Mti Wireless Edge Ltd · LSE:MWE
Mti Wireless Edge — FY2023 Earnings Presentation
20 slides from Mti Wireless Edge's earnings presentation, March 2024
Slide 1: 2023 Full Year Results Presentation
2023 Full Year Results Presentation March 2024
Slide 2: Disclaimer
Disclaimer This document is the sole responsibility of MTI Wireless Edge Ltd. (the “Company”). Allenby Capital Limited (“Allenby”), which is authorised and regulated by the Financial Conduct Authority, is acting solely for the Company as nominated adviser and joint broker and is not acting for any o
Slide 3: Global market trends driving MTI
Global market trends driving MTI UN World Water Development Report 2023 Global mobile network data traffic Severe water scarcity (EB per month) Global fresh water demand will outstrip supply by 40% by 2030 Globally, average monthly mobile data usage per smartphone is expected to reach 56 GB, rising
Slide 4: Global market trends driving MTI
Global market trends driving MTI Increased Defense budgets High Inflation and high interest rates Very low gearing Implemented scaling up price increases in services agreements renewed in 2022-23 Increased pricing underpinned by innovation 4
Slide 5: Operating Environment since October 2023
Operating Environment since October 7 2023 No significant damage to the company's activities Q4 2023 Mid Term Shock and sadness across Israel – volunteering activity, Continued stress in military reserve service – we assume reduced working force to ~80% capacity in Israel (some longer military r
Slide 6: Key events in 2023
Key events in 2023 Strong results Revenue PBT EPS Net Cash Year ended 2023 $45.6m $4.8m $4.58 Cents $8.1m Down 1% YoY Up 12% YoY Up 9% YoY Operational Up 2% on constant currency CF $3.5m Defence business Major water India released Introduction of is growing management 5G backhaul ABS® antenna projec
Slide 7: Water control & management
Water control & management 32 years 5 continents >140,000 control units of system development active in 5 continents installed in the field, in partnership with through subsidiaries managed by our software Motorola and distributors 35% water saving > 20 years 5 communication technologies is the aver
Slide 8: 2023 Highlights
2023 Highlights Water control & management Municipalities agreements renewed Market trends with increased pricing in place Irrigation Controllers Market size was valued at Management of fountain control – USD 1,021.32 Million in 2022 and is projected to good progress made grow to USD 3,140.87 Mi
Slide 9: Antennas
Antennas 60 years 5 continents >5,000,000 Antennas of antenna active in 5 continents through Installed in the field development subsidiaries and distributors including 2 manufacturing sites Air borne to submarine 20MHz – 175GHz 3 vertical commercial markets all platforms – Communication, unique spec
Slide 10: 2023 Highlights
2023 Highlights Antennas 5G Backhaul Military antenna MTI is well positioned Increased revenue in 2023 working with most of the key leading OEMs through expanded technology offering ABS ® antenna solutions Int’l markets working with nearly all Tier 1 corporations – moving from Penetration to
Slide 11: Distribution & special consulting services
Distribution & special consulting services 52 years Global supply Over 1,000 of leadership in RF & MW for over 40 leading different products distribution and special brands exclusively sold every year service consultation represented in Israel One stop shop Strategic positioning Unique offering an e
Slide 12: 2023 Highlights
2023 Highlights Distribution & special consulting services Strategic agreement for the distribution business operating well – increased orders in 2022 and 2023 Large service contract (up to $10m) is operating well – geared up since 7 October 2023 PSK had a challenging year experiencing delays
Slide 13: Focus on innovation
Focus on innovation Leading R&D Investments creating unique technology solutions Patented antenna technology – for flat, multi-band & ABS® antenna solutions In house R&D investments Robust conformal antenna technology Leading smart wireless irrigation system Motorola as an investment partner
Slide 14: Sustainability and environment
Sustainability and environment The United Nations Sustainable Development Goals (SDGs) are a key framework for our sustainability work. For us Goals 2, 5, 6, 8, 9 and 16 are the most material and provide the areas in which we can have the greatest positive impact Eradicating hunger - Gender equality
Slide 15: Global expansion
Value creating M&A Acquisition of Merger with MTI Acquisition of Acquisition of 51% Mottech Water Computers & remaining 40% of of P.S.K. WIND Solutions Software Services Mottech China Technologies Global expansion 2013 2015 2017 2018 2019 2020 2021 2022 Opening of Acquisition of Mottech China Acquis
Slide 16: 2023 key financials
2023 key financials Defence revenue Strong Diversity as strength – Long-term Focused on performance – all good growth customer base EPS growth increased to ~ 44% segments remain opportunities of total revenue profitable Long-term customer base Well Diversified Business Global reach Strong EPS growth
Slide 17: 2023 key financials
2023 key financials (in USD Millions) 2023 2022 Growth Revenue 45.6 46.3 (1%) Up 2% on constant currency Gross Profit 14.7 14.6 1% Operating Profit 4.65* 4.59 1% PBT 4.8 ** 4.3 12% Net Profit 4.08 3.85 6% Adj. EBITDA 6.16 6.06 2% EPS (in cents $) 4.58 4.21 9% (*) includes $0.2m impairment of goodwil
Slide 18: Focused on shareholder return
Focused on shareholder return Buy back programme Shareholders as of 11 March 2024 Programme initiated in January 2019 - shares held in treasury Building larger blocks of shares to satisfy growing institutional demand Borovitz Family* Level of liquidity increased significantly Public 31.8% Pr
Slide 19: Summary
Summary Increased Continued demand for Further design Continued pick up Expected defence smart irrigation and solution wins and in 5G backhaul budgets water management secured recurring solution sales growth drivers solutions revenue with PSK Strong balance Potential M&A Good pipeline of sheet with
Slide 20: Thank You!
My MT! Thank You! () Mi