Security on the Move
High Definition Surveillance for Mobile Markets
TSX-V: GSI | OTC: GKPRF | FSE: 1GK
OCTOBER 2016
Security on the Move High Definition Surveillance for Mobile - - PowerPoint PPT Presentation
Security on the Move High Definition Surveillance for Mobile Markets TSX-V: GSI | OTC: GKPRF | FSE: 1GK OCTOBER 2016 Disclaimer Forward Looking Statements This presentation contains forward -looking information within the meaning of This
TSX-V: GSI | OTC: GKPRF | FSE: 1GK
OCTOBER 2016
This presentation contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information may include, but is not limited to, information with respect to the developments in Gatekeeper’s
and timing of development and Gatekeeper’s executive compensation approach and
“budget”, “scheduled”, “estimates”, “forecasts”, “anticipate”, or “does not anticipate”, “believe”, “intend”, and similar expressions or statements that certain actions, events or results “may”, “could”, “would”, “might” or will be taken, occur or be achieved, have been used to identify forward-looking information. Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation, those described under “Risk Factors” in the Prospectus and the following: reduced spending by the Corporation’s customers that result from changes in spending policies or budget priorities; the Corporation’s ability to manage risks inherent in foreign
Corporation’s ability to manage its manufacturing and logistical services successfully; the reliability of product manufacturing and assembly and logistical services provided by third parties; possible changes in the demand for the Corporation’s products; the Corporation’s ability to successfully execute its business strategies; the Corporation’s ability to establish new relationships and to build on its existing relationships with integrators and dealers; and the Corporation’s ability to manage cash flow, foreign exchange risk and working capital. This list is not exhaustive of the factors that may affect any of the Corporation’s forward- looking information. Although Gatekeeper has attempted to identify important factors that could cause actual results to differ materially from those contained in forward- looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Forward-looking information involves statements about the future and is inherently uncertain, and Gatekeeper’s actual achievements or
forward-looking information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Prospectus under the heading “Risk Factors” and elsewhere in the Prospectus. Gatekeeper’s forward-looking information is based on the beliefs, expectations and opinions of management on the date the statements are made, and the Corporation does not assume any obligation to update forward-looking information, whether as a result of new information, future events or
prospective investors should not place undue reliance on forward-looking information. This presentation is not, and is not intended to be, an offer to sell or the solicitation of an offer to buy any security of Gatekeeper in any jurisdiction. This presentation is not an
Forward Looking Statements
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Gatekeeper provides innovative, end-to-end high definition surveillance solutions for mobile applications including body cameras, police vehicles, school buses, transit buses, transport vehicles, military aircraft and coast guard patrol vessels.
Introducing Gatekeeper Systems Inc.
www.gatekeeper-systems.com FSE:
TSX.V:
OTC:
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Homeland Security
Transport Services
Public Transport
Threats
Law Enforcement
Claims
Accountability
Investigators
Recording Evidence in High Definition For Extreme Mobile Environments
End-to-End High Definition Solutions For Extreme Mobile Market
www.gatekeeper-systems.com FSE:
TSX.V:
OTC:
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school bus cameras
bus.
Mobile surveillance in multi-vertical, scalable markets
annually
video enforcement – similar to red light cameras
and citation processing system
paid for by citation revenue
car video systems
development
for defense.
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For Mobile Applications
Interior Cameras Exterior Cameras Mobile Digital Video Recorders 212,283 523,835 194,894 410,000
Taxi School Bus Transit Law
( # of vehicles )
Sources: Gatekeeper Internal Research
Evidence Capture and Citation Processing
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PRIVATE E & CONFID IDEN ENTIA IAL TSX-V:G :GSI SI OTC:GKPR PRF
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PRIVATE E & CONFID IDEN ENTIA IAL TSX-V:G :GSI SI OTC:GKPR PRF
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Camera on a School Bus in Jasper County, GA Captures a “Close Call” with a Garbage Truck
down the company, and driver was charged
14,133,240 13,673,880 15,350,220 15,844,500 13,803,300
In 2015, the National Association of State Directors and Pupil Transportation Services (NASDPTS) tested the number of stop arm violations occurring in a single day throughout 26 States, resulting in an estimated 14 million stop arm violations in 2015.
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2015 – 2011 Survey Results – NASDPTS ( USA Only )
Sources: Violation count 2015 - Source: http://www.nasdpts.org/stoparm Annual Sourcing Results: ttp://www.nasdpts.org/stoparm/documents/2015%20NASDPTS%20Stop%20Arm%20Survey%20Summary%20Data.pdf
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Protecting Children Creates Potential Billion Dollar Market
Reoccurring Revenue in 15 States
violations annually.
collection and citation processing system.
charge and paid for by citation revenue.
A Large Growth Opportunity
Law Enacted Individual School District or Municipalities Decision Legislation introduced or pending No legislation to date Legislation introduced but did not pass
A breakdown of states that have laws authorizing school districts to install video surveillance cameras on or near stop arm equipment to capture incidences
school buses while loading or unloading students.
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Source: https://publicintelligence.net/global-private-securitypolice-officer-personnel-levels-by-countryper-capita-2011/ and www.statcan.gc.ca/pub/85-002-x/2015001/article/14146/tbl/tbl02-eng.htm
STUDENT PROTECTORTM
TM
cit citation tic ticket revenue sh shar are
Based on 21 school districts (80% - 90% close rate), representing +1250 vehicles to be installed with Student Protector LPRs, 20 school districts with demo systems installed, the rest pending testing Based on 5-year contracts, total revenues range from $47M to $186M based on violation incident rate of 0.5 to 2.0 (National Average @ .50/day/bus) $2,070,522 Capex ($1,656 per bus (1,250 buses) with fast payback 15% Stream of $163.50 ( 50% of $325 citation = $24 per citation). Break-even is 84,945 incidents or 472 incidents per day based on 180 day school year. 472 incidents / 1,250 buses = .38 incidents per day per bus to break even. Projected a total number of incidents will range from +309,000 to +1,237,000 based on 0.5 to 2.0 incidents/day Government-mandated legislation for use of video evidence for school bus stop-arm violations
12015 the National Association of State Directors and Pupil Transportation Services
(NASDPTS) tested the number of stop arm violations occurring in a single day throughout 26 States, resulting in an estimated 14 million stop arm violations in 2015
$186.4 $93.2 $69.9 $46.6 $29.9 $23.8 $22.3 $20.7 $2.1 $2.1 $2.1 $2.1 $28.0 14.0 10.5 7.0
$- $50 $100 $150 $200 $250 $300 2.00 1.00 0.75 0.50 Millions
Incident Rate to Violation Ticket Revenue Sensitivity
(Millions - USD$)
GSI Revenue COS CAPEX Stream
Industry Metric: Incident Rate / Day per Bus
XFORCE™ Body Worn Cameras
XFORCE™ Police In-Car Systems
system
Evidence Management Software
(In Development)
evidence case files
High Definition Mobile Surveillance Solutions
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3,992,615 7,690,000 2,159,839 1,401,000 15,169,809
North America China South America Russia Other
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# of Personnel
Source: https://publicintelligence.net/global-private-securitypolice-officer-personnel-levels-by-countryper-capita-2011/ and www.statcan.gc.ca/pub/85-002-x/2015001/article/14146/tbl/tbl02-eng.htm
High Definition cameras synchronized with vehicle diagnostics, mapping and routing, analytics and student tracking
Access New Customers
Stop Arm Camera Business and Evidence Management
expanding new product solutions
What do investors have to look forward to?
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Strategy
high definition
vehicle verticals including: 1) high definition, 2) video enforcement to protect children around school buses and 3) evidence management for managing video our hardware devices collect
revenue models
Goals
technology platforms
enforcement across multiple vertices'
platforms
Actions
platforms
enforcement platform and execute on targeted geographic regions
largest software companies to capture market share
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Our Goals & Objectives
For the Quarter Ended
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2013 2014 2015 Interim 2016
942,073 1,279,170 1,573,799 514,928 752,988 1,198,409 931,855 1,087,172 1,455,537 2,469,209 955,574 1,726,008 3,103,333
2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 2016 Q2 2016 Q3
Management & Directors
Doug Dyment
PRESIDENT, CEO, AND DIRECTOR
$72M)
Anthony Jackson, BBA, CPA, CA
CHIEF FINANCIAL OFFICER
activities to public and private companies
Doug Fraser, P. Eng, MBA
VICE PRESIDENT, PROGRAMS AND PRODUCT MANAGEMENT
John McEwen
SPECIAL ADVISOR
Robert Galbraith
DIRECTOR
Robert C. Hill
DIRECTOR
companies in America.
Kelsey Chin
DIRECTOR
industry which the Company operates.
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As of October 17, 2016
FSE:
TSX.V:
OTC:
Major Shareholders
Management & Directors (15%) BC Discovery Fund (8%)
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Issued & Outstanding 63,373,496 Warrants
$0.25 – 8,957,330 Expiry: Feb 27, 2017 972,800 Expiry: Mar 5, 2017 533,867 Expiry: July 28, 2017 7,450,663
8,957,330 Stock Options 5,598,250 Fully Diluted 77,929,076 Market Capitalization (Approximately) $13 Million 52 Week Trading Range $0.10–$0.24
common technology platforms
marque customers like United States Air Force
Investment Highlights
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Head Office
301 - 31127 Wheel Avenue Abbotsford, BC V2T 6H1 T: 1.604.864.6187 TF: 1.888.666.4833
The only public company in North America that sells stop arm cameras.
www.gatekeeper-systems.com FSE:
TSX.V:
OTC:
Corporate Contact
Douglas Dyment, President & CEO T: 1.604.864.6187 E: ddyment@gatekeeper-systems.com
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