Tecan Group Ag · SIX:TECN
Tecan — Investor Presentation (2001)
32 slides from Tecan's investor presentation, 2001
Slide 1: Leadership in Life Sciences
Leadership in Life Sciences Corporate Presentation Page 1
Slide 2: Sales performance
Sales performance 300 274 Sales increase of +42% (+33% in local currencies) 200 193 Above industry average 164 growth rates in all markets Expanded global reach 100 > distribution channels > subsidiaries > product offerings 0 CHF m 1998 1999 2000 Corporate Presentation Page 2
Slide 3: We successfully broadened our markets
We successfully broadened our markets Sales by markets 17% 11% 42% 36% 47% 47% 1999 2000 Genomics/ Drug Discovery Diagnostics Proteomics Corporate Presentation Page 3
Slide 4: The Life Sciences Value Chain
The Life Sciences Value Chain Core Drug Instruments Applications Disposables Reagents Data-Mining development Collateral Corporate Presentation Page 4
Slide 5: Strategic initiatives
Strategic initiatives Genomics > Exclusive partnership with Merck for OEM DNA kits Proteomics > Tecan Proteomics in Munich and free-flow electrophoresis (FFE) acquisition Drug Discovery > Acquisition of miniaturisation technology with LabCD Corporate Presentation Page 5
Slide 6: From leading laboratory automation ...
From leading laboratory automation ... > Sample processors > Readers > Washers > Western Blot > Dispensers Molecular biology Workstation Corporate Presentation Page 6
Slide 7: … to the introduction of the LabCD
… to the introduction of the LabCD Micro-fluidic Layer > Centrifugal forces > Linear acceleration > Capillary action Micro-electronic Layer > Temperature control > Thermal cycling for PCR > Control for active valves Informatics Layer > Reagent lot information > Chemistry protocols > Operating instru
Slide 8: Geographical expansion
Geographical expansion Tecan US Tecan Boston Tecan Belgium Tecan Holland Tecan Germany Tecan Japan Tecan Software Tecan Proteomics Tecan Austria Tecan Switzerland Cavro Tecan UK Tecan Spain Tecan France Tecan Italy Tecan Asia New subsidiary established in 2000 Corporate Presentation Page 8
Slide 9: One of the best performing stocks on SWX Swiss Exchange in 2000
One of the best performing stocks on SWX Swiss Exchange in 2000 200 > Tecan significantly outperformed Swiss Performance Index (SPI) over the past three years 150 > Stock price performance underpinned by significant increase of earnings per 100 share 50 0 CHF 1999 2000 2001 Tecan Swiss Performance P
Slide 10: Key figures 2000
Key figures 2000 CHF m 1999 2000 ∆ 99/00 Sales 193.1 273.5 +42% Operating profit 41.0 57.9 +41% in % of sales 21.2% 21.2% Net profit 28.1 39.5 +41% in % of sales 14.5% 14.4% Cash 49.4 49.1 –1% in % of assets 32.0% 25.2% Equity 117.9 139.0 +18% in % of assets 76.2% 71.5% Free Cash Flow 21.8 21.5 –1%
Slide 11: Investment in R & D
Investment in R & D 11.0 % > In line with corporate objectives to have 11.2 % net R&D between 10 to 12 % of sales 10.8 % > Focus on technological breakthroughs and new applications : Lab- 90 29 CD/microfluidics, workstation, new 26 freedom platforms; ADME; Assays 60 19 > Significant investment in Pr
Slide 12: Operating result (EBIT)
Operating result (EBIT) 22.2 % 21.2 % > EBIT increased by +41% to 21.2 % CHF 58 m 19.3 % 19.4 % > Operating margin stable at a high level of 21.2% 60 58 > 1999 included CHF 3.6 million of capitalized R&D 40 41 32 > 2000 included amortization of CHF 1.7 million due notably to Gamera 20 acquisition an
Slide 13: Key figures 1st Half 2001
Key figures 1st Half 2001 CHF m 6/2001 6/2000 ∆ 00/01 Sales 174.5 124.0 +41% R&D expenses 23.2 13.3 +74% in % of sales 13.3% 10.7% Operating profit 28.2 25.1 +12% in % of sales 16.2% 20.3% Net profit 20.9 15.2 +37% in % of sales 12.0% 12.3% Cash 49.2 56.3 –13% in % of assets 20.5% 35.3% Equity 164.1
Slide 14: Sales performance 1st Half 2001
Sales performance 1st Half 2001 > Sales increase of + 40.8% (+ 40.5% in local currencies) 200 175 > Outstanding performance despite difficult market environment 150 124 > Strong growth due to new product roll-out and in particular: 100 > front-end-sequencing in genomics and functional genomics > goo
Slide 15: Sales by location of customers 1st Half 2001
Sales by location of customers 1st Half 2001 > All geographical regions contributed to success 100% 4% > North America: + 38% l.c. 5% 10% 9% > Europe: + 39% l.c. > Asia: + 36% l.c. 38% 37% > Others: + 96% l.c. 50% > Europe is contributing most to the acceleration of growth 48% 49% > Tecan benefits f
Slide 16: Sales by markets 1st Half 2001
Sales by markets 1st Half 2001 > Genomics/Proteomics and Diagnostics outperformed the expected market growth 100% rates by far 16% 19% > Drug Discovery performed in line with the expected market growth rate 45% 35% > Despite lower R&D expenses from 50% pharmaceutical companies 39% 46% 0% 6/2000 6/20
Slide 17: Financial targets 2001
Financial targets 2001 > Sales growth: ~35% per annum > R&D: ~10–12% of sales > EBIT: ~20% of sales > Profit: ~14% of sales Corporate Presentation Page 17
Slide 18: The Life Sciences Industry
The Life Sciences Industry Supply Companies Affymetrix Applied Biosystems APB Caliper Cybio Qiagen Tecan Celera Incyte Abbott LSB Novartis Millenium Pfizer OGS Roche Information Pipeline Companies Companies Corporate Presentation Page 18
Slide 19: Customer Intimacy
Tecan’s core competencies Drug Genomics Proteomics Diagnostics Discovery > > > > Enabling Packages > Customer Intimacy Disposables Reagents System Integration Liquid Miniaturi- Software Detection Handling zation Validation > > > > Robotic Platform Corporate Presentation Page 19
Slide 20: Genomics
Genomics Total Available Market (CAGR) Trends and drivers > Genome project 3750 > Functions of genes > Genes are rarely targets CAGR 87% 2180 1570 570 CAGR 40% CHF m 2000 2003 Source: Frost & Sullivan, Frontline Corporate Presentation Page 20
Slide 21: Proteomics
Proteomics Total Available Market (CAGR) Trends and drivers > Proteins are targets 2760 > Emerging > Complex CAGR 55% 760 CHF m 2000 2003 Source: Frost & Sullivan, Frontline Corporate Presentation Page 21
Slide 22: Drug Discovery
Drug Discovery Total Available Market (CAGR) Trends and drivers > More targets 2850 > Smart discovery > Cell based CAGR 42% 1550 1000 CAGR 9% 1300 CHF m 2000 2003 Source: High Tech Business Decisions Corporate Presentation Page 22
Slide 23: Diagnostics
Diagnostics Total Available Market (CAGR) Trends and drivers > Molecular Diagnostics 1020 > Cause vs. symptoms 830 > Personalized medicine CAGR 7% Genomics > Predisposition Proteomics > Expression CHF m 2000 2003 Source: Company estimate Corporate Presentation Page 23
Slide 24: Emerging markets
Emerging markets Existing products Pipeline Genomics > Sequencing Mol bio workstation for Sequencing kits HT DNA preparation > Genetic variation SNP tools > Gene expression ISH Array suite Proteomics > Simplification FFE > Separation 2D gel > Protein identification Digestion, Maldi plate spotting >
Slide 25: Core markets
Core markets Existing products Pipeline Drug Discovery > Assay development Detection Detection > Screening uHTS uHTS Secondary screening High content information > ADME ADME Workstations Miniaturized approach > Clinical trials Diagnostics > Specimen logistics FE 500 Archiving > Analytics Microtiterp
Slide 26: Leveraging our core competencies ...
Leveraging our core competencies ... Drug discovery process Target Identification Compound Primary Secondary Lead libraries > Screening Screening Optimization ADME Clinical trials > Assay development > ADME studies the viability of a therapeutic agent > ADME is a key bottleneck in drug development >
Slide 27: Market growth rate
… creates strategic thrust! High Proteomics Market growth rate Genomics Advanced Diagnostics Drug Discovery R h w o tG e rk a M Diagnostics High Market Share Corporate Presentation Page 27
Slide 28: Our business pillars
Our business pillars > Comprehensive product portfolio Products > Established in the 4 segments of the Life Sciences market > Global reach Markets Distribution > Partnership with customers > Culture of innovation Corporate Presentation Page 28
Slide 29: Core competencies in Life Sciences
Core competencies in Life Sciences Supply Companies Instruments Applications Disposables Reagents Data-Mining Drug development Information Pipeline Companies Companies Corporate Presentation Page 29
Slide 30: Core competencies in Life Sciences
Core competencies in Life Sciences Tecan 2001+ 2000 Integrated Solutions Instruments Strengthening Applications and expansion of core competencies Disposables Reagents Data-Mining Drug development Information Pipeline Companies Companies Corporate Presentation Page 30
Slide 31: Collateral
Our Vision 2003 CHF 10 – 11 bn Drug Development 2000 CHF 5.5 – 6 bn Data- Mining Reagents Collateral Core Collateral Core Collateral Disposables Applications Total available market Instruments Core Corporate Presentation Page 31
Slide 32: … it’s an attitude
… it’s an attitude Corporate Presentation Page 32