Newmark Group, Inc. · NASDAQ:NMRK
Newmark — Investor Presentation (November 2023)
14 slides from Newmark's investor presentation, November 2023
Slide 1: Life Science Market Overview
NOVEMBER 2023 Life Science Market Overview
Slide 2: Macroeconomic Headwinds Persist in the Biotech Sector
Macroeconomic Headwinds Persist in the Biotech Sector Bankruptcies are at a 10-year high, and more biotech companies announced layoffs this year compared to 2022. Number of Biotech Bankruptcies Biotech Layoff Announcements 30 30 2022 2023 28 25 25 24 20 20 20 19 16 15 15 15 14 13 12 12 12 11 11 10 1
Slide 3: Active Job Openings in the Sector Continue to Decline
Active Job Openings in the Sector Continue to Decline The number of closed job ads is outpacing new ad listings within the biotech industry for a second-consecutive year. Biotech-Related Active Job Openings 23,000 18% 21,000 16% 19,000 14% 12.3% 17,000 12% 15,000 10% 13,000 8% 11,000 6% 9,000 4% 7,0
Slide 4: Despite these Headwinds, Employment Growth Remains Positive
Despite these Headwinds, Employment Growth Remains Positive Life science employment expanded by 21.2% over the last five years, outpacing total U.S. employment growth of just 5.0%. Total U.S. Biotech Employment 3,000 21.2% Employment Growth 2,800 2,600 2,400 2,200 In Thousands 2,000 1,800 1,600 1,40
Slide 5: The Scientific R&D Subsector Continues to Grow
The Scientific R&D Subsector Continues to Grow Though the life science sector posted growth during 5 out of the last 9 months, monthly gains are tracking below recent norms. Monthly Change in Life Science Employment Scientific Research & Development Jobs Added Per Year Average Average monthly jobs m
Slide 6: While Growth Is Slowing in Key Clusters, Trends Are Still Positive
While Growth Is Slowing in Key Clusters, Trends Are Still Positive The top four life science hubs in the U.S. added roughly 160,000 biotech jobs to local payrolls over the last 10 years. Total Biotech Employment in Top 4 Markets* Biotech Location Quotient by Metro 450 Metro Biotech Employment Loca
Slide 7: Venture Capital Continues to Fund U.S. Life Science Companies
Venture Capital Continues to Fund U.S. Life Science Companies As of October 2023, VC funding is only about 14.0% below 2019 levels and has already surpassed annual capital raised prior to 2018. The number of deals is still well below historic norms and the average funding round has reached a 10-year
Slide 8: Venture Capital Continues to Fund U.S. Life Science Companies
Venture Capital Continues to Fund U.S. Life Science Companies U.S. life science companies have recorded two consecutive quarters of growth in venture capital funding, with the third quarter of 2023 representing the highest level reached since year-end 2022. U.S. Life Science Venture Capital Funding
Slide 9: Series A and B Rounds Represent the Lion's Share of Funding
Series A and B Rounds Represent the Lion’s Share of Funding Seed and Series D funding for U.S. life science companies has remained comparatively stable, while on a nominal basis Class B funding has decreased the most. 2023 Life Science VC Funding by Series Historical Life Science VC Funding by Selec
Slide 10: The IPO Market Appears to be Thawing, Signaling a Busier Year End
The IPO Market Appears to be Thawing, Signaling a Busier Year End For biotech IPOs, 2022 and 2023 are among the slowest on record. Year-to-date, 18 biotech companies have gone public, with total capital raised surpassing the previous year. Investors will likely remain focused on the highest quality
Slide 11: Increased Federal Funding Bodes Well For the Life Science Sector
Increased Federal Funding Bodes Well For the Life Science Sector From increased NIH funding to the newly-developed ARPA-H program, the federal government continues to dedicate more capital to the domestic biotech and biomanufacturing sector. Public Sources of Capital $45 $43 $42 $40 $40 $36 $35 $33
Slide 12: The Newly-Formed ARPA-H Program Could Drive Growth in Several Markets
The Newly-Formed ARPA-H Program Could Drive Growth in Several Markets Cambridge, Dallas and the Washington D.C. area represent the three regional hubs and will act as epicenters of the new agency. A network of “spokes” will also be established to help facilitate breakthroughs in science and medicine
Slide 13: Increasing FDA Approvals and Clinical Trials Will Bolster Future Lab Demand
Increasing FDA Approvals and Clinical Trials Will Bolster Future Lab Demand New drug approvals from the FDA saw a healthy uptick during the third quarter of 2023 and the number of registered clinical trials continues to expand to new heights, which bodes well for long-term growth within the biotech
Slide 14: For more information
For more information: Liz Berthelette Head of the Northeast & National Life Science Research [email protected] Boston 225 Franklin St Boston, MA t 617-863-8090 New York Headquarters 125 Park Ave. New York, NY 10017 t 212-372-2000 nmrk.com
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