Presentation slides for the formal part of the company's annual meeting plus a review of financial performance.

1. Annual General Meeting
October 29, 2013
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2. Annual General Meeting
John Kelly, Chairman
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3. Agenda
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Call to order
Election of Directors
Appointment of auditors
Amendment to stock option plan
Close of formal proceedings
Financial results
Corporate update
Question & answer
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4. Directors and auditors
Nominated board members:
William Crossland
John B. Kelly
Donald R. Gibbs
William Ollerhead
Michael Williams
Bruce Linton
Jack Schoenmakers
Auditors:
KPMG LLP
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5. Amendment to stock option plan
To provide for automatic extension of
option expiry if an option is set to expire
during a company blackout period
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6. Financial Results
Julia Flynn, Chief Financial Officer
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7. Overview
Timing of major heat
recovery projects
Fiscal 2013
financial results
impacted by:
Fulfillment of 2 corporate
accounts in GEM®
business
Non-cash write down of
goodwill relating to GEM®
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8. Timing of major heat recovery projects
 Unlike prior 2 years, FY 2013 did not benefit from
large, multi-million dollar heat recovery projects
 FY 2011: one $3.5 million project
 FY 2012: one $5.7 million and one $2.1 million
project
 FY 2013: largest project $1 million
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9. Fulfillment of 2 corporate accounts
 Both were large corporate GEM® accounts
 Both had been fully executed / deployed after
having generated significant revenue over the
last few years
 Multinational pharmaceutical company
$2.5 million in revenue over 5 years
 Major food manufacturer
$2.8 million in revenue over 3 years
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10. Goodwill impairment
 May 2013 we recorded a $2.3M charge for
impairment of goodwill & other intangible assets
 This was a was non-cash charge
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11. Revenue – FY 2013
($000’s)
FY 2013
FY 2012
Waste energy recovery systems
4,718
9,713
GEM
3,492
3,439
TOTAL REVENUE
8,210
13,152
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12. Gross profit – FY 2013
($000’s)
Cost of sales
FY 2013
FY 2012
(3,233)
(7,504)
GROSS PROFIT
4,977
5,648
Gross Margin
60.6%
43.0%
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13. Net income – FY 2013
($000’s)
FY 2013
FY 2012
Expenses
(5,822)
(5,628)
Goodwill impairment
(2,304)
-
Finance revenue
Non-controlling interest
Tax
NET INCOME (LOSS)
108
103
24
17
192
(39)
(2,825)
101
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14. Long term sales growth
$14M
$10M
$6M
2013
2012
2011
2010
2009
$2M
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15. Q1 2014 summary
($000’s)
Total revenue
Waste energy recovery systems
revenue
GEM revenue
Gross profit
Gross margin
Net income (loss)
Variance
1,522
+76.5%
459
+225.1%
1,063
+47.5%
970
+84.8%
63.7%
+280 basis pts
(359)
+$488
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16. Working capital summary
($000’s)
May 2013
August 2013
Cash
1,304
1,078
WORKING CAPITAL
1,552
1,405
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17. Annual General Meeting
October 29, 2013
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