pfie 6262013

PFIE (OTCBB)

Investor Presentation (2013)

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PFIE (OTCBB)

Forward-looking Statements

Certain statements contained herein constitute forward-looking statements within

the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-

looking statements involve known and unknown risks, uncertainties and other

factors, which may cause the actual results, performance or achievements of the

Company to be materially different from those expressed or implied. Forward-

looking statements involve risks and uncertainties, including but not limited to,

such risks as are described in the Company's SEC filings and reports.

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PFIE (OTCBB)

An Introduction to Profire

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Founded in 2002 in Alberta (service) Public in 2008; headquarters now in Utah US company

Creates oilfield technologies Specializes in burner management

systems (BMS)

Received multiple awards for growth

and financial management in 2012 One of the 1000 fastest-growing

companies in the world (International Business Times, 2012)

Profire Energy is an oilfield technology company, specializing in burner management systems (BMS).

PFIE (OTCBB)

Where Is a BMS Used?

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Profire’s products are used in the upstream and midstream processes of the oil/gas industry (see red arrows).

(Oil, Gas, Water, Chemicals & Sediment)

PFIE (OTCBB)

What is a BMS?

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A high-tech, specialized

oilfield thermostat Monitors, manages &

reignites the flame

Controls the burner flame Ignites burner flames Senses flame presence and

flame failure Manages fuel to increase or

decrease flame intensity (i.e. heat up or cool down vessel)

Can be managed remotely

A BMS automates inefficient and dangerous tasks with an efficient, economic system.

PFIE (OTCBB)

How Does a BMS Fit In?

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A BMS uses temperature inputs to detect whether more heat is needed in the application. It then manages the fuel flow accordingly. The BMS also detects whether a flame is

present. If it detects a flame failure, it will reignite the flame

The BMS monitors and manages temperature, and provides re-ignition as needed. ( indicates where a BMS is used)

Burner-flames create the heat within combustions applications, and are an integral part of effective oil/gas production & transportation.

PFIE (OTCBB)

Our Role: Summary

A BMS can improve company efficiency, compliance, and safety for oil/gas companies.

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With BMS Without BMS Economics • The BMS quickly reignites the failed

flame, and keeps the application within a temperature range set by the user.

• The application can be monitored remotely.

• Production continues with minimal

interruption.

• A worker must discover and reignite the extinguished burner flame. The worker then reignites the application manually.

• All application monitoring is done directly, on-site.

• Production can be interrupted for longer

periods of time.

Safety • The BMS assumes the risk of reignition, reducing employee accident-risk.

• Employees assume the risk of reignition, which can lead to burns/explosions.

Compliance • The BMS can reduce emissions by quickly reigniting a failed flame

• The BMS ensures the flame is only used when needed—reducing emissions

• No remote monitoring or control is possible.

• The flame burns constantly (and often needlessly) until the flame fails—which wastes gas

PFIE (OTCBB)

The Status Quo: Pneumatic Controls with a “Rag & Stick”

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Currently, companies use

pneumatic (i.e. “air-driven”) systems to provide very basic temperature management Requires manual re-ignition

and upkeep (costly and time-consuming)

BMS makes companies safer, more compliant, and more efficient

Canada already requires

oil/gas companies to use BMS

[CELLREF]

[CELLREF]

Profire BMS Installations*

Potential Installations Profire Installations*estimated

Current industry methods are generally dangerous and inefficient.

PFIE (OTCBB)

Our Industry

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US and Canada are major oil and gas producers

There are about 1.3 mil. oil/gas wells in North America About 35,000 new wells

drilled each year About 4,000 miles of new

pipe laid each year

US to be world’s largest oil producer by 2020 (IEA)

Oil and gas supply about 65% of all U.S. energy. World’s Leading Natural Gas Producers

World’s Leading Oil Producers

Data drawn from US EIA, CIA, and Canadian Provincial Data

PFIE (OTCBB)

Market Overview

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Use of BMS grew quickly after Canada mandated its use through B.149.3-10 Sales were mostly regulatory-driven; many basic products were sold to simply fulfill

regulation

Recently, the economic and safety value of BMS has become increasingly realized within the U.S. Sales have grown strongly without regulatory pressure

Market is still served by very few companies (four major players): Profire Energy (Canada & US)

The only public company specializing in oilfield BMS ACL (Alberta) Platinum (Texas) Surefire (New Mex.)

The large BMS market is growing quickly, and is currently served by a small handful of companies.

PFIE (OTCBB)

Our primary products include: PF 2100

An advanced, versatile BMS for a variety of applications PF1300 FIS

A simple ignition system (e.g. for use with flare stacks) Airplate

An adjustable airplate that meters airflow into the firetube

Additional Products We offer a number of combustion management technologies for a variety of environments.

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PFIE (OTCBB)

Our service arm allows us to receive real-time and valuable feedback about the industry’s needs

Services are provided by all Profire offices, and include: BMS installations &

maintenance Combustion optimization

(e.g. gas flow, flame quality, air flow, etc.)

Flame-arrestor testing

Our service team is dedicated to customer success, and are expert combustion technicians.

Service

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PFIE (OTCBB)

Our Customers

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Service companies,

distributors, OEMs, and producers:

Our distributor network supplies product throughout North America and Brazil.

In 2012 we added Cameron to our distribution network—a Fortune 500 company (NYSE: CAM)

We serve many companies throughout North America and the world.

PFIE (OTCBB)

Brenton W. Hatch, CEO (President) Previously General Manager of Titan Technologies (a Canadian oilfield service & distribution company) and CEO of Keaton International. He is particularly experienced in operations and marketing management, and earned a Bachelor’s degree in Education from the University of Alberta.

Harold Albert, COO Previously managed the burner division at Titan Technologies, and Natco Canada doing oil/gas facility commissioning. In addition to overseeing company operations, he also manages company R&D and oversees al Canadian operations. Andrew Limpert, CFO Previously was a financial & strategic advisor for investment banks, and served as officer, director, and interim CEO of Ohr Pharmaceutical. Mr. Limpert earned a Bachelor’s degree in Finance from the University of Utah, and an MBA in Finance from Westminster College in 1998. Profire has approximately 50 employees in three offices: Alberta, Utah, and Texas.

Our Team Our corporate direction begins with our experienced executive team—with a strong oil/gas background.

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PFIE (OTCBB)

Financials: Historical

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Profire’s financial history demonstrates our commitment to growth. Profire Energy is a profitable and debt-free company.

Income Statement 2009-2012 (millions)

March 2010

March 2011

March 2012

March 2013 (est.)

March 2014 (est.)

Revenues ($) $5.91 $8.03 $15.93 $16.7 $22.5

Net Income ($) $1.28 $1.63 $3.19 $1.4 $4.2

Net Margin (%) 21.6% 20.2% 20% 8.3% 18.6%

PFIE (OTCBB)

Financials: Recent

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Our recent financial results speak to our ongoing commitment to create stakeholder value.

Bal. Sheet Snapshot (Q3 FY 2013) (millions)

Cash: $1.48

Working Capital: $7.41

Current Ratio: 4.4x

Long-Term Obligations: $0

LT Debt To Equity Ratio: 0

Income Snapshot (FY 2012) (millions)

Revenues: $15.9

Cost of Revenues: $4.3

Gross Profit: $6.8

Gross Margin(%): 56.7%

Operating Income: $4.3

Operating Margin(%): 27%

Net Income: $3.1

Net Margin(%): 20%

PFIE (OTCBB)

IR Statistics

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Stock Metrics Price: $1.30* Market Cap: $58.70M* EPS: $0.03 Avg. Volume (Summer 2012 to Spring 2013): 4,600 12,400

Shareholder Metrics

Shares Issued & Outstanding: ≈ 45,000,000 Float: ≈ 7,000,0000 % Insider-owned: 85% Total shareholders: ≈ 350 (NOBO & physical certificate)

Our growing shareholder base has historically realized gains year-over-year, with the prospect of benefitting from our profitable growth in a large industry.

*May 20, 2013

PFIE (OTCBB)

Forecasts Overview

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Forecast Item Estimate

Revenues for Fiscal Year 2013 (April 1, 2012 – March 31, 2013) $16,700,000

Net Income for Fiscal Year 2013 (April 1, 2012 – March 31, 2013) $1,400,000

Revenues for Fiscal Year 2014 (April 1, 2013 – March 31, 2014) $22,500,000

Net Income for Fiscal Year 2014 (April 1, 2013 – March 31, 2014) $4,200,000

5%

34%

200%

56%

PFIE (OTCBB)

Revenues Forecast

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$4,352,536

$6,257,269 $5,912,350

$8,033,926

$15,925,213

$16,700,000

$22,500,000

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

2008 2009 2010 2011 2012 2013 2014

TOTAL ANNUAL REVENUES (FY)

PFIE (OTCBB)

Net Income Forecast

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$314,087

$875,145

$1,279,274

$1,626,463

$3,187,771

$1,400,000

$4,200,000

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

2008 2009 2010 2011 2012 2013 2014

TOTAL ANNUAL NET INCOME (FY)

PFIE (OTCBB)

Canada Revenues (Historical Trend)

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$2,683,724

$4,488,079

$4,835,808

$3,047,932

$2,872,497

$3,224,623

$2,135,885 $2,800,000

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013

CANADA QUARTERLY REVENUES

PFIE (OTCBB)

US Revenues (Historical Trend)

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$- $34,442

$233,175

$602,053

$804,776

$1,154,970

$1,405,176

$2,400,000

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013

US QUARTERLY REVENUES

PFIE (OTCBB)

Our Future

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Additional domestic offices (e.g. Pennsylvania, Oklahoma, etc.), distributions agreements, sales channels, and services

Expand our international distribution to new countries

(e.g. Russia, India, China, Australia, Brazil, Mexico, New Zealand) Engineer new technologies for a larger product line

Improved valve train technologies Improved power supply in oilfields Enhancements to flagship products Continue expanding intellectual property

Pursue potential acquisition candidates to reduce costs and enter new markets Could also acquire a manufacturing company (vertically integrate)

Pursue an uplisting to NASDAQ or AMEX; cross-list to TMX

By pursuing new growth opportunities, establishing new relationships, and developing new technologies, we believe the future is promising for Profire stakeholders.

PFIE (OTCBB)

Key Takeaways

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Profire is largely undiscovered High-tech margins in a strong,

proven industry Gross/Net margins typically

60/20% 1.3M wells… ≈$4 billion market

Proven ability to sell systems on economic merits

Profire affords opportunity to participate in oil/gas market, without drilling risk

Entering a phase of leverage and execution

Profire Energy is a growing, profitable, and debt-free oilfield-tech company. Our products improve the industry’s efficiency, safety, and compliance.

$4,352,536

$6,257,269 $5,912,350

$8,033,926

$15,925,213

$16,700,000

$22,500,000

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

2008 2009 2010 2011 2012 2013 2014

TOTAL ANNUAL REVENUES (FY)

PFIE (OTCBB)

Investor Relations department Nathan McBride P: (801) 701-2502 E: [email protected]

Website (www.ProfireEnergy.com) Investor presentation Investor packet Up-to-date financials & charts Subscribe for updates on our PR page Learn about our industry & products

Resources Our investor relations department is happy to answer questions about our industry, company, or financials.

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mailto:[email protected]

http://www.profireenergy.com/