Photocure ASA · OSL:PHO
Photocure ASA — Q2 2017 Earnings Presentation
22 slides from Photocure ASA's earnings presentation, Aug 23, 2017
Slide 1: Results for Second Quarter and First Half Year 2017
PHOTOCURE ASA RESULTS FOR SECOND QUARTER AND FIRST HALF YEAR 2017 23 AUGUST 2017 Kjetil Hestdal, MD, President & CEO Erik Dahl, CFO
Slide 2: Disclaimer
DISCLAIMER The information included in this Presentation contains certain forward-looking statements that address activities, events or developments that Photocure ASA (“the Company”) expects, projects, believes or anticipates will or may occur in the future. These statements are based on various as
Slide 3: Key Objectives and Achievements
KEY OBJECTIVES AND ACHIEVEMENTS KEY OBJECTIVES 2Q/FIRST HALF YEAR KEY ACHIEVEMENTS • In the US Cysview in-market volume increased YoY 37% in second • Increase growth of Cysview in the US based on an increased investment quarter and 33% YTD in the US commercial operations • In July, CMS proposed new
Slide 4: Hexvix/Cysview Update
Hexvix/Cysview Update
Slide 5: Hexvix/Cysview a Significant Global Specialty Brand
HEXVIX/CYSVIEW A SIGNIFICANT GLOBAL SPECIALTY BRAND Global in-market unit sales (by Q) • Value of in-market sales of Hexvix/Cysview in the second quarter increased 4% to NOK 66 million and YTD 6% to NOK 131 million • Hexvix/Cysview global in-market volume decreased YoY 2% in the second quarter, with
Slide 6: Hexvix/Cysview Reduced Recurrence Rate at 3 Years in Real-Life Study
HEXVIX/CYSVIEW REDUCED RECURRENCE RATE AT 3 YEARS IN REAL-LIFE EXPERIENCE STUDY • A «Real-life experience» study performed at single center in UK enrolled 808 bladder cancer patients – 345 patients qualified for long term follow up after bladder cancer resection (TURBT) with Blue Light Cystoscopy (B
Slide 7: Hexvix/Cysview Progress Update in US
HEXVIX/CYSVIEW Approval in surveillance PROGRESS UPDATE IN US market Receive • Photocure own sales revenue in the US in 2Q increased 55% reimbursement code in Increase US US – Driven by YoY in-market volume growth of 37% in second quarter market penetration Increase • Permanent Blue Light Cystoscope
Slide 8: US Medicare Proposed New Reimbursement of BLC with Cysview
US MEDICARE PROPOSED NEW REIMBURSMENT OF BLC WITH CYSVIEW Background Efforts Conclusion • For Medicare patients BLC with • The new AUA guidelines • In July, CMS proposed separate Cysview has been reimbursed emphasize the clinical benefits of codes for BLC with Cysview similar to white light cystosco
Slide 9: Hexvix/Cysview sNDA Filed Based on Strong Phase 3 Surveillance Results
HEXVIX/CYSVIEW sNDA FILED BASED ON STRONG CLINICAL PHASE 3 SURVEILLANCE STUDY RESULTS Phase 3 Surveillance Study Conclusions Supplemental NDA • Blue Light Flexible Cystoscopy (BLFC) with Cysview Objective of the supplemental NDA significantly improves the detection of patients with recurrent bladder
Slide 10: Expansion into Larger Segments: Market Opportunity in Surveillance
EXPANSION INTO LARGER SEGMENTS: MARKET OPPORTUNITY IN THE SURVEILLANCE SEGMENT • Expansion with Blue Light Flexible Cystoscopy with Cysview • For office settings (surveillance) that utilize flexible cystoscopes Segments of the Global Cystoscopy Market CURRENT TURB PROCEDURES TURB • US ~ 300k Symptom
Slide 11: Hexvix Performance Nordics
HEXVIX PERFORMANCE NORDICS • Photocure own sales revenue in the Nordics increased YoY 10% in second quarter with 3% increase YTD – YoY in-market unit sales increase of 4% in second quarter with a decrease of 3% YTD – The negative trend in Denmark observed in previous quarters has been reversed in se
Slide 12: Hexvix/Cysview Partner Progress
HEXVIX/CYSVIEW PARTNER PROGRESS Cost of Bladder Cancer represents € 4.9 bn (Leal et al, 2016) • Partner revenue declined 9% YoY in second quarter – In-market unit sales declined 6% due to reduced unit sales in June in key markets including Germany and France • Recently formed partnerships: BioSyent
Slide 13: Cevira/Visonac Update
Cevira/Visonac Update
Slide 14: Cevira & Visonac Phase 3 Ready Products with Significant Sales Potential
CEVIRA & VISONAC PHASE 3 READY PRODUCTS WITH SIGNIFICANT SALES POTENTIAL • Cevira - Breakthrough single use and fully integrated drug-device technology to satisfy high need for novel non-surgical therapies to treat global epidemic of HPV/HSIL populations • Visonac – Novel topical non-antibiotic/non-
Slide 15: Financials
Financials
Slide 16: Segment Performance Second Quarter 2017
SEGMENT PERFORMANCE SECOND QUARTER 2017 MNOK Q2 '17 YTD '17 YTD '16 Commercial franchise: Commercial Franchise • Hexvix/Cysview total revenue increased YoY 10% in the Nordic revenues 11.7 21.4 20.7 second quarter, driven by strong US revenues. US revenues 10.9 21.0 14.7 • Second quarter own revenues
Slide 17: Consolidated Income Statement Second Quarter 2017
CONSOLIDATED INCOME STATEMENT SECOND QUARTER 2017 MNOK Q2 '17 YTD '17 YTD '16 • Total revenue increases YoY 1% second quarter and Hexvix / Cysview revenues 37.6 74.1 67.7 8% YTD Signing fees and milestones 1.7 1.7 2.6 • Operating expenses increase YoY 15% second quarter Total revenues 39.3 75.9 70.3
Slide 18: Cash Flow Second Quarter 2017
CASH FLOW SECOND QUARTER 2017 • Cash flow from operations second quarter NOK -16.9 MNOK Q2 '17 YTD '17 YTD '16 million, YTD NOK -27.7 million Cash flow from: – Working capital impact YTD NOK -16.9 million (YTD - Operations -16.9 -27.7 -22.1 2016 NOK -15.7 million) - Investments -1.5 -4.5 -8.3 • Cash
Slide 19: Balance Sheet per 30 June 2017
BALANCE SHEET PER 30 JUNE 2017 • Non current assets include NOK 29.6 million in MNOK 30.06 31.12 30.06 investments in tangible and intangible assets and 2017 2016 2016 deferred tax asset of NOK 49.3 million Non-current assets 78.9 74.1 77.4 Inventory & receivables 54.0 43.0 80.1 • No interest bearin
Slide 20: Summary
Summary
Slide 21: Strengthening Board and Management Team
STRENGTHENING BOARD AND MANAGEMENT TEAM Corporate Management Team • Will lead business development activities and strategic initiatives within marketing and market access • Jeremy Bahr • Former Global Head of Market Analytics and Head of Commercial Operations in North America at UCB. Worked at Pfize
Slide 22: Key Objectives and Achievements
KEY OBJECTIVES AND ACHIEVEMENTS KEY OBJECTIVES 2Q/FIRST HALF YEAR KEY ACHIEVEMENTS • In the US Cysview in-market volume increased YoY 37% in second • Increase growth of Cysview in the US based on an increased investment quarter and 33% YTD in the US commercial operations • In July, CMS proposed new