Slide 1: First quarter 2023 Earnings presentation
First quarter 2023 Earnings presentation 11 May 2023 1 First quarter 2023 - Earnings presentation
Slide 2: Disclaimer
Disclaimer This presentation (the "Presentation") has been nor does any of them accept any responsibility for No shares or other securities are being offered produced by poLight ASA (the "Company") the future accuracy of the opinions expressed in pursuant to this Presentation. This Presentation excl
Slide 3: Today's agenda
Today’s agenda Presenting • Key events Dr Øyvind Isaksen • Introduction to poLight Chief Executive Officer Dr Isaksen has been CEO of poLight since August 2014. He has • Operations and markets review previously held several CEO positions, most recently in the publicly listed company Q-Free ASA, whic
Slide 4: Key events in the quarter
Key events in the quarter • First smartphone design-win and mass production purchase order worth NOK 2.9 million announced during the quarter • Augmented Reality (AR) cases continued to mature. Both Magic Leap 2 and LLVision use TLens® in their latest enterprise AR glasses • Follow-on order worth ap
Slide 5: poLight at a glance
poLight® at a glance Background & description Geographical footprint • Global player in tunable optics with applications in Horten Norway Tampere mobile, web cam, industrial, augmented reality, Oxford Finland medical and others UK Beijing San Jose, CA Lyon France China USA • Founded in 2005 and has
Slide 6: TLens Actuator: Enabling Smallest, Lowest Power, Fastest AF Cameras & Laser Projectors
TLens® Actuator: Enabling Smallest, Lowest Power, Fastest AF Cameras & Laser Projectors Principle of operation Implementation Piezo MEMS film Glass membrane Silicon Polymer Glass window From Gel > MEMS Wafer > TLens® > Camera module > OEM OEM´s Camera Bare TLens® Module Partners Driver ASIC Packaged
Slide 7: poLight products & technology well-suited for several applications
poLight products & technology well-suited for several applications Smartphones, wearables, Barcode/Industrial Augmented Reality (AR) Other accessories • Evolving from 1D laser to 2D • AR is expected to to grow • New opportunities are • Smartphone represent a large imaging barcode readers significant
Slide 8: TLens customer-wins
TLens® customer-wins LEION Pro Enterprise AR World-facing Camera MV-ID2016M-16T MEIZU 20 INFINITY Smart Code Reader Selfie Camera Magic Leap 2 Enterprise AR X30M-E World-facing Camera Machine Vision: Direct Park Mark Reader Mi Bunny 4 Pro Smartwatch EX 30 2D Barcode Barcode reader Max Pro UC W20 Sca
Slide 9: Operations and market review
Operations and market review 9 First quarter 2023 - Earnings presentation
Slide 10: Use case: Consumer
Use case: Consumer 10 First quarter 2023 - Earnings presentation
Slide 11: Consumer: Add-in TLens design continues to open opportunities
Consumer: Add-in TLens® design continues to open opportunities • The new camera module concept, based on add-in TLens® design, is continuing to open new opportunities for Education different applications • Several reference designs have been developed to position TLens® for various use cases Healtca
Slide 12: First smartphone design-win secured – Meizu 20 Infinity
First smartphone design-win secured – Meizu 20 Infinity • TLens® used in the Selfie Camera • Meizu 20 Infinity is a flagship phone and is expected to ship No pumping in low volume • Achieve the most compact selfie camera, instant and smooth autofocus user experience • TLens® Camera module (CM) speci
Slide 13: Smartphone design-win will increase exposure
Smartphone design-win will increase exposure • Soon a smartphone using TLens® in the market • Great opportunity for the company to demonstrate our products and reduce the potential perceived supply risk using poLight products • Consumer market remains somewhat depressed, and OEMs are experiencing lo
Slide 14: Status on consumer
Status on consumer 4 Design-win 1 Design-in laptop 8 PoC 11 Planning PoC POC = Proof of Concept 14 First quarter 2023 - Earnings presentation
Slide 15: Use case: AR
Use case: AR 15 First quarter 2023 - Earnings presentation
Slide 16: AR: Impressive position in a mega trend
AR: Impressive position in a mega trend Enterprise & Consumer • Why TLens® - Key selling points; use cases Lo gis tic • Enables ultra-compact size camera modules • Ultra-low power consumption Education • Fast focusing speed • Constant field of view (FOV) and high optical stability • No gravity impac
Slide 17: LLVISION confirm releasing enterprise AR glasses using TLens
4 April-23 : LLVISION confirm releasing enterprise Augmented Reality glasses using TLens® “TLens® has millisecond-level response time, which can provide fast auto focusing and remote video streaming experience for AR devices that need to move quickly, also allowing AI recognition results to be more
Slide 18: AR market segment continued to develop positively for poLight during the quarter
AR market segment continued to develop positively for poLight during the quarter LEION Pro Enterprise AR • TLens® is used/planned for use in both world facing camera World-facing Camera applications and display • The company is currently used in two AR enterprise products Magic Leap 2 already releas
Slide 19: Status on AR/VR
Status on AR/VR 2 Design-win 4 Design-in 6 PoC 15 Planning PoC 19 First quarter 2023 - Earnings presentation
Slide 20: Use case: Industrial
Use case: Industrial 20 First quarter 2023 - Earnings presentation
Slide 21: Barcode / Industrial
Barcode / Industrial • Opportunity pipeline for this market segment is promising and slowly growing • It will take time to develop this market and will require entry into some broader application areas • Currently five companies use TLens® in commercially available products (design-wins) • Recently
Slide 22: Status on Barcode/Industrial
Status on Barcode/Industrial 5 Design-win 0 Design-in 11 16 PoC 11 Planning PoC 22 First quarter 2023 - Earnings presentation
Slide 23: Use case: Healthcare & Automotive
Use case: Healthcare & Automotive 23 First quarter 2023 - Earnings presentation
Slide 24: Healthcare
Healthcare • New design-in : a company developing Miniature Two-photon Microscopy for commercial sale • The Xenocor (https://xenocor.com) case has developed positively during the quarter • Human trials are expected to be carried around mid 2023 • Expected market release shortly after that • The Kavl
Slide 25: Automotive – a nontrivial volume opportunity
Automotive – a nontrivial volume opportunity • In-cabin camera requirement demand new solution • Autonomous driving drives step change in camera adoption • The use case calls for non-mechanical focusing solution • During the quarter the company has been engaged in two PoC and a few other are plannin
Slide 26: Promising pipeline
Promising pipeline Design-win Project Completed PoC Ongoing PoC Planning PoC Consumer 4 (4) 0 (1) 33 (32) 5 (4) 11 (12) Augmented Reality 2 (1) 4 (6) 12 (12) 6 (4) 15 (11) Industrial 5 (5) 0 (0) 20 (18) 16 (15) 11 (11) Other (medical, automotive) 1 (1) 2 (1) 5 (3) 16 (15) 11 (13) 12 (11) 6 (8) 70 (6
Slide 27: Financial review
Financial review 27 First quarter 2023 - Earnings presentation
Slide 28: Key financials
Key financials Income statement Balance sheet summary (in NOK million) Q1 2023 Q1 2022 FY 2022 (in NOK million) Q1 2023 Q1 2022 FY 2022 Revenue 7.1 1.5 13.4 Intangible assets 23.0 30.8 24.9 Cost of sales -4.2 -0.7 -4.8 Inventories 56.8 20.7 45.6 Research and development expenses -7.6 -11.8 -32.9 Cas
Slide 29: Cash Flow
Cash Flow Q1 2023 cash flow development • Q1 cash used in operating activities was NOK 30.6 million, compared with NOK 6.0 million in Q1 2022 (NOK million) • Increased inventory by NOK 11.2 million in the quarter 84.2 -30.6 • VAT claim of NOK 11 million received in Q1 2022 • Q1 net decrease in cash
Slide 30: Outlook
Outlook 30 First quarter 2023 - Earnings presentation
Slide 31: Outlook
Outlook • High activity levels are reflected in a growing opportunity pipeline • Recently announced a design-win for smartphone case. Key reference for the company, - for all market segments • Great opportunity for the company to demonstrate TLens® and reduce the potential perceived supply risk • Co
Slide 32: Outlook, cont.
Outlook, cont. • The augmented reality (AR) market continues to develop positively for poLight • Already being used in the latest Magic Leap and LLVision AR enterprise glasses • Further it has been confirmed that TLensÒ will be included in other enterprise AR/VR glasses to be released in 2023 and on
Slide 33: Q&A and next events
Q&A NEXT EVENTS; • Annual General Meeting • Q2-23 Report 24 May 2023 17 August 2023 33 First quarter 2023 - Earnings presentation
Slide 34: Appendix
Appendix 34 First quarter 2023 - Earnings presentation
Slide 35: Management Team
Management Team Dr Øyvind Isaksen Chief Executive Officer Dr Isaksen has been CEO of poLight since August 2014. He has previously held several CEO positions, most recently in the publicly listed company Q-Free ASA, which he left in January 2014, after 7 years as CEO. Øyvind Isaksen holds a PhD in Ap
Slide 36: Board of Directors
Board of Directors Grethe Viksaas – Board Chair, independent Grethe Viksaas has had a long career in the Northern European managed service provider Basefarm AS. First as founder and CEO, and later as executive chair and member of the board of directors. Prior to Basefarm, Ms Viksaas served as CEO fo
Slide 37: Statement of income
Statement of income NOK 000 Note Q1 2023 Q1 2022 FY 2022 Sale of goods 7 121 1 471 10 034 Rendering of services 0 0 3 328 Revenue 7 121 1 471 13 363 Cost of sales -4 199 -685 -4 826 Gross profit 2 922 786 8 536 Research and development expenses net of governmental grants 6,9 -7 553 -11 750 -32 907 S
Slide 38: Balance sheet
Balance sheet NOK 000 Note Q1 2023 Q1 2022 FY 2022 ASSETS Property, plant and equipment 10 526 3 566 10 748 Intangible assets 8 23 036 30 811 24 855 Right-of-use assets 3 599 4 512 3 871 Total non-current assets 37 161 38 889 39 474 Inventories 56 768 20 695 45 577 Trade and other receivables 9 15 9
Slide 39: Cash flow
Cash flow NOK 000 Note Q1 2023 Q1 2022 FY 2022 Operating activities Profit / loss (-) for the period -16 031 -20 893 -67 644 Adjustments for: Depreciation of property, plant and equipment and right-of-use assets 415 420 1 877 Amortisation of intangible assets 8 1 819 2 567 8 522 Net finance income -