This document is an investor presentation by Avigilon Corporation that summarizes the company's mission, products, addressable market, competitive advantages, and intellectual property portfolio. Avigilon's mission is to be the world's most trusted business intelligence and security solutions company. It provides end-to-end security solutions including video analytics, video management software, network video recorders, IP and analog cameras, and access control systems. The global video surveillance and electronic access control market is large and growing, expected to reach $28.2 billion by 2019.
1 of 23
Download to read offline
More Related Content
Avigilon investor-presentation-nov-2015-final
1. 息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
INVESTOR PRESENTATION | NOVEMBER 2015
2. Nov 15 | page 2
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Disclaimers
Certain information and statements in this presentation contain and constitute forward-looking information or forward-looking statements as defined under applicable securities laws (collectively, forward-
looking statements). Forward-looking statements normally contain words like believe, expect, anticipate, plan, intend, continue, estimate, may, will, should, ongoing and similar expressions, and
within this presentation include, without limitation, the information under the heading Guidance and any statements (express or implied) respecting: Avigilons mission, strategies, and objectives; projected
growth, revenues, expenses, capital expenditures, and earnings; trends, opportunities, growth, and Avigilons competitive advantages within its industry; Avigilons plans to consider acquisitions; Avigilons
product and research and development plans; product functionality, suitability, and performance; potential cost reductions; the addition and retention of personnel; the expansion of Avigilons sales reach;
increases to brand awareness and market penetration; strategies respecting intellectual property protection; the strength and projected growth of Avigilons intellectual property portfolio; the outlook for and
strategies respecting Avigilons patent licensing program; and the expansion, development, and adequacy of Avigilons facilities. Forward-looking statements, including the Guidance, are provided for the
purpose of presenting information about management's current expectations and plans relating to the future and allowing investors and others to get a better understanding of our anticipated financial
position, results of operations, and operating environment. Readers are cautioned that such information may not be appropriate for other purposes. Forward-looking statements are not guarantees of future
performance, actions, or developments and are based on expectations, assumptions, and other factors that management currently believes are relevant, reasonable, and appropriate in the circumstances.
Management has based the forward-looking statements on estimates and assumptions that it believed were reasonable at the time, including without limitation, assumptions regarding Avigilons business,
products, financial position, and industry, and those assumptions discussed in detail in Avigilons Annual Information Form dated March 3, 2015 (the AIF) and Managements Discussion and Analysis for
the Three and Nine Months Ended September 30, 2015 dated November 3, 2015 (the MD&A), each of which is available under Avigilons profile on SEDAR at www.sedar.com. Although management
believes that the forward-looking statements are reasonable, actual results could be substantially different due to the risks and uncertainties associated with and inherent to Avigilons business, products,
financial position, and industry. Important risks that could cause such differences include, but are not limited to, those discussed in detail in the AIF and in the MD&A. In particular, more information about the
risks and uncertainties affecting Avigilons business is provided in the Risk Factors section of the AIF. Although Avigilon has attempted to identify factors that may cause actual actions, events or results to
differ materially from those disclosed in the forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, predicted, estimated or intended. Also, many
of the factors are beyond Avigilons control. Accordingly, readers should not place undue reliance on forward-looking statements. Avigilon undertakes no obligation to reissue or update any forward-looking
statements as a result of new information or events after the date hereof except as may be required by law. All forward-looking statements herein are qualified by this cautionary statement.
息 2015, Avigilon Corporation. All rights reserved. AVIGILON, the AVIGILON logo, AVIGILON CONTROL CENTER, HIGH DEFINITION STREAM MANAGEMENT (HDSM), and TRUSTED BUSINESS
INTELLIGENCE AND SECURITY are trademarks of Avigilon Corporation. Other product names mentioned herein may be the trademarks of their respective owners. The absence of the symbols and 速 in
proximity to each trademark in this document is not a disclaimer of ownership of the related trademark. Unless stated explicitly and in writing, no license is granted with respect to any copyright, industrial
design, trademark, patent or other intellectual property rights of Avigilon Corporation or its licensors.
This presentation includes content supplied by IHS Inc.; Copyright 息 IHS INC., 2015. The use of this content was authorized in advance by IHS. Any further use or redistribution of this content is strictly
prohibited without written permission by IHS. All rights reserved. No representation or warrant, expressed or implied, is or will be made in relation to, no responsibility or liability is or will be accepted by IHS
as to, or in relation to, the accuracy, reliability, or completeness of this information and IHS expressly disclaims any and all responsibility or liability for the accuracy, reliability and completeness of such
information. Such information has been prepared as at a particular date and there is no obligation for IHS to update such information
3. Nov 15 | page 3
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Our Mission
Be the worlds most trusted
business intelligence and
security solutions company
4. Nov 15 | page 4
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
We Provide End-to-End Security Solutions
Video Analytics
Video Management
Software (VMS)
Network Video
Recorders (NVR)
IP Cameras
(1MP up to 30MP)
Analog Encoders
Access Control
Internet Local Area Network
NVR w/ VMS
Analog Video Encoder
& Analog Cameras
IP Cameras
Access Control
5. Nov 15 | page 5
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Security Needs are Everywhere
STADIUMS HOSPITALS CRITICAL
INFRASTRUCTURE
AIRPORTS PORTS RETAIL
BANKS OFFICES LAW ENFORCEMENT
& PRISONS
CASINOS TRANSPORTATION SCHOOL CAMPUSES
6. Nov 15 | page 6
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Large and Growing Addressable Market
Public safety
Asset protection
Liability management
Regulatory compliance
2015E 2019E
US$19.7B
US$28.2B
Source: IHS Inc., 2015
Global Video Surveillance and Electronic Access Control
7. Nov 15 | page 7
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Delivering Greater ROI for Customers
Solving the problems that
matter most to our customers at
a lower total cost of ownership
8. Nov 15 | page 8
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Superior Image Quality and Coverage
Case Studies: go to http://avigilon.com/case-studies/
1280 pixel (px) X 720px
1 MP Camera coverage
2592px X 1944px
5 MP Camera coverage
7360px X 4128px
30 MP Camera coverage
Ten Avigilon 30 megapixel cameras can cover the equivalent of 330 1 megapixel cameras.
9. Nov 15 | page 9
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Detect and Prevent through Video Analytics
User is notified
immediately
HD video analytics camera
or appliance detects an
intruder
User reviews
event via mobile
or central station
User responds
in real-time
Talk down via phone &
camera-linked speaker
On-site security, central station or
law enforcement called to respond
Intruder flees or
is apprehended
or
10. Nov 15 | page 10
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Integrated Access Control
Simplified architecture provides
access control at a lower cost:
o Less hardware
o Easy installation
o Greater ease of use
Video integration provides added
value:
o Multi-factor authentication
o Prevent tailgating
o Detect, flag, and capture unusual activity
11. Nov 15 | page 11
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Intellectual Property
We believe we have the industrys
strongest patent portfolio covering:
o Video Analytics
o HD Video Surveillance
o Integrated Access Control
281* US and international patents
285* US and international patent
applications
Patent licensing program
o High margin
o Recurring royalty revenue
High margin
software and
patent licensing
revenue counters
commoditization of
hardware
* As at September 29, 2015
12. Nov 15 | page 12
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Made in North America
US Manufacturing Facility operational in Q4 2015
o >C$500M capacity
Canadian Manufacturing Facility
o >C$500M capacity
Key Advantages:
o Higher Quality
o New Products to Market Faster
o Shorter Lead Times
o Preferential access to Government projects
o IP Protection
13. Nov 15 | page 13
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Go-to-Market Strategy
Global Reseller Network
>2,000 active resellers
Global Sales Team
Selling in more than 120 countries
Supported by Inside Sales Department and Sales Engineers
Business Development Department
o Focused on longer lead time enterprise opportunities
14. Nov 15 | page 14
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
$0.24
$0.27
Adjusted EPS
Q3 2014 Q3 2015
16.4
18.9
Adjusted EBITDA
Q3 2014 Q3 2015
71.0
95.1
Revenue
Q3 2014 Q3 2015
Q3 Results Summary
$ Millions CDN
34%
15% 13%
15. Nov 15 | page 15
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Trailing 12 Months Performance
44% 46% 47% 48% 49% 49% 50% 51% 52% 54% 56% 56% 57% 57% 57% 58% 58%
9% 11% 11% 9% 11% 13% 14% 15%
18% 20% 20% 20% 20% 20% 19% 19% 18%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
0
50
100
150
200
250
300
350
$MillionsCDN
Revenue Adjusted EBITDA Gross Margin Adjusted EBITDA Margin
For the Quarter Ended
2012 2013 2014 20152011
16. Nov 15 | page 16
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
5.2
16.9
32.3
60.0
100.3
178.3
271.4
247.8
339.8
2008 2009 2010 2011 2012 2013 2014 2014 2015
International
North America
Revenue
Year-ended December 31
93% CAGR
$ Millions CDN
For the twelve-month period
ended September 30
37%
17. Nov 15 | page 17
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Adjusted Earnings and Adjusted EBITDA
0.3 1.1
3.9
8.2
24.4
37.2
33.2
39.2
0.4
2.8
6.6
12.7
34.9
54.3
49.0
62.7
2009 2010 2011 2012 2013 2014 2014 2015
Adjusted Earnings
Adjusted EBITDA
Year-ended December 31
$ Millions CDN
For the twelve-month period
ended September 30
Adjusted Earnings: 162% CAGR
Adjusted EBITDA: 167% CAGR
18. Nov 15 | page 18
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Delivering Long-term Growth
$500MAnnual revenue run rate
target by end of 2016*
$380M
Annual revenue run rate
Q3 2015*
*$CDN
19. Nov 15 | page 19
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Growth Strategy
Into new markets
o APAC and LATAM
Increase coverage in
established markets
o NA and EMEA
Grow Business
Development Department
Expanded trade show
presence
Focused marketing
initiatives
Strategic advertising
Centers of Excellence to
leverage deep talent
pools in Boston, Dallas,
and Vancouver
Continue to bring new
products and features to
market faster
Continue to identify cost
reductions
Grow our patent portfolio
Increase Brand Awareness Accelerate InnovationExpand Sales Reach
Proven and Successful
20. Nov 15 | page 20
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Acquisitions to Support Continued Growth
US$17M acquisition of RedCloud
Security, Inc. in May 2013
Innovative provider of web-based,
physical and virtual access control
systems
Open IP platform; integrates physical
security with identity management
IP Portfolio: added 2 patents and
2 patents pending
Fully integrated into Avigilon system in
January 2014 and rolled out as Avigilon
Access Control Manager
US$31M acquisition of VideoIQ, Inc.
in January 2014
Leader in real-time intelligent video
analytics
Commercially proven, proprietary
technology includes live detection,
event verification and self-learning
Strong IP portfolio: added 40 patents
granted or pending internationally
Experienced development team
Full three phase integration expected
to be complete in 12-18 months
US$80M acquisition of the entire patent
portfolio and patent licensing program of
ObjectVideo, Inc. in December 2014
o Strongest video analytics patent portfolio in
the industry including 76 US and
international patents, and over 50 US and
international patent applications
o Established IP licensing program with
19 licensees including Sony, Panasonic,
Bosch, Hikvision, Pelco, FLIR Systems,
and Sensormatic
Announced US$13M acquisition of 96 US
and international patents and 25 US and
international patent applications from four
unrelated vendors in January 2015
Avigilon now holds 281* US and international patents,
and 285* US and international patent applications
Patent Acquisitions
* As at September 30, 2015
21. Nov 15 | page 21
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Summary
Positioned for
continued
growth
Strong Team
Proven Strategy
Large & Growing
Market
Best-of-Breed Products
Well Financed
22. Nov 15 | page 22
息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Recent Awards
BCTIA Company of the Year
2012
TSX Tech Stock of the Year
2012
Ranked among the Fastest Growing
Canadian Tech Companies
2010, 2011, 2012, 2013, 2014 & 2015
Leadership Award and Advancing
Technology and Innovation 2014
Ranked among the Fastest Growing
Tech Companies in North America
2011, 2012, 2013, 2014 & 2015
Ranked among the Fastest Growing
Companies in Canada
2013 & 2014
23. 息 2015 Avigilon Corporation. All rights reserved.
AVIGILON and the AVIGILON logo are trademarks of Avigilon Corporation. Other product
names and trade names mentioned herein may be the trademarks of their respective owners.
Thank you.