Flux Power Holdings, Inc. · NASDAQ:FLUX
Flux Power — ROTH Conference 2019
20 slides from Flux Power's conference presentation, Mar 13, 2019
Slide 1: Flux Power Holdings, Inc. - ROTH Conference
Sn Flux Power Holdings, Inc. Advanced Lithium-ion Battery Technology ROTH Conference March 17-19 2019 OTC: FLUX
Slide 2: Safe Harbor Language
Safe Harbor Language FuUW-¢ POWER Forward Looking Statements: This presentation contains forward-looking statements. All statements other than statements of historical fact contained in this presentation, including statements as to the Company's future results of operations and financial position, p
Slide 3: Who is Flux Power?
Who is Flux Power? MmUL?¢ > Manufacturer of lithium battery packs to replace legacy lead acid power = Founded in 2009 and initially focused on electric automobiles = Pivoted to industrial equipment in 2013 = Experienced team from Ford Motor, PACCAR, DHL, Visa, Pilkington Aerospace, Alstom and numero
Slide 4: Why Flux?
Why Flux? FULD Vv POWER Dawn of lithium-ion battery use in industrial equipment is finally here Significant performance, cost, safety and environmental advantages over lead-acid First mover in inevitable shift from lead-acid to lithium-ion batteries Demand is accelerating in a $10B market opportunit
Slide 5: Our Industry Leading Products
Our Industry Leading Products Us > Class 3 Walkie LiFT Pack introduced in 2014 = Only pack tested & approved by major OEM’ s: Toyota, Raymond, and Crown Equipment = ULApproval 2016: only UL Listed pack in the forklift industry for multiple forklift brands more recently..... Class 1 ‘counter balance’
Slide 6: Flux Power Roadmap: Modular and Scalable
Flux Power Roadmap: Modular and Scalable U-LJ>:¢ POWER Class 3 bg Walkie Pallet Jack High volume workhorse Class 1 10X energy of Walkie Counter Balance Class 3 Market volume similar to Walkies End Rider 4X energy of Walkie Class 2 Narrow Aisle, High Growth NESTON icles 10X energy of Walkie Modular d
Slide 7: Flux Packs: Cells and Patented Electronics
Flux Packs: Cells and Patented Electronics MmUW?¢ >» Battery for Class 3 forklifts --- “walkie” pallet jacks --- >» Flux modular design based on this “Walkie” pallet pack > Software and firmware located in BCM and BMSM Cable Storage Box Main Power Relay - Communication Port and Main Fuse - Circuit B
Slide 8: Why Lithium-ion Lift Packs?
Why Lithium-ion Lift Packs? FU POWER > Flux LIFT Packs eliminate forklift } “ , 7 operator Pain Points Electricity Consumption Environmental Compliance Maintenance Total Cost Power & Runtime Limitations Run Longer Shifts Less Efficient Energy Storage 30-50% Electricity Savings Class 1&2: One battery
Slide 9: Modular Designs For Full Product Line
Modular Designs For Full Product Line PmuwU2¢ Launch 2014 Launch 2018 and Fits over 25 Models 1-Tier Pack 2-Tier Blade 3-Tier Pack (Class 3 Walkie) (Class 2/Class 3)
Slide 10: $10 Billion Addressable Market for Forklift Batteries
$10 Billion Addressable Market for Forklift Batteries Fu POWER > Flux poised to serve entire electric forklift market = $10B total market opportunity* = Lithium penetration now under 1% > Plenty of room for multiple market share “winners” Forklitt Type nits) Retail Price Opportunity Class 3 Walkie 1
Slide 11: Testimonials
Testimonials MmUL?¢ ondeléz “Overall, we love our LIFT Packs and won't go back to - International © —_ the old lead-acid days.” Pa) % EARS OF EXCELLENCE “We tested the runtime because we were curious — and got 4 days of use without needing to charge the pallet jack, this gives me a comfort level.” &
Slide 12: Flux Has Built Strong Competitive Position
Flux Has Built Strong Competitive Position > Proprietary engineering, design and battery management system >» Strong OEM, Distributor & Customer channels/relationships > Industry leading unit shipments in our initial “walkie” product line Technical Approvals (UL) LISTED Line TOYOTA Chssa C\OWN pRayM
Slide 13: Market Segments Eager for Efficiencies
Market Segments Eager for Efficiencies FuUUWC ADELTA Airport Logistics ; tix {as Vegas Mondeléz, Hospitality International Industrial 12
Slide 14: Business Drivers
Business Drivers mu? Demand >» Stable but Lower Margin Industries Seek Efficiency and Lower Costs > Deployment dialogues with 10+ major customers » Advanced Discussions to Offer Flux Class 3 ‘Walkie’ as OEM option >» Large customers with diverse forklift fleets want one solution provider Supply-side
Slide 15: Gross Margin Plan
Gross Margin Plan FHUL¢ Initiatives to achieve +30% gross margins « Next-Gen Battery Management System (BMS) * Cell Sourcing Improvements + Design Cost Reductions + Volume & sourcing efficiencies + Assembly efficiencies and utilization + Unit Pricing from new features 14
Slide 16: Leadership Team
Leadership Team FUL? < Chris Anthony: Chairman and Co- Founder Former COO of EV pioneer, Aptera Motors and Epic Boats. Ron Dutt: CEO, Director Leadership at DHL, Ford Motor Company, Visa, Directed Electronics and SOLA Int. Led companies from early stage to >$1B rev. Jon Berry: COO Senior roles at Al
Slide 17: Flux Financial Snapshot
Flux Financial Snapshot (OTCQB: FLUX) MmuUW?¢ Closing Price (3/6/2019) $1.35 52 Week Range $0.41 — $3.35 Shares Out 50.9M Market Cap $69M Borrowing on Inventory Lines of Credit * $2.4M FY 2018 Revenue $4.1M FY 2019 Revenue estimate (significant upside potential) $8.5M * Short term notes. 16
Slide 18: Flux is Leader in $10B Lithium Storage Transition
Flux is Leader in $10B Lithium Storage Transition LiFT Pack Commercialization is Here + Engaged with major customers representing over $150M Class 3 opportunity + Ramping production & sales of full product line — FY’18 revenue grew 300% to $4M + FY’'19 revenue expected to grow over 100% to $8.5M Com
Slide 19: Thank you!
Thank you! Fu POWER LiFT Pack Production — Vista, CA Headquarters Investor Contact: Chris Eddy 212 924 9800 flux@catalyst-ir.com 18
Slide 20: Appendix - Lithium Ecosystem
Appendix | es) LiTHiuM EcosysTEM 300 it Tesla Q a0 Cc ® | QB \ 3 ® 200 WwW o 2 \ Flux Power ie \ = & 180 _ ~\ rd Samsung © 2 ; <= 100 Boeing no?) a 50 250 300 350 400 450 500 550 Thermal Runaway (Temperature) € More Volatile More Stable/Safe> 19