Slide 1: Q3 2022 Earnings Call
Q3 2022 Earnings Call November 10, 2022 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 1
Slide 2: Today's Presenters
Today’s Presenters 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 2 Urban Forssell CEO Fredrik Nihlén CFO
Slide 3: Legal Disclaimer
Legal Disclaimer 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 3 This presentation contains, and related oral and written statements of Neonode Inc. (the “Company”) and its management may contain, forward - looking statements within the meaning of the Private Securities Liti
Slide 4: Agenda
Agenda 2022 - 11 - 10 4 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 1. Q3 2022 Financial Results 2. Strategy and Business Update 3. Concluding Remarks 4. Q&A Neonode Inc. Q3 2022 | November 10, 2022
Slide 5: Q3/'22 Financial Results – Revenues
Q3/’22 Financial Results – Revenues 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 5 Lorem $1.2 million Revenue Total Q3, 2022 ▲ 26 % YoY $0.2 million Revenue Products Q3, 2022 ▲ 14 % YoY 0 200 400 600 800 1,000 1,200 1,400 AMER APAC EMEA AMER APAC EMEA AMER APAC EMEA AMER AP
Slide 6: Q3/'22 Financial Results – Gross Profit/Margin
Q3/’22 Financial Results – Gross Profit/Margin 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 6 6% GM Products Q2, 2022 ▲ 17pp YoY 48% GM Products Q3, 2022 ▲ 20pp YoY -250% -200% -150% -100% -50% 0% 50% 100% -200 -150 -100 -50 0 50 100 150 200 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2
Slide 7: Q3/'22 Financial Results – Operating Expenses
Q3/’22 Financial Results – Operating Expenses 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 7 Lorem $2.1 million Operating Expenses Q3, 2022 ▼ 22 % YoY -3,500 -3,000 -2,500 -2,000 -1,500 -1,000 -500 0 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Thousand
Slide 8: Q3/'22 Financial Results – Cash
Q3/’22 Financial Results – Cash 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 8 Lorem $0.5 million Net Cash Burn Operating Activities Q3, 2022 ▼ 69 % YoY $12.3 million Cash and Accounts Receivables September 30, 2022 ▼ 6.4 Million Dec. 31,2021 -3,500 -3,000 -2,500 -2,000 -1,
Slide 9: Agenda
Agenda 2022 - 11 - 10 9 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 1. Q3 2022 Financial Results 2. Strategy and Business Update 3. Concluding Remarks 4. Q&A Neonode Inc. Q3 2022 | November 10, 2022
Slide 10: Business Strategy: Technology Licensing and Product Sales
Business Strategy: Technology Licensing and Product Sales 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 10 INTERACTIVE KIOSKS ELEVATORS PRINTER AUTOMOTIVE TARGET SEGMENTS BUSINESS MODELS SALES OF NRE SERVICES + PRODUCT SALES SALES OF NRE SERVICES + TECHNOLOGY LICENSING CUSTO
Slide 11: zForce Head-Up Display Object Detection & Interior Controls
© Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 2022 - 11 - 10 11 zForce Head - Up Display Object Detection & Interior Controls x Proven IR - based technology used in millions of vehicles globally for 10+ years x Flexible and can be adapted to different types of applications and requirements
Slide 12: MultiSensing Driver & In-cabin Monitoring
2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) MultiSensing Driver & In - cabin Monitoring x Flexible, scalable software framework x Hardware agnostic solution with small computational footprint x GSR compatible x Advanced AI algorithms and smart toolkit support efficient and
Slide 13: Touch Sensor Modules
2022 - 11 - 10 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) 13 Touch Sensor Modules Standardized COTS products featuring Neonode’s patended zForce Reflective technology. Using infrared lasers with a configurable scanning frequency of up to 900Hz, Neonode’s Touch Sensor Modules track movem
Slide 14: 3-step Approach for Growth
3 - step Approach for Growth 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 14 3 Focused marketing and sales work to establish “beachheads” in key segments and markets POC and demo projects to show value of technology Scale TSM business in key markets Reinvigorate licensing b
Slide 15: PHANTOM Retrofit Touchless Elevator Sensor by MAD Elevator
2022 - 11 - 10 15 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) PHANTOM Retrofit Touchless Elevator Sensor by MAD Elevator MAD Elevator is a leading supplier of elevator fixtures and elevator car interiors. Their contactless PHANTOM elevator control panel is powered by Neonode Touch Sensor
Slide 16: YesAR Holographic Elevator Controls
2022 - 11 - 10 16 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) YesAR Holographic Elevator Controls Contactless holographic elevator control panels for retrofit and new installs powered by Neonode Touch Sensor Modules.
Slide 17: 7-Eleven Goes Holographic in Japan
2022 - 11 - 10 17 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) 7 - Eleven Goes Holographic in Japan Holographic checkouts in selected 7 - Eleven stores offer a totally touch - free experience where customers scan their goods, then finalize their purchase by simply poking the air to intera
Slide 18: Holo Industries and ASKA3D Develop Holographic POS Payment System with Mastercard
2022 - 11 - 10 18 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) Holo Industries and ASKA3D Develop Holographic POS Payment System with Mastercard Using Neonode Touch Sensor Module https://www.holoind.com/2022/09/13/holographic - payment - terminals - the - new - way - to - pay - %F0%9F%92%
Slide 19: HY-LINE Virtual Keyless Keyboard
HY - LINE Virtual Keyless Keyboard The AnySurface keyboard developed by HY - LINE is an innovative solution for alphanumeric input anywhere it is needed. The keyboard can be placed on any surface material where it then realizes a ‘virtual keyboard’ feature over the surface using Neonode’s infrared t
Slide 20: Neonode Enables Touch on Narrow Format Displays
2022 - 11 - 10 20 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) Neonode Enables Touch on Narrow Format Displays for the Next Generation of Compact Kiosks Ink Innovation releases one of the worlds slimmest self - service kiosks on the market to make space for the things that matter most – t
Slide 21: Neonode Enables Touch Interaction on Medical Ultrasounds for Global OEM
Neonode Enables Touch Interaction on Medical Ultrasounds for Global OEM Elix Systems creates retrofit display frames for use on displays in medical ultrasound systems to facilitate more confident diagnosis of patients. 2022 - 11 - 10 21 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON)
Slide 22: Events – Neonode and Partners
Events – Neonode and Partners 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 22 © Neonode 2001 - 2022 · www Witekio Event United Kingdom Vehicle Displays & Interfaces Symposium United States Liftex 2022 United Kingdom Gitex 2022 United Arab Emirates Auto HUD China (Online) Co
Slide 23: Japan Build Expo
2022 - 11 - 10 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) 23 Japan Build Expo
Slide 24: Agenda
Agenda 2022 - 11 - 10 24 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 1. Q3 2022 Financial Results 2. Strategy and Business Update 3. Concluding Remarks 4. Q&A Neonode Inc. Q3 2022 | November 10, 2022
Slide 25: Concluding Remarks
Concluding Remarks • Sales revenues and net results in Q3 2022 better than in Q3 2021 • Cash flow Q3 2022 improved compared to Q3 2021 and to the preceeding quarters 2022 • We and our partners still have to navigate several issues that slow down or hinder our growth o COVID - 19 related lock - downs
Slide 26: Agenda
Agenda 2022 - 11 - 10 26 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 1. Q3 2022 Financial Results 2. Strategy and Business Update 3. Concluding Remarks 4. Q&A Neonode Inc. Q3 2022 | November 10, 2022
Slide 27: Thank you
2022 - 11 - 10 27 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON) info@neonode.com neonode.com Subscribe to Neonode newsletter 2022 - 11 - 10 27 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) Thank you.
Slide 28: Appendix
Appendix 2022 - 11 - 10 28 © Neonode 2001 - 2021 · www.neonode.com · Nasdaq (NEON)
Slide 29: Non-GAAP Financial Measures
Non - GAAP Financial Measures 2022 - 11 - 10 © Neonode 2001 - 2022 · www.neonode.com · Nasdaq (NEON) 29 In addition to presenting our financial results in accordance with accounting principles generally accepted in the United Sta tes (“GAAP”), we use adjusted gross margin to measure our financial pe