Innovative solutions for
electrifying vehicles
COMPANY OVERVIEW UQM Technologies, Inc.
2014
Forward-Looking Statements
Innovative solutions for
electrifying vehicles
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, orders to be received under our supply agreement with Boulder EV, EVI and Proterra, Inc., our ability to successfully develop additional products and further expand our manufacturing facilities 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 annual report on Form 10-K for the fiscal year ended March 31, 2013 and our Form 10-Q filed January 30, 2014, which are available through our website at www.uqm.com or at www.sec.gov.
Our Vision
Innovative solutions for
electrifying vehicles
To create the world’s leading motor and controller systems for hybrid and electric vehicles. Delivering the Heart of the EV
Industry Overview
Innovative solutions for
electrifying vehicles
Key Market Drivers
Innovative solutions for
electrifying vehicles
Improved Experience
Regulatory Push • US CAFE standards • Global CO2 standards • CA mandates 15.4% of new cars to be either Electric Vehicle (EV), Plugin Hybrid (PHEV) or Fuel Cells by 2025
• • • • •
Fun to drive Better mileage Lower operating costs Quiet operation Zero tail pipe emission
Political Will • Country-specific clean vehicle goals • Investment subsidies • Consumer incentives
EV Market Growth
Market Growth Accelerating
Innovative solutions for
electrifying vehicles
EV Sales Targets
Medium-Heavy Duty Market
“6 million EV’s on the road by 2020”
“The market for electric buses and taxis will multiply over 8 times in the next decade, approaching $60 billion not long after that.”
Proterra EcoRide™
Source: International Energy Agency, April 2013
Source: Hybrid and Electric Buses and Taxis 2013-2023
2013 Key Market Drivers EV sales up 486% vs. 2012 EV/PHEV sales +230% vs. 2012 8 new EV or PHEV vehicles on the road this year Tesla Model S Ford C-Max Energi Ford Fusion Energi Chevrolet Spark Honda Fit Fiat 5000e
Smart 4-2 Electric Honda Accord Plug-in
Innovative solutions for
electrifying vehicles
Strategic Priorities
Innovative solutions for
electrifying vehicles
Penetrate full range of EV markets New global customer development and current customer growth Lead the industry’s next generation of products Operational excellence Cash flow positive and profitability
Strategic Priorities
Innovative solutions for
electrifying vehicles
ďƒź
Penetrate full range of EV markets New global customer development and current customer growth Lead the industry’s next generation of products
Operational excellence Cash flow positive and profitability
Our Path to Success
Phase I Building the Foundation • R&D • Pilot programs
Phase II Market Penetration • Customers announced •Initial volume launches
Phase III Near-term Acceleration • Select strategic customers • Volume ramps
Phase IV Long-term Growth • Expand global OEM reach • Mass market penetration
Penetrate All Segments and Regions
Innovative solutions for
electrifying vehicles
Customer Growth Trucks, Vans
China
Europe
Buses
China
Europe
Passenger Cars
Other
Strategic Priorities
Innovative solutions for
electrifying vehicles
Penetrate full range of EV markets
ďƒź
New global customer development and current customer growth Lead the industry’s next generation of products
Operational excellence Cash flow positive and profitability
Global Sales Strategy
Innovative solutions for
electrifying vehicles
Target regions: United States, China and Europe Target markets: bus, truck and passenger vehicles Develop key relationships
Build upon existing brand equity
New Production Customers
Recent Milestones
Innovative solutions for
electrifying vehicles
Building Momentum
2013
• • • • • •
Boulder EV Long Term Agreement EVI Long Term Agreement Proterra EV Bus 3-year Supply Contract Audi A1 e-tron EV expands test fleet Denver RTD Hybrid Bus Order Zenith Motor Van Order
2012
• • • •
Audi A1 e-tron 2nd Phase Build Hino Truck/Bus Contract EVI UPS Contract Boulder EV Delivery Van Order
Audi A-1 e-tron
Supply Contracts & Long Term Agreements • •
Long term agreement signed in late 2012 Deliveries underway to support long-term contract
• •
Long term agreement signed in 2013 Building delivery vans for UPS and Frito Lay
• •
Long term agreement signed in 2013 Building delivery vans for UPS and DoD SPIDERS program
• •
Began refurbish program in late 2012 Hybrid bus fleet
• •
Initial deliveries underway All-electric shuttle vans
Growing Customers
Innovative solutions for
electrifying vehicles
• •
All electric vehicle with range extender Completed 2 phases of test
• •
Subsidiary of Toyota Japanese manufacturer of diesel trucks, buses and other vehicles
• •
Electric and hybrid solutions for marine applications Electric outboard motors
• •
DC to DC converters to power medium duty hybrid trucks Featured in Freightliner trucks business class
• •
NEVS (Saab) announcement of approval of the investment by Qingdao Publicity stated desire to launch EV in 2014 CY
Strategic Priorities
Innovative solutions for
electrifying vehicles
Penetrate full range of EV markets New global customer development and current customer growth
ďƒźLead the industry’s next generation of products Operational excellence Cash flow positive and profitability
New Products
Innovative Technology
High Power Density
High Efficiency
Permanent Magnet Motor and Controller
Smaller and Lighter Weight
Consumes Less Energy
Longer Range
Patented Adaptive Software Control
Greater Higher RPM Performance Range
SYSTEM GREATER THAN SUM-OF-THE-PARTS
New Products High Performance Products
Innovative solutions for
electrifying vehicles
PowerPhase速 Systems Built for a Broad Range of Applications
Full Electric
Plug-in Hybrid EV
Extended Range
Parallel Hybrid
Series Hybrid
Proterra bus EVI commercial van Boulder EV light-duty truck Audi passenger vehicle
Fuel Cell
New Products Commercial Vehicle Products
Innovative solutions for
electrifying vehicles
PowerPhase HD速 220 700 Nm peak torque
220 kW peak, 120 kW continuous motor power Full power from 370 to 450 VDC Maximum speed 6,000 RPM
PowerPhase HD速 950T (High Torque)
UP TO 95% TOTAL SYSTEM EFFICIENCY
NEW
950 Nm peak torque 144 kW peak, 100 kW continuous motor power Full power from 370 to 450 VDC Maximum speed 4,500 RPM
New Products Passenger Vehicle Products
Innovative solutions for
electrifying vehicles
PowerPhase Pro速 100 300 Nm peak torque 100 kW peak, 80 kW continuous motor power
PowerPhase Pro速 135 350 Nm peak torque 135 kW peak, 80 kW continuous motor power
UP TO 94% TOTAL SYSTEM EFFICIENCY
Next Generation of PowerPhase速 Products Leading edge features and performance Reduced size for easier packaging
Provides higher efficiency across a broader range of operating conditions
Strategic Priorities
Innovative solutions for
electrifying vehicles
Penetrate full range of EV markets New global customer development and current customer growth Lead the industry’s next generation of products
ďƒźOperational excellence
Cash flow positive and profitability
Experienced Team
Innovative solutions for
electrifying vehicles
Eric Ridenour, President and Chief Executive Officer • Chief Operating Officer, Chrysler and Board of Management, DaimlerChrysler • Previous roles at Chrysler- EVP of Engineering, VP of Premium Vehicle Team, VP of Product Planning
David Rosenthal, Chief Financial Officer Added to UQM Team in May 2013 • Previously Director, President and Chief Executive Officer, Cyanotech Corporation • Previously Chief Financial Officer of Sanz, Inc. and Hickory Farms
Jon Lutz, Vice President of Engineering • UQM Engineering executive for 19 years • Inventor/co-inventor of several of UQM’s key patents
Adrian Schaffer, Vice President of Sales and Business Development • Previously VP, Sales for Linamar • Previously senior sales executive with Motorola focused on the vehicle market
Joe Mitchell, Vice President of Operations added to UQM Team in March 2012 • 25+ years experience in automotive sector focused on operations and quality control • 11 years hybrid experience with Continental, Siemens VDO and Ballard
World Class Facility
Innovative solutions for
electrifying vehicles
130,000 sq. ft. facility featuring: •
Mixed model assembly lines allowing capacity flex between products
•
Up to 56,000 systems per year
•
ISO/TS 16949:2009 registered
Strategic Priorities
Innovative solutions for
electrifying vehicles
Penetrate full range of EV markets New global customer development and current customer growth Lead the industry’s next generation of products
Operational excellence
ďƒźCash flow positive and profitability
Road to Profitability
Innovative solutions for
Revenue up 12% YOY (excluding CODA) All products have strong positive margins Strong balance sheet* $6.3 million in cash $15.7 million in working capital
No debt Raised additional cash of $5.3 million in February 2014
Additional actions to improve liquidity Sale of prior facility - $1.56M cash plus $70K annual savings Aggressive conversion of inventory into cash *Based on 10-Q filed January 30, 2014
electrifying vehicles
Capex Requirements
Phase I Building the Foundation • DOE Grants • Low volume test production
Phase II Market Penetration •Establish manufacturing facility •Current customer launches •Cost offset by grants
Phase III Near-term Acceleration •Capex driven by new customer demand •Cost offset by grants
Phase IV Long-term Growth •Multiple global ramps •Expand manufacturing capacity
The Road to Profitability
Potential Accelerated Profitability
Profitability
Driving to Profitability
Emerging markets with strong growth Leading products Seasoned management team Global customer base
Well capitalized
Innovative solutions for
electrifying vehicles
Innovative solutions for
electrifying vehicles
COMPANY OVERVIEW UQM Technologies, Inc.
2014