Aviat Networks, Inc. · NASDAQ:AVNW
Aviat Networks — Q2 2020 Earnings Presentation
18 slides from Aviat Networks's earnings presentation, Feb 6, 2020
Slide 1: FY20 Second Quarter and Six-Month Results Update
AVIAT NETWORKS AVIAT NETWORKS (NASDAQ: AVNW) GENERAL FY20 Second Quarter UPDATE Results Update and Six-Month MWC 2019 Investor Presentation - February 6, 2020 AVIAT NETWORKS
Slide 2: Forward-Looking Statements
Forward-Looking Statements The information contained in this presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 21E of the Securities Exchange Act and Section 27A of the Securities Act, including expectations regarding
Slide 3: About Aviat Networks
About Aviat Networks Aviat Networks is a leading global supplier of wireless networking solutions (wireless backhaul products and services) to communications service providers (CSP’s) and private network operators ❖ Born from the combination of Harris Corporation’s Microwave Communications Exchange
Slide 4: Strong Global Presence – Growing Global Customer Base
Strong Global Presence – Growing Global Customer Base Uniquely Positioned to Address Multiple Market Segments Through Innovation VERTICAL DIVERSITY (FY19) GEOGRAPHICAL DIVERSITY (FY19) Service Private Providers Networks Americas EMEA Asia Pacific 47% 53% 54% 27% 19% Positive momentum in service prov
Slide 5: Industry-Leading Solutions To Drive Market Expansion
Industry-Leading Solutions To Drive Market Expansion Moving Beyond Traditional Microwave Products to Develop Solutions for Mission-Critical Networks MOST SECURE, HYBRID SPLIT-MOUNT ALL-OUTDOOR NETWORK MISSION-CRITICAL PLATFORM OUTDOOR RADIO UNIT ETHERNET MANAGEMENT ECLIPSE 6-42 GHz ODU 600 6-42 GHz
Slide 6: Favorable Market Dynamics To Support Growth
Favorable Market Dynamics To Support Growth 5G Tower Trends Source: Ovum Microwave Forecast Expenditure ($m) “5G use cases will require network performance to increase 10-fold over current levels across all network parameters. To get there, mobile operators must invest in all network domains, includ
Slide 7: Newest Innovation to Capitalize on the Transition to 5G
Newest Innovation to Capitalize on the Transition to 5G WTM 4800 Solution to Help Optimize the 5G Revolution – Distinct Competitive Advantages WITH AVIAT’S SINGLE- BOX MULTI-BAND SOLUTION YOU CAN VIRTUALLY SIGNIFICANTLY ELIMINATE IMPROVE CAPACITY BY UP TO OUTAGES WTM 4800 E-BAND & MULTI-BAND RADIO (
Slide 8: Building Customer Momentum in Support of 5G Rollouts
Building Customer Momentum in Support of 5G Rollouts Aviat Receives Orders from a Top-5 U.S. Wireless Carrier for 5G Transport Aviat Networks Signs Global Frame Agreement with Ooredoo Group Globe Telecom Selects Aviat’s WTM 4800 Multi-Band Solution to Support 5G Deployments 8 NOVEMBER 2019 AVIAT NET
Slide 9: Demand for Mission-Critical Networks is Increasing
Demand for Mission-Critical Networks is Increasing Industrial IoT IOT $500B Industrial IoT market by 2020 (Accenture) Driving more critical bandwidth in vertical markets Private LTE $16B for Private LTE by 2025 (ABI Research) LTE Paving way for 5G services in vertical markets Public Safety & Securit
Slide 10: Private Networks: Expanding Market Leadership Position
Private Networks: Expanding Market Leadership Position Expanding Customer Base, Growing Backlog, Strong Pipeline The Clear Global Partners Expanding Choice: Segment in Security & Reach – Recent Capitalizing on critical Leader Defense Breakthrough communications trends Presence in all 50 states Natio
Slide 11: Some Recent Momentum in Private Networks
Some Recent Momentum in Private Networks Aviat Awarded Aviat Awarded Aviat Wins ~$20 Microwave Business Microwave and Million in U.S. Utility with State of Alaska IP/MPLS Business Business and Expands by the State of Customer Base Nevada Aviat Awarded Aviat Awarded 10-Year, Nearly $40 Million in $13
Slide 12: Historical and Recent Financial Performance
Historical and Recent Financial Performance 12 NOVEMBER 2019 AVIAT NETWORKS
Slide 13: Historical Performance
Historical Performance ($’s million) Total Revenue Non-GAAP Gross Margin $280 35% 31.4% 33.1% 32.5% $268.7 30% $270 24.9% $260 25% 20% $250 $241.9 $242.5 $243.9 15% $240 10% $230 5% $220 0% FY16 FY17 FY18 FY19 FY16 FY17 FY18 FY19 ($’s million) Non-GAAP Operating Expenses ($’s million) Adjusted EBITD
Slide 14: FY20 Q2 Non-GAAP Financial Year-Over-Year Comparison
Year-Over-Year Comparison Q2 FY20 Q2 FY19 ($’s in millions) FY20 Q2 Actual Actual The Company’s Fiscal 2020 second quarter and six-month Revenue $56.0 $65.1 Non-GAAP results were impacted by a cybersecurity attack at one of its Gross Margin % 32.8% 34.6% contract manufacturers. Financial Operating E
Slide 15: Balance Sheet Highlights
($’s in millions, Q2 FY20 Q1 FY20 Q4 FY19 Balance Sheet except for DSO, DPO and turns) Actual Actual Actual Highlights Cash and Cash $38.1 $34.5 $31.9 Equivalents Cash up $3.6 million sequentially Accounts Receivable $44.4 $43.2 $51.9 over FY20 Q1 and $6.1 million since FY19 year-end DSO’s 72 67 74
Slide 16: Fiscal Year 2020 Outlook Remains Strong
Fiscal Year 2020 Outlook Remains Strong Revenue Stronger Bottom-Line Down Gross Improvements Modestly Margins Strong growth in North America offset by FY2020: Mix shift, efficiencies and International declines in Anticipating FY20 Adjusted higher-margin business Africa and APAC regions EBITDA of $11
Slide 17: What Makes Aviat an Attractive Investment Opportunity?
What Makes Aviat an Attractive Investment Opportunity? 1 Compelling Market Opportunity Favorable Industry Dynamics – Major market trends create significant opportunities for near- and long-term growth 2 Credible & Established Leader Global Customer Footprint, Strong Relationships, Proven Track Recor
Slide 18: WWW.AVIATNETWORKS.COM
Aviat NETWORKS DOGOO WWW.AVIATNETWORKS.COM