Diaceutics PLC · LSE:DXRX
Diaceutics — FY2020 Earnings Presentation
26 slides from Diaceutics's earnings presentation, March 2021
Slide 1: Diaceutics PLC Presentation of Results
Diaceutics PLC Presentation of Results For the year ended 31 December 2020
Slide 2: Disclaimer
Disclaimer The information contained in these slides and any accompanying verbal presentation, any question and answer session and any document or material distributed at or in connection with the verbal presentation (together, the "Presentation") have not been approved by an authorised person withi
Slide 3: Presentation Team
Presentation Team Peter Keeling, founder and CEO Philip White, CFO • 30+ years’ experience as a leader, entrepreneur and • 16+ years’ management and financial experience, strategist in the pharmaceutical industry and has been Chief Financial Officer of Diaceutics since 2011 • Led international compa
Slide 4: Pharma's Dependency on Precision Testing
Pharma’s Dependency on Precision Testing Precision Therapies Need Seamless Access to Biomarker Diagnostics Oncology drug pipeline dependency upon biomarkers Pharma Companies What is a Biomarker? investing in Precision Biomarkers within the DNA are used to identify the patients that Medicine and Prec
Slide 5: What Diaceutics Does
What Diaceutics Does Diaceutics is a data analytics and end-to-end services provider enabled by DXRX - our proprietary diagnostic network solution for the development and commercialisation of precision medicine diagnostics Pharma needs: • Routine uncomplicated patient (biomarker) testing for majorit
Slide 6: 2020 Highlights
2020 Highlights • Revenue £12.7m against revised guidance of £12m • Operational restructure removing £1.9m of costs • Adjusted EBITDA £0.5m against guidance of (£0.3m) • Cash position £25m • DXRX successful launch in Q4 and positive client engagement • Provided data and services to 53 therapy brands
Slide 7: Financial review
Financial review Diaceutics Better Testing, Better Treatment
Slide 8: Financial performance overview
Financial performance overview £m FY 20 FY 19 % Var. • Full year revenue disrupted by COVID-19 vs 2019 Revenue 12.7 13.4 (6%) • H1 21% revenue increase vs 2019 (8%) • Improved Q4 revenue over Q3 Gross profit 9.5 10.3 • Data 76% (2019: 72%) Implementation services 24% (2019: 28%) Gross margin 75% 77%
Slide 9: 2020 in Focus
2020 in Focus H2 2020 Financial Performance Operational Improvements • H2 revenue decreased 19% yoy due to • H2 cost saving initiatives £0.4m followed by comprehensive cost review & COVID-19 disruption restructure generating £1.9m savings • Q4 revenue higher than Q3 • Business development investment
Slide 10: Introduction to DXRX – The Diagnostic Network
Introduction to DXRX – The Diagnostic Network® • October 2020 launch of DXRX - our diagnostic network platform dedicated to precision medicine • DXRX brings onto one platform our extensive patient testing data repository, the DXRX: Precision Testing Platform Diaceutics method TM for test commerciali
Slide 11: DXRX Platform Launch: Transforming our business model
DXRX Platform Launch: Transforming our business model Converging 15 Years of Data Higher functioning DXRX: the Precision Medicine Marketplace Monetisation and Know-How product offering Introduction of 12 modules to 500+ Project based learning Lab and Dx provide greater end-to-end Data licence integr
Slide 12: DXRX Platform Launch: Transforming our Client engagement (example project)
DXRX Platform Launch: Transforming our Client engagement (example project) The Leveraging the Delivering Higher Transforming Unmet Need DXRX Marketplace Function to the Diaceutics’ Business Client Model Two leading Pharma DXRX will be used to 60+ In network labs across 10 • Client remains hands-on •
Slide 13: DXRX Platform Traction KPI's
DXRX Platform Traction KPI’s 6 3 6 Client projects now DXRX Projects won Dx partners recruited Strong DXRX labour enabled by DXRX with combined value into the marketplace efficiencies apparent in integrated data $1.22m initial projects 20%+ 25%+ 101 of Q1 pipeline Increase in average 2021 Labs regis
Slide 14: DDPs: Ongoing Development of Data Repository supply in 2020
DDPs*: Ongoing Development of Data Repository supply in 2020 underpinning value Data Source Enhancements in 2020 Impact on business 2019 Claims data • Streamlined data process Previous quarter real Government and • Increased visibility over patient world insights support commercial outcomes greater
Slide 15: Outlook
Outlook Ongoing perspective: • Opportunity to add a significant subscription revenue model in the medium term • Analysts predicting precision medicine market will more than double 2019-2026 growing at a CAGR of 11% Reinstatement of guidance: • Greater predictability returning to Pharma budgeting and
Slide 16: Summary
Summary 2020 Milestones • Results and actions met revised targets • DXRX launched on-time with good initial traction • Strengthened business operations for efficient scale up in subsequent periods 2021 Outlook • Guidance reinstated • Well positioned with a strong balance sheet when the market return
Slide 17: Introduction to Diaceutics and Precision Testing
Introduction to Diaceutics and Precision Testing
Slide 18: Diaceutics Market Opportunity
Diaceutics Market Opportunity POTENTIAL SERVICEABLE MARKET (2021-2026) At least 300 test-dependent therapy brands rolling out over all key treatment markets globally ONCOLOGY c.$10m per brand potential Key statistics: Limited competition The overall precision Early mover advantage medicine market is
Slide 19: Competitor analysis
Competitor analysis Extensive Dedicated Top 10 Market 300+ Therapy Global Pharma Testing Commercialisati Leader Company Description Client Data Lake on platform Lab Liaison enabling /Diagnostic Team Track Record Base Pharma Dx Data analytics & Implementation Services ✓✓✓ ✓✓✓ ✓✓✓ ✓✓✓ ✓✓✓ ✓✓✓ ✓✓✓ Heal
Slide 20: Detailed Financials
Detailed Financials for the year ended 31 December 2020
Slide 21: Income statement
Income statement Internal use only. Not to be shared.
Slide 22: Balance sheet
Balance sheet Internal use only. Not to be shared.
Slide 23: Cash flow statement
Cash flow statement Internal use only. Not to be shared.
Slide 24: Supporting Slides
Supporting Slides for the year ended 31 December 2020
Slide 25: 2020 Key Milestones
2020 Key Milestones Greater Predictability Returning To Oncology Detailing at 95% of Pharma Budgets by end 2020 same time last year Provided data and services to 53 £12.7m of Revenue therapy brands over 29 countries 75% Gross Margin DXRX -Marketplace Solution Launched Engagement with 19 Pharma Produ
Slide 26: Operational levers addressed 2020
Operational levers addressed 2020 2020 Lever 2021+ Impact Accelerated platform - • Comprehensive legacy cost review and restructure, generating £1.9m savings ready business to support platform business. With 8 new Business Development hires planned operations for 2021 Adopted platform • Introduced n