Stockholders` Meeting Presentation from December 2015
Transcription
Stockholders` Meeting Presentation from December 2015
Quantum Technologies December 2015 NASDAQ: QTWW Unleashing Innovation Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 FORWARD-LOOKING STATEMENTS This presentation contains certain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1985. Forward-looking statements often address our expected future business and financial performance, and often contain words such as “may,” “could,” “will,” “should,” “assume,” “expect,” “anticipate,” “plan,” “intend,” “believe,” “predict,” “estimate,” “forecast,” “outlook,” “potential,” or “continue,” or the negative of these terms, and other comparable terminology. These forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this presentation. Various risks and other factors could cause our actual results to differ materially and adversely from those contemplated by the forward-looking statements including, without limitation, the growth in and adoption of the use of compressed natural gas in truck and vehicle applications. The factors that may affect our results are listed in certain of our press releases and disclosed in our public filings with the SEC. The Company disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this presentation to reflect any change in management’s assumptions, beliefs or expectations or any change in events, conditions, or circumstances upon which any forward-looking statements are based. 2 Unleashing Innovation Driving transformational change using innovative, clean vehicle technologies over the past 20 years Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 A Leader in Advanced Fuel Systems and Storage Technologies Expertise: CNG storage tanks and systems Publicly-traded since 2002 (Nasdaq:QTWW) Employees: 160 Innovate, design, engineer, and manufacture CNG tanks and fuel storage systems within 150,000 square foot campus in Lake Forest, CA Strong customer relationships and expanding commercial alliances 3 Unleashing Innovation An industry leader in Type IV CNG and H2 storage tanks, systems, and technologies Industry-Leading Type IV Storage Technology Certifications GRPE (EIHP) NGV-2 Reiji Kijun FMVSS 304 ECE R 110 Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 4 Unleashing Innovation Our Competition Storage Efficiencies – L/Kg for CNG Tanks 5.13 3.90 3.55 2.77 2.26 Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Quantum Q-Lite® 5 Unleashing Innovation Our Impressive History in Innovating Storage System Technology Q-Lite® 5,000 psi CNG storage Achieved record H2 storage efficiency Quantum has been driving innovative storage system technology since 1999 First to certify 10,000 psi H2 storage tank to international standards Certified allcomposite Type IV lightweight CNG storage technology Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Introduced compressed H2 at 5,000 psi Proprietary Q-Lite® Patented fiber placement technology Optimized CNG/H2 storage efficiency 1999 2015 6 Unleashing Innovation Quantum is the first company to certify a 5,000 psi CNG tank Optimizing Storage Density Using 5,000 psi Pressurization Q-Lite® 5,000 psi A 5,000 psi tank, compared to traditional 3,600 psi pressurization, provides the following advantages: Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Energy density for virtual pipeline, marine, and ground storage applications Storage capacity and system efficiency for trucking, mining, and locomotive 7 Unleashing Innovation Strong IP portfolio established over the past 20 years Our Intellectual Property Key IP in core competencies Natural gas storage and metering Fiber Placement for storage vessels Proprietary manufacturing methodologies Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 8 Unleashing Innovation Lake Forest, CA – Tank Production Facility Expanded tank production capacity Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 9 Unleashing Innovation Lake Forest, CA – Fuel Storage Systems Assembly Quantum designs and manufactures fuel storage system modules within the same tank production facility Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 10 Unleashing Innovation CNG Back-of-Cab Fuel Modules – Q-Cab123 Quantum offers the lightest-weight 3-tank back-of-cab storage system in the industry Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 11 Unleashing Innovation Q-Cab160 & Q-Cab180 High-Capacity Back-of-Cab Systems Quantum offers the highest-capacity and lightest-weight per DGE storage system in the industry, leveraging an innovative 30” diameter tank Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 12 Unleashing Innovation CNG Fuel Module – Frame Rail Mounted Quantum offers multiple versions of a rail-mounted storage system Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 13 Unleashing Innovation Deliver value through a complete systems approach Leverage our OEM-level systems and vehicle-level engineering, quality control processes, and advanced product and quality planning Value to Customer As a Tier 1 OEM-level supplier, Quantum has a history of delivering value through tanks and systems Our “System Platform” Strategy Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Tanks Storage Modules Systems Vehicle Integration Leveraging Quantum’s System Capabilities 14 Unleashing Innovation Building value through delivering systems to our customers Evidence Our Systems Strategy is Working Established over 30 new customers for Q-Cab LITE and Q-Rail LITE systems Quantum systems going on trucks for every OEM Expanding market share Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 15 Unleashing Innovation CNG growth and adoption is being driven by many factors What is Driving the CNG Heavy-Duty Truck Market? CNG is the cheapest transportation fuel available Expanding infrastructure New innovations and engine technologies Emission standards, carbon credits, incentives Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 16 Unleashing Innovation Ryder announces numerous customer wins in 2014-2015 for natural gas vehicles Strong Commercial Alliances Ryder partners with Quantum to offer new technology for compressed natural gas truck fleets 5-year exclusive master supply agreement signed in 2014 Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 17 Unleashing Innovation Applying Storage Systems Technology into Multiple Markets Quantum’s Q-Lite tank and systems technology can be applied across many industry segments Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 18 Unleashing Innovation Quantum Virtual Pipeline Product – QVP650 Quantum’s VP650 has dual 1” 3,600 psi high-flow receptacles and dual ½” 5,000 psi fill receptacles Highest-capacity available: 645,000 SCF Operates at 3600, 4200, or 5000 psi Type IV Q-Lite Technology 3,600 psi 4,200 psi 5,000 psi Competing System 3,600 psi Water Volume (L) 49,262 49,363 49,465 49,250 Gas Volume (SCF) 526,735 580,743 645,272 526,612 Gas Mass (lbs) 24,530 25,340 30,050 24,524 Operating Pressure (psi) 3,600 4,200 5,000 3,600 Diesel Equivalent (DGE) 3,641 4,014 4,460 3,640 Std 45' Trailer Std 45' Trailer Std 45' Trailer Std 40' Trailer Quantum VP650 Single control to open and close all tanks Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Container on Trailer Dimensions 19 Unleashing Innovation Expanding industry reach through commercial alliances Quantum and GAIN Clean Fuel Form Industry Alliance No money down program for fleet operators Cooperative and coordinated sales and marketing Targeted build-out of 100 total stations in next 12 months Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 20 Unleashing Innovation Highly experienced team in brining natural gas vehicle systems to market Our Management Team Brian Olson, President and Chief Executive Officer CEO since 2012 CFO and Treasurer 2002-2012 20 years of experience in the advanced vehicle technology industry Mark Arold, Vice President of Operations Engineering and executive positions with Quantum since 1994 20 years of experience in the advanced vehicle technology industry Brad Timon, Chief Financial Officer CFO and Treasurer since 2012 Controller and Chief Accounting Officer 2004-2012 11 years of experience in the alternative fuels industry David Mazaika, Executive Director of Strategic Development Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 15 years of experience in alternative fueled vehicle development and commercialization Co-founder of ISE Corporation Recipient of CALSTART’s “Blue Sky Award” (1997) 21 Financial Overview Unleashing Innovation Targeting positive trend in operating performance Financial Highlights Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Expanding Revenues and Product Offerings Growth in product sales through fist nine months of 2015 Launched second generation versions of back-of-cab and rail mounted modules along with high capacity back-of cab module family (160/180 DGEs) during third quarter 2015 First Nine-Month Results Product sales grew 60% year-over-year Product margins negatively impacted by start up costs associated with second generation product launches and costs associated with first generation product retrofits; margin improvements expected in fourth quarter Lower S,G&A costs Overall backlog of $21.6 million, of which $15.2 million associated with product orders at 9/30/2015 Continued Focus on Natural Gas Vehicle Market Anticipated revenue growth in 2016 based on position within over-the-road HD truck market and commercialization of Virtual Pipeline products 23 Unleashing Innovation Achieved year-overyear revenue growth of 39% in first nine months of 2015 Results Year To Date (continuing operations) Nine Months Ended 9/30/15 Nine Months Ended 9/30/14 ($ in '000s) OPERATING RESULTS Revenue Growth % $29,337 39% $21,103 10% Gross Profit Margin % $1,870 6% $3,597 17% ($11,196) ($9,087) Operating Loss As of 9/30/15 As of 12/31/14 BALANCE SHEET DATA Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Cash & Cash Equivalents Working Capital Total Assets $2,409 $7,542 $47,881 $4,104 $5,491 $48,515 Debt Obligations: Principal & Accrued Interest Debt Discounts Total $18,209 ($3,945) $14,264 $16,859 ($4,629) $12,230 24 Unleashing Innovation Capitalization Table Sept 30, 2015 Listed on the Nasdaq Capital Market under the symbol “QTWW” Common Stock: Shares authorized Shares issued & outstanding Shares designated Undesignated shares available Shares Designated: Warrants: Total outstanding Convertible Notes: Debt principal of $12,475,000 Quality Certification: ISO 9001 ISO 14001 ISO/TS 16949 Stock Options: Total outstanding and reserved Weighted Avg Price 50,000,000 28,024,039 13,760,192 8,215,769 7,922,191 $ 4.99 5,236,312 $ 2.38 601,689 $ 7.59 25