Slides
Page 1
NextVision Stabilized Systems Ltd August 2025
Page 2
2 DISCLAIMER This presentation is provided by NextVision Stabilized Systems Ltd. (the “Company”) as a general presentation about the Company’s activities and industry. The information provided in this presentation and any other information that will be provided as part of the presentation is offered for informational purposes only and is not exhaustive of all the data about the Company and its activities and must be read together with the Company’s financial statements and its immediate reports. This presentation does not constitute an offer to buy or sell or an invitation to receive offers to purchase securities in any jurisdiction and is intended for informational purposes only. The information provided in this presentation does not constitute a basis for making an investment decision nor does it constitute a recommendation or opinion and may not substitute any deliberation of potential investors. This presentation does not include the full results and financial information of the Company nor the explanations thereto or the details of the Company’s general activity or risk factors. Hence, this presentation does not substitute an independent due diligence and personal consulting taking into account each investor’s personal situation, nor does it pretend to encompass or contain all the information that may be relevant for the purpose of making an investment decision. This presentation may include forward-looking information as defined in the 1968 Securities Law, which consists of forecasts, goals, estimates, evaluations and other information relating to future events or matters whose realization is uncertain and outside the control of the Company. Forward-looking information does not constitute a proven fact and is based on the Company’s subjective assessments and macroeconomic facts and data as are known to the Company at the time this presentation is formulated. The forward-looking information in this presentation is also based on the existing information in possession of the Company, on the Company’s current expectations and assessments regarding future developments in the Company and on the interaction of such developments with each other. The realization or non-realization of the forward-looking information is impacted among other things, by risk factors that characterize the Company’s activities and industry, as well as by general occurrences and by external factors that affect the Company’s activities, which cannot be foreseen and which are not under the Company’s control. In addition, as of the date of this presentation, it is not possible to assess the full consequences of the outbreak of the War of Iron Swords on the economy and the results of the Company’s activities. The Company cannot provide assurance that its expectations and estimates, including regarding its plans, will indeed be realized and the results of the Company’s activities may differ substantially from the results estimated or implied from this presentation, among other things, due to changes in any of the said factors. Also, the Company cannot provide assurance that its basic assumptions contingent on third parties will be realized. Therefore, readers of this presentation are cautioned that the Company’s actual future results and achievements may differ materially from those on data and information available to the Company at the time of the presentation and the Company does not undertake to update or amend any such forecast or estimate in order to reflect events or circumstances that will apply after the date of this presentation.
Page 3
3 TODAY’S PRESENTERS Chen Golan Chairman & Co-Founder Formerly: o Jet Fighter Pilot, Israeli Air Force o BA in Business Administration and Entrepreneurship, IDC Herzliya Michael Grossman CEO & Co-Founder Formerly: o Officer, Israel Defense Forces Intelligence Unit 8200 – Technology R&D o VP, R&D at SLYDE o VP, Sales & Marketing, at BL o MA in Electronics Engineering and Business Administration, Tel Aviv University Alex Lavie CFO Formerly: o Financial Controller, Lumos Global o Ernest & Young Israel o BA in business management and accounting, COLMAN Rishon LeZion
Page 4
4 * 2025 Revenue Target represents target set by NextVision Board of Directors and is not an estimate or projection. NEXTVISION STABILIZED SYSTEMS o NextVision Stabilized Systems (“NextVision” or, the “Company”) is a leader in the global market for small, stabilized video solution systems powering missions across defense, civil and commercial applications o Systems can be mounted on ground, aerial and maritime platforms and are powered by an integrated software suite that enables customers to achieve maximum cost- effectiveness o Provides a comprehensive stabilized video solution, with leading performance-to-size- and-weight ratios, at a competitive price and with high reliability o Trusted by elite operators and commercial customers around the world 72% H1 2025 Gross Margin $160M* 2025 Revenue Target $3.3B Market Cap as of July 31, 2025 >70% Revenue Growth Each of the Last Three Years Select Customers Europe 54% North America 25% Israel 15% Other 5% H1 2025 Revenue by Region
Page 5
5 PURPOSE-BUILT TO PROVIDE RELIABLE SOLUTIONS FOR NEXT-GEN PLATFORMS Mission Tocontinuouslyimprovethe offeredsolutionto meetour customers' needs while maintainingreliability Vision Tobe thefirstchoice for customers by providing groundbreakingsolutions
Page 6
6 EXPANSIVE PRODUCT OFFERING DESIGNED FOR THE MISSION Note: Numbers and multiples above NextVision’s systems represent infrared camera photo resolution (expressed in pixels) and infrared camera zoom range (expressed as a multiple of DragonEye 2 range). NextVision’s systems span an array of sensor types and system sizes, offering varied solutions for a broad range of mission profiles 115g EO ZOOM WEIGHT X40 140 g 250 g 320 g 350 g 560 g 640 g 1.5 kg 2 kg 1280 X3.6 1280 X2.6 1280 X6.2 640 X15.6 X80 VISIBLE ONLY 160g 180g170g DragonEye 2 X1 /X0.6 640 X80 Colibri2Starling 640 X1.8 X 1 640 Raven/Raven 2.5 Raptor/360Falcon Condor NightHawkUZ/360NightHawk2-V/360 25IRNightHawk2 1280 X2.6 640 X1.8 640 X1.8 Video Processing Units Ready-to-Install Mounts Retracting Solutions Third-Axis Add-on Quick Release Adapters Continuous investment in R&D and innovation support an ever-advancing product portfolio
Page 7
7 LEVERAGING TECHNOLOGY FOR SUSTAINED LEADERSHIP Research and development is in NextVision’s DNA, underpinning unmatched technological superiority across its family of systems NextVision Has Assembled an Array of Tech-Enabled Capabilities and Solutions Through Continuous Innovation Micro Gimbals PixHawk Integration Pulsed Illuminator or Pointer Thermal Cooled Camera Core (MWIR 3-5u) Visible and Cooled LWIR Optics Stabilization (Patent #8896697) Object/Area Tracking Geo Location/ Inertial Navigation Object Detection and Classification Raven 2.5 Condor TRIP 6 Thermal Uncooled Camera Core (LWIR 8-12u) Visible Camera Core
Page 8
8 New Products Released in 2025 CUTTING-EDGE TECH PIPELINE SUPPORTING TOMORROW’S BATTLEFIELD NextVision is an innovation-driven company, with two or three game-changing new solutions generally released each year Raven2.5 2kg Cooled IR with high zoom Built-in Range Finder Applicable to a variety of platforms Condor 1.5kg 3X Axes Range Finder Uncooled IR with high zoom 40 millijoule continuous pulsed illuminator NightHawk2-V360 25IR 360 Continuous Narrow Thermal Lens TRIP6SSD Next-generation platform designed to integrate user developments with NextVision capabilities Aerodynamic Design and Cooled IR ~20% of NextVision’s Employees are Solely Focused on R&D, a Testament to Its Commitment to Innovation Combined EO and Targeting Solution Enables 3rd-Party Application Integration on the TRIP6 Rounds Out NextVision’s 360 Continuous Systems Offering
Page 9
9 NEXTVISION SOFTWARE ENABLES EXTENSIVE ONBOARD PROCESSING Onboard processing is critical to operating across dynamic environments to meet every mission’s requirements Software-Enabled Capabilities Geographic Referencing Video Caching & Recording Video Compression & Streaming Image Enhancement Object Recognition Object & Area Tracking Video Motion Detection TRIP Series Video Processors Integrate Seamlessly with NextVision Hardware, Offering Applications for Virtually Every Mission
Page 10
10 COMPREHENSIVE SOFTWARE SUITE DRIVES MISSION SUCCESS Integrated Suite of Software Purpose Built for Ease of Use and Capable of Supporting the Full Mission Lifecycle o Purpose-built to maximize the operator’s mission effectiveness, situational awareness and control o Integrates seamlessly with NextVision’s products to support plug-and-play system capabilities o User friendly interface designed for ease-of-operation and minimal training requirements o Advanced embedded software features integrate seamlessly with its user-friendly interfaces and other tools o “One stop shop” system allows operators to plan, execute and review, all in the same environment Control (CCA/CCA2/CCA3) Battle-Ready Upgrades Built-In Configuration In-House Video Management Camera Control In-house control software seamlessly integrates with NextVision’s products, driving mission success Planning Intuitive UI allows planning in the same environment missions will be executed, ensuring preparedness Simulation Built-in simulation software allows operators to train as they’ll perform, perfecting cadence ahead of time Video Distribution Live screening directly from NextVision’s products, enabling continuous monitoring of progress
Page 11
11 Philippines EXTENSIVE GLOBAL FOOTPRINT IN KEY GROWTH MARKETS Belgium Brazil South Korea India Hungary Japan Spain Mexico New Zealand Norway Portugal CyprusGreece Canada France United States Chile Australia Italy Switzerland England Israel Singapore Sweden Latvia Poland Germany Moldova Romania Slovenia Netherlands Denmark Target Market: USA Further penetrate the world’s largest defense market Target Market: APAC Rapidly fielding unmanned capabilities amid broader budget growth Target Market: Europe Massive spending push following NATO commitment to spend 5% of GDP on defense by 2035 Countries with NextVision Customer Footprint Europe 54% North America 25% Israel 15% Other 5% H1 2025 Revenue by Region
Page 12
12 COMPETITIVE ADVANTAGES AND TAILWINDS FROM MARKET TRENDS Evolving Use of Unmanned Systems in Modern Warfare, with Global Leaders Taking Steps to Fill Their Arsenals Global Defense Spending is Reaching New Heights, Leading to Multi-Billion Dollar TAMs for Unmanned Systems NextVision’s Products Were Purpose-Designed to Enable Today’s Unmanned Systems A Leading Company with Field-proven Solutions and Broad Mission Relevance Trusted by the Most Demanding Customers Across a Broad Mission Set A Strong Financial Standing, Driven By a Solid Backlog and Long-standing Partnerships with Strategic Customers Strategic Positioning within the US Defense Ecosystem as an Approved Vendor within the Blue UAS Framework 12
Page 13
13 Source: Various news sources. EVOLVING USE OF UNMANNED SYSTEMS IN MODERN WARFARE… Operation Spider’s Web Operation Spider’s Web: How Ukraine Rewrote the Rules of Drone Warfare Operation Rising Lion Ungentlemanly Robots: Israel’s Operation Rising Lion and the New Way of War “Israel’s strike, like Ukraine’s earlier Operation Spider’s Web, validates how small autonomous systems – when staged forward and synchronized with long- range fire – compress the timeline to relative superiority.” – Center for Strategic and International Studies June 2025 “Military analysts say the strike, launched in the early hours of June 1, 2025, is a wake-up call – not just for Russia, but for the world. It showed how accessible, low-cost technology, coupled with sharp strategy, can deliver devastating precision from hundreds of miles away.” – Scripps News July 2025
Page 14
14 … WITH GLOBAL LEADERS TAKING STEPS TO FILL THEIR ARSENALS US Executive Order to Unleash Drone Dominance Unlocks Transformational Whitespace for Unmanned Systems o Reclassification of Group 1 and 2 drones as consumables, emphasizing that systems should ultimately be cheap and consumable o Removes legacy procurement rules, enabling officers with the rank of Colonel or Captain to independently procure and test drones o Creates a “dynamic, AI-searchable Blue List,” cataloguing approved drone components, vendors and performance ratings o Accelerates weaponization approvals, requiring a response to drone arming requests within 30 days of receipt EU Urges Rapid Drone Production to Counter Russian Threat German Military to Order Exploding Drones for the First Time, Sources Say Drones at the Forefront of the Self- Defense Forces’ Modernization Efforts Indian Army Looks to Bolster Strength With Advanced Indigenous Drones Source: Various news sources.
Page 15
15 GLOBAL DEFENSE SPENDING IS REACHING NEW HEIGHTS… Source: United States Under Secretary of Defense (Comptroller) FY2021 and FY2026 Defense Budget Materials, NATO press release titled “Defence Expenditure of NATO Countries (2014-2024)” and various news sources. The US Military is Placing New Emphasis on Low-Cost, High-Volume Drones and Backing It Up with Material Budget Dollars NATO’s Reprioritization of Defense Spending Post-Ukraine Has Unlocked Billions in Spend on Next-Gen Warfare $98 $82 $64 $35 $34 $163 $476 Germany UK France Poland Italy Others FY2024E ~$740 Billion 2021 2026+ ~2% European GDP Total US Defense Spending by Year 2024E NATO Spending by Country ($B) >$1 Trillion ~5% European GDP NATO commitment on defense spending by 2035 “We will power a technological leapfrog, arming our combat units with a variety of low-cost drones… Drone dominance is a process race as much as a technological race.” – Pete Hegseth US Secretary of Defense, July 2025 “You see now $400 Ukrainian drones taking out multi-million dollar, in terms of cost, Russian tanks… Speed is of the essence, not perfection, to get these new technologies in.” – Mark Rutte NATO Secretary General, January 2025
Page 16
16 … LEADING TO MULTI-BILLION DOLLAR TOTAL ADDRESSABLE MARKETS FOR UNMANNED SYSTEMS Source: Technavio and Global Market Insights. Note: Small Drones are those weighing less than ~25 kg. $16 $27 2025 2029 Small Drone Market ($B) $14 $24 2025 2029 Global Drone Market ($B) Drone Camera Market Size ($B) CAGR +14.3% CAGR +15.2% $45 $76 2025 2029 CAGR +14.2%
Page 17
17 Source: Technavio and various news sources. Note: Platforms shown are illustrative and not comprehensive. Platforms not to scale. SWaP2 refers to Size, Weight, Power and Performance. NEXTVISION’S PRODUCTS WERE PURPOSE-DESIGNED TO ENABLE TODAY’S UNMANNED SYSTEMS Low Cost Compared to Systems With Similar Performance Excellent Reliability and Low Maintenance Costs Fast and Easily Integrated Significantly Lower Power Consumption Compared to Similar Systems Low-Cost, Highly-Flexible Systems are Better-Suited for Today’s Rapidly Changing Security Environment Cost Performance HighLow Low High Other Competitors NextVision Serves a Highly In-Demand Portion of the Unmanned Systems Market SWaP2 “Sweet Spot” for Evolving Mission Sets Quantities Fielded 100’s 100’s of Thousands
Page 18
18 2–3 New Products Generally Launched Annually 30+ Countries Fielding NextVision Products(2) Field-Proven Technologies In Use Around the Globe (1) Active Customers defined as those customers that NextVision sells to in a given period. (2) Countries Fielding NextVision Products is as of June 30, 2025. FIELD-PROVEN SOLUTIONS WITH BROAD MISSION RELEVANCE NextVision Products in Action NextVision’s Cameras Integrated on BRINC’s Responder Platform, the First Ever Purpose-Built 911 Response Drone NextVision Products Are Spec’d-In on Uvision’s HERO Family of Loitering Munitions, Ensuring Operator Visibility NextVision’s High-Fidelity Camera is Seamlessly Integrated on Quantum Systems’ Multi-Sensor WASP Stealth Platform 150+ Active Customers, Up From ~100 at the Beginning of 2024(1)
Page 19
19 TRUSTED BY THE MOST DEMANDING CUSTOMERS ACROSS A BROAD MISSION SET
Page 20
20 (1) Active Customers defined as those customers that NextVision sells to in a given period. (2) H1/2024 Order Backlog as of August 12, 2024. H1/2025 Order Backlog as of August 10, 2025. ROBUST BACKLOG AND DEEP CUSTOMER RELATIONSHIPS DRIVE ENVIABLE FINANCIAL POSITION Revenue Gross Profit Operating Profit Net ProfitActive Customers(1) Order Backlog(2) $55.3M $73.2M H1/2024 H1/2025 +32.4% $39.3M $53.0M H1/2024 H1/2025 +34.9% $34.1M $45.2M H1/2024 H1/2025 +32.6% $30.4M $43.8M H1/2024 H1/2025 +44.0% 137 154 H1/2024 H1/2025 +12.4% $79.1M $110.4M H1/2024 H1/2025 +39.6% H1/2024 H1/2024 H1/2024 H1/2024 H1/2024 H1/2024
Page 21
21 NextVision YoY Growth Over 73% in 2022 Over 99% in 2023 Over 121% in 2024 Future Potential Revenue Drivers o Step-Change Growth in NATO Defense Spending o Global Prioritization of Low-Cost, Attritable Systems o Superior Product Offerings vs Closest Competitors Note: 2025 Revenue Target represents target set by NextVision Board of Directors and is not an estimate or projection. EXPONENTIAL REVENUE GROWTH FUELED BY UNMANNED SYSTEMS DEMAND $4.5M $7.8M $15.0M $26.0M $52.0M $115.0M $160M 2019A 2020A 2021A 2022A 2023A 2024A 2025 Revenue Target >90% 2019A – 2024A CAGR
Page 22
22 (USD, Thousands) 6 Months Ended 6/30/2025 6 Months Ended 6/30/2024 12 Months Ended 12/31/2024 Key Income Statement Items Revenues $73,243 $55,278 $114,934 Cost of Sales (20,198) (15,933) (32,044) Gross Profit $53,045 $39,345 $82,890 R&D (2,276) (1,199) (2,517) SG&A (5,559) (4,086) (7,369) Operating Profit $45,210 $34,060 $73,004 Net Profit $43,796 $30,423 $66,396 Key Cash Flow Item Capex $210 $71 $432 Note: Complies with IFRS. Financials for 12 months ended 12/31/2024 audited. Financials for 6 months ended 6/30/2024 and 6/30/2025 unaudited. H1 2025 FINANCIAL HIGHLIGHTS
Page 23
23 STRATEGIC PILLARS UNDERPINNING OUR CONTINUED GROWTH STRATEGY Leverage Strong Relationships and Consistent Value Delivery to Accelerate Customer Acquisition Within and Across Borders Focus on Reliability and Availability Prioritize Strategic Acquisitions Offering Expanded Capabilities in High-Growth Areas Pursuing Strategic Acquisitions Strong Foundation for Addressing the Needs of Our Customers Increased Investment in R&D Attract Top Talent to Fuel Continuous Innovation and Expand the Art of the Possible Across Emerging Frontiers Integrate AI Capabilities, Ensuring NextVision Remains on the Cutting- Edge of Mission Requirements Expanding AI Capabilities Expanding Our Client Base
Page 24
Thank You