Bk Technologies Corporation · AMEX:BKTI
Bk Technologies — Investor Presentation (August 2023)
19 slides from Bk Technologies's investor presentation, August 2023
Slide 1: BK Technologies Investor Presentation
BK TECHNOLOGIES Investor Presentation August 2023 NYSE American: BKTI
Slide 2: Disclosures
DISCLOSURES Forward-Looking Statements This press release contains certain forward-looking statements that are made pursuant to the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements concern the Company’s operations, economic performanc
Slide 3: Focused on gaining share in the public safety communication market
BK Technologies is focused on gaining share in the growing market for public safety communication technology by offering value and innovation 3 2023 Corporate Presentation | NYSE American: BKTI
Slide 4: BK has transformed into a growth company in the public safety market
BK HAS TRANSFORMED INTO A GROWTH COMPANY IN THE MULTI- BILLION DOLLAR PUBLIC SAFETY MARKET 2016 2022 & Beyond NEW PRODUCT LAUNCHES BKR Line EXPANDING Market Verticals CAPITALIZE on Public Safety LTE adoption ADD Software Applications & SaaS NEW Executive Team & Board of Directors NEW R&D & Engineeri
Slide 5: Executive Management
EXECUTIVE MANAGEMENT JOHN SUZUKI BRANKO AVANIC CHIEF EXECUTIVE OFFICER CHIEF TECHNOLOGY OFFICER • Appointed CEO in July 2021 • Appointed CTO in August 2019 • 30 years at Motorola • Previously President & CEO of land mobile radio company • Leading-edge product development expertise in the LMR industr
Slide 6: Relationships exceeding 20 years with key customers
RELATIONSHIPS EXCEEDING 20 YEARS WITH KEY CUSTOMERS STRATEGIC CONTRACTS FOR EASE OF PROCUREMENT WITH GOVERNMENT AGENCIES 6 2023 Corporate Presentation | NYSE American: BKTI
Slide 7: Market Opportunity
MARKET * OPPORTUNITY —
Slide 8: Land Mobile Radio - A $2.3B Addressable Market
Land Mobile Radio - A $2.3B Addressable Market BKR Series Radios exponentially expand potential market verticals $800 $700 $600 $500 $400 $300 $200 $100 $0 School Hospitality Wildland Fire Public Business Other Oil & Gas Other Military EMS Police Structural Service Industrial Commercial Commercial F
Slide 9: LTE/5G Presents a Large Market Opportunity
LTE/5G PRESENTS A LARGE MARKET OPPORTUNITY PREVIOUS SUCCESSES LARGER OPPORTUNITY TODAY LTE LMR+LTE/5G CONNECTING CONNECTING LMR VEHICLES FIRST RESPONDERS P25 CONVENTIONAL/ LMR RADIO, GPS, LAPTOP, IN- LMR RADIO, BODY CAM TRUNKED RADIO CAR VIDEO, VIDEO SENSORS SMARTPHONE • Global SaaS market valued at
Slide 10: Innovative Technology
INNOVATIVE 10 TECHNOLOGY 10
Slide 11: Technology Innovation Center
TECHNOLOGY INNOVATION CENTER • Chief Technology Officer, Dr. Branko Avanic, Ph.D., and much of his team, previously with market leader • All radio research & development moved in-house • New acquisition targets bring software engineering skills • IP & Patent Opportunities 11 2023 Corporate Presentat
Slide 12: BKR Series Radios
BKR SERIES RADIOS Single Band Radio All Band Radio • High-tier performance, features, durability, and ergonomics; priced competitively to take market share versus market leader • BKR 5000 single-band radio launched in August 2020; orders continue to exceed expectations; strong backlog provided momen
Slide 13: American Made
AMERICAN MADE DESIGNED, MANUFACTURED AND SERVICED IN USA • This matters to our customers • Nimble innovation, production & distribution TOTAL COST-OF-OWNERSHIP • Substantial savings on initial acquisition • Firmware upgrades for life of product • Customer service for life of product • Technical supp
Slide 14: Software-as-a-Service (SaaS)
SOFTWARE-AS-A-SERVICE (SaaS) POTENTIAL ADDRESSABLE MARKET OF $150M Dedicated business unit established in February 2022 to develop and deliver a comprehensive suite of state-of- the-art subscription-based software-as-a-service solutions for first responders utilizing the LTE network Launched Interop
Slide 15: Innovation
FirstNet Verizon SouthernLinc Over The Top Non-PTToC PTToC User PTToC User PTToC User PTToC User User Innovation • Create Ad-Hoc user groups on demand • Hosting agency pays for service usage with no cost to guests • Works over any carrier network or WiFi WAVE OnCloud is the only PTToC service that e
Slide 16: PTToC Service Market Opportunity
PTToC SERVICE MARKET OPPORTUNITY TOTAL POTENTIAL ADDRESSABLE MARKET OF $150M Target initial market penetration would yield attractive recurring, high margin contribution ~ 1.9M PTToC subscribers in the public sector in 2022 ~30,000 Initial targeted InteropONE market penetration of PTToC subscribers
Slide 17: SaaS Business Strategy
SaaS BUSINESS STRATEGY • Focus on differentiation and practical solutions to market challenges • Establish market position with InteropONE PTToC Service • Enhance value with BKR Additional product line public safety applications • Expand to additional public safety applications 2022 2023 & Beyond 17
Slide 18: Improving Operating Results
IMPROVING OPERATING RESULTS (in thousands) 2Q23 2Q22 1H23 1H22 FY22 Revenue $18,996 $12,111 $37,717 $18,696 $50,951 Gross Margin 27% 14% 27% 17% 19% SG&A % of 32% 45% 55% 31% 41% revenue Operating Loss $(784) $(3,680) $(1,771) $(7,124) $(11,081) Net Loss $(1,340) $(4,334) $(2,610) $(8,270) $(11,633)
Slide 19: Targeting $100M in Revenues by 2025
THE FUTURE OF BK TECHNOLOGIES: TARGETING $100M IN REVENUES BY 2025 • Be a leader in the public safety industry specializing in personal communications devices that maximize safety and efficiency for first responders • BKR 5000 continues to gain traction in the market; BKR 9000 positioned to signific
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