KNR:NEO / KNRLF:OTCQB /  1k8:Frankfurt

Kontrol BioCloud a Safe Space Technology™

Financial Highlights

• Revenues for the second quarter of 2021 were $4.2 million, an increase of 83% from the same quarter in the prior year
• Revenues for the six months ended June 30, 2021 , were $7.5 million , up 49% over the same period in the prior year

 

LET THE NUMBERS TALKS...

 

Kontrol Sets Records Across The Board In Q3. Raises Ful Year Revenue Guidance To $43 - $46 MILLION! 

 

Kontrol BioCloud completes successful pilots, adds new distribution partner

Successful pilot with Rowing Canada Aviron

• Completed a successful pilot using multiple BioCloud units in various training locations.
• Data from the BioCloud operation mirrored the independent PCR testing completed over the duration of the pilot.

Middle East Pilot

• Following initial delays due to previously announced supply chain issues, Kontrol BioCloud commenced its operational pilot in the Middle East.
• To date BioCloud has sampled ambient air exposed to by more than 300 individuals in a medical screening facility. Current progress of the pilot has demonstrated successful collection of human RNA through real-time air sampling and monitoring applications.  
• Independent PCR testing provided through the pilot partner has validated the samples collected. 
• Kontrol is working with its pilot partner in the region to gain access to a Covid hospice or hospital for the next phase of the pilot.  

Canadian Hospital Pilot

• Kontrol BioCloud will launch its first large Canadian hospital pilot in Q2, 2021 and provide an update following the completion of the pilot.

New Distribution

• Recently added a new distribution partner in India on a non-exclusive basis. 
• The Company continues to focus on adding quality distribution partners to grow its global distribution platform.

U.S. Lease Financing

• Company has commenced discussions for a similar U.S. based lease financing program for BioCloud sales in the U.S.

Monthly Viral Detection as a service versus Capex

• BioCloud distributors have expressed the interest in providing customers with a choice of an initial purchase versus an ongoing monthly payment.
• With a small initial deposit and a monthly payment of approximately $200 customers will have a flexible financing solution to add Kontrol BioCloud to their business and operations.
• At the end of the finance term customers will have a nominal buy-out. 

Data and technology advancements

• Each BioCloud unit in operation logs thousands of data points daily in real-time.
• Through this data collection and monitoring Kontrol has been able to design advancements to the BioCloud technology.
• These advancements are considered fine-tuning and adaptive without requiring hardware changes.  
• An important advancement was achieved by fine tuning laser optics and new a new chemical bonding formulation.
• Based on laboratory testing, the new chemical bonding formulation has shown an increase of up to 10 times greater resolution than was previously capable.   

 

• Established Blue Chip Customer Base includes:
  • Beyond Meat
  • Oxford Properties
  • Brookfield Asset Management
  • Telus
  • Suncor Energy
  • ….. Many More
•  Signed Major Deal With Toyota (Tsusho Canada)
  • Targeting 200 Plants Requiring Up To $1 Million Each In Automation Retrofits MOU With Global European HVAC OEM
• Strong Revenue Growth and Recurring

Established Bluechip Customer Base 

HOW DOES KONTROL ATTRACT BLUE CHIP CUSTOMERS? RESULTS

Making buildings Smarter …. in real-time.

Kontrol Energy has a simple business model: reduce its customers’ overall energy costs while providing a corresponding reduction in GHG emissions.

SEEING IS BELIEVING

CASE STUDIES

Case Study - Toyota Tsusho Canada

• Toyota Tsusho is the trading arm of the Toyota Group that operates a diverse set of businesses that span industrial, commercial, and consumer sector
• The Toyota Tsusho joint venture has a large pipeline of 200 facilities
• Each facility could be worth an average of $150,000 of recurring revenue annually, representing approximately a $30 million pipeline of recurring revenue for Kontrol in one geography – North America.
• To date, the joint venture has projects underway in 5 facilities and is targeting 100 facilities by 2023

Case Study - Beyond Meat Beyond Meat (NASDAQ:BYND) 

 

• In January 2020, Kontrol Energy announced an initial US$150,000 order to provide Beyond Meat with a real-time analyzer and associated installation and monitoring services to assist in the rapid evaluation, measurement and validation of quality control of their patties and Improving manufacturing of final product
• Purpose of the solution is to improve operations and lower operating costs
• Beyond Meat contract represented a new market vertical with one of the world leading companies in food processing industry
• The Kontrol advantage - Lower price point with lower intrusion.  No wiring.

Technologies Most Proud of EBITDA / Net Income

• Buildings contribute up to 40% of annual GHG emissions  (Green House Gases)
• Emissions legislation is forcing building owners to reduce GHG
• Kontrol Energy reduces energy waste + GHG emissions
• Combined, energy waste and GHG emissions represent an annual addressable market of:
  • $100 Billion - North America
  • $700 Billion - Global
• Globally these problems scale the addressable market to about US $700 billion.

GROWTH INDUSTRY – PERFECT TIMING FOR KONTROL

 

 

FORECASTS

Consider some of the following forecasts:

 A)  Smart Building market to grow from US $43.64 billion in 2018 to US $109.48 billion by 2026, a 12.6% CAGR - Fortune Business Insights

B)  Global smart building market is expected to grow at a CAGR of ~15.3% from 2019 to 2026 and reach over US $160 billion of market value by 2026 – Acumen Research and Consulting

C)  Global smart building market was valued at around US $5,800 million in 2016 and is expected to reach about US$ 61,900 million by 2024 – Zion Market Research

VISION

Strategic Objective is to build $100 million + in revenues over next three years for eventual exit  

 

THE PROBLEM

MOST BUILDINGS HAVE NO INTELLIGENCE - Leads to Energy and Emissions waste of $100 Billion annually

       THE SOLUTION

INTELLIGENCE IN REAL-TIME -  How? Proprietary and patented Internet of Things (IOT), Cloud and SaaS

Kontrol Energy has three high margin revenue streams:

• SaaS
  • SaaS revenue is predictable, recurring and generally provides high margins
• Services
  • Service revenue is also recurring revenue.
• Automation/Retrofit.
  • Revenue results from projects that upgrade building energy efficiency, decrease energy demand, and/or reduce GHGs

           Products

         PATENTED ENERGY TECHNOLOGY

SmartMax®

• Can integrate with any legacy Building Automation System quickly and easily
• Proprietary gateway device that Kontrol utilizes in conjunction with SmartSite® to access data from over 15 different communication protocols
• SmartMax® is housed on-premises either virtualized or standalone
• The device scans the network for devices that it can communicate with and provides a connection to SmartSite® to publish the data to our cloud infrastructure

Smart Lan Network

• Once the installation is complete, a smart network is created
• Many more capabilities can be added in the future once the network is deployed
• A sensor can be placed on almost anything

SmartSite® : Cloud

• Data is collected, channelled through the building’s existing internet connection, and transferred to the cloud where it is analyzed and managed in real time in our SmartSite® platform

• A building energy software technology designed to assist in the operation and management of:

  • Complex heating, ventilation, and cooling systems for factories,
  • Large multi-residential, commercial, and mission critical buildings.

Through comparison and analysis to over 20 Billion data points spanning more than 200 buildings, Kontrol can quickly identify inefficiencies, savings, and mission critical risk.

SmartSite® operates as a SaaS platform and is highly scalable.

SmartSite® capabilities:

Fast installation (typically 1 hour or less)

• Immediate access to energy data
• Secure export to Kontrol’s energy management system in the cloud
• Interoperability across building automation systems and HVAC equipment
• Immediate visibility into energy demand and consumption

The SmartSite® platform is the basis for the strategic partnership with Toyota Tsusho to develop Smart Factory solutions and services.