Anteris Technologies Global Corp. · NASDAQ:AVR
Anteris Technologies Global — Admedus — Shareholder Meeting (2019)
40 slides from Anteris Technologies Global's shareholder meeting presentation, 2019
Slide 1: AHZ AGM 2019
AHZ AGM 2019 Chairman and CEO 2018 company review www.admedus.com Follow us @Admedus
Slide 2: 2018 Financial Overview
2018 Financial Overview
Slide 3: CY18 Financials
CY18 Financials $ millions CY2018 • Group revenue up 20% on prior year. ADAPT® revenue $11.1m and Infusion Group revenue 25.6 revenue $14.5m • Gross profit for the group was $12.4m Gross profit 12.4 representing a gross margin percentage of 49%. Gross profit margin % 49% • Selling, general and admin
Slide 4: Revenue and profit split across the business units
Revenue and profit split across the business units ADAPT® has grown from 34% of the portfolio to almost 43% in 1 year www.admedus.com
Slide 5: Profit growing faster than costs 2015 to 2018
Profit growing faster than costs 2015 to 2018 www.admedus.com
Slide 6: Gross profit and revenues growing significantly faster than costs 2015-2018
Gross profit and revenues growing significantly faster than costs 2015-2018 300% GP up 272% since 2015 250% 200% 150% Revenues 115% since 2015 100% 50% SGA up 11% since 2015 0% GP REV SGA www.admedus.com
Slide 7: CAGR Revenue and GP growing quicker than costs
CAGR Revenue and GP growing quicker than costs 60.00% 55% 50.00% 40% 40.00% 31% 29% 30.00% 20% 20.00% 14% 12% 11% 10.00% 3% 0.00% 4YR 3YR 2YR % GP Growth % Rev Growth % SGA Growth www.admedus.com
Slide 8: ADAPT GP and revenue growth 2016 to 2018
ADAPT® GP and revenue growth 2016 to 2018 www.admedus.com
Slide 9: Investments driving growth in Revenues and Profit
Investments driving growth in Revenues and Profit $40.0 M $35.0 M $34.3 M $30.0 M $31.0 M $27.6 M $27.8 M $27.7 M $25.6 M $25.0 M $22.3 M $22.8 M $20.9 M $21.4 M $20.0 M $21.9 M $19.8 M $17.5 M $15.0 M $11.9 M $10.0 M $12.4 M $11.5 M $9.2 M $11.6 M $8.2 M $8.6 M $8.6 M $5.0 M $3.5 M $3.3 M $3.3 M $0
Slide 10: Q1 US ADAPT sales 2016 - 2019
Q1 US ADAPT® sales 2016 - 2019 Chart Title 2 1.8 1.6 1.4 1.2 1 0.8 0.6 0.4 0.2 0 Q1 2016 Q1 2017 Q1 2018 Q1 2019 www.admedus.com
Slide 11: Q1 Global ADAPT sales 2016 - 2019
Q1 Global ADAPT® sales 2016 - 2019 3 2.5 2 1.5 1 0.5 0 Q1 2016 Q1 2017 Q1 2018 Q1 2019 www.admedus.com
Slide 12: ADAPT Revenue by QTR
ADAPT® Revenue by QTR Revenue Revenue by Quarter $m Sales by region 3.5 Emerging 3.0 Markets Europe 11% 2.5 20% North 2.0 America 69% 1.5 1.0 0.5 - 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 North America Europe Emerging Markets www.admedus.com
Slide 13: Headcount & Employee Location
Headcount & Employee Location Jul-17 ▪ Global headcount remained relatively flat in FY2018 ▪ As overall revenue grew in Q3 & Q4, global headcount went down leading to greater effectiveness & efficiencies www.admedus.com
Slide 14: FX impact as cost base moves to the US
FX impact as cost base moves to the US FTE headcount SGA (incl. R&D) split by region 80% 70% 69% 63% 60% 61% 50% 40% 30% 30% 57.1% 59.2% 26% 47.9% 20% 43.5% 18% 10% 11% 26.8% 9% 24.1% 14% 18.8% 14.0% 0% 8.6% CY 16 CY17 CY18 Australia USA Other Australia USA Other CY2016 CY2017 CY 2018 www.admedus.co
Slide 15: FX IMPACT 2018
FX IMPACT 2018 Impact of weak AUD on US costs 18 Millions AUD16.4 16 converts to 14 USD12.3 12 10 8 6 4 2 0 CY18 USD CY18 AUD (equivalent of USD costs) Employee benefits Other SG&A www.admedus.com
Slide 16: Shareholder mix as at 7 May 2019
Shareholder mix as at 7 May 2019 Split of all shareholders at 7 May 2019 Split of top 20 shareholders at 7 May 2019 Other top 20 Star Bright Group 20% 23% Star Bright Group Other 40% 44% Star Bright Star Bright Sio Sio Other top 20 Other top 20 Other 22% 40% Sio Capital Management 11% Sio Capital Ma
Slide 17: Infusion Division
Infusion Division • Binding sale agreement signed between Admedus and BTC • AUD $ 6.3 million for Summit range of pumps. • Transaction will close 31st May. Full transition of the business will be complete by June 1st. • Headcount reduction of 19% • Admedus will retain the Arcomed range of pumps and
Slide 18: ADAPT Commercial Update
ADAPT® Commercial Update
Slide 19: Taking Market Share From Larger Competitors
Taking Market Share From Larger Competitors North America MAT 2018 MAT Despite being outnumbered 6 to 1 by our major competitors, our highly specialized field force drove awareness and adoption of the ADAPT® platform…
Slide 20: 2018 North America – becoming the company to beat
2018 North America – becoming the company to beat Our Science +67% Our Value ADAPT® DATA GROWING Health Systems Meta-Analysis demonstrating USA, Canada, 4C 4 IDNs and 1 Major GPO Signed superiority over alternatives In Congenital Heart Disease Admedus is well positioned for Becoming the Standard Mar
Slide 21: 2018 Europe – revitalized team and return to revenue growth
2018 Europe – revitalized team and return to revenue growth… hampered by regulatory change driven delays Our Value Our Science Halted Decline Health Econ ADAPT® DATA Recovery Publication in Health Economics Journal demonstrating benefit of Repositioning to Emphasize Returned to Growth ADAPT clinical
Slide 22: 2018 Emerging Markets – continued growth despite some challenges
2018 Emerging Markets – continued growth despite some challenges EMERGING MARKETS MAT 2018 Regulatory Delay +127% TGA GROWING Grew Business by 100% via Special Access which MENA largest contributor and demonstrates strong demand continued growth YoY pre-approval Lessons Learned New Approvals MAT IND
Slide 23: Medical & Reg Affairs
Medical & Reg Affairs
Slide 24: CardioCel Approval Status
CardioCel® Approval Status Legend CC & CC3D Approved CC Approved CC3D In Process CC Approved CC In Process (SAP) CC In Process Future Registrations Source: Admedus Regulatory Tracking (REG UPDATE STATUS LIST_24FEB 2019.xlsx) www.admedus.com
Slide 25: VascuCel Approval Status
VascuCel® Approval Status Legend Approved Approval In Process Not Yet Pursued Source: Admedus Regulatory Tracking (REG UPDATE STATUS LIST_24FEB 2019.xlsx) www.admedus.com
Slide 26: Preclinical update
Preclinical update Early Animal data suggests • Normal valve function after aortic valve replacement with Admedus 3D aortic prosthesis • Easily implanted • No surgical failure • Low gradients and no regurgitation were observed. • Good overall clinical status of the animals www.admedus.com
Slide 27: 2019 Strategy Update
2019 Strategy Update
Slide 28: Creating ADAPT brand equity since 2016
Creating ADAPT® brand equity since 2016 First and only ✓ Bio scaffold with true anti-calcification treatment ✓ Bio scaffold with 10 years of data in man ✓ Bio scaffold with ZERO DNA ✓ Bio scaffold to be moulded into a 3D valve ✓ Product now far more widely known by Dr’s , competitors and major strat
Slide 29: 2019 ADAPT set for further growth
2019 ADAPT® set for further growth Our Science Portfolio expansion and new In US & EU launches ADAPT® DATA rope GROWTH PRICING “First and only data “ Being Published & Presented at major USA, Europe STABLE congresses In Congenital Heart Disease Admedus is well positioned Precision Tissue Technology
Slide 30: Patches landscape (global sales)
Patches landscape (global sales) Cardiac Dural Repair Soft Tissue ($1,900M) ($320 M) ($1,700 M) Adult Hernia (70%) CCD Wall defects (26%) Vascular ($800 M) Peripheral vascular opportunity reconstruction approved Indications Source: Grand View Research report – Global 2020 www.admedus.com
Slide 31: New technology enables new markets
New technology enables new markets Patch Valves Catheter Conduit ADAPT® - 3 Dimensional Shaping - PTT www.admedus.com
Slide 32: TAVR UPDATE
TAVR UPDATE
Slide 33: What's driving the growth in TAVR
What's driving the growth in TAVR • CAGR reported to be 22% and approximately USD 12 bn by 2025 • Less invasive , quicker recovery period • Quicker procedure times • Recent data released by Medtronic and Edwards support the use of TAVR in “low risk” patients (i.e. younger) www.admedus.com
Slide 34: Data released in March from two studies suggest TAVR is beneficial in low risk patients
Data released in March from two studies suggest TAVR is beneficial in “low risk” patients Study 1 Study 2 Objective To assess the safety and efficacy of TAVR To evaluate TAVR compared with SAVR with SAVR in low-risk patients. (N,1403), 24 among low-risk patients . (N1000), 1 year month follow up fol
Slide 35: Structural Valve Deterioration happens in stages
Structural Valve Deterioration happens in stages The latest definition of structural valve deterioration can be categorised into three stages: Stage 1: morphological abnormalities (fibrocalcific remodeling and tear) of bio prosthesis valve leaflets “Calcification is the very first sign of Structural
Slide 36: Durability is more than anti calcification
Durability is more than anti calcification • Anti calcification is one key element effecting durability • Structural elements play a role including : 1. Valve design 2. Manufacturing inputs such as sutures 3. Leaflet structure 4. Tissue properties www.admedus.com
Slide 37: Successful Valve Leaflet Motion Over 100 Million Cycles
Successful Valve Leaflet Motion Over 100 Million Cycles 4 Million 40 Million 100 Million LN www.admedus.com
Slide 38: Valve Tissue Conclusive Remarks
Valve Tissue Conclusive Remarks Durability Zero suture tears up to 100 million cycles Results Zero visible tissue fatigue up to 100 million cycles Zero visible change in GOA/EOA (0 to 100 million cycles) LN www.admedus.com
Slide 39: Admedus will win the Durability Race in TAVR
Admedus will win the “Durability Race” in TAVR 1st Generation 2nd Generation Value thru Durable TAVR TAVR TAVR technologies that will last (Complications & Procedural (Durability & longer than 10yrs Efficiency) Hemodynamics) Admedus Leadership Data showing superiorty in low risk (younger) TAVR patie
Slide 40: Conclusion
Conclusion • Admedus will be a single focused structural heart company post divestiture • Commercial sales of ADAPT® continue to grow significantly in the US YOY • Clinical data demonstrating superiority continues to be published. 10 year anti calcification data now complete • Feasibility study conc