Eden Innovations Ltd · ASX:EDE
Eden Innovations — FY2018 Earnings Presentation
28 slides from Eden Innovations's earnings presentation, Nov 1, 2018
Slide 1: FY18 Half Year Results
FY18 Half Year Results INVESTOR PRESENTATION November 2018 EDE:ASX EDEN INNOVATIONS | ASX: EDE 1
Slide 2: Disclaimer
Disclaimer FORWARD LOOKING STATEMENTS This presentation includes certain forward-looking statements of Eden’s management. Forward-looking statements are statements that contemplate the happening of possible future events and are not based on historical fact. Forward-looking statements may be identif
Slide 3: Investment Summary
Investment Summary 1 EdenCrete® admixture products deliver significant cost and product advantages in concrete Large global concrete market expected to reach 2 US $921 billion by 2020, with significant barriers to entry for competitors 3 Proprietary technology and core expertise in carbon nanotube p
Slide 4: Company Overview
Company Overview Eden Innovations Ltd, an Australian listed company, has a patented and proprietary method of producing carbon nanotubes and hydrogen, that it has commercialised in Denver, Colorado, US. EdenCrete® and EdenCrete Pz® are high performance, world leading carbon nanotube enriched, liquid
Slide 5: Corporate Snapshot
Corporate Snapshot CORPORATE STRUCTURE CAPITAL STRUCTURE Eden Innovations Ltd Eden Innovations Ltd Symbol EDE Issued shares 1,521,399,119 Stock Price (1) A$0.074 Market Cap (1) ~ A$112 million Eden Innovations India Eden Innovations LLC EdenCrete Industries Inc Pvt Ltd Cash ~ A$2.45 million (1) Debt
Slide 6: Executive Management Team
Executive Management Team Gregory Solomon Aaron P. Gates Roger Marmaro Robert Reid III Executive Chairman CFO, Company President / CEO - Executive Business Director- Secretary Eden Innovations U.S EdenCrete Industries Inc. US Chairman of Eden since incorporation in A qualified accountant with more R
Slide 7: Product Overview
2. PRODUCT OVERVIEW EDEN INNOVATIONS | ASX: EDE 7
Slide 8: Core Expertise – Carbon Nanotubes
Core Expertise – How carbon Carbon Nanotubes nanotubes work Harnessing the Act as nucleation points for dense cement hydration - benefits of carbon builds on all surfaces of CNT nanotube technology for commercial application in concrete and plastics Create quintillions (1018) of flexible, super-stro
Slide 9: EdenCrete Range
EdenCrete® Range EdenCrete® is a cost effective, carbon nanotube enriched liquid admixture for concrete that is mixed into wet concrete • Increases flexural, tensile & compressive strength, and abrasion resistance • Reduces shrinkage, permeability and damage from salt and chemicals and increases fre
Slide 10: New product development: EdenPlast
New product development: EdenPlastTM Eden aims to enter the Suitable plastics markets: Proven in-house plastics market with its • Automotive and packaging capability new product, EdenPlastTM Development, testing and commercialisation Highly encouraging preliminary results: • EdenCrete® • Aims to dev
Slide 11: Barriers to Entry
Barriers to Entry 10 years of product development Product field testing by Government departments after initial approval typically requires 12 months, including lab tests Typical sales cycle for EdenCrete® is 6 -9 months, after successful field testing by the relevant DOT 100% ownership of the Pyrol
Slide 12: Global Market Opportunity
3. GLOBAL MARKET OPPORTUNITY EDEN INNOVATIONS | ASX: EDE 12
Slide 13: Applications & Customers
Applications & Customers ADVANTAGE SUITABLE FOR CUSTOMERS Permeability / • Roads, airfields, coastal, marine, dams, • Government Department sewers, bridges, runways, coastal/marine salt resistance / environments, dams, sewer/water of Transport authorities - shrinkage pipelines ~40% of US concrete ma
Slide 14: Outstanding Product Benefits
Outstanding Product Benefits ABRASION RESISTANCE REDUCED PERMEABILITY Chloride Content (Wt.%) Control Mix – Control Mix – Penetrated Depth (mm) Not Ponded Ponded Chloride Values 10-20 0.004 0.059 0.055 25-35 0.006 0.045 0.039 40-50 0.004 0.005 0.001 55-65 0.003 0.004 0.001 Test Mix – Not Test Mix –
Slide 15: Value Proposition
Value Proposition Increases Increases Increases Reduces Reduces Increases Products Compressive Split- Flexural Shrinkage Permeability Abrasion Drawback • Cost advantages Strength Tensile Strength Resistance Strength resulting from price and reduced concrete ✓ ✓ ✓ ✓ ✓ ✓ volumes, plus faster Fibers Re
Slide 16: Government Validation and Commercialisation
Government Validation and Commercialisation Government approval for use by Departments of Transport (DOTs) in 11 US States, 26% of total US bridges in need of repair, with 11 further DOT applications pending WA VT MT Georgia Department of Transport (GDOT) mandated use of EdenCrete® in all OR State f
Slide 17: Case Study
Case Study ABRASION RESISTANCE / ULTRA HIGH WEAR APPLICATION CONTROL TRIAL SLAB TYPICAL ULTRA HIGH LOAD EdenCrete® TRIAL SLAB Significant cracks and High loading/ abrasive application No cracks or evidence of wear wear after 6 months at site – repeat contracts EDEN INNOVATIONS EDE:ASX | ASX: EDE 17
Slide 18: Cost Comparison
Cost Comparison Ultra High Wear /Abrasion Resistance Application Longer wearing concrete Concrete slab Concrete slab Concrete slab required less depth, with wire mesh with steel with EdenCrete® or macro-fibers without base and ~ $15/ ft.2 ~ $22/ ft.2 ~ $12/ ft.2 compacted layers. Concrete slab Concr
Slide 19: Commercialisation Progress
Commercialisation 600 EDENCRETE REVENUE Progress 500 400 US $,000 300 EdenCrete® 200 • Bulk distribution contracts 100 • Repeat business customers - government and private 0 • Supply contracts vary by volume for each project FY16 FY17 FY18 • Significant revenue growth projected FY 2019 and FY 2020 •
Slide 20: Current sales pipeline
Current sales pipeline GEORGIA TEXAS GDOT State funded repair projects using EdenCrete® Texas Department of Transport (TxDOT) • EdenCrete® specified by name in repair projects • Additional precast contractors, manufacturers being approached FHWA Federally funded project using EdenCrete® • 1st large,
Slide 21: Outlook & News Flow
Outlook & News Flow Pipeline OUTLOOK ANTICIPATED NEWS FLOW Strong year on year revenue growth expected for FY19 and beyond driven by EdenCrete® sales based on : • Increasing number of contract wins for • Georgia - Growing number of existing projects already underway EdenCrete® expected over next 6-1
Slide 22: Growth Strategy
Growth Strategy • Georgia production plant– USD $22m in incentives secured from Georgia Govt to establish EdenCrete® global production plant in Augusta, GA. Will increase 2.4m gallon per year • Enter the global plastics market output capacity of Colorado facility, with EdenPlast® (developed by estim
Slide 23: Financials
4. FINANCIALS EDEN INNOVATIONS | ASX: EDE 23
Slide 24: Financials
Financials Year Ended June 2018 SUMMARY BALANCE SHEET CASH FLOW $,000 $,000 % change $,000 $,000 $,000 $,000 FY18 FY17 30 June 2018 30 June 2017 30 June 2018 30 June 2017 Cash and cash 3,490 7,985 Receipts from 1,013 1,165 Revenue 1,318 949 38.8% up equivalents customers Other 419 (31) n/a comprehen
Slide 25: Outlook & Summary
5. OUTLOOK & SUMMARY EDEN INNOVATIONS | ASX: EDE 25
Slide 26: Corporate Journey
Corporate Journey 2005 2007 2009 2010 2011 • Eden & University of Queensland • May – Eden enters agreement with • March – Ashok Leyland launches • February – Eden signs agreement • January – First US Production – awarded ARC Grant for Carbon Larsen & Toubro Engineering group new Indian Hythane™ Engi
Slide 27: Investment Highlights
Investment Highlights Core product EdenCrete®, is a liquid concrete admixture that delivers significant cost and product advantages, facilitating denser, tougher, stronger cement and longer lasting, more durable concrete Operating in the global concrete market expected to reach US $921 billion and g
Slide 28: Greg Solomon, Executive Chairman
GREG SOLOMON EXECUTIVE CHAIRMAN Level 15, 197 St. Georges Terrace, Perth, Western Australia Telephone: +61 8 9282 5889 Email: gsolomon@edeninnovations.com www.edeninnovations.com EDEN INNOVATIONS | ASX: EDE 28