Slide 1: Targeting Global Leadership in Decentralized Water & Wastewater Treatment Solutions
Targeting Global Leadership in Decentralized Water & Wastewater Treatment Solutions Annual General Meeting 24 May 2018
Slide 2: Agenda
Agenda 1. Chairman’s address – Richard Irving 2. Managing Director’s address – Henry Charrabé 3. Formal business
Slide 3: Chairman's Address
Chairman’s Address Richard Irving
Slide 4: Fluence is Solving Water and Environmental Problems
Fluence is Solving Water and Environmental Problems • Clear signs of growing global water scarcity and contamination • Fluence is focused on the decentralised market with a full suite of solutions • Decentralised solutions deploy faster and cheaper - US$22B market by 20211 Jakarta, sewage often find
Slide 5: Growing Global Water Crisis Now
Growing Global Water Crisis Now Water shortages affect 2.7B people now 2.4B people lack proper wastewater treatment now An additional 2.1B people need upgraded treatment Urgent Need For Population growth from 7.4B in 2016 to 9.1B in 2050 Affordable, Fast-to-Deploy 60% increase in global food product
Slide 6: Fluence's Solutions Have Advantages Over Traditional Water Treatment Infrastructure
Fluence’s Solutions Have Advantages Over Traditional Water Treatment Infrastructure • CapEx and OpEx are inefficient • Fast, cost effective ‘plug and play’ • Infrastructure takes too long solution to deploy • Remote monitoring and operation, • Developed world: Rusting substantially reducing OpEx pip
Slide 7: Our Strategy
Our Strategy • Focus on decentralised solutions to water and wastewater problems • Migrate from legacy EPC projects to Smart Packaged Plants enabling more repeat orders, faster delivery and higher margins • Secure growing BOT pipeline funded via debt partner increasing recurring revenue • Target Chi
Slide 8: Managing Director's Address
Managing Director’s Address Henry Charrabé
Slide 9: 2017: Building the Foundation for Growth
2017: Building the Foundation for Growth • Successful merger of Emefcy Group Limited and RWL Water to form Fluence • Innovation driving new market opportunities – first SUBRE contract awarded to upgrade and retrofit a centralised wastewater treatment plant in Israel • First production of MABR Module
Slide 10: Global Recognition
Global Recognition • Awarded the “2018 Global Decentralized Water & Wastewater Treatment Company of the Year” by Frost and Sullivan • Frost & Sullivan noted the key benefits of Fluence’s modular, decentralised systems, such as lower operating cost, easier maintenance and lower capital outlays. 10
Slide 11: 2018: Building Momentum
2018: Building Momentum • Contract revenue backlog of US $94.9m at 31 Mar 2018 – US $68.0m anticipated to convert into 2018 revenue, on top of US$10.2m already generated in Q1 2018 • Financial close achieved for US $48m San Quintin, Mexico project – project financed and includes 30-year operating ag
Slide 12: Smart Packaged Plants Drive Rapid Sales Growth
Smart Packaged Plants Drive Rapid Sales Growth Nirobox Smart Packaged Plant NIROBOX™ Sales Ramp • Containerized mobile desalination plant for easy 40 * deployment globally • Wins contracts by saving energy, cost, time to deployment Projected 2x year-on-year • Higher gross margins growth 25 • Introdu
Slide 13: Target Markets Growing Rapidly
Target Markets Growing Rapidly Smart Packaged Plants: $83B in Planned CapEx Global market growing from Desalination and Reuse plants $13.3B to $21.8B (2016 to 2021) (Cumulative 2017 to 2022) 9.1 EU/ C Asia 8.4 $9.1B (11%) China & Taiwan 5.5 $29.9B 5.1 (36%) 4.4 USA $15.6B (19%) $ Billions 2.7 Munici
Slide 14: Strong Interest at 2018 IFAT Conference
Strong Interest at 2018 IFAT Conference • IFAT May 14-18 in Munich, Germany – leading global trade fair for water and wastewater solutions • Fluence showcased Aspiral, NIROBOX™ and waste-to-energy solutions 14
Slide 15: Reaffirming 2018 Guidance
Reaffirming 2018 Guidance Backlog Mar 31, 2018 • US $95m of which US $68m is expected as 2018 revenue Revenue for 2018 • US $105–115m (up 80-100% on 2017) Gross Margin for 2018 • US $22–25m Recurring Revenue • Aim to increase BOT projects via project finance New Products • SUBRE first contract succe
Slide 16: Disclaimer
Disclaimer This presentation has been prepared by Fluence Corporation Limited (ASX: FLC). All currencies quoted as “$” are US$ unless otherwise specified. This presentation may contain forward-looking statements which are identified by words such as ‘may’, ‘could’, ‘believes’, ‘estimates’, ‘targets’