A review of Thermal Energy International's (TSX-V: TMG) fiscal 2017 year end and fourth quarter financial results and growth strategy.

1. 1
TSX-V: TMG | September 2017
Fiscal 2017 year end
and Q4 financial
review and update

2. 2
This presentation includes “forward-looking information”. For example, statements
about the opportunities for repeat business, additional orders, entry into new markets
and growth of recurring revenue streams; order backlog; introduction of new products
and services and growth opportunities and strategies are all forward looking
information. Such forward looking information reflects Thermal Energy International’s
(“TEI”) current expectations with respect to future events and are based on
information currently available to management. Forward-looking information involves
significant known and unknown risks, uncertainties and assumptions. Should one or
more of these risks or uncertainties materialize, or should assumptions underlying the
forward-looking information prove incorrect, actual results, performance or
achievements could vary materially from those expressed or implied by the forward-
looking information contained in this presentation.
Readers should not place undue reliance on forward-looking information. The
forward-looking information is made as of the date of this presentation and TEI does
not assume any obligation to update or revise it to reflect new events or
circumstances, except as required by law.
Forward-looking statements

3. 3
Year end revenue
($ millions)
0
2
4
6
8
10
12
14
FY 15 FY 16 FY 17
$13.2
FY 2017 highlights:
 Record revenue
 Up 6.4% over FY 2016
 GEM revenue up
28.6% over FY 2016
 Heat recovery
revenue down 9.4%
versus FY 2016

4. 4
Year end gross profit
($ millions)
0
1
2
3
4
5
6
7
8
FY 15 FY 16 FY 17
$7.4
FY 2017 highlights:
 Record gross profit
 Up 9.5% over FY 2016
 Gross margin of 56.4%
versus 54.8% in FY
2016
 Higher proportion of
GEM revenue

5. 5
Year end EBITDAS and net income
($ thousands)
-2400
-2000
-1600
-1200
-800
-400
0
400
800 $750
-2400
-2000
-1600
-1200
-800
-400
0
400
800
$393
FY 15 FY 16 FY 17 FY 15 FY 16 FY 17
EBITDAS Net income

6. 6
Q4 revenue
($ millions)
0
1
2
3
4
5
Q4 15 Q4 16 Q4 17
$4.8
Q4 2017 highlights:
 Revenue up 15.3%
over Q4 2016
 GEM revenue up
35.4%
 Heat recovery revenue
up 1.2%

7. 7
Q4 gross profit
($ millions)
0
0.5
1
1.5
2
2.5
Q4 15 Q4 16 Q4 17
$2.4
Q4 2017 highlights:
 Gross profit up 16.2%
over Q4 2016
 Gross margin of 50.0%
versus 49.7% in Q4
2016
 Boosted by strong
GEM sales during the
quarter

8. 8
Q4 EBITDAS and net income
($ thousands)
-400
-300
-200
-100
0
100
200
300
400
500 $463
-400
-300
-200
-100
0
100
200
300
400
500
$354
Q4 15 Q4 16 Q4 17 Q4 15 Q4 16 Q4 17
EBITDAS Net income

9. 9
Order backlog up 23% from a year ago
Order backlog: The
value of projects in
respect of which
purchase orders have
been received but have
not yet been reflected as
revenue in the
Company’s published
quarterly financial
statements.
At the time of reporting year end in September of each year
($ millions)
0
2
4
6
8
10
FY 15 FY 16 FY 17
$9.0

10. 10
Recent & planned growth initiatives
Increase penetration in
key markets
FY2017: Three new sales
people/territories (Ontario,
Latin America, Germany)
FY2018 and Beyond:
Alberta, Texas, Germany,
France, Eastern Europe
Introduce new products
FY2017: Super-Efficient
Cogeneration™
FY2018 and Beyond:
 Dry-Rex low-temp.
biomass drying
 Indirect heat recovery
 Direct fired water
heater

11. 11
Support agents/distributors
in secondary markets
Increase penetration in key
strategic markets
Corporate / Sales Office Agent / Distributor
Growing global presence
* Company has engineering offices in Ottawa and Bristol (U.K.)

12.  Strategic growth in key
markets (NA and EU)
 Opportunistic growth in
secondary markets
 Corporate accounts
 Strategically targeted sectors
 Alternate distribution
channels
 New products and services
Grow organically
and/or through
accretive
acquisitions
Growth strategy
Strong market fundamentals,
enormous growth potential
12

13. 13
Highlights
13
Enormous, fast-growing
market with strong
fundamentals
Proprietary products sold
to leading companies in
many sectors
Poised to continue strong
track record of growth
1
2
3

14. 14
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