Orbit Proprietary Information - mayafiles.tase.co.il · sponsorship of, these other parties. Orbit...
Transcript of Orbit Proprietary Information - mayafiles.tase.co.il · sponsorship of, these other parties. Orbit...
Significant Profitable Growth Opportunity in M bil B db d T ki & T l tMobile Broadband, Tracking & Telemetry
Orbit TechnologiesJuly 7, 2011
Avi Cohen - President & CEO
Safe Harbor Statement
The forward-looking statements contained herein reflect management's currentviews with respect to future events and financial performance. These forward-looking statements are subject to certain risks and uncertainties that couldcause the actual results to differ materially from those in the forward-lookingt t t ll f hi h diffi lt t di t d f hi h b dstatements, all of which are difficult to predict and many of which are beyond
the control of Orbit, including, but not limited to, those risks and uncertaintiesdetailed in Orbit' periodic reports filed with the Israeli Securities ExchangeCommission Orbit undertakes no obligation to publicly update or revise anyCommission. Orbit undertakes no obligation to publicly update or revise anysuch forward-looking statements to reflect any change in its expectations or inevents, conditions or circumstances on which any such statements may bebased or that may affect the likelihood that actual results will differ from thosebased, or that may affect the likelihood that actual results will differ from thoseset forth in the forward-looking statements.This presentation contains trade names, trademarks and service marks of other
i W d t i t d di l f th ti ’ t dcompanies. We do not intend our use or display of other parties’ trade names,trademarks and service marks to imply a relationship with, or endorsement orsponsorship of, these other parties.
Orbit Proprietary Information
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Company Highlights
Mission-Critical Communication Systems
Mobile Satellite Communications Systems
Tracking & Telemetry Solutions
Communication Management Systems
Headquartered in Israel, Global presenceq , p
Offices in US, UK & Singapore
Global network of over 100 integrators● Orbit HQ● Orbit OfficeGlobal network of over 100 integrators
US manufacturing capability
Li t d th T l A i St k E h
● Maritime Integrators
● Aerospace Partners
Listed on the Tel-Aviv Stock Exchange
Orbit Proprietary Information
Orbit Technology at a Glance…
Share Price (3Y)
Shareholders
35.47%נייס - 7.22%אלביט מערכות 326.54%אורביט
אביב תל 44יתר 26נאסדאק97% 20%
Total outstanding shares - 9,244,081
Total outstanding options -1,074,391
44.4%
1.1%
26.6%
Zeev Stein
Management
Migdal
26.20%נאסדאק 44.97%יתר תל אביב
2010 ($000) % Change vs. 2009
Revenue $53,309 15%
Gross Profit $19 500 36 6% 38%
6 4%
5.5%
1.3% Phoenix + Excellence
Psagot
Israeli Institutions
Orbit Technologies
O bit C i ti
Gross Profit $19,500 36.6% 38%
Operating Profit $4,374 8.2% 84%
Net Profit $4,101 7.7% 94%
EBITDA $5,786 10.9% 59%
Orbit Proprietary Information
3.5%6.3%4.9%6.4% Orbit Communication
Public
Mobile Satellite Communications
We depend on Internet Access for Business and for Personal Welfare
ERPERPSecurity& SafetySecurity& Safety
Remote MedicineRemote Medicine
Navigation Weather
Navigation Weather
Remote SupportRemote Support EmailEmail Phone CallsPhone Calls NewsNewsVideo CallsVideo Calls FunFun
Satellite Communication Provides Internet Anywhere on the Globe
yypppp
Provided You Have a Stabilized Antenna…
Orbit Proprietary Information
Mobile Satellite Communications Systems
• Over 3500 maritime SatCom installations in cargo, leisure, O&G, cruise and navies• Trusted provider of SatCom systems for Defense and Commercial markets
LandLand MaritimeMaritime AirborneAirborne
• Available products in Ku, C and X Bands with Global capabilities
TrainsTrainsTrainsTrains CargoCargoCargoCargo NaviesNaviesNaviesNavies UAVUAVUAVUAVOil & GasOil & GasOil & GasOil & Gas
CommercialCommercial DefenseDefense
Orbit Proprietary Information
Tracking & Telemetry Solutions
• Decades of experience in state-of-the-art systems for the most demanding T&T applications• Breakthrough multi-band RF capabilities, innovative tracking controller and algorithms
MaritimeMaritimeLandLand
R dR dR dR d UAV C&CUAV C&CUAV C&CUAV C&C Fli ht T l tFli ht T l tFli ht T l tFli ht T l t St bili dSt bili dSt bili dSt bili dS t llit I iS t llit I iS t llit I iS t llit I iRadarsRadarsPositioningPositioning
RadarsRadarsPositioningPositioning
UAV C&CUAV C&CUAV C&CUAV C&C Flight TelemetryFlight TelemetryFlight TelemetryFlight Telemetry Stabilized Stabilized TelemetryTelemetryStabilized Stabilized TelemetryTelemetry
Satellite ImagingSatellite ImagingSatellite ImagingSatellite Imaging
CommercialCommercial DefenseDefense
Orbit Proprietary Information
Communication Management Systems
• Over 1800 airborne deployments in Fighters, Intelligence, Transport and Tanker aircraft• Leading digital audio management technology with wireless capability
AirborneAirborne
Fi htFi htFi htFi htT kT kT kT k Milit T tMilit T tMilit T tMilit T tI t lliI t lliI t lliI t lliC i lC i lC i lC i l FighterFighterFighterFighterTankerTankerTankerTanker Military TransportMilitary TransportMilitary TransportMilitary TransportIntelligence Intelligence & Patrol& Patrol
Intelligence Intelligence & Patrol& Patrol
Commercial Commercial TransportTransport
Commercial Commercial TransportTransport
DefenseDefenseCommercialCommercial
Orbit Proprietary Information
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Mobile Satellite Communications
Oil & Gas• Demanding segment: mission-critical• Sensitive to regulation• Sensitive to regulation• Rigs and support vessels
Government• Tactical/operational needs• Strong Orbit positiong p
Commercial Cargo Ships• Cost-sensitive giant segment• Large growth opportunity
Leisure/Cruise Ships, Mega Yachts• Smaller segments, high adoption of VSAT
Commercial Fishing• Demanding high sea dynamics
Trains• Requires low-profile antennas
Orbit Proprietary Information
q p• Remote areas coverage and high-speed trains
Tracking & Telemetry
Flight Test Telemetry• Real-time bi-directional communication
M ltiple freq enc bands• Multiple frequency bands
Commercial Space Telemetry• Vital data and video from space vehicle during launch
Earth Observation (Remote Sensing)• LEO satellite Command & Control
• Data acquisition and tracking from multiple ground/sea stations
LEO satellite Command & Control
UAV Control & Telemetry• Tracking systems for real-time data from UAV
Stabilized Wireless Communications• P2P high-bandwidth communication where at least one of the points is in motion
g y• Demand for portable systems for land or sea operation
• P2P high-bandwidth communication where at least one of the points is in motion• 3-axis stabilization operates in high humidity and saltiness conditions
Airborne Broadband Communications
Orbit Proprietary Information
• Broadband reliable satellite communication• Small profile antenna designed to operates in extreme ambient conditions
Communication Management Systems
Combat• Minimal “head down” and simple operationMinimal head down and simple operation
Milit T tMilitary Transport• Wireless cabin intercommunications • Largest segment
Mission (Tankers, ISR and Maritime Patrol)• Red/Black separation for secure classified information• High quality of sound• High quality of sound
Commercial Aviation• Certification by regulatory authorities• Controlled by integration giants bundling with avionics • Price sensitive
Orbit Proprietary Information
Our Growth Engines
Well Positioned in Emerging
Well Positioned in Emerging
Well Positioned in Navies
Well Positioned in Navies
Leveraging Our Success to Grow
C t
Leveraging Our Success to Grow
C t
Superior Technology Resulting in
Superior Technology Resulting ing g
Markets (BRIC)
g gMarkets (BRIC)
in NaviesWorldwidein NaviesWorldwide
Customer Service
Revenues
Customer Service
Revenues
Resulting in Revolutionary
Products
Resulting in Revolutionary
Products
Demand for Always-On Broadband Driving
Demand for Always-On Broadband Driving Space IndustrySpace Industry:
Diversified and ResilientSpace IndustrySpace Industry:
Diversified and ResilientMultiple Solutions for
Growing CC44ISRISR MarketMultiple Solutions for
Growing CC44ISRISR MarketMaritime SatComMaritime SatComMaritime SatComMaritime SatComDiversified and ResilientDiversified and Resilient Growing CC44ISRISR MarketGrowing CC44ISRISR Market
Orbit Proprietary Information
Space Industry: Diversified and Resilient
“The space industry will continue to grow as a reliable mode of global information
Ground Stations Earth Observation COTM – (Communications On The Move)
The space industry will continue to grow as a reliable mode of global information exchange, making it integral to the 'total connectivity solution‘”…
“In the 1991 Gulf War, the US Military utilized 99 Mbps of Satellite Communications, in 2003 a smaller US force used 3200 Mbps of Satellite Communications, a 60 fold increase per
Commercial Space
Launchersp psoldier. This continues to increase, with some experts indicating a 300 fold increase by 2030”
“Even in economically challenging times the Space industry has proven resilient. This ili t th ff t f i d liti l t il i d t th di t
Launchers
resilience to the effects of economic and political turmoil is due to the diverse customer base for Space-enabled services, from commercial telecommunications, weather forecasting, global transport networks, military operations, civilian emergency services and environmental monitoring” Space Jam: The Space Market" – F&S Nov 20, 2010
“The Global space economy continued to demonstrate strong growth in 2010, increasing by 7.7%...” “Revenue from commercial infrastructure and support industries increased by 13% in 2010, reaching a total of $87.39 billion.”… “The Earth observation data and VAS markets are expected to grow at an average rate of about 8% per year
Orbit Proprietary Information
data and VAS markets are expected to grow at an average rate of about 8% per year, reaching $1.8 billion and $2 billion respectively by the end of 2019.”
The Space Report 2011: Space Foundation
Demand for Always-On Broadband Driving Maritime SatComMaritime SatCom
1600
Maritime SatCom Revenues ($M) 40%
Annual VSAT Terminals Deployed
189 218 250 288 374 505708
991
1,387
400600800
1000120014001600
10%
20%
30%
40%
1,000
2,000
3,000
4,000
5,000
Grow
th %
SAT
Term
inal
s
189 218 250 288
0200400
0%-
1,000
10 11 12 13 14
VS
New Installs Replacements Growth %
Business productivity, operational needs and crew welfare drive maritime VSAT growth
Frost & Sullivan: Maritime Satellite Communications 2009COMSYS: Maritime VSAT Report 2nd Edition 2010
Analyst estimates for 2011-2012 growth vary between 22% and 40%
ERPERPSecurity& SafetySecurity& Safety
Remote Medic.Remote Medic.
Navigation Weather
Navigation Weather
Remote SupportRemote Support EmailEmail
PhoneCalls
PhoneCalls NewsNews
VideoCallsVideoCalls
EventLogging & Regulation
EventLogging & Regulation
Orbit Proprietary Information
Orbit Solutions for Growing C4ISR Needs
IntelligencePTP Field
CommunicationsNaval SatCom
Reconnaissance UAV C&CSatellite Imaging
Airborne SatComMissile Telemetry
“Without the use of C2/C4ISR equipment, even the most powerful military force will be fighting blind and in disarray. As a result, the market for C2/C4ISR systems is guaranteed to be strong, almost regardless of the prevailing economic conditions”… …“the CAGR for the global C2/C4ISR market from 2011 to 2021 will be 6%”…
Visiongain – The C2/C4ISR Systems Market 2011-2021
“U S DoD C4ISR budget 2011 is $43 3 billion This is a $600 0 million increase over the U.S. DoD C4ISR budget 2011 is $43.3 billion. This is a $600.0 million increase over the 2010 budget. C4ISR spending continues to account for about 6.1 percent of the total DoD budget.”… "Intelligence activities of all types will have the largest growth rate through 2015.“ Frost & Sullivan – U.S. DoD C4ISR Markets, 2010
Orbit Proprietary Information
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Large and Diverse Customer Base
Satellite CommunicationSatellite CommunicationSatellite Communication
End Users
Prime Contractors
Integrators & Service Providers
Orbit Proprietary Information
Large and Diverse Customer Base (cont.)
Tracking & TelemetryTracking & TelemetryTracking & Telemetry
End Users
Prime Contractors
Orbit Proprietary Information
Large and Diverse Customer Base (cont.)
Communication Management SystemsCommunication Management SystemsCommunication Management Systems
End Users
Prime Contractors
Orbit Proprietary Information
Navies and Coast Guards Choose OrbitA
UK NavyTVRO
Italian NavyOrSat-Ku & X
French NavyOrSat-Ku &
Sweden NavyOrSat-Ku
Dutch NavyTVRO
EMEA AL-7108-C & Ku
Greece NavyOrSat-Ku & X
Spanish NavyTVRO
Sweden NavyOrSat-Ku
Polish NavyOrSat-Ku & X
Scot Fisheries ProtectionOrSat-KuOrSat Ku
C
Indian NavyOrSat-Ku,
India Coast Guard
Indonesia NavyOrSat-C
APA
C TVRO & other TVRO
Singapore NavyOrSat-Ku
Vietnams NavyOrSat-Ku
Korean NavyTVRO
cas
US NavyTVRO &
AL 7109 C
US Coast GuardTVRO
Am
eric AL-7109-C
Brazilian NavyTVRO
Peruvian NavyOrSat-Ku
Orbit Proprietary Information
End Users Choose Orbit
PETROBRAS Chose Orbit SatComTh It li N Ch O bit S tC PETROBRAS Chose Orbit SatCom
Brazil’s O&G industry h O bit th h
The Italian Navy Chose Orbit SatCom
The Italian Navy chose O bit th h S l chooses Orbit through
Gilat, Radiomar and others
Orbit through Selex Communications, a Finmeccanica company.
Orbit Proprietary Information
End Users Choose Orbit (cont.)
Marine Atlantic Chose Orbit SatComMarine Atlantic Chose Orbit SatComMarine Atlantic requested Orbit SatCom systems for their ferries through The Italian Navy chose Orbit through Infosat, a Telesat subsidiary
Princess and Costa Cruises, both Carnival Corporation companies, chose Orbit through Harris Corporation
Orbit Proprietary Information
End Users Choose Orbit (cont.)
The Indian Ministry of DefenceThe Indian Ministry of Defence Chose Orbit Tracking & Telemetry
The Indian Ministry of Defence t d O bit T&T l ti i
The US Department of Homeland Security Chose Orbit CMS
The Sierra Nevada requested Orbit T&T solutions in a number of classified projects contracted to the Israeli Aircraft Industries
The Sierra Nevada Corporation was contracted to integrate Orbit’s systems as part of a contract for Multirole Enforcement Aircraft avionics and sensor.
http://findarticles com/p/articles/mi 6712/is 66 243/ai n39397772/
Orbit Proprietary Information
http://findarticles.com/p/articles/mi_6712/is_66_243/ai_n39397772/
Diversified Mission-Critical Vendor
Products & Systems Multiple Applications
T&T21% SatCom
43%
CMS36% FY 2010 Results
Serving Diverse Customers Americas, 34%
Global Reach*
Revenue split according to product families is disclosed on annual base only
Commercial44%
Defense, 56%
34%EMEA, 22%
FY 2010 Results
APAC, 14%Israel,
31% FY 2010 Results
Orbit Proprietary Information
*we believe that about 75% of Orbit’s sales in Israel are to prime contractors whose systems are marketed outside of Israel
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
TVRO (TV Receive Only) Portfolio
AL-7203
Ku-Band Lin/Cir
Antenna: 0.82m
AL-7204
Ku-Band Lin/Cir
Antenna: 1.30m
AL-7205
Ku/C-Band Lin/Cir
Antenna: 1.50mRadome: 1.05m Radome: 1.52m Radome: 1.95m
AL 7207 AL 7208 AL 7209AL-7207
Ku/C-Band Lin/Cir
Antenna:Radome:
2.00m2 90m
AL-7208
Ku/C-Band Lin/Cir
Antenna:Radome:
2.40m3 35m
AL-7209
Ku/C-Band Lin/Cir
Antenna:Radome:
2.80m3 98m
Orbit Proprietary Information
Radome: 2.90m Radome: 3.35m Radome: 3.98m
Current VSAT (Broad Band) Portfolio
*
OrSatKu/X-Band
AL-7108C/Ku-Band
AL-7109C-Band
Antenna:Radome:
1.15m1.30m
Frequency (Ku):
Antenna:Radome:
2.4m4.5m
Frequency:
Antenna:Radome:
2.8m4.8m
Frequency:Frequency (Ku):• Tx: 13.75-14.5 GHz (extended)
• Rx: 10.95-12.75 GHz
Polarization: • Linear
Frequency:• Tx: 5.9-6.4 GHz• Rx: 3.7-4.2 GHz
Polarization: • Circular
Frequency:• Tx: 5.9-6.4 GHz• Rx: 3.7-4.2 GHz
Polarization: • Circular & Linear
System G/T:• 19dB/K° @ 11.7 GHz
BUC:• 4W, 8W, 16W
System G/T:• 17.5dB/K° @ 3.95 GHz
BUC:• 20W, 40W, CFE up to 200W
System G/T:• 18.5dB/K° @ 3.95 GHz
BUC:• 20W, 40W, CFE up to 200W
** for Ku configuration
Orbit Proprietary Information
Celebrating over 1000 OrSat Shipped!
Over 1000 deployments on Navy Ships, Oil Rigs, SupplyVessels Cargo Ships Mega Yachts & Fishing VesselsVessels, Cargo Ships, Mega Yachts & Fishing Vessels
Setting the Standards for Stabilization, RF Performance,R li bilit & E f O tiReliability & Ease of Operation
Orbit Proprietary Information
Satellite Regulation: A Crowded Sky
2⁰ Angular Separation2⁰ Angular Separation
Orbit Proprietary Information
Satellite Regulation: Preventing Interference
The GEO Satellites are located 2 degrees apart
Side Lobes
35,680km’s
GEO
Antenna Radiation Patterns
GEO
Geostationary Earth Orbit (GEO)
Orbit Proprietary Information
2011 VSAT Portfolio
AL-7103 OrSat
Ku/X-Band
AL-7107 OrBand™
C/Ku-Band
AL-7110 OrMax™
C-Band
Antenna:Radome:
1.15m(45”)1.30m(50”)
Antenna:Radome:
2.2m (88”)2.7m (106”)
Multi-polarization, Electrically
Antenna:Radome:
3.1m (122”)3.8m(149”)
M lti l i ti El t i llFrequency (Ku):• Tx: 13.75-14.5 GHz (extended)• Rx: 10.95-12.75 GHz
Polarization:
Switchable C-band feeds:• LIN (V/H) • CIR (L/R)• LIN/CIR (V/H/L/R)
G/T (C-Band):
Multi-polarization, Electrically Switchable C-band feeds:
• LIN (V/H) • CIR (L/R)• LIN/CIR (V/H/L/R)Polarization:
• Linear
System G/T:• 19dB/K° @ 11.7 GHz
BUC:
( )• 18 dB/K (measured, complete system
Including Radome)
BUC (C-Band):• 20W, 40W, 100W
System G/T:• Over 21dB/K, calculated incl. radome
BUC:• 20W, 40W, 100W, CFE
• 4W, 8W, 16W Weight• 600 Kg (1,300Lb.)
including radome & BUC
Weight• To be Announced
Orbit Proprietary Information
Tracking Solutions
Telemetry Systems
1m, S-Band 2m, L & S-Band 7.3m, X & S-Band 5.1m, S-Band
Maritime Applications
1.0m, C-Band EL/AZ 1.8m, S-Band EL/AZ
Orbit Proprietary Information
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Growth
Strong
OrganicOrganic
Growth Significant l iplayer in
targeted segments
Targeted
St t i
segments
Strategic
M&A
Orbit Proprietary Information
Our Organic Growth Engines
Well Positioned in Emerging Markets
India/C4ISR
Well Positioned in Emerging Markets
India/C4ISR
Well Positioned in Navies WorldwideWell Positioned in Navies Worldwide
Grow Customer Service Revenues
Grow Customer Service Revenues
Revolutionary Products
T l t
Revolutionary Products
T l tIndia/C4ISR12% - 16%
Brazil/O&G25% - 30%
India/C4ISR12% - 16%
Brazil/O&G25% - 30%
10% - 15%10% - 15% 25% - 40%25% - 40%Telemetry
15% - 30%C-Band SatCom25% - 40%
Telemetry15% - 30%C-Band SatCom25% - 40%
Demand for Always-On Broadband Driving
Demand for Always-On Broadband Driving
Space IndustrySpace Industry: Diversified and Resilient
Space IndustrySpace Industry: Diversified and Resilient
Multiple Solutions for Growing CC44ISRISR Market
Multiple Solutions for Growing CC44ISRISR Market
Maritime SatComMaritime SatCom
66% % -- 1414%%
Maritime SatComMaritime SatCom
66% % -- 1414%%22% - 40%22% - 40%
g
55% % -- 88%%
g
55% % -- 88%%
Orbit Proprietary Information
Taking Market Share in Growing Markets
Outperforming the Industry Growth Rate
Tracking & Telemetry SolutionsTracking & Telemetry Solutions
50%Booking
50%2009 2010
Maritime SatCom
19% 26% 30%2008 2009 2010 2011
Driven by Brazil O&G growth+ major Navy and Commercial wins
Revenues
Orbit Proprietary Information
Growth
Strong
OrganicOrganic
Growth Significant l iplayer in
targeted segments
Targeted
St t i
segments
Strategic
M&A
Orbit Proprietary Information
Vision Leadership Challenge…
to ApplicationsFrom Infrastructure… pp
M i S t
Navigation & Weather
Marine Satcom
Audio Call Management
Crew Welfare
Remote MedicineFrom providing
th t k…to providing a software
application platform
the network… application platform
for marine services
Video Monitoring & Security
Remote Training & Support
Remote ERPOrbit Proprietary Information
Inorganic Growth through Acquisitions
Acquire a marine software company and establish a “ t f ll ” i d t t i d t
Applications
“center of excellence” in order to create industry-specific solutions (VAS’s) leveraging our products and
position creating recurring revenue stream (SAS)
Acquire a company to improve our access into the US defense market and increase our business
U.S. Platform
US defense market and increase our business
Orbit Proprietary Information
Orbit Corporate Structure and IPO
Orbit TechnologiesLtd
Israel
US
Orbit Technology is organized as a holding company and traded on the Tel A i E h Ltd.
(TASE:ORBI)
100%
US
Europe
Aviv Exchange. Orbit Communication Systems Ltd.,
presently a subsidiary of Orbit Technology
Orbit Communication Systems Ltd.
NASDAQ IPO
Technology A pure play in the Mobile Satellite
Communications and C4ISR Markets - All business is conducted via this entity
100% 100%
All Orbit personal are employed by this company
We have chosen to take Orbit Communication Systems Ltd public on
Orbit Communication Ltd.
Orbit Communication Systems Inc.
Communication Systems Ltd public on the NASDAQ in order to: Provide the capital to enable us to take
advantage of the substantial growth opportunities that we see in these
Orbit Communication Systems Europe Ltd
OrTesLtd
100%50%opportunities that we see in these markets.
Establish this company as a pure-play US LISTED company limiting any confusion
d d l li ti
Orbit Proprietary Information
Systems Europe Ltd.Ltd.around any dual-listing
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Orbit CS Management Team
AviAviCohenCohen
AviAviCohenCohen
Ze’evZe’evSteinSteinZe’evZe’evSteinStein
President and CEOPresident and CEO
CohenCohenCohenCohenChairman of the BoardORBIT Technologies
Chairman of the BoardORBIT Technologies
VP OperationsVP Operations
YaronYaronAharonAharonYaronYaron
AharonAharon
SVP R&DSVP R&D
ErezErezShabirowShabirow
ErezErezShabirowShabirow
SVP BDSVP BD
YossiYossiLeviLevi
YossiYossiLeviLevi
Pres. AeroComCEO O bit CS IPres. AeroComCEO O bit CS I
IsraelIsraelAdanAdanIsraelIsraelAdanAdan
EVP & CFOEVP & CFO
ShmuelShmuelKorenKoren
ShmuelShmuelKorenKoren
PresidentSatCom BUPresident
SatCom BU
Yosi Yosi AlbagliAlbagli
Yosi Yosi AlbagliAlbagli
VP BusinessO ti A C
VP BusinessO ti A C
NissimNissimBardaBardaNissimNissimBardaBarda
ppCEO Orbit CS Inc.CEO Orbit CS Inc.
VP CMS DeputyVP CMS Deputy
JacobJacobKaplanKaplanJacobJacobKaplanKaplan
VP SatCom BUVP SatCom BU
Lior Lior WeinsteinWeinstein
Lior Lior WeinsteinWeinstein
Finance
ITLegal
SatCom BUSatCom BU
Dir HRDir HR
TzuritTzuritGolanGolanTzuritTzuritGolanGolan
Operations AeroComOperations AeroCom
DeliveryVP CMS, Deputy
AeroCom BU Pres.VP CMS, Deputy
AeroCom BU Pres.
SamuelSamuelSnirSnir
SamuelSamuelSnirSnir
VP SatCom BUDeputy BU Pres.VP SatCom BU
Deputy BU Pres.
Product MarketingCustomer Service
WW SalesWW Sales
IRFacilities
Dir. HRDir. HR
Travel
ExportDir. MarketingDir. Marketing
Gabriel Gabriel RacahRacahGabriel Gabriel RacahRacah
VP T&T, DeputyAeroCom BU Pres.
VP T&T, DeputyAeroCom BU Pres.
SnirSnirSnirSnir Custo e Se ceDelivery
WW Sales
Product Marketing
AeroCom – Aerospace Communication BUSatCom – Satellite Communication BU
CMS – Communication Management SystemsT&T – Tracking and Telemetry
Dir. MarketingDir. Marketing
Orbit Proprietary Information
Product MarketingCustomer Service
g y
We have been upgrading for the last 2 years
Very strong, experienced New Management
CEOand capable senior management team
CEO
AeroCom President
SatCom President
In 2009 and 2010, ~50
SatCom President
CFO
Operationsnew people joined the company while the HC did not change…
Operations
Complementary Talent
D li d P d t
Service
Product Marketing
R&D Delivery and Product Marketing built from scratch
R&D
HR
Program Management
Orbit Proprietary Information
Sales
Strong Financial & Operational Execution
Revenue $M50 0%7 000
Gross Profit
10.7 11.3 12.0 12.4 12.1 13.0 13.8 14.4 14.3
8 010.0 12.0 14.0 16.0
26.8%30.7%31.2% 32.8%35.7%36.6% 36.7%
37.4% 40.1%
20.0%
30.0%
40.0%
50.0%
3,0004,0005,0006,0007,000
-2.0 4.0 6.0 8.0
Q1/09 Q2/09 Q3/09 Q4/09 Q1/10 Q2/10 Q3/10Q4/10 Q1/11
0.0%
10.0%
20.0%
01,0002,000
Q1/09Q2/09Q3/09Q4/09Q1/10Q2/10Q3/10Q4/10Q1/11G P fit ($K) G P fit %Q1/09 Q2/09 Q3/09 Q4/09 Q1/10 Q2/10 Q3/10Q4/10 Q1/11
12 5% 14 0%2 000
EBITDA1 488
Net Profit $K
Gross Profit ($K) Gross Profit %
7.1%9.2%9.7%
11.6% 10.8%10.4%10.6%11.5%12.5%
6.0%8.0%10.0%12.0%14.0%
1,000
1,500
2,000
439 445 571 654 720 907
1,307 1,488
1,199
600800
1,000 1,200 1,400 1,600
0.0%2.0%4.0%
-
500
Q1/09Q2/09Q3/09Q4/09Q1/10Q2/10Q3/10Q4/10Q1/11
439 445
-200 400 600
Q1/09Q2/09Q3/09Q4/09Q1/10Q2/10Q3/10Q4/10Q1/11
Orbit Proprietary Information47
EBITDA ($K) EBITDA %
*Excluding one off income/costs
Yearly Results & 2011 Guidance
62-65
Revenue $M50 0%30 000
Gross Profit38% 41%
40.5 46.4
53.3
62-65
30.0 40.0 50.0 60.0 70.0
16.5%
30.5%36.6%
20.0%
30.0%
40.0%
50.0%
10 00015,00020,00025,00030,000 38%-41%
-10.0 20.0
2008 2009 2010 2011 Guidance
0.0%
10.0%
05,000
10,000
2008 2009 2010 2011 Guidance
EBITDA Operating Cash Flow $m
Gross Profit ($K) Gross Profit %
7.8%10.9%
0.0%
5.0%
10.0%
15.0%
2,000 4,000 6,000 8,000
3.4 6.7
-5 0
-
5.0
10.0
2008 2009 2010
-11.7% -15.0%
-10.0%
-5.0%
-6,000 -4,000 -2,000
-2008 2009 2010
-11.4 -15.0
-10.0
-5.0
Orbit Proprietary Information48
EBITDA ($K) EBITDA %*Excluding one off costs
Longer Term Financial Model
Three- to Five-year Targets2011
Product & Systems 83% 68-74%Recurring and Service 17% 26-32%Gross Margin 40% 43-46%R&D 12% 11-12%S&M 11% 11-12%G&A 7% 6-7%Op. Profit 10% 15-17%Net Profit 8% 13-15%EBITDA 12% 16-18%CAPEX 2% 1-2%CAPEX 2% 1 2%
Orbit Proprietary Information% of revenues
DA
Orbit OverviewE
ND
Markets and Position
Customer BaseAG
E
Customer Base
Products and Technology
A
Growth Strategy
Operational and Financial
Summary
Putting the Pieces Together
i ifi d i i L M k tDiversified Mission Critical Vendor
Large Market Opportunity &
Growing MarketShare
Superior h l
Share
Large & Diversified Customer Base
Technology & Solutions
InnovativeG h Strong Financial
& Operational Execution
Growth Strategy
Orbit Proprietary Information