SOLID PILOT PERFORMANCE AGRICULTURE • Continued Progress in Permanent Crops • Citrus • Dates • Vines • Direct to Stage 2 Extended Pilots • The Latest Date Farm Implementations Bypassed Stage 1 (Direct to >600 trees) • Promising LNC Performance Control LNC Treated 10 | Q2 2024 Company Update
Slide 11: Solid Pilot Performance: Landscaping
SOLID PILOT PERFORMANCE LANDSCAPING • Making Significant Headway in Golf Courses PROMISING EARLY RESULTS SET THE STAGE FOR LARGER GOLF-COURSE CONTRACTS TOWARDS THE END OF THE YEAR FOR 2025 DEPLOYMENTS Control LNC Treated Control LNC Treated 11 | Q2 2024 Company Update
Slide 12: Accelerated Regulatory Integration and Solidified Position in the Middle East
ACCELERATED REGULATORY INTEGRATION AND SOLIDIFIED POSITION IN THE MIDDLE EAST UNITED ARAB EMIRATES • LNC Deployment for Residential Development in Abu Dhabi • First Phase Completed • Phase 2 Commencing in Q3 • New Commercial Project Secured in the Landscaping Segment • Several Strategic Pilots Under
Slide 13: Entered New Partnerships and Strengthened Market Validation
ENTERED NEW PARTNERSHIPS AND STRENGTHENED MARKET VALIDATION Independent Validation The University of California New Partnership 13 | Q2 2024 Company Update
Slide 14: Research & Development Programs and Priorities
SOLID PILOT PERFORMANCE LANDSCAPING • Golf Courses, Turf & Sports Fields RESEARCH & DEVELOPMENT PROGRAMS AND PRIORITIES INCREASE VALUE EXPAND MARKETS • Integration with Biologicals and Holistic Soil Health Solutions • Expanding LNC Feasibility to Broader Varieties of Soils • Mitigating Soil Salinity
Slide 15: Summary: Q2 & YTD Highlights
SUMMARY: Q2 & YTD HIGHLIGHTS TECHNOLOGICAL BREAKTHROUGHS GROWING MARKET ACCEPTANCE Q2 • Significant Improvement in Unit Economics • Direct to Stage 2 Pilots • Streamlined Operations and LNC Application • Growing Number of Incoming Requests • Enhanced Agility and Scale-Up Readiness • Potential Fast-T
Slide 16: Agenda
Q2 2024 AGENDA COMPANY UPDATE PRESENTATION Highlights Financials Outlook Questions and answers 16 | Q2 2024 Company Update
Slide 17: Financial Highlights: Key Figures
FINANCIAL HIGHLIGHTS KEY FIGURES * 17 | Q2 2024 Company Update
Slide 18: Consolidated Statement of Comprehensive Income
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 18 | Q2 2024 Company Update
Slide 19: Consolidated Statement of Financial Position
CONSOLIDATED STATEMENT OF FINANCIAL POSITION 19 | Q2 2024 Company Update
Slide 20: Consolidated Statement of Cash Flows
CONSOLIDATED STATEMENT OF CASH FLOWS 20 | Q2 2024 Company Update
Slide 21: Discontinued Operations (Middle East)
DISCONTINUED OPERATIONS (MIDDLE EAST) Middle East Operations Update During 2023, Desert Control Middle East LLC completed the sale of its UAE production entity, transferring LNC production lice nses and assets to Mawarid Holding Investment LLC and Holistic Earth Advanced Regeneration Technologies SA
Slide 22: DSRT Shareholders
DSRT SHAREHOLDERS 22 | Q2 2024 Company Update
Slide 23: Agenda
Q2 2024 AGENDA COMPANY UPDATE PRESENTATION Highlights Financials Outlook Questions and answers 23 | Q2 2024 Company Update
Slide 24: Outlook
OUTLOOK UNITED STATES MIDDLE EAST TECHNOLOGY • Agriculture Objectives: • Anticipating significant growth in momentum backed by • LNC Production and Application ✓ Pilots set to continue providing significant learning new partnerships and years of building scientific and ✓ Continue driving advancement
Slide 25: Agenda
Q2 2024 AGENDA COMPANY UPDATE PRESENTATION Highlights Financials Outlook Questions and answers 25 | Q2 2024 Company Update
Slide 26: Cautionary Note
Cautionary Note 26 | Q2 2024 Company Update
Slide 27: Thank you for your attention!
Thank you for your attention!