Liberator Medical Holdings Inc
Liberator Medical — Investor Presentation (January 2015)
16 slides from Liberator Medical's investor presentation, Jan 12, 2015
Slide 1: Investor Presentation
ee Investor Presentation SUPPLY, Inc.
Slide 2: Safe Harbor
LIBERATOR ele Safe Harbor This presentation may contain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements present management's expectations, beliefs, plans and objectives regarding future financial performance, and assumptions or judgment
Slide 3: Company Snapshot
LIBERATOR VEDIC OD Company Snaps Leading direct-to-consumer provider of medical supplies Targeting high growth, chronic condition verticals of Urology, Ostomy, Mastectomy, and Diabetes - Servicing over 43,000 active chronic disease patients - Focusing on supplies not subject to competitive bidding F
Slide 4: Target Markets
LIBERATOR Seen - rget Markets (75.7% of TTM Revenue) (19.5% of TTM Revenue) (4.4% of TTM Revenue) (0.4% of TTM Revenue) —~~ © @ 68 Disposable catheters, external ‘ Ostomy, ileostomy, and Prosthetic and special Diabetes testing supplies catheters, urine collection urostomy collection bras, mastectomy
Slide 5: Medical Supplies Market Growth Trends
LIBERATOR MEDICAL SEA. MOS “ Number of DME companies with Medicare billings less than $300,000 is declining National expenditures in DME market will increase 56% Number of Americans over 65 will increase by 32% 140% increase in dollars spent on healthcare Number of Americans with chronic illness wil
Slide 6: Customer & Payor Structure
LIBERATOR MEDICAL UND sues Customer & Payor Structure Product Mix © Payor Mix ®) Mastectomy, 4.4% . Medicaid, Private Pay, Teen, 0.4% 3% 2% Contracted Ostomy, 19.5% Payors, 20% Medicare, 75% Urological, 75.7%
Slide 7: Contracted Payors and Reimbursement
LIBERATOR MEDICAL UND .. ‘SUPPLY, INC. Liberator contracts with all four DME MACs Serving NHIC, Corp. CA<q TRICARE BlueCross ® BlueShield of Arizona. YX Aetna: All 50 States S|} National Government * Services ’ BlueShield. NORIDIAN Select Contracted Payers”) (20% of Rev.) Wn & Becross HUMANA Federal
Slide 8: Highly Experienced Management Team
y Ye 4) Aye LIBERATOR . . SERA UD Highly Experienced Management Team Experience Years of Name & Position Relevant Mark Libratore 42 Chief Executive Officer Robert Davis 42 Chief Financial Officer John Leger 39 Chief Operating Officer Paul Levett 36 Chief Marketing Officer Experience Founder of Liber
Slide 9: Highly Experienced Management Team (Cont.)
, 4 Ye 4) Aye LIBERATOR 7 Sires - Highly Experienced Management Team C Years of Name & Position Relevant | Experience Experience George Narr 17 * Responsible for all information systems at Liberator since April 2010 Chief Information Officer + Previously CIO of Liberty Medical Supply until 2006; man
Slide 10: Financial Highlights
LIBERATOR ae YOA UD - Financial Highlights ($ millions) ($ millions) 880.0 y 950.0 4 i § $70.0 g aoe BS $60.0 = : $35.0 $50.0 $30.0 $40.0 $25.0 $30.0 $20.0 : $15.0 $20.0 $10.0 $10.0 $5.0 + $0.0 0:0 FY08 A FYO9A FY10A FY11 AFY12A FY13 A FY14A Operating Income?) EBITDA® ($ millions) ($ millions) 2 $14
Slide 11: Strong Recurring Revenue
MEDICAL UNS ‘SUPPLY, INC. . $75.0 $65.0 $55.0 $45.0 $35.0 Revenue $25.0 $15.0 $5.0 ($5.0) Strong Recurring Revenue Historical Revenue 9 90.8% 91.1% 86.5% “— : 82.3% 747% 57.2% FYO8 A FYODA FY10A FYILA FYI2A FYBA FY14P (millions) mmm Recurring sales mmm New sales Recurring Sales % of revenue 95.0% 85
Slide 12: American Medical Supplies Market
LIBERATOR : ; . Seen - American Medical Supplies Market * The U.S. national healthcare spending is expected to increase by approximately $2.1 trillion from $3.0 trillion in 2014 to $5.1 trillion in 2023, according to the Centers for Medicare and Medicaid Services (“CMS”) * CMS estimates that the num
Slide 13: Demand for Healthcare is Projected to Grow
<\ LIBERATOR . ; SECA LS Demand for Healthcare is Projected to Grow U.S. Population 65+ (MM) Healthcare Expenditures ($B) 60.3 51.3 45.1 $5,159 $3,798 2014 2018 2023 $3,057 Retail Sales of Medical Supplies ($B) $636 $98 $461 | 598 | $71 $73 $53 $483 $361 2014 2018 2023 2014 2018 2023 mPreseription D
Slide 14: Opportunities for Growth
2 vee VEDICAL UD Opportunities for Growth * Opportunistically deploy cash flow for increased advertising spend, quarterly dividend, and/or share buy back to yield greatest shareholder value * Product Line Expansion ¢ Wound Care * Specialty Catheter * Launch new vendor product offerings through our m
Slide 15: Investment Highlights
co Highlights Leading Medical Suppli: Provider for + Industry leader providing medical supplies for chronically ill patients through a direct-to-consumer channel + Market share leader in highly fragmented urology, mastectomy and ostomy markets + Widely recognized national brand accredited by The Joi
Slide 16: Liberator Medical Supply, Inc.
4 Vy s ~ LIBERATOR MEDICAL UP SUPPLY, INc.
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