Gilat Satellite Networks Ltd. · NASDAQ:GILT
Gilat Satellite Networks — Investor Presentation (May 2021)
19 slides from Gilat Satellite Networks's investor presentation, May 20, 2021
Slide 1: Gilat Satellite Networks Investors Presentation May 2021
GILATSATELLITENETWORKS MAY 2021 Investors Presentation
Slide 2: Forward Looking Statements Disclaimer
FORWARD LOOKING STATEMENTS DISCLAIMER Certain statements made in this presentation that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words "estimate", "project", "intend", "expect", "believe" and similar expressions are intend
Slide 3: A World Leader in Satellite Communications
A WORLD LEADER IN SATELLITE COMMUNICATIONS FIXED NETWORKS MOBILITYSOLUTIONS NGSO INNOVATIVE GROUND EQUIPMENT TECHNOLOGY 1987 Founded 5 R&D Centers 3 NOC Centers GILT NASDAQ /TASE 20 Sales Offices +800 Employees Cellular Backhaul 2G 3G 4G 5G Enterprise Telecom services Consumer Aero / IFC Maritime La
Slide 4: Leading Global Customer Base
LEADING GLOBAL CUSTOMER BASE SYSTEM INTEGRATORS 100+ COUNTRIES 900+ NETWORKS 300+ CUSTOMERS SATELLITE OPERATOR RTRS RTComm
Slide 5: Uniquely Positioned to Unlock Growth Opportunities
UNIQUELY POSITIONED TO UNLOCK GROWTH OPPORTUNITIES 1 Post COVID-19 IFC Rebound, Free WIFI Tailwind Long term IFC investment cycle 2 4G/5G Ubiquitous Connectivity Bridging the Digital Divide 5G Total Addressable Market expanding dramatically 3 NGSO Constellations - Abundance of Capacity Large capital
Slide 6: Long Term IFC Investment Cycle
LONG TERM IFC INVESTMENT CYCLE Transceivers Aero Antennas 400Mbps Modem Ground Equipment POST COVID-19 IFC REBOUND INCLUDES FREE WIFI TAILWIND Superior Passenger Experience ENABLING LARGE IFC GLOBAL NETWORK GLOBAL COVERAGE | > 30 SATELLITES | 18 TELEPORTS | 20 AIRLINES | GLOBAL NETWORK MANAGEMENT SY
Slide 7: Growth Opportunities Driven by Increase in Demand and Market Penetration
GROWTH OPPORTUNITIES DRIVEN BY INCREASE IN DEMAND AND MARKET PENETRATION 1 POST COVID-19 IFC REBOUND INCLUDES FREE WIFI TAILWIND LONG TERM IFC INVESTMENT CYCLE Expanding Fleets (2029) The Shift to Free WiFi ~ 6,800(2020) ~14,500(2029) COMMERCIAL AIRCRAFT(Ka/Ku) ~1,400(2020) ~7,700(2029) BUSINESS JET
Slide 8: 4G/5G Ubiquitous Connectivity Bridging the Digital Divide
4G/5G UBIQUITOUS CONNECTIVITY BRIDGING THE DIGITAL DIVIDE 5G TOTAL ADDRESSABLE MARKET EXPANDING DRAMATICALLY OF SATELLITE BACKHAUL 4G/LTE MARKET SHARE 2 GILAT CONTINUES TO LEAD IN SHIPMENTSWITH BIG WINS AND BUSINESS EXPANSIONS WORLDWIDE { NSR, 2021 } MANAGED SERVICESEnd-to-end service with recurring
Slide 9: 5G Total Addressable Market Expanding Dramatically
2 4G/5G UBIQUITOUS CONNECTIVITY BRIDGING THE DIGITAL DIVIDE 5G TOTAL ADDRESSABLE MARKET EXPANDING DRAMATICALLY HIGH SPEED Speeds >1Gbps Innovative Wideband Technology FLEXIBLE NETWORK ARCHITECTURE Satellite Ground Segment Integration Into 5G Eco-System Utilize SDN/NFV, Cloud, Edge Computing & Networ
Slide 10: NGSO Constellations - Abundance of Capacity
NGSO CONSTELLATIONS - ABUNDANCE OF CAPACITY OneWeb~2.5 Tbps 650 Satellites Telesat ~3-8 Tbps192-300 Satellites SpaceX~10+ Tbps1584 -> 42,000 Satellites Amazon ~10+Tbps 3263 Satellites HTS/VHTS ~50-500 Gbps SES/O3B~1-3 Tbps 22 Satellites MEO2,000-10,000 km~120msec GEO35,786 km~550msec LEO500-2,000 km
Slide 11: Gilat's Proven NGSO Technology
Gilat to provide ground segment for O3B mPower Potential of over $50 million to supply gateway solid state power amplifiers Successful demonstrations with Telesat's phase 1 LEO satellite LEO CUSTOMER GILAT'S PROVEN NGSO TECHNOLOGY 3 NGSO CONSTELLATIONS - ABUNDANCE OF CAPACITY LARGE CAPITAL SPENDING
Slide 12: Strong Tailwinds in Defense
STRONG TAILWINDS IN DEFENSE Transportable On-the-Move Military Aircraft On-the-Pause Unmanned Aerial Vehicle HIGH-BANDWIDTH REQUIRED IN BATTLEFIELD | EMERGING THREAT OF ELECTRONIC WARFARE 4 INCREASED FOCUS ON MILITARY SATCOM NETWORKS GOVERNMENT & MILITARY SATELLITE COMMUNICATIONSExpected Market Valu
Slide 13: Peru Terrestrial Networks: Investment Shifting to Harvest
Six regions awarded to Gilat (~$550M) ~$335M construction revenueFour regions passed government acceptance, 2 regions planned by mid 2022Revenue recognized by March 31, 2021 ~$275M ~$215M in operational revenue over ten yearsThree regions entered operations phase in 2019One region entered operations
Slide 14: Financial Indicators Highlights
FINANCIAL INDICATORS HIGHLIGHTS
Slide 15: Segment Commentary
SEGMENT COMMENTARY US$ MILLIONS FIXED NETWORKS 2020 was effected by the COVID19 pandemic2021 revenue to be significantly higher than 2020 MOBILITY 2020 was heavily effected by the COVID19 pandemic2021 is a transition year, IFC is expected to pick up in the second half of the year TERRESTRIAL Constru
Slide 16: Q1 2021 Profit and Loss Highlights
Q1 2021 PROFIT AND LOSS HIGHLIGHTS US$ MILLIONS 1) GAAP excluding CMTL settlement – OPEX Q4/20 $15.3M, Q3/20 $12.1M; Operating loss Q4/20 $2.1M, Q3/20 $2.7M; Net loss Q4/20 $2.3M, Q3/20 $3.4M Revenue Gross Margin Operating Expenses / (Income)1 Operating Income / (Loss) 1 Net Income / (Loss) 1 Adj. E
Slide 17: Balance Sheet Highlights
BALANCE SHEET HIGHLIGHTS US$ MILLIONS Cash, cash equivalents & restricted cash DSO1 Debt Cash from (used in) operations2 Equity Q4/20 116 76 4.0 60.4 233.8 Q3/20 77.2 84 4.0 (7.1) 225.3 Q2/20 85.3 79 4.0 (6.6) 236.9 Q1/20 92.6 79 4.0 (3.6) 239.7 Q1/21 75.6 77 0.0 0.3 228.1 DSO calculation excludes T
Slide 18: Summary: Uniquely Positioned to Unlock Growth Opportunities
NGSO/VHTS Opening New Markets Leading in Main Growth Areas – Cellular Backhaul (4G, 5G) &In-Flight Connectivity SUMMARY UNIQUELY POSITIONED TO UNLOCK GROWTH OPPORTUNITIES Investing in Product Leadershipand Innovation Focused on Profitable Growth Increased Focus on Military SATCOM Networks
Slide 19: Thank You
THANK YOU Gilat Satellite Networks | info@gilat.com | www.gilat.com
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