The Genetec Investor Day was a momentous occasion that unveiled a compelling vision for the future, brimming with groundbreaking developments and ambitious growth prospects. Shareholders and investors were presented with exciting announcements and strategic insights that illuminated Genetec's path to success.

MFRS 15

During the event, a critical aspect addressed was the adoption of a new accounting treatment, MFRS 15, which brings changes to revenue recognition. The impact of this change is expected to fall within a 10% range for profit after tax and minority interests (PATAMI), with the remaining effects to be distributed across Q1 and Q2. Genetec's management deemed it crucial to keep shareholders and investors informed about this accounting shift, ensuring transparency and clarity in financial reporting.

MYBESS 2.0

Among the highlights was the revelation of Genetec's flagship product, MYBESS, and its transformational upgrade to Version 2.0. This enhanced version introduces cutting-edge features such as AI and a liquid cooling system, expected to amplify efficiency by an impressive 5%. Additionally, the life cycle of MYBESS will be extended from 6,000 to 8,000 cycles, securing a remarkable 15-year calendar life. The planned upgrade represents a bold step towards revolutionizing the energy storage industry, positioning Genetec at the forefront of innovation.

Looking ahead, Genetec is poised to make significant strides in the market, with a formidable target of 160GWh by the year 2026. Genetec is fully committed to meeting the surging demand. Collaborating closely with government agencies and esteemed partners, the company is actively working to increase awareness of their cutting-edge product. The skyrocketing popularity of MYBESS has driven a high demand, and to cater to this, Genetec boasts a maximum capacity of 500MW per year, securing a significant market presence.

Genetec's strategic prowess was further evident through an impressive pipeline of BESS implementation projects. Several prominent entities, including the Abu Dhabi Energy Company, Keppel for microgrid development, National Rail Link, National oil company (for proof of concept), and various state and foreign governments, have expressed interest in adopting Genetec's BESS solution. This widespread interest underscores Genetec's position as a major player in the energy storage sector, signaling promising growth prospects.

In terms of financial sustainability, Genetec is steadfast in achieving its ambitious target margin of 20% for MYBESS. This commitment showcases their dedication to ensuring profitability while maintaining exceptional quality and innovation. The company's efforts to streamline the BESS lead time, reducing it from one year to an impressive 4-6 months, is a testament to their agility and responsiveness to customer demands, bolstering investor confidence.

Genetec's customer-centric funding approach, focused on collaboration with customers at each milestone, further reinforces their commitment to shareholder value. This approach ensures a symbiotic relationship and long-term sustainability. In situations where funding gaps may arise, Genetec is open to exploring alternative avenues, such as raising funds through banks or issuing bonds, showcasing a pragmatic and thoughtful financial strategy.

Customer T

As the event progressed, Customer T's remarkable endeavors added to the intrigue. Their plans to replenish Giga N site by year-end, involvement in the production of next Gen products lines, Anode/Cathode assembly lines, and development of cell cycle instrument boxes underscored their crucial role in the energy storage ecosystem.

In conclusion, the Genetec Investor Day provided an illuminating glimpse into the future of energy storage, marked by the groundbreaking MYBESS 2.0 upgrade and Genetec's relentless pursuit of expansion opportunities. For shareholders and investors, Genetec's commitment to innovation and strategic financial planning promises a brighter and prosperous future as they continue to redefine the energy storage industry.