Slide 1: Q1-FY2025 Investor Presentation
Q1-FY2025 Investor Presentation July 12, 2024
Slide 2: Disclaimer
Disclaimer The following investor presentation provides an analysis of the consolidated operating results and financial position of Velan Inc. (“the Company”) for the quarter ended May 31, 2024. This investor presentation should be read in conjunction with the Company’s audited consolidated financia
Slide 3: James A. Mannebach, CEO and Chairman of the Board
James A. Mannebach CEO and Chairman of the Board 3
Slide 4: General Overview of the Quarter
General Overview of the Quarter Robust performance across core markets • Sales growth of 14.5% YoY to $77.5M • Order backlog1 increased to $528.3M • Gross profit improved to 30.7% of sales Strong contributions from North American and Italian operations • Major project deliveries and solid MRO sa
Slide 5: Backlog and Orders
Backlog and Orders Backlog1 of $528.3M as at May 31, 2024 • $372.3M to be delivered within next 12 months Bookings1 of $109.8M in the first quarter, up 19.6% from $91.8M a year ago • Robust order increase in North America driven by new projects and MRO business • Higher bookings for oil refinery
Slide 6: Rishi Sharma, Chief Financial and Administrative Officer
Rishi Sharma Chief Financial and Administrative Officer 6
Slide 7: First-Quarter Results: Sales
Sales ($ US millions) $67.7 $77.5 First-Quarter Results Sales of $77.5M for the quarter, up 14.5% year-over-year Q1-FY24 Q1-FY25 Sales distribution by customer geographic location • Increased shipments in North America • Important project deliveries Q1-F24 Q1-F25 • Solid MRO business 9.0% 1.6% 10.
Slide 8: First-Quarter Results: Gross Profit
Gross Profit ($ US millions) $23.8 First-Quarter Results $15.1 30.7% 22.2% Gross profit of $23.8M compared to $15.1M in Q1-FY24 • Higher sales volume, favourable mix and production Q1-FY24 Q1-FY25 efficiency gains Adjusted EBITDA1of $3.9M versus negative Adj. EBITDA and Net Loss $3.3M in Q1-FY24
Slide 9: Cash Flow and Financial Position
Cash Flow from Operations ($ US millions) Cash Flow and Financial $10.7 Position $4.9 Cash flow from operations of $4.9M compared to $10.7M in Q1-FY24 Q1-FY24 Q1-FY25 • Declined mainly due to less favourable positive changes in non-cash working capital movements • Partially offset by increased EBI
Slide 10: Outlook for FY 2025
Outlook for FY 2025 Strong Q1-FY25 performance Increased order backlog to $528.3 million Reiterating sales growth expectations for FY 2025 10
Slide 11: Thank you for attending our Q1-FY2025 financial results investor call
Thank you for attending our Q1-FY2025 financial results investor call. We are happy to answer any questions. velan.com facebook.com/velan @VelanInc linkedin.com/VelanInc 11
Slide 12: Appendix
Appendix Additional Information
Slide 13: Non-IFRS and Supplementary Financial Measures
Non-IFRS and Supplementary Financial Measures Non-IFRS measures The term “Adjusted net income (loss)” is defined as net income or loss attributable to Subordinate and Multiple Voting Shares plus adjustment, net of income taxes, for costs related to restructuring and to the proposed transaction. The
Slide 14: VELAN
VELAN www.velan.com