STAAR Surgical Company · NASDAQ:STAA
STAAR Surgical — Investor Presentation (September 2020)
25 slides from STAAR Surgical's investor presentation, September 2020
Slide 1: STAAR Surgical Company Investor Presentation September 2020
STAAR SURGICAL COMPANY INVESTOR PRESENTATION SEPTEMBER 2020
Slide 2: Forward Looking Statements
Forward Looking Statements 2
Slide 3: The Future of Refractive Surgery is Lens-Based
The Future Large and Growing Total Addressable Market of Refractive (TAM) Surgery is Lens-Based... Proprietary Lens Technology and Business The Time Model is Driving Industry-Leading Growth for STAAR is Now Strong Financial Performance includes Expanding Margins and Cash Generation 3
Slide 4: STAAR is Targeting Two Large Markets
Myopia Presbyopia TAM STAAR is Targeting Two Large Markets Refractive Today: 4 Million Procedures Annually Refractive Future: Growth refueled by 35 Million 55 Million lens-based myopia Myopes Presbyopes and presbyopia solutions * Company estimates of Viable Market Opportunity. Adjustments to TAM bas
Slide 5: Significant and Increasing Prevalence
Significant and Increasing Prevalence… Patients Require Correction TAM Myopia Presbyopia Tailwinds Will Drive Future Market Growth Myopia – Now and In 2050* 6000 60% 75-80% …to dramatically 5000 50% increase STAAR’s 4000 40% Opportunity. 3000 30% $70 Billion Spend 2000 20% 1000 10% 0 0% 2000 2010 20
Slide 6: STAAR is Generating High Levels of Growth Globally
STAAR is Generating High Levels of Growth Globally Existing 33% in 2019 Compared to Low-Single-Digits Refractive Market Market China U.S. 4 Million Refractive India Procedures Annually Brazil S. Korea Germany Egypt Mexico Canada Spain Italy U.K. France Japan R.O.W. - 200,000 400,000 600,000 800,000
Slide 7: Industry Leading ICL Unit Growth
Industry ICL Unit Growth Y/Y*… Leading Growth 65% 48% 33% 30% 22% 22% Fiscal Year 18% 13% 2019 10% 7% Germany United States TOTAL* Japan China Kingdom Spain India S. Korea Other APAC United * Select markets for the Twelve-Months Ended January 3, 2020. 7
Slide 8: STAAR's Global Eyeprint
STAAR’s Global “Eyeprint” 75 Countries Direct Hybrid United States China Canada S. Korea U.K. Distributor India Germany Spain Hybrid Japan Targets 8
Slide 9: STAAR's Products: EVO ICL
STAAR’s An ICL (Implantable Collamer Lens) is a single-piece foldable phakic* intraocular lens (IOL) made of STAAR’s proprietary Products Collamer material and implanted into the posterior chamber x ICLs • 360µm hole in the center of 86% FY19 Net Sales Mix EVO ICL™ Family the optic. EVO ICL™ Spheric
Slide 10: EVO ICL Technology: A Closer Look
EVO ICL™ Technology A Closer Look The EVO lens is implanted in the eye and positioned behind the iris and in front of the natural lens The EVO ICL is not visible to other people after implantation ICL™ 10
Slide 11: EVO ICL Technology: Premium and Primary Positioning
EVO ICL™ Premium and Primary Positioning Technology x x A Closer Look Advantages of STAAR’s Proprietary Lenses 11
Slide 12: 99.4% of Patients Would Elect EVO ICL Again
99.4% Over 1 Million ICLs Implanted Globally of Patients Would Elect STAAR’s EVO Implantable Collamer® Lens Again* * EVO ICL Patient Registry data on file. 12
Slide 13: What's Going On in Active Markets Globally
What’s Going On in Active Markets Globally…
Slide 14: Experiencing Growth in China
Experiencing Growth in China Lenses Sold to Clinicians in China* +34 +39 July 2020 % August 2020 % Growth Y/Y Growth Y/Y * Sold by our distributor to clinicians/end-users. Increase in China to clinicians/end-users helps to offset on-going impact of COVID in large markets such as India and the Middle
Slide 15: United States: Laying Groundwork for Success
United Laying Groundwork for STAAR’s Success in Second Largest Market Globally States Successful launch of Toric ICL, which was approved in September 2018 Increased surgeon engagement with Inaugural Surgeons Council Meeting in August 2019 Signed dozens of Strategic Agreements with potential fu
Slide 16: S. Korea: Digital Consumer Marketing Driving Growth
Impactful Digital Consumer Marketing, Influencer Campaigns S. Korea and Surgeon Support are Driving ICL Unit Growth 24 / 365 • • • 16
Slide 17: Germany and Spain
Surgeon Support, Strategic Partnerships Germany and EVO Viva™ Presbyopia-Correcting Lens and Spain The German refractive society expanded recommended range for use of phakic refractive What’s lenses, including EVO from -6.0D to -3.0D* in 2019 Going Strategic partnerships with multi-unit practice
Slide 18: 2Q Earnings Review
Welcomed new Chief Financial Officer and two new Board Members 2Q Earnings 2Q results demonstrated STAAR’s ability to perform well in the midst of Review prolonged COVID-19 related shutdown of elective surgeries in most markets Net Sales of $35.2 Million Down 11% Y/Y Gross Margin at 69.4% vs
Slide 19: STAAR's Proven Track Record of Operating and Financial Execution
STAAR’s Proven Track Record of Operating and Financial Execution…
Slide 20: STAAR Generates Significant ICL Unit Growth
STAAR Global ICL Unit Growth Y/Y Generates… 66% 56% 54% Significant ICL 41% Unit Growth 39% 34% 35% 27% 18% 20% 18% 20% 15% 10% 11% 0% 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 +11% +17% +54% +33% 2016 2017 2018 2019 20
Slide 21: ICL Unit Growth Generates Industry Leading Sales Growth
ICL Unit Net Sales $ and Growth Y/Y Growth 55% Generates… 35% 33% Industry Leading 25% 23% 25% Sales Growth 17% 20% 17% 12% 12% 7% 6% 6% 5% Three-Year 2% 22% CAGR 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 $82.4 Million $90.6 Million $124.0 Million $150.2 Million
Slide 22: Industry Leading Sales Growth Drives Improving Margins
Gross Margin Operating Margin Industry Leading 5.3% 7.9% Sales Growth 73.8% 74.5% Drives… 70.8% 70.9% (4.0%) 68.4% (6.9%) (15.3%) Improving Margins 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Cash from Operations GAAP EPS Profitability Cash from Operations GAAP EPS Increasing Cash on $25.8 $ M
Slide 23: Cash
Cash Cash Net Proceeds from Secondary Offering** $ ~ 90% of Quarter-End Cash of $116.3 Millions Million held at JP Morgan in the U.S. and Credit Suisse in Switzerland* 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 * As of July 3, 2020 Cash, cash equivalent
Slide 24: STAAR's Execution: Promises Made. Promises Kept.
STAAR’s Promises Made. Promises Kept. Execution Outlook 2018 - 2020 Execution 2018 - 2019 Annual Revenue Growth 21% & 37% Annual Revenue Three-Year of 15 - 20% Growth Financial Outlook Announced Stretch Annual ICL Unit Growth 33% & 54% Annual ICL Unit of 25%+ Growth during November 2017 Investor Day
Slide 25: The Future of Refractive Surgery is Lens-Based
The Future of Refractive Surgery is Lens-Based. The Time for STAAR is Now! We welcome you to visit STAAR’s investor website for clinical papers, examples of global consumer marketing and much more at investors.staar.com www.staar.com www.discoverevo.com
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