Nanosonics Limited · ASX:NAN
Nanosonics — ASX Asia Spotlight Conference 2012
27 slides from Nanosonics's conference presentation, Oct 18, 2012
Slide 1: Leader in Infection Control Solutions
LEADER IN INFECTION CONTROL SOLUTIONS Transforming ultrasound probe disinfection ASX Asia Spotlight Conference Dr Ron Weinberger, Managing Director 16 & 18 October 2012
Slide 2: Disclaimer
Disclaimer This presentation is intended to provide a general outline only and is not intended to be a definitive statement on the subject matter. The information in this presentation, whether written or verbal, has been prepared without taking into account the commercial, financial or other needs o
Slide 3: Our Focus
OUR FOCUS Addressing an unmet need for safer, faster and eco-friendly disinfection methods at “point-of-care”
Slide 4: Why Nanosonics?
Why Nanosonics? A validated opportunity…. Meets an unmet need for safe, fast and eco-friendly high level disinfection in growing market Best-in-class product: only system to meet FDA best practice guidelines / no competitor Strong revenue growth in first full year of sales – up 447% to A$12.3m
Slide 5: Current HLD methods – time for change
Current HLD methods – time for change Disinfection processes unchanged in 20+ years Existing methods have many shortfalls The old methods: soak, spray or wipe • Chemical spills, vapour control present OH&S risks • High risk of cross contamination • Wipes and spray not approved by the FDA for HLD Tro
Slide 6: Trophon EPR
Trophon EPR First fully automated system for disinfection of ultrasound probes - compatible with all major ultrasound probes. 6
Slide 7: Our objective: Own the ultrasound probe reprocessing market
Our objective: Own the ultrasound probe reprocessing market Patient Store Clean Record Wipe Disinfect 7
Slide 8: What our customers are saying
What our customers are saying EFFICIENT: “At each of our sites we’ve noticed a great improvement in workflow” (Sydney IVF) SAFE: “Trophon EPR has answered our OH&S concerns – our staff are no longer exposed to hazardous fumes (Sydney IVF) EFFECTIVE: “It’s a whole new feeling of clean” (South G
Slide 9: Market Opportunity
MARKET OPPORTUNITY A global and growing market
Slide 10: Market opportunity
Market opportunity Ultrasound machine market Ultrasound procedures – a large and growing market 5.18 • >500,000 ultrasound machines installed globally • >600 million procedures performed annually $US Billion 2.88 • Ultrasound procedures growing at a rate of 8% pa 2009 2015 Source: GlobalData 2009 gl
Slide 11: Earnings potential is clear
Earnings potential is clear Potential total Trophon EPR market opportunity A$1.8B > 500,000 U/S machines > 600 million procedures 10% - 20% Other HLD mandated procedures Current focus: $350 - $700M 20% Ob/Gyn
Slide 12: What's driving uptake of Trophon EPR?
What’s driving uptake of Trophon EPR? • New environmental standards for ultrasound probe disinfection, a shift from toxic chemicals • The rising cost of healthcare acquired infections (HAI) • Regulatory change driving investment in infection control • International operator safety legislation 12
Slide 13: Business Model
BUSINESS MODEL Foundation in place for strong revenue growth
Slide 14: Building multiple revenue streams
Building multiple revenue streams Trophon EPR: • Margins in line with similar 240 and 110 volt models medical devices • Manufactured locally by Nanosonics • Multi-lingual option 36% of revenues Consumables: NanoNebulant • High margin products and Chemical Indicator • R&D in house • Production outsou
Slide 15: Recent financial performance
Recent financial performance 15
Slide 16: Multiple channels to market
Multiple channels to market Europe United Kingdom North America Middle East Asia • Exclusive distribution partner: Central Africa America quality and reach is critical • Multiple distributors Europe, South America Australia, NZ and Asia Australia and New Zealand • Investment in direct sales to drive
Slide 17: GE Healthcare: Strategic investment
GE Healthcare: Strategic investment Ultrasound Manufacturer Market Share GE – Global leader in ultrasound equipment worldwide GE Siemens Healthcare 17% 24% Strategic investor in Nanosonics via GE’s healthymagination fund Toshiba • The healthymagination fund invests in technologies proven to 14% impr
Slide 18: Building a Global Footprint
BUILDING A GLOBAL FOOTPRINT nanosonics
Slide 19: Strategic approach to market development
Strategic approach to market development Regulatory approvals Regulatory approvals still Drivers for market entry: obtained; large markets; needed; languages to be distributors appointed added; distributors to be appointed • Ultrasound market size Australia and New Zealand Argentina; Brazil ; Mexico
Slide 20: How we are investing in priority markets
How we are investing in priority markets USA • Indianapolis office established – close proximity to GE Healthcare and US NanoNebulant manufacturer, Applied Laboratories • Investing in additional resources to support GE, engage Key Opinion Leaders and drive demand Europe • Headquarters in Hamburg, Ge
Slide 21: Competitive landscape
Competitive landscape No near term competitor • Regulators pushing change; existing chemicals difficult to defend • No other low temperature, point of care HLD system on the market High barriers to entry • Strong family of patents • Major advantage over new entrants • Solid base of regulatory approv
Slide 22: Outlook
OUTLOOK Where are we heading?
Slide 23: New revenue streams for FY13
New revenue streams for FY13 Software and Printer • Patient audit trail and traceability of probes and use • Software for patient specific records; • Trophon EPR specific printer to print immediate patient record Pre-disinfection wipes – Unique IP to dissolve ultrasound gel • Cleaning and drying of
Slide 24: New products based on strong IP
New products based on strong IP 2nd generation Trophon • Possible interface with OEM ultrasound machines. • Encourage use for surface probes (most probes approved for use in Trophon). Settings for two cycles • Expansion to ENT market Other types of ultrasound probes • Transoesophageal Echocardiograp
Slide 25: Company Snapshot
COMPANY SNAPSHOT Financial Data
Slide 26: Share price data and capital structure
Share price data and capital structure As of June 30, 2012 (all figures in AUD) Shares on issue ~261 million shares Market capitalisation ~$133.1 million Cash at 30 June 2012 $29.31 million Average 12 month trading volume 0.149 million shares Top 10 shareholders Percentage Share register breakdown M
Slide 27: nanoSonics
nanoSonics (OH