Ypsomed Holding AG · SIX:YPSN

Ypsomed — FY2017/18 Earnings Presentation

46 slides from Ypsomed's earnings presentation, May 24, 2018

  1. Slide 1: Annual Figures 2017/18

    Annual Figures 2017/18 Burgdorf, 24 May 2018

  2. Slide 2: Important information

    Important information The information contained in this document has not been verified by an independent source. It should be taken with caution and no assurance or guarantee is given (either explicit or implied) with regard to the fairness, accuracy, completeness or correctness of the information o

  3. Slide 3: Agenda

    Agenda 1. Financial figures 2. Ypsomed Diabetes Care 3. Ypsomed Delivery Systems 4. Ypsomed Group 5. Questions and answers 3 | Ypsomed Holding AG | Annual figures 2017/18

  4. Slide 4: Confirmation of strategic initiatives

    Confirmation of strategic initiatives Establishment as Digitisation of the Extending cost a global provider portfolio leadership 4 | Ypsomed Holding AG | Annual figures 2017/18

  5. Slide 5: Implementation of the strategy requires investments in fixed assets and R&D

    Implementation of the strategy requires investments in fixed assets and expenditures in R&D  Increase in investments by a total of +86%  +34% increase in research & development (R&D) 5 | Ypsomed Holding AG | Annual figures 2017/18

  6. Slide 6: Sales increase by 20% and exceed outlook

    Sales increase by 20% and exceed outlook 6 | Ypsomed Holding AG | Annual figures 2017/18

  7. Slide 7: All segments contribute to growth

    All segments contribute to growth  The Ypsomed Diabetes Care (YDC) segment grows by 28.2% to CHF 315.2 million.  The turnover in the Ypsomed Delivery Systems (YDS) segment grows by 3.6% to CHF 132.5 million. In the second half of the year in particular, we achieved pleasing growth of +11.3% compar

  8. Slide 8: EBIT rises by 10% to CHF 61.1 million and is above outlook

    EBIT rises by 10% to CHF 61.1 million and is above outlook  Continuation of geographical expansion  Increase in research and development expenditures  Market launch costs and depreciation for the development of mylife™ YpsoPump®  Price pressure on Omnipod® 8 | Ypsomed Holding AG | Annual figures

  9. Slide 9: Earnings per share up 12.6% to CHF 4.14

    Earnings per share up 12.6% to CHF 4.14 9 | Ypsomed Holding AG | Annual figures 2017/18

  10. Slide 10: Increase in investing activities

    Increase in investing activities by CHF 29 million  Investments* increase to CHF 67 million (previous year: CHF 38 million) – CHF 35 million for new buildings in Burgdorf, Solothurn and Schwerin – CHF 16 million for capacity expansion – CHF 16 million for further development of infusion and injecti

  11. Slide 11: Balance sheet remains solid

    Balance sheet remains solid 11 | Ypsomed Holding AG | Annual figures 2017/18

  12. Slide 12: Ypsomed Business Segments

    Ypsomed Business Segments 12 | Ypsomed Holding AG | Annual figures 2017/18

  13. Slide 13: Ypsomed Diabetes Care

    Ypsomed Diabetes Care 13 | Ypsomed Holding AG | Annual figures 2017/18

  14. Slide 14: More and more people need diabetes therapy

    More and more people need diabetes therapy 2017 2045 14 | Ypsomed Holding AG | Annual figures 2017/18

  15. Slide 15: Differentiation between type 1 and type 2 diabetes

    Differentiation between type 1 and type 2 diabetes Type 1 Type 2 15 | Ypsomed Holding AG | Annual figures 2017/18

  16. Slide 16: YDC and mylife Diabetescare focus on the insulin pump market

    YDC and mylife™ Diabetescare focus on the insulin pump market for type 1 diabetics Type 1 diabetics geographical distribution of current pump users 16 | Ypsomed Holding AG | Annual figures 2017/18

  17. Slide 17: mylife Diabetescare is committed to the user

    mylife™ Diabetescare is committed to the user Our insulin pump system...  Easy to learn and use  Small, light and discreet  Excellent customer service  Added value through a broad portfolio ...is a modular solution.  Customer benefit through modularity  For every user 17 | Ypsomed Holding AG |

  18. Slide 18: Focusing on own products is key

    Focusing on own products is key  We not only have the full flexibility in the technical development and digital integration of the mylife™ Diabetescare portfolio,…  … but also complete freedom in the design and rapid expansion of global market access in order to take advantage of the unique market

  19. Slide 19: mylife YpsoPump – Availability by the end of 2018

    mylife™ YpsoPump® – Availability by the end of 2018 Australia, Austria, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, India, Ireland, Israel, Italy, Luxembourg, Netherlands, New Zealand, Norway, Poland, Portugal, Spain, Sweden, Switzerland, UK 19 | Ypsomed Holding AG | Annual f

  20. Slide 20: mylife YpsoPump – From mid-2019 in the USA

    mylife™ YpsoPump® – From mid-2019 in the USA 20 | Ypsomed Holding AG | Annual figures 2017/18

  21. Slide 21: mylife YpsoPump – Entry into world's largest market

    mylife™ YpsoPump® – Entry into world’s largest market 2018  Submission for FDA approval (End of MayEntsprechende 2018) Länder anmalen  Recruitment of key positions (Q3 2018)  Foundation of a subsidiary  Establishment of the infrastructure  Evaluation of suitable partners for controlled market e

  22. Slide 22: We will repeat our success, but faster

    We will repeat our success, but faster  With mylife™ Diabetescare, we have  We have well-functioning IT and established ourselves as a logistic. trustworthy.  We have full functional and operational  We have a competitive product. freedom for implementation.  We are represented in more  The my

  23. Slide 23: Order for a line for the Orbit infusion set

    Order for a line for the Orbit® infusion set with an annual capacity of 10 million units 23 | Ypsomed Holding AG | Annual figures 2017/18

  24. Slide 24: Digitisation creates added value in therapy

    Digitisation creates added value in therapy 24 | Ypsomed Holding AG | Annual figures 2017/18

  25. Slide 25: The digital product pipeline enables further applications

    The digital product pipeline enables further applications for the mylife™ YpsoPump® system 25 | Ypsomed Holding AG | Annual figures 2017/18

  26. Slide 26: The insulin pump market is becoming more segmented

    The insulin pump market is becoming more segmented  Two different segments are emerging globally.  Due to increasing competition, we expect a market potential for patch pumps of up to 25% in the medium term. 26 | Ypsomed Holding AG | Annual figures 2017/18

  27. Slide 27: Ypsomed will serve both segments in the medium term

    Ypsomed will serve both segments in the medium term  The mylife™ YpsoPod® offers the user and society an economically and ecologically better solution.  Development resources have been increased.  The finalization of the concept will take place in the course of the 2018/19 financial year, followe

  28. Slide 28: mylife OmniPod – Handover to Insulet Corp.

    mylife™ OmniPod® – Handover to Insulet Corp.  Ypsomed will fulfil all its obligations by 30 June 2018.  Accordingly, the sales contribution of the mylife™ OmniPod® increased to CHF 182 million and the EBIT-contribution to CHF 34 million.  For the first quarter of the 2018/19 financial year, we ex

  29. Slide 29: Ypsomed Delivery Systems

    Ypsomed Delivery Systems 29 | Ypsomed Holding AG | Annual figures 2017/18

  30. Slide 30: Overview of indications and current platforms

    Overview of indications and current platforms Indications Indications  Diabetes (insulin, GLP-1)  Autoimmune disorders  Growth disorders  Migraine  Fertility  Multiple sclerosis  Immuno-oncology Pens Autoinjectors 30 | Ypsomed Holding AG | Annual figures 2017/18

  31. Slide 31: Platform family pens

    Platform family pens Established systems for the administration of insulins and other hormones  Ypsomed is the leading developer and manufacturer of pen systems  High proportion of biosimilars due to the patent cliff for existing drugs  High share for emerging countries to improve local supply 31

  32. Slide 32: Platform family autoinjectors

    Platform family autoinjectors New system for the administration of complex drug formulations  Very high growth potential for Ypsomed  Biosimilars and in particular novel drugs  New requirements due to larger volumes or higher viscosity  First commercial delivery of YpsoMate® in 2018 32 | Ypsomed

  33. Slide 33: Trends and indications for future medicines

    Trends and indications for future medicines  Drugs are becoming more specific, e.g. in the treatment of autoimmune diseases. Instead of a generic drug (e.g. Humira), a large number of new, very specific drugs for e.g. psoriasis, rheumatoid arthritis or Crohn’s disease come onto the market.  Prophy

  34. Slide 34: Full order pipeline

    Full order pipeline 34 | Ypsomed Holding AG | Annual figures 2017/18

  35. Slide 35: Full order pipeline leads to strong growth

    Full order pipeline leads to strong growth  The planned CAGR for 3 years is around 25%.  Sales planning is subject to several uncertainties: – Risk of delay: postponement of the market launch – Quantity risk: Fluctuations in order quantities – Market risk: No market launch or sales stop 35 | Ypsom

  36. Slide 36: Test of the 5G mobile phone generation in production

    Test of the 5G mobile phone generation in production  In connection with a pilot project with Swisscom, Ypsomed has digitised various production processes on a trial basis: – Evaluation of machine data in real time – Virtualisation of the machine PC’s – Optimisation of the flow of goods – Quality i

  37. Slide 37: Ypsomed Group

    Ypsomed Group 37 | Ypsomed Holding AG | Annual figures 2017/18

  38. Slide 38: Construction work at headquarters and in Schwerin on schedule

    Construction work at headquarters and in Schwerin on schedule 38 | Ypsomed Holding AG | Annual figures 2017/18

  39. Slide 39: Outlook for Ypsomed for the business year 2018/19

    Outlook for Ypsomed for the business year 2018/19  Following the successful 2017/18 financial year, we are planning for 2018/19 to generate similar sales overall.  We expect EBIT between CHF 61 and 76 million.  An important assumption here is the payment by Insulet Corp. for the termination of th

  40. Slide 40: Outlook for sales for business year 2018/19

    Outlook for sales for business year 2018/19  Sales are expected to be of the same level including the extraordinary payment.  The sales contributions of the continued business will increase by around 22%. 40 | Ypsomed Holding AG | Annual figures 2017/18

  41. Slide 41: Development of sales up to business year 2020/21

    Development of sales up to business year 2020/21  Complete compensation for the decline in sales due to the loss of the mylife™ OmniPod® by 2020/21. 41 | Ypsomed Holding AG | Annual figures 2017/18

  42. Slide 42: Outlook EBIT for the business year 2018/19

    Outlook EBIT for the business year 2018/19 42 | Ypsomed Holding AG | Annual figures 2017/18

  43. Slide 43: Development of EBIT up to business year 2020/21

    Development of EBIT up to business year 2020/21  Following a decline in 2018/19, earnings from continuing business will increase sustainably and significantly. 43 | Ypsomed Holding AG | Annual figures 2017/18

  44. Slide 44: Election of Paul Fonteyne to the Board of Directors

    Proposal to the Annual General Meeting – Election of Paul Fonteyne to the Board of Directors  Chairman and CEO of Boehringer Ingelheim, USA since 2012 until March 2018.  Paul joined Boehringer Ingelheim in 2003 and was responsible for the Human Pharma business in the US from 2003 to 2008.  He mov

  45. Slide 45: Key upcoming dates

    Key upcoming dates  General Assembly of Shareholders in Burgdorf 27 June 2018  Presentation of half-year figures 2018/19 in Zurich 6 November 2018 45 | Ypsomed Holding AG | Annual figures 2017/18

  46. Slide 46: Questions and answers

    Questions and answers

Ypsomed Holding — FY2017/18 Earnings Presentation on 6ix