Intrinsyc Investor Presentation

March 2019

Intrinsyc

Designs, Develops, and Builds

Intelligent IoT Products

Interconnecting People

And Their World.

Safe Harbor

StatementThis presentation contains statements which, to the extent that they are not recitations of historical fact, may constitute

forward-looking information under applicable Canadian securities legislation that involve risks and uncertainties. Such

forward-looking statements or information may include financial and other projections as well as statements regarding the

Company's future plans, objectives, performance, revenues, growth, profits, operating expenses or the Company's underlying

assumptions.

Actual results, performance, or developments could differ materially from those expressed or implied by the forward looking

statements contained in this presentation as a result of known and unknown risks, uncertainties, and other factors including

those identified in the Company's reports filed on SEDAR, including its Annual Information Form and financial report for the

year ended December 31, 2018. This list is not exhaustive of the factors that may affect the Company’s forward-looking

information.

These and other factors should be considered carefully and readers should not place undue reliance on such forward-

looking information. All forward-looking statements made in this presentation are qualified by this cautionary statement and

there can be no assurance that actual results or developments anticipated by the Company will be realized. The Company

disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new

information, future events or otherwise, except as required by law.

www.intrinsyc.com

Enabling

Intelligent

Connected

Devices

Industrial IoT Smart Cities Drones/Robotics Wearables

Retail/Digital Signage In-Flight Entertainment Automotive Health & Fitness

Smart Homes Military/SecurityCameras Virtual Reality

Internet Of Things

www.intrinsyc.com

Challenges in Building Intelligent Connected Devices

Access to Next-generation Computing

Technology

Volume Flexibility

Need Complex Software Development

Language and Time Zone Barriers

IP Protection

www.intrinsyc.com

Intrinsyc Solves the Critical Challenges

• Advanced Qualcomm Technology for IoT Devices

• Off-the-Shelf Computing Modules Allows for Volume Flexibility

• Preeminent Expertise in Advanced Computing Technology and

Software Development

• Vancouver Engineering Center allows for Better Collaboration with

North America Clients and IP protection

• Development Kits

• References Designs

• Production Computing Modules

• Comprehensive Design

& Development Services

Intrinsyc Solutions

Open-Q™ 845 HDK Dev Kit

Qualcomm™ Flight Pro

Open-Q™ 835 HDK System On Module Open-Q™ 410 System On Module

S820Am v2 Automotive

Development Platform

www.intrinsyc.com

Snapdragon-based Modules are Very Small Percentage, but Should Grow Significantly

Embedded Computing Modules - US$2.7B TAM

Source: QYR Electronics Research Center

$1.4

$1.6

$1.8

$2.1

$2.4

$2.7

$-

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

2017 2018 2019 2020 2021 2022

Billion (US$)

www.intrinsyc.com

IoT Trends Favorable for Snapdragon and Intrinsyc

• Intelligence at the Edge

• New Types of IoT Devices

• Use in Consumer Electronics

• Higher Computing Power

• More Sophisticated Software

• Shorter Innovation Cycle

www.intrinsyc.com

Strong Relationship Helping to Drive Growth

One of a Limited # of partners in Qualcomm’s IoT Ecosystem

Early Access to Latest Technology and Direct Technical Support

Roadmap/Product Development Collaboration

Exclusive Arrangements for Certain Development/Reference Platforms

Referrals to other Industry Leading Technology Vendors

Products Exhibited within Qualcomm’s Booth at Major Trade Events

Support for Press Releases, Case Studies, and other Marketing Materials

Direct Referrals of Sales Opportunities from Qualcomm Sales & Business Development Teams

www.intrinsyc.com

Revenue Model

Revenue

Gross Margin

$4K - $50K

X 18% - 25%

Revenue

Gross Margin X 25% – 50%

$10K -

$1.5M

= $5K – $500KGross Profit

Revenue per Unit $50 - $300

Gross Margin X 10% - 25%

$10 -

$60= $1K - $12KGross Profit

Gross Profit Per Unit

Royalty per Unit $0 - $10

100 – 50K units sold per

year, over 1- 7 years

Non-Recurring Engineering Repeat Production Hardware

Recurring Royalty

Development Kits

www.intrinsyc.com

Path to Repeat Revenue

Prospect/

Qualify/BidDesign Win/Development Production Win

• Development

Kit Sales

1 – 24 Months

Prospect

• Product

Development

Phase – NRE Fees

6 – 12 Months

Design-Win

• Prototypes and

Marketing Unit

Sales

3 – 12 Months

Pilot Production

• Volume Computing

Module Sales or Design

Royalties

(Margins improve with age)

1 – 8 Years

Commercial Release

www.intrinsyc.com

More than 500

Customers in over

50 Countries

__________________

Customer Examples

www.intrinsyc.com

0 3

11

2024

6

13

20

25

35

0

10

20

30

40

50

60

70

2014 2015 2016 2017 2018

DESIGN WINS

In-Production In Development

Maturing and Expanding Client Base

Design Wins are Clients Actively Developing Products

based on Intrinsyc Computing Modules or Shipping

Products using Intrinsyc Computing Modules.

www.intrinsyc.com

Strong Revenue Growth – 26.4% CAGR since 2014 (US$M)

$10.1

$12.5

$17.5

$20.7

$25.7

$-

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

2014 2015 2016 2017 2018

Revenue

www.intrinsyc.com

Consistent Positive EBITDA Performance (US$M)

**

$0.4

$1.7 $1.8

$0.8

$1.9

$-

$0.2

$0.4

$0.6

$0.8

$1.0

$1.2

$1.4

$1.6

$1.8

$2.0

2014 2015 2016 2017 2018

EBITDA

www.intrinsyc.com

Cash: US $6.0M

Net Working Capital: US $10.4M

Line of Credit: CDN $4.4M

No Debt

Canadian Tax Shield: US $27.1M

Strong Financial Position (December 31, 2018 )

Long-Term

Growth Strategy

www.intrinsyc.com

2019(14) Computing Modules +

(21) Development/Reference Platforms

2014(2) Computing Modules +

(2) Development Platforms

Broadening Product Portfolio

Growth Strategy

www.intrinsyc.com

Geographic Sales Expansion

Growth Strategy

72% of Market Opportunity

is outside of N.A.

Intrinsyc is Focused on

Expanding in Europe in

2019 (37.2% of global market)

www.intrinsyc.com

Drive Scale to Improve Buying Power and Gross Margins

Growth Strategy

Every ~$7M in Hardware Revenue Growth

Should Lead to1% Gross Margin

Improvement

Hardware Margin is Currently 21%

Long-term goal is 28%+

www.intrinsyc.com

Acquisitions to Accelerate Growth

Growth Strategy

Acquisition

Criteria

• Complementary Products

• Improve Buying Power/Margins

• Provide Cross-selling Opportunities

• Geographic Expansion

• Increased size attracts new and institutional investors

www.intrinsyc.com

A Compelling Investment

Focused on High

Growth IoT

Market

Positive

Industry Trends

Driving Growth

Strong

Technology

Partnerships

Expanding and

Maturing Client

Base

Repeat Revenue

Model

Expanding

Product Portfolio

Revenue Scale to

Drive Margin

Improvement

Strong Balance

Sheet

Acquisitions to

Accelerate

Growth

www.intrinsyc.com

Thank You!

Design • Develop • Build

/IntrinsycTech

@IntrinsycTech

Intrinsyc Technologies Corporation

Intrinsyc.com

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