Nrgene Technologies Ltd · TASE:NRGN
Nrgene Technologies — Investor Presentation (March 2021)
26 slides from Nrgene Technologies's investor presentation, March 2021
Slide 1: Company Presentation
Company Presentation March 2021 1
Slide 2: Disclaimer
DISCLAIMER The objective of this presentation is to present the activity of Energin.R Technologies 2009 LTD and its subsidiaries (collectively, the “Company”) to the Company's employees and advisors. In accessing this presentation, you agree to be bound by the following terms and conditions. The pre
Slide 3: About NRGene
About NRGene The world leading genomics AI company for seed breeding $6.4B Positive EBITDA NRGene is a software company using artificial intelligence to analyze * Market Size H2/20 (2025 forecast) genomic big data in order to optimize and accelerate natural (non- GMO) breeding of plants and animals
Slide 4: Company's Achievements Since IPO Completion
Company’s Achievements Since IPO Completion Canola Genomic services Tomato ToBRFV resistance – Cannabis and Hemp license and royalties Royalties Coffee Genomic services Guayule Shrimp Genomic services Genomic services and Genotyping 4
Slide 5: Growth Engines
Growth Engines Long term IP co-development Genotyping collaboration in return (Strategic projects) for royalties Bioinformatics* Genotyping market Seed market size - market size for size for agricultural $60B agricultural applications - $1.4B applications – (2018, CAGR 17%) over $6.4B * 20% of the G
Slide 6: Growth Engine: Long-Term Collaboration
Growth Engine: Long-Term Collaboration Since 2015, the company supports its customers in long-term strategic projects Increase the scope and extant of deals with existing customers New developments in existing and related fields Expand into new geographies Expand company’s proprietary databases Grow
Slide 7: Target Industries
Target Industries NRGene focus on expanding its business in 4 industries: Seeds and Agro-chemicals Food & Beverages >1000 companies >500 companies Natural Raw Material >500 companies Cannabis & Hemp >200 companies 7
Slide 8: Growth Engine: Genotyping
Growth Engine: Genotyping Global genotyping market size for agriculture was estimated at $1.4B in 2018 with a CAGR of 17% (between 2018-2023) >1000 potential customers Competitive advantage: company’s technology enables 30%-70% cost reduction of genotyping tests 3 signed deals since product launch i
Slide 9: Growth Engine: Genotyping Lab
Growth Engine: Genotyping Lab Increasing our presence, in the value chain: Opening a genotyping lab in Saskatoon, CA during 2021 Competitive advantage: 1. Strengthen long-term connection with customers 2. Shorten genotyping tests cycles 3. Preform genotyping for company’s internal projects (IP co-de
Slide 10: Growth Engine: IP Co-development in return for royalties
Growth Engine: IP Co-development in return for royalties The company expects initial revenues (royalties) from projects no later than the end of 2021 2015 2020 2021 2022 2023 2024 2025 Royalty based product Maize, chili and rice breeding for the Indian market Seeds sales Trait commercialization and
Slide 11: Breeding for Virus Resistant Tomato
Breeding for Virus Resistant Tomato An example for trait commercialization and seeds sale Global tomato market size evaluation is $1.1B The company estimates that the potential revenue from each agreement will reach $ millions 2 signed deals since the collaboration announcement Currently, the compan
Slide 12: Financial Results - Business Activity Summary - 2020
Financial Results - Business Activity Summary - 2020 Summary o New product launch in the genotyping tests market (SNPer™); o Revenue: $7.04 million Long-term recurring agreements o Adjusted gross margin rate: 70% o New business model of IP co-development in return for royalties o Adjusted EBITDA: ($
Slide 13: Revenue By Product
Revenue By Product (in thousand USD) • During 2019 and 2020, revenues from subscriptions to access a genomic data analysis software had increased • During H2-2020, revenues from genomic data analysis services had recovered as a result of a decline in COVID-19’s impact on our operation Thousands $USD
Slide 14: Adjusted Gross Margin Rate
Adjusted Gross Margin Rate • The adjusted gross margin rate had improved due to a product mix shift; The portion of revenues generated from subscriptions to access a genomic data analysis software had increased. • The adjusted gross profit rate improved during H2-2020 due to an increase of 50% in re
Slide 15: Backlog
Backlog (in thousand USD) • COVID-19 had challenged company’s ability to increase its backlog during 2020 due to high levels of uncertainty related to customer's operational aspects (delays in growth cycles / loss of growth cycles) and budget related considerations • In response, the company (1) lau
Slide 16: Adjusted EBITDA
Adjusted EBITDA (in thousand USD) • During H2-2020, the company had shifted to a positive Adjusted EBITDA due to an increase in gross margin and a decrease in operational expenses. Shift to a positive Adjusted EBITDA Thousands $USD 400 294 200 - H1 - 2019 H2 - 2019 H1 - 2020 H2 - 2020 (200) (400) (6
Slide 17: Financial Results Summary
Financial Results Summary (in thousand USD) • Despite decrease in revenue during 2020, Adjusted EBITDA had improved due to operational efficiency. • During H2-2020, revenue had increased compared to 3 prior comparable periods, and a positive adjusted EBITDA was achieved. Thousands H2-2020 H1-2020 H2
Slide 18: NON-GAAP Adjustments
NON-GAAP Adjustments (in thousand USD) Thousands $USD H2-2020 H1-2020 H2-2019 H1-2019 2020YTD YTD 2019 Operational loss (445) (1,272) (932) (2,360) )1,717( )3,292( Less - depreciation and 115 113 118 140 228 258 amortization Less - share-based 755 559 332 1,145 1,314 1,477 payments Adding - lease pa
Slide 19: Consolidated Statements of Comprehensive Loss – IFRS
Consolidated Statements of Comprehensive Loss – IFRS (in thousand USD) Thousands ($USD) YTD 2020 YTD 2019 Change Change % Revenues 7,035 7,607 (572) -8% Cost of revenues 2,521 2,612 (91) -3% Gross margin 4,514 4,995 (481) -10% Research and development expenses 2,437 2,450 (13) -1% Sales and marketin
Slide 20: Consolidated Balance Sheet - IFRS
Consolidated Balance Sheet - IFRS (in thousand USD) Thousands ($USD) 2020 2019 Change Change % Cash and cash equivalents 1,482 2,612 (1,130) -43% Restricted cash 190 178 12 7% Trade receivables 951 473 478 101% Other receivables 408 329 79 24% Fixed assets 59 62 (3) -5% Right of use lease assets 709
Slide 21: Consolidated Cash-Flow - IFRS
Consolidated Cash-Flow - IFRS (in thousand USD) Thousands ($USD) 2020 2019 Change Change % Total comprehensive loss )3,146( (3,911) 765 -20% Net cash flow adjustment used for operating activities 1,723 333 1,390 417% Net cash used in operating activities )1,423( (3,578) 2,155 -60% Net cash used in i
Slide 22: Grants
Grants (in thousand USD) • To the Company’s estimate that it finance part of its activities through various grants from governmental agencies due to its technological innovation and potential contribution to solving globally strategic problems • The following table describes the grants which impacte
Slide 23: Financing
Financing (in thousand USD) • On January 27th, 2021, the Company completed an IPO on Tel Aviv Stock Exchange (TASE) based on a prospectus that was filed on January 25th, 2021. According to the prospectus, the Company offered and issued 3,271,000 to the public in exchange of approximately 30 million
Slide 24: Leading Companies in the Genomics Market
Leading Companies in the Genomics Market Operating income / Current Gross Margins Sales Multiplier Sales (2020) valuation ($M) 10X Genomics 80% -29% 19,332 65 Pacific Biosciences 41% -132% 6,455 82 Twist Biosciences 47% -192% 6,338 103 Personalis 26% -54% 1,093 14 Invitae 29% -233% 8,136 29 CRISPR T
Slide 25: Summary
Summary 2022 Forward looking: Since the IPO completion, the company has signed deals in various crops: Tomato Canola Cannabis Shrimp Guayule Coffee The company estimates that additional substantial agreements will be signed by the end of 2021 Expansion: Opening of new offices worldwide O
Slide 26: Thank You
eye it, uauitiey , nrgene THANK YOU 26
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