Aeris Environmental Ltd · ASX:AEI
Aeris Environmental — Shareholder Meeting (November 2019)
40 slides from Aeris Environmental's shareholder meeting presentation, Nov 27, 2019
Slide 1: Aeris Environmental
For personal use only Aeris Environmental ASX | AEI Aeris Environmental Ltd ACN 093 977 336
Slide 2: Disclaimer & Important Information
Disclaimer & Important Information For personal use only This presentation does not constitute investment advice. Neither this presentation not the information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in Aeris Envi
Slide 3: Maurie Stang, Non Executive Chairman
For personal use only Maurie Stang NON EXECUTIVE CHAIRMAN
Slide 4: Aeris Environmental – Drivers of Value
Aeris Environmental – Drivers of Value For personal use only ❑ Fully recapitalised – clean balance sheet. No Debt. ❑ Leveraging large-scale historical R&D, product validation, and establishment of key global partnerships (paths to market). ❑ Strong momentum towards profitability. ❑ Addressing a mult
Slide 5: Capital Structure
Capital Structure For personal use only Company Name: Aeris Environmental Ltd ASX Code: AEI Current Price: 28.0 cents Trading range (last 12 months): 12.0 – 42.0 cents Total Issued Shares: 213.45 million Market Capitalisation (27/11/19): A$60.83 million
Slide 6: Heating & Air Conditioning (HVAC) Market
Heating & Air Conditioning (HVAC) Market For personal use only 10 air conditioners will be sold every ❑ Residential Air Conditioners second over the next 30 years* estimated to increase from 1.2 billion units today to 4.5 billion units by 2050 – a nearly 3.7-times increase. ❑ Aeris products lead the
Slide 7: The Hygiene and Treatment Specialist
The Hygiene and Treatment Specialist For personal use only Air Conditioning & Refrigeration Residential, commercial and Maintenance Products industrial applications Corrosion Prevention & Manufacturing, production, off- Protection shore, oil & gas Service and OEM Solutions Facilities Management & Ho
Slide 8: AerisGuard – Global Branding
AerisGuard – Global Branding For personal use only
Slide 9: Aeris Accreditation & Independent Testing
Aeris Accreditation & Independent Testing For personal use only Research Partnerships Independently Tested Quality Systems Third Party Accredited
Slide 10: HVAC Path to Market
HVAC Path to Market For personal use only North America wholesale distribution: The world’s largest mature market for air conditioning consumables. ❑ 8,500 distributor’s stores, and each sells a range of maintenance consumables. ❑ Goodman is a leading equipment manufacturer in this market. ❑ Goodman
Slide 11: The Opportunity - HVAC Consumables - USA
The Opportunity - HVAC Consumables - USA For personal use only “We are pleased to align with Aeris products Aeris has significant opportunity in North America: and technology after completion of our relationship and product evaluation process. ❏ Aeris is scaling up production for February/March We l
Slide 12: The Opportunity - HVAC Consumables - Global
The Opportunity - HVAC Consumables - Global For personal use only “Our entire team has been very impressed Aeris opportunity in Asia and beyond: with the advanced technologies and knowhow the Aeris brings to the market. In conjunction ❑ Daikin, largest air-conditioner manufacturer in Asia, with the
Slide 13: Aeris' Opportunity in China
Aeris’ Opportunity in China For personal use only ❑ China FDA (CFDA) approved products with strong product validation claims. ❑ Environment and health care are stated priorities for the Chinese government. ❑ Distribution agreement signed, products manufactured, sales and marketing commenced. ❑ Regio
Slide 14: Project in Focus – Townsville Flood '19
Project in Focus – Townsville Flood ‘19 For personal use only Good Shepard Home – Townsville ❑ Aeris engaged by Good Shepard Group to project manage and supply mould remediation program. ❑ Aeris managed 50 staff over 5 months to successfully ensure residents and staff returned to accommodation as so
Slide 15: The Indoor Environment Specialist
The Indoor Environment Specialist For personal use only ❑ Cost effective solutions for maintenance, hygiene and asset protection • Air conditioning, cold storage & refrigeration • Mould and facilities management • Corrosion prevention ❑ Extensive global patent, intellectual property and regulatory p
Slide 16: Peter Bush, Chief Executive Officer
For personal use only Peter Bush CHIEF EXECUTIVE OFFICER
Slide 17: The Aeris Advantage
The Aeris Advantage For personal use only Environmental Hygiene Outcomes ▪ Kills and prevents fungal growth ▪ Environmental, Social, Governance Cost savings ▪ Eliminate bacterial colonisation ▪ Regulatory compliance ▪ Remove contamination at source ▪ ‘Best practice’ maintenance System Optimisation ▪
Slide 18: Drivers for Adoption
Drivers for Adoption For personal use only ❑ Occupational health and safety – Model WHS Act and regulations all address safety in design, safety in operation and safety during maintenance ❑ Public Health – State-based Legionnaires disease regulations, microbial control inspection testing and mainten
Slide 19: Aeris Product Overview
Aeris Product Overview For personal use only Segment INDUSTRIAL COMMERCIAL DO IT YOURSELF Solution HVAC&R Energy Corrosion Remediation Hygiene “Green Home” Channel WHOLESALE DISTRIBUTION OEM LARGE FORMAT RETAIL ONLINE Product set Partners
Slide 20: How Aeris Engages with Customers
How Aeris Engages with Customers For personal use only Aeris targets large and growing addressable market though: ❑ Building owners & asset managers who care about asset operational cost, sustainability and safety ❑ Commercial cleaning specialists and remediators for whom quality products are key ❑
Slide 21: Aeris' 2020 Inflection Point
Aeris’ 2020 Inflection Point For personal use only ❑ All Aeris platforms now proven in commercial projects with large-scale OEMs, platinum distributors and customers. ❑ Technical and customer validation that our products outperform market leading legacy products in virtually every category. ❑ Fast g
Slide 22: Key Milestones 2019
Key Milestones 2019 For personal use only ❑ Transformative investment in USA - worlds largest market ▪ Establishment of operations base including hiring experienced team. ▪ Worldwide strategic alliance with Goodman, a division of Daikin Industries. ▪ Made, shipped and invoiced first orders (payments
Slide 23: FY2019 Results Summary
FY2019 Results Summary For personal use only ❑ Recurring, high margin product revenue ($3,750,000 in FY2019) recorded from mainly existing and new clients in Asia, the Middle East, Europe and Australia at attractive margins. ❑ Event driven mould remediation projects in Townsville, Queensland, ($3,10
Slide 24: FY2019 Revenue by Geography
FY2019 Revenue by Geography For personal use only FY2019 Revenue by Geography ❑ Record sales revenue of $6,851,000 – up 250% YOY. ❑ USA and China business’ both ‘early days’ but SE Asia, $600,000 8% progressing strongly. Middle East, $500,000 7% ❑ Gross Margin of 38% reflected mix of ‘white label’ p
Slide 25: FY2020 Year to Date – Sept '19 Quarter
FY2020 Year to Date – Sept ’19 Quarter For personal use only FY2020 Forecast Revenue by Geography ❑ Accelerating revenue momentum - invoiced sales revenue of $2.15 Mil for September 2019 quarter. Australia SE Asia 26% 19% ❑ Calendar year 2019 (nine months 1 January 2019 to 30 September 2019) revenue
Slide 26: FY2019 Expense Summary
FY2019 Expense Summary For personal use only ❑ Budgeted operating expenses for FY2020 are targeted at less than $5,500,000 per annum. ❑ Significant time and resources have been spent to establish USA, China, and Townsville capability – these business development costs should not be recurring. ❑ Path
Slide 27: USA – Air Conditioning
USA – Air Conditioning For personal use only ❑ Strong demand for USA produced, white-label air- conditioning maintenance range - including Daikin Goodman, and other key accounts in North America. ❑ Goodman advised that its’ products were well received and sold comparably or better (on a same store b
Slide 28: Global - Refrigeration
Global - Refrigeration For personal use only ❑ By 2030 ... two-thirds of the global middle class will be living in Asia(*). ❑ Refrigeration cases without AerisGuard Biofilm defence tablets have up to 243 times more bacteria growing in them. ❑ Refrigeration cases without AerisGuard Biofilm defence ta
Slide 29: China - Valuable Approvals Achieved
China - Valuable Approvals Achieved For personal use only ❑ Regulatory approvals granted for key products. ❑ China Government has stated objectives to improve healthcare delivery and the environment. ❑ Further orders of Southern Cross Aeris ‘Active’ paper range to Aus. Made Express International Gro
Slide 30: Global Mould and Facilities Management
Global Mould and Facilities Management For personal use only ❑ Ongoing validation of outstanding efficacy and performance of the Aeris products ‘in field’. ❑ Significantly increased profile amongst insurance companies and builders. ❑ Climate change creating more increasing number of severe weather e
Slide 31: Global Mould and Facilities Management
Global Mould and Facilities Management For personal use only Ongoing technical leadership…. Overgrowth (failed) Competitor B No overgrowth Competitor A (passed)
Slide 32: Global Corrosion Protection
Global Corrosion Protection For personal use only ❑ Aeris has continued to leverage its eco-friendly, and technologically leading AerisCoat corrosion coatings range. ❑ The Aeris solution is targeted at the full spectrum of factory OEM, on-site service for HVAC, including the latest micro-channel coi
Slide 33: Global Corrosion Protection
Global Corrosion Protection For personal use only Outcomes ❑ 5 years of no further corrosion (in- field). ❑ Extended asset life (up to 500%). ❑ Improved efficiency and energy savings. ❑ Reduced maintenance. ❑ Coating is 5-20% of $15-$250k capex.
Slide 34: Drivers of Shareholder Value
Drivers of Shareholder Value For personal use only ✓Aeris now reaping the benefits of the R&D program and largest product expansion in its history. ✓Each product specifically tailored for the channel and customer requirements – making them easy to use, better performing, safer, greener and more prof
Slide 35: Aeris Environmental
For personal use only Aeris Environmental ASX | AEI
Slide 36: To Consider The Financial Report
To Consider The Financial Report For personal use only To consider the Reports of the Directors and the Auditor, and the Financial Statements of the Company for the year ended 30 June 2019. This item of business is for discussion only and is not a Resolution. Comments or Questions
Slide 37: Resolution – To Elect Maurie Stang
Resolution 1 – To Elect Maurie Stang For personal use only Resolution 1 To Elect a Director – Mr Maurie Stang That, pursuant to the Company’s Constitution, ASX Listing Rule 14.4 and for all other purposes, Mr Maurie Stang, who retires by rotation as a Director, and, being eligible, offers himself fo
Slide 38: Resolution – To Accept Remuneration Report
Resolution 2 – To Accept Remuneration Report For personal use only Resolution 2 To Adopt the Remuneration Report That the Company’s Remuneration Report for the financial year ended 30 June 2019, as set out in the Directors’ Report in the Company’s 2019 Annual Report, be received, approved and adopte
Slide 39: Questions and Comments
For personal use only Questions and Comments
Slide 40: Aeris Environmental
For personal use only Aeris Environmental ASX | AEI
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