Electric Energy Conversion Solutions
UQM Technologies, Inc. March 2016 1
Forward-Looking Statements Electric Energy Conversion Solutions
This presentation contains statements that constitute “forward-looking statements� within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. These statements appear in a number of places in this presentation and include statements regarding our plans, beliefs or current expectations; including those plans, beliefs and expectations of our officers and directors with respect to, among other things, gaining required certifications, new product developments, future orders to be received from our customers, sales of products from inventory, future financial results, liquidity and the continued growth of the electric-powered vehicle industry. Important Risk Factors that could cause actual results to differ from those contained in the forward-looking statements are contained in our Form 10-K and Forms 10-Q, which are available through our website at www.uqm.com or at www.sec.gov.
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UQM at a Glance Electric Energy Conversion Solutions
Market Cap of $26.75M with no debt. Broad end-market exposure with focus on the commercial mass transportation market. Strong global footprints with over 40+ years of experience in the EV Market. Strong China focus with short and long-term growth opportunities.
Business Snapshot as of March 3, 2016 Founded:
1967
Headquarters:
Longmont, CO
Employees:
56
Nasdaq Ticker:
UQM (NYSE)
Stock Price:
$ 0.64
Avg. Daily Volume:
217,631*
Market Cap:
$ 31.01M
Shares Outstanding:
48.44M
TTM Revenue:
$ 5.08M
Fiscal Year End:
March 31
Enterprise Value:
$ 22.14M
Website:
www.uqm.com *Avg. Vol (3 month).
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UQM Overview Electric Energy Conversion Solutions
Leading Energy Technology Company focused on complete energy conversion technology solutions for electric vehicles (all-electric, hybrid electric, plug-in-hybrid) and fuel cell applications.
Provides a Complete Electric System Solution with motor, controller and software technology for customers across a variety of different end-markets. Products that offer performance, size, weight, price, efficiency and other functional advantages, superior to other competitive systems. Our Markets include commercial truck, bus ,military, and niche automotive markets.
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Experienced Management Team Electric Energy Conversion Solutions Joe Mitchell, President & Chief Executive Officer 25+ years experience in senior operational management in the automotive sector 15 years E-drive experience with Continental Auto, Siemens, Ballard Power and Ford Motor Co.
David Rosenthal, Chief Financial Officer 30+ years experience in public and privately held companies Previously Director, President and Chief Executive Officer, Cyanotech Corporation
Adrian Schaffer, Vice President of Sales and Business Development 25+ years in sales and marketing in the automotive business Previously VP of Sales for Linamar and sales executive with Motorola in the vehicle market
Josh Ley, Vice President of Engineering 20+ years engineering experience in automotive sector focused on electric motor design Dual Major, Electrical and Mechanical Engineering, MBA
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Key Investment Themes Electric Energy Conversion Solutions
Well-positioned to benefit from continued market adoption of electric vehicles. The newly formed partnership with ITL Efficiency Corporation positions UQM well to further expand business opportunities in China.
Strong Cash Position with a clear path to profitability. Solid balance sheet with a clear path to profitability.
World-class manufacturing facility with high volume production capacity.
World Class withteam high with volume production capacity. StrongFacility management significant industry experience and deep technical knowledge of the motor and controller business.
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Manufacturing Expertise Electric Energy Conversion Solutions
UQM HQ - 130,000 sq. ft. facility Flexible assembly lines fully validated for high production volumes ISO/TS 16949 Certified (highest level quality certification for automotive industry) ISO 14001 Certified 7
Technology Leadership
Innovative solutions for
electrifying Electric Energy vehicles Conversion Solutions
• To date UQM has invested over $100 Million in E-drive Technology – US Department of Energy Partnership - $40 Million Contribution • Multiple State of the Art Product Platforms Ready for deployment • Advanced Technology Development – Surface Permanent Magnet and Interior Permanent Magnet motors – Non-Rare Earth PM motors – Advanced Software control – Multiple Patents and IP • Advanced Test and Validation Infrastructure • State of the Art Volume Manufacturing Facility
Technology and Infrastructure fully funded and in place for UQM to take advantage of this growth market 8
Core Technology: The PowerPhase速 Technology
Electric Energy Conversion Solutions
Motor- High levels of torque and efficiency, smaller external dimensions and lower weight than competing products. Competitively priced while providing outstanding performances. Controller- High power operation (650 Arms and 750 VDC), four-quadrant control, reduced switching losses (relevant to conventional technology), adaptive switch timing control, controller area network (CAN) capability. Software- Maximized output and efficiency, decrease energy consumption and increase the range of battery electric vehicles. An important part of UQM intellectual property portfolio. Customized- Create motors and controller solutions, tailored to customer-specific requirements.
UP TO 95% TOTAL SYSTEM EFFICIENCY
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Core Business Strategic Areas Electric Energy Conversion Solutions
Buses, Cars, Trucks & Others
Propulsion Systems
Auxiliary Products Compressors, Generators, DC-DC
Services Engineering & Remanufacturing
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New Products Technology PowerPhase速
- Advantages
Electric Energy Conversion Solutions
For Motors, Controllers & Software High Power Density
Smaller and Lighter Weight
High Efficiency
Consumes Less Energy
High Energy Permanent Magnet
Higher Performance
Patented Adaptive Software
Greater RPM Range
A System Greater than the Sum-of-its-Parts 11
Propulsion Systems - Commercial Vehicle Market
Electric Energy Conversion Solutions
Light- to Medium-Duty* Drive Systems - Main Products PowerPhase Pro速 100 300 Nm peak torque, 160 Nm continuous torque 100 kW peak, 60 kW continuous motor power
PowerPhase Pro速 135 320 Nm peak torque, 160 Nm continuous torque 135 kW peak, 80 kW continuous motor power
Next Generation of PowerPhase速 Products
UP TO 95% TOTAL SYSTEM EFFICIENCY
Leading edge features and performance Reduced size for easier packaging Provides higher efficiency across a broader range of operating conditions
12 *Truck, Van and Passenger Car
New Products Propulsion Systems Electric Energy Conversion Solutions
- Commercial Vehicle Market
Medium- and Heavy-Duty* Drive Systems - Main Products PowerPhase HD速 220 700 Nm peak torque 220 kW peak, 120 kW continuous motor power Operating voltage from 250 to 440 VDC Maximum speed 6,000 RPM
PowerPhase HD速 950T (High Torque) 950 Nm peak torque 144 kW peak, 100 kW continuous motor power Operating voltage from 250 to 440 VDC Maximum speed 4,500 RPM
PowerPhase HD速 250
UP TO 95% TOTAL SYSTEM EFFICIENCY
900 Nm peak torque 250 kW peak, 150 kW continuous motor power Operating voltage from 450 to 750 VDC Maximum speed 5,500 RPM *Bus and Truck
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Propulsion Systems - Supply Contracts & Long Term Agreements ITL Efficient Energy Tech Company Ltd.
• •
• •
Electric Energy Conversion Solutions
10 year China supply agreement 2016 certification with volume production in 2017
Production Supply for Chinese explosion proof mining vehicles Initial delivery in CY 2015 with 2016 certification • •
Long term agreement signed in 2013 All-electric buses with North America mkt focus • •
• • • •
All-electric shuttle vans Numerous applications from delivery to passenger
Began refurbish program in late 2012 36 unit Hybrid bus fleet with over 4 million miles
Long term agreement signed in late 2012 Fleet of UPS pure EV vehicles in service
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Propulsion Systems - Penetrate Numerous EV Applications
Electric Energy Conversion Solutions
Applications Trucks, Vans
Buses
Passenger Cars
China
China
China
Other 15
Propulsion Systems
3 Segment - Commercial Market
Electric Energy (quick introduction) Conversion Solutions
Key sector and focus. China is a significant short term opportunity. The market provides a key opportunity for volume production and growth. Medium-heavy duty market is expected to grow from 16,000 in 2014 to nearly 160,000 in 2023 with the majority of this growth in China.
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Propulsion Systems
Electric Energy 3 Segment (quick - Technology Advantages in Chinaintroduction) Conversion Solutions
• Technology adoption curve in China now favors UQM. • China subsidies has shifted to emphasize: – Efficiency and reliability – Based on kW/h, power density and capacity • Focus on technology changes the competitive landscape. • First milestone reached (with ITL). • A growing interest in our systems in the China market.
New Technology Formula
Favorable Incentives
China New Energy Vehicle Mandates
High Growth Commercial EV Market
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New Products Propulsion Systems Electric Energy Conversion Solutions
UQM Customers On The Road 6-8 Meter Bus & Medium duty Truck
Automotive & Light Truck • • • • • •
Passenger Cars Vans and Light Trucks Front or Rear Drive Transverse Mount Vehicle Weight up to 4,000 KG PP Pro 100/135
• • • • • •
Light to Medium Duty Bus and Truck Fleets 6-8 meter buses Vans Cargo Trucks Rear wheel Drive Vehicle Weights Up to 7,000 KG PP Pro 135/HD 220
10-12 Meter Bus and Heavy duty Truck • • • • • •
Large Buses Medium and Heavy Duty work Trucks Refuse Trucks Large Cargo Trucks Vehicle Weights Up to 18,000 KG HD 220/ HD250
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Auxiliary Products
Electric Energy 3 Segment (quick introduction) Conversion Solutions
Fuel Cell Compressor Systems • • • •
Key component of hydrogen powered fuel cell vehicles. Designed for light duty automotive/commercial bus application for 75kW-150kW fuel cell stacks. Long term durability, low lifetime operational cost. Products, R340 and R410.
Generators & Integrated Systems • •
Engineered to perform as both motor and generator (PowerPhase Systems). Features: user selectable torque and speed control, liquid cooled, built-in safety features, application-friendly graphic user interface and diagnostic software and real time data logging.
DC-DC Converters • • •
Small and lightweight converters, operate over voltage range of 250-425 VDC. Products: DC12-120L, DC12-160L, DC24-60L and DC24-80L. Hybrid and Full Electric Applications.
Aircraft AC System Motors • • •
Air conditioning compressor drive systems. Integrated motor/inverter/controller contained in one compact package. Capable of operating up to 8,000 rpm.
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Services Electric Energy Conversion Solutions
Renewed Focus Within The Company Funded Engineering Continuing to pursue other opportunities for funded engineering, aligning with and support the UQM technology roadmap for future product applications.
Remanufacturing Multiple remanufacturing contracts with Air Comm, RTD and Ballard.
Continuing execution on the non-rare earth project funded by the DOE.
After Sales Support Key revenue and profit center moving forward.
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Financial Overview Summary Electric Energy Conversion Solutions
Revenue growth with current customer base and new opportunities Strong product contribution margin (>50%) Flat SG&A Solid balance sheet with no debt No current tax obligations (NOL) The business model has significant operating leverage 21
Electric Energy Conversion Solutions
UQM Technologies, Inc. March 2016 22