Merck KGaA · XETR:MRK
Merck KGaA — Merck KGaA, Darmstadt, Germany — Investor Day (September 2020)
22 slides from Merck KGaA's investor day presentation, Sep 16, 2020
Slide 1: Process Solutions: Transforming the path from treatments to cures
Process Solutions Transforming the path from treatments to cures Andrew Bulpin Head of Process Solutions 1st Virtual CMD of Merck KGaA, Darmstadt, Germany, September 16, 2020
Slide 2: Disclaimer
Disclaimer Publication of Merck KGaA, Darmstadt, Germany. In the United States and Canada the group of companies affiliated with Merck KGaA, Darmstadt, Germany operates under individual business names (EMD Serono, Millipore Sigma, EMD Performance Materials). To reflect such fact and to avoid any mis
Slide 3: Disclaimer: Cautionary Note Regarding Forward-Looking Statements
Disclaimer Cautionary Note Regarding Forward-Looking Statements and financial indicators This communication may include “forward-looking statements.” Statements that include words such as “anticipate,” “expect,” “should,” “would,” “intend,” “plan,” “project,” “seek,” “believe,” “will,” and other wor
Slide 4: Today's Call: Speakers in Process Solutions deep dive
Today‘s Call Speakers in Process Solutions deep dive Andrew Bulpin Benoit Gourdier Darren Verlenden Head of Head of Process Solutions Head of BioProcessing Process Solutions Services Matthias Bucerius Angela Myers Head of Actives & Head of Gene Editing & Novel Formulation Modalities 4
Slide 5: Agenda
Agenda 01 Manufacturing is continuing to diversify 02 Innovate to accelerate 03 Executive summary 5
Slide 6: Manufacturing is continuing to diversify
01 Manufacturing is continuing to diversify
Slide 7: Therapies are evolving from treatments to cures
Therapies are evolving from treatments to cures Advancing traditional is critical as novel modalities develop TRADITIONAL MODALITIES NOVEL MODALITIES Uses small molecules, Uses DNA, RNA, Cells peptides, proteins HP-API Gene & Viral Chronic, Plasma ADCs Potentially curative manages or treats Cell mAb
Slide 8: COVID-19 demands align with our strengths but increase supply chain pressure
COVID-19 demands align with our strengths but increase supply chain pressure Unit COVID-19 Outlook Operations Cell culture media Type Implications Biopharm mAb materials 65 programs • Universal templates Chromatography Bind and block • A leading position for 8 virus from entering out of 9 unit ops c
Slide 9: Opportunities in services to accelerate double-digit growth
Opportunities in services to accelerate double-digit growth Accessible Market (€ bn) Origins of biologics pipeline mAbs dominate; Novels fastest Emerging biotechs drive novels 10% 3 Traditional therapies Novel therapies 5 3 41 15% 28 3 Company type 50% 50% Established 2020 Small Other mAbs & Cell &
Slide 10: Strategic direction – innovate and invest today to continue above market growth
Strategic direction – innovate and invest today to continue above market growth in the future Modality TRADITIONAL ALL NOVEL Revenue Near term Mid term Long term driver Offering Products Services Products Portfolio Single Use Manufacturing novel therapies Perfusion Bioreactor Gene transfer w/ Cellic
Slide 11: Innovate to accelerate
02 Innovate to accelerate
Slide 12: BioContinuum™ – next-gen monoclonal antibody platform
BioContinuum™ – next-gen monoclonal antibody platform Needs mAbs democratization: Greater Improved Cost Flexibility Utilization Control Global Volume Demand (metric ton) 11% Biosimilars Processing Cybernation Marketed / Late Stage Perfusion 2017: Top 10 mAbs Bioreactor Natrix Portfolio 2020 2024 mem
Slide 13: Products and services focused on nucleic acid therapies
Products and services focused on nucleic acid therapies Base market for non-viral delivery Needs Catalog and customized cGMP synthetic lipids Accessible +14% market (€ bn) Simplifying RNA based drug delivery and manufacturing 0.3 0.2 Synthetic Cholesterol for integrity Portfolio 2020 2024 COVID-19 p
Slide 14: Investing to forerun in Antibody Drug Conjugates
Investing to forerun in Antibody Drug Conjugates Needs Regulatory Conjugation Strong growth in ADCs expertise know-how Accessible market (€ bn) 1.9 CAGRs 0.2 27% Conjugation 0.2 1.3 Step-share in 7 of 9 28% Linker/payload 0.10.1 commercial ADCs 8% HP-API Capacity Bio Readiness 1.5 1.1 Portfolio Payl
Slide 15: Contract testing – innovating in rapid molecular methods
Contract testing – innovating in rapid molecular methods Needs Origins of Growth Reliable and Capacity and Global rapid results flexibility operations Contract testing sales split (2019) The Blazar™ platform detects multiple targets by PCR and is a 40% viable alternative to traditional assays 60% >5
Slide 16: Innovation lifting the development of cell and gene therapies
Innovation lifting the development of cell and gene therapies Cell Therapy: Cells that augment, repair, replace Needs Industrialization of manufacturing processes or regenerate tissue Templated Lentivirus Cell Therapy Manufacturing Production System Module 1 • Sample prep • Selection • Activation Ge
Slide 17: Globally investing to meet market demands
Globally investing to meet market demands Ontario, CAN Chromatography Meylan, FRA Madison, WI products Nantong, CHN Sensor HP-API and ADC technology Cell culture media >€425 m1 invested manufacturing and chemicals Darmstadt, DEU across products and Membrane products services to expedite patient acce
Slide 18: Executive Summary
03 Executive Summary
Slide 19: Process Solutions Key takeaways
Process Solutions Key takeaways • Strong position in attractive markets • Innovation is critical to maintain and grow market share • Expand CDMO and CTO activities to serve all modalities • COVID-19 provides market tailwind Additional acronym: CTO = contract testing organization 19
Slide 20: Q&A
Q&A Andrew Bulpin (Head of Process Solutions) Matthias Bucerius (Head of Actives & Formulation) Benoit Gourdier (Head of Process Solutions Services) Angela Myers (Head of Gene Editing & Novel Modalities) Darren Verlenden (Head of BioProcessing) 1st Virtual CMD of Merck KGaA, Darmstadt, Germany, Sept
Slide 21: Slide 21
Slide 22: Investor Relations contacts
CONSTANTIN FEST SVENJA BUNDSCHUH ALESSANDRA HEINZ Head of Investor Relations Assistant Investor Relations Assistant Investor Relations +49 6151 72-5271 +49 6151 72-3744 +49 6151 72-3321 [email protected] [email protected] [email protected] ILJA DOERING GUNNAR ROMER
Merck KGaA, Darmstadt, Germany — Investor Day (September 2020) on 6ix