Medicure Inc. · TSXV:MPH
Medicure — Investor Presentation (December 2020)
34 slides from Medicure's investor presentation, Dec 15, 2020
Slide 1: Investor Presentation
Medicure Inc. Investor Presentation December 15, 2020 MPH:TSXV
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation is for informational purposes only and should not be considered as an offer to buy or sell securities. No stock exchange has either approved or disapproved of the information that is contained in this presentation. This presentation may contain forward-loo
Slide 3: Medicure – A Heart for Life Executive Overview
Medicure – A Heart for Life® Executive Overview (1 of 7) • We focus on the heart: cardiovascular pharmaceuticals for the US market Who We Are • Urgent care intervention and preventative therapies • Our approach to engagement and service with healthcare professionals What Sets Us Apart • Focusing on
Slide 4: Our Products and Pipeline
Our Products and Pipeline Executive Overview (2 of 7) Approved Products Main Takeaway AGGRASTAT® Branded hospital product, grew from 2% to 65% market share, seeking new indications see slides 14-17 Branded consumer product, leveraging value proposition, large market potential ZYPITAMAG® see slides 1
Slide 5: Growth Potential: Potential Net Revenue
Growth Potential Executive Overview (3 of 7) $45 $40 $35 Potential Net Revenue (MM CAD) $30 BLA $25 ANDA SNP $20 ZYPITAMAG $15 AGGRASTAT $10 $5 $0 2020 2021 2022 2023 2024 MPH:TSXV 5
Slide 6: Revenue Potential
Revenue Potential Executive Overview (4 of 7) SNP AGGRASTAT ZYPITAMAG ANDA BLA MPH:TSXV 6
Slide 7: Five Point Strategic Approach
Five Point Strategic Approach Executive Overview (5 of 7) Key Opinion Leaders drive change, and we partner with the best to make that happen see slide 17 and 20 Acquisitions of synergistic PARTNER WITH branded or 505b2 approved KOLs cardio products for US market see slide 24 PRODUCT Expand product o
Slide 8: Recent Highlights
Recent Highlights Executive Overview (6 of 7) New Clinical Agreement for Research Clinical reports on use of Biosimilar Marketing Partnership with Reliance AGGRASTAT for Life Sciences, with treatment of COVID-19 exclusive right to market thrombotic complications in US once approved New Distribution
Slide 9: Key Financial Information
Key Financial Information Executive Overview (7 of 7) Capital Structure as of December 15, 2020 • Issued Shares 10,251,313 • Fully Diluted Total 11,578,671 • Share Price C$0.85 • Market Cap C$8.7M Financial Highlights • 2019 Net Revenue $20.2M • 2019 Adj. EBITDA ($3.8M) – investments in sales of 2 n
Slide 10: Medicure’s Response to COVID-19
Medicure’s Response to COVID-19 Our Business Product Employees and Continuity Demand Customers • No disruptions to • Hospitals reduced number of • Sales team has moved from manufacturing or distribution procedures in early Q2 in-person to virtual meetings • No impact on product impacting Aggrastat a
Slide 11: Key Assumptions: COVID-19
Key Assumptions: COVID-19 Physician Peak Recovery Customers Access Outbreak • Fewer in-person office • Peak of the virus • Many clinics are seeing • Stronger desire for 90- visits are possible outbreak in the US has patients on a normal day prescriptions • Restricted access to not yet occurred sched
Slide 12: Medicure Leadership Team
Medicure Leadership Team Albert D. Friesen, PhD Neil Owens, PhD James Kinley, CPA, Reuben Saba, PhD Chief Executive Officer and President and CA Vice President, Chairman of the Board Chief Operating Officer Chief Financial Officer Scientific and Medical Affairs • Founded Medicure in • Joined Medicur
Slide 13: Medicure’s Commercial Timeline
Medicure’s Commercial Timeline 2023 Projected Launch of BLA 2021 Projected Launch of ANDA 2019 Acquisition of ZYPITAMAG (pitavastatin), investment in Sensible Medical, launch of Sodium Nitroprusside, SIB returning $26M to investors 2017 AGGRASTAT becomes #1 in USA Sale of Apicore for $140M 2013 High
Slide 14: AGGRASTAT (tirofiban hydrochloride) Profile
AGGRASTAT® (tirofiban hydrochloride) Profile 100% Estimated Patient Market Share (GP IIb/IIIa Inhibitors) 80% 60% Aggrastat (tirofiban HCl) Integrilin (eptifibatide) 40% Reopro (abciximab) AGGRASTAT 20% Heat Map of Use by State 0% 2012 2014 2016 2018 2020 Background: The Story: • Acute care cardiova
Slide 15: AGGRASTAT Commercial Overview
AGGRASTAT Commercial Overview Aggrastat Net Revenue By Year Aggrastat Units Per Quarter Context ($ CAD Millions) 35,000 • In 2016, multiple generics of a direct competitor (eptifibatide) entered the $30 market, driving down prices 30,000 $25 • Medicure lowered price to maintain 25,000 market share 2
Slide 16: AGGRASTAT 4-Point Strategic Focus
AGGRASTAT 4-Point Strategic Focus 1. New Indications 3. License to Other As a potent IV antiplatelet agent, Markets we believe Aggrastat can be of benefit in other clinical settings, Medicure is actively seeking and are investing in new clinical partners to distribute Aggrastat to studies to gain ne
Slide 17: AGGRASTAT KOLs
AGGRASTAT KOLs MPH:TSXV Please refer to IMPORTANT SAFETY INFORMATION on slide 32 17
Slide 18: ZYPITAMAG (pitavastatin) Profile
ZYPITAMAG® (pitavastatin) Profile Key Information Clinical Differentiation Target Patient Groups A New Type of Statin: Lowers cholesterol, Zypitamag is different from most other Of 17 million Americans taking a statin, 5- with some benefits over other statins statins (minimally processed by CYP 10%
Slide 19: ZYPITAMAG Commercial Overview
ZYPITAMAG Commercial Overview Zypitamag Lives Covered Zypitamag Units per Quarter Context • Formulary coverage was poor until 250 120,000 Medicure acquired the NDA in 2019 and took control of pricing and bidding 100,000 200 • As a result, adoption has started 80,000 to improve, including preferred 1
Slide 20: ZYPITAMAG 4-Point Strategic Focus
ZYPITAMAG 4-Point Strategic Focus 1. Cash Pay Market 3. KOL Engagement Leading KOLs believe Bypass insurance and prior ZYPITAMAG has benefits over authorization process for other statins, and we want to simplicity and certainty of access work with them to spread the for both patients and prescribers
Slide 21: ZYPITAMAG vs AGGRASTAT Growth Path Analogy
ZYPITAMAG vs AGGRASTAT Growth Path Analogy We believe ZYPITAMAG is at the beginning of its growth curve, AGGRASTAT with the same potential growth as AGGRASTAT Units ZYPITAMAG is here Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Year 1 Year 8 M
Slide 22: Marley Drug Acquisition
Marley Drug Acquisition Mail order pharmacy located in North Carolina – licensed to ship Predicted Revenue of $7M in medications in 50 states, 2020, and EBITDA of $1.5M Washington D.C. and Puerto USD Rico Marley Extended Supply Program: 30,000 existing customers, with Opportunity for improved direct
Slide 23: Sodium Nitroprusside (SNP) Profile
SODIUM NITROPRUSSIDE (SNP) Profile SNP Units per Quarter Context • Generic product, used in-hospital 2,000 • Mainstay of hospital formularies, 1,800 however price spike in 2015 led to hospitals seeking alternative • IV administration, diluted prior to 1,600 vasodilators administration 1,400 1,200 •
Slide 24: Investments and Returns to Shareholders
Investments and Returns to Shareholders APICORE (2014-2017) SENSIBLE MEDICAL (2019) SIB (2019) • July 2014 – Acquired 5% interest in • USD $10M investment in Sensible Medical • Completed substantial issuer bid (SIB) Apicore with a 3-year option to in 2019 for $26M in cash purchase the remaining shar
Slide 25: New Cardio Products - Our Target Product Profile
New Cardio Products - Our Target Product Profile In-Hospital Value Urgent care IV products used in Cardio products that can be hospital = build on the licensed or acquired with low or experience, relationships and no initial investment, and if success of AGGRASTAT and licensed can be acquired with s
Slide 26: Biosimilar Development
Biosimilar Development Partnership Takeaway’s Timeline • License, Manufacture and • Product Profile: IV cardio • Requires a Phase 3 PK/PD Supply Agreement with product used in-hospital study Reliance Life Sciences (RLS) for a cardiovascular biosimilar • Would be first cardio • Analytical assessment
Slide 27: Q3 2020 Financial Results Summary
Q3 2020 Financial Results Summary $ millions CAD Q3 2020 Q2 2020 Q3 2019 Net Revenue 3.5 2.7 5.3 COGS 1.4 1.6 1.5 Selling Expenses 0.92 0.97 3.3 Net Income (loss) (1.0) 0.019 (0.59) FX Gain (loss) (0.21) 0.28 (0.60) Adjusted EBITDA 0.0050 0.26 (0.32) Context: Lower revenue in Q3 2020 due to COVID-19
Slide 28: EBITDA and R&D Investments
EBITDA and R&D Investments Adjusted EBITDA R&D Investments Context $3,500,000 $2,500,000 • Adjusted EBITDA has decreased since 2016, due to decreased revenue from AGGRASTAT $1,500,000 • However R&D spending has been CAD significant and consistent, $500,000 investing in future growth -$500,000 • Addi
Slide 29: Product Margins
Product Margins Product Margin AGGRASTAT 72% ZYPITAMAG 87%* SNP <10% *After removal of amortization and write-down of inventory MPH:TSXV 29
Slide 30: Key Takeaways
5 Key Takeaways 1. Medicure’s focus is on cardiovascular pharmaceuticals for the US market 2. Proven success with AGGRASTAT and APICORE transaction, building sales of ZYPITAMAG 3. Pipeline of ANDA and BLA products and looking to acquire or license cardio products 4. Focus on direct consumer sales an
Slide 31: Contact Information
Contact Information Investor Relations [email protected] 1.888.435.2220 (Ext. 228) Contact a Product Specialist 1.800.509.0544 Visit our Websites Medicure.com AggrastatHDB.com Zypitamag.com Follow us Linkedin.com/company/medicure Twitter.com/MedicureInc Instagram.com/medicureinc 31
Slide 32: Important AGGRASTAT Safety Information
Important AGGRASTAT Safety Information Indication: AGGRASTAT is indicated to reduce the rate of thrombotic cardiovascular events (combined endpoint of death, myocardial infarction, or refractory ischemia/repeat cardiac procedure) in patients with non-ST elevation acute coronary syndrome (NSTE-ACS).
Slide 33: Important ZYPITAMAG Safety Information
Important ZYPITAMAG Safety Information IMPORTANT SAFETY INFORMATION FOR ZYPITAMAG (pitavastatin) INDICATIONS & USAGE Drug therapy should be one component of multiple-risk-factor intervention in individuals who require modifications of their lipid profile. Lipid-altering agents should be used in addi
Slide 34: Important Sodium Nitroprusside Safety Information
Important Sodium Nitroprusside Safety Information IMPORTANT SAFETY INFORMATION for Sodium Nitroprusside Injection WARNING - EXCESSIVE HYPOTENSION; Sodium Nitroprusside can cause precipitous decreases in blood pressure. In patients not properly monitored, these decreases can lead to irreversible isch