Qiagen N.v. · NYSE:QGEN

Qiagen — Shareholder Meeting (June 2017)

67 slides from Qiagen's shareholder meeting presentation, Jun 21, 2017

  1. Slide 1: 2016 Annual General Meeting

    2016 Annual General Meeting June 21, 2017 Venlo, the Netherlands Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 1

  2. Slide 2: Agenda

    Agenda 1 Prof. Dr. Manfred Karobath Opening Chairman of the Supervisory Board Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 2

  3. Slide 3: Agenda

    Agenda 2 Managing Board Report for the year ended December 31, 2016 (“Calendar Year 2016”) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 3

  4. Slide 4: 2016 Annual General Meeting

    2016 Annual General Meeting June 21, 2017 Venlo, the Netherlands Peer M. Schatz Chief Executive Officer Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 4

  5. Slide 5: Forward looking and intended use statements

    Forward looking and intended use statements Safe Harbor Statement: This presentation contains both historical and forward-looking statements. All statements other than statements of historical fact are, or may be deemed to be forward looking statements within the meaning of Section 27A of the U.S. S

  6. Slide 6: New Age of Scientific Breakthroughs

    WE ARE EXPERIENCING A NEW AGE OF SCIENTIFIC BREAKTHROUGHS We are creating more biological data every 6 months than in all prior history 1.5 billion(1) Dramatic scientific advances are enabling breakthroughs in molecular biology 1) Source: Cisco Systems, GenBank and Alliance Bernstein Sample to Insig

  7. Slide 7: The World's Most Pressing Challenges

    BUT WE STILL HAVE TO SIGNIFICANTLY IMPROVE HOW THE WORLD’S MOST WE ADDRESS SOME OF PRESSING CHALLENGES How can we How can we How can we How can we further improve achieve scientific improve develop better outcomes for breakthroughs public safety? and safer drugs? patients? even faster? We are still

  8. Slide 8: Customers Want Molecular Insights

    TO ADDRESS THESE CHALLENGES CUSTOMERS WANT MOLECULAR INSIGHTS Faster Better More efficiently The opportunity: Address demands for differentiated molecular testing solutions Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 8

  9. Slide 9: We help customers gain insights to improve healthcare and advance science

    QIAGEN solutions empower molecular testing from Sample to Insight Faster Better More efficiently Sample Technologies Assay Technologies Bioinformatics Automation systems BIOLOGICAL SAMPLE TO INSIGHT SOLUTIONS VALUABLE SAMPLE MOLECULAR INSIGHTS We help customers gain insights to improve healthcare an

  10. Slide 10: QIAGEN at a glance

    QIAGEN at a glance 2016 sales by customer class  Leader in molecular testing solutions  True hybrid covering continuum from Academia Pharma Applied Molecular Diagnostics Testing Life Sciences to Molecular Diagnostics  Core capabilities  Consumables ~22% ~19% ~9% ~50%  Automation systems  Infor

  11. Slide 11: QIAGEN's progress accelerating as U.S. HPV headwinds fade away

    QIAGEN sales accelerating into new growth trajectory Creation of Significant Portfolio Commercial Sustain growth molecular franchise reorganization transformation acceleration and deliver value Sales excl. U.S. HPV U.S. HPV sales Adj. operating income margin $1.34 bn $1.30 bn $1.28 bn $1.17 bn ~3% ~

  12. Slide 12: Multiple drivers with one focus: Sample to Insight

    Customers Life Sciences Molecular Diagnostics Examples: Academia Pharma Applied Testing Clinical Healthcare Blood #1 Technologies Liquid biopsy #1 Sample Tissue #1 Other #1 Automation PCR #3 Technologies NGS New Assay QuantiFERON #1 Other Software and #1 Biox biological content Life sciences Pharma

  13. Slide 13: Differentiated portfolio setting new trajectory for growth

    Sample to Insight solutions: Key highlight areas Sample Technologies Assay Technologies Bioinformatics Automation systems BIOLOGICAL SAMPLE TO INSIGHT SOLUTIONS VALUABLE SAMPLE MOLECULAR INSIGHTS QuantiFERON GeneReader Personalized QIAsymphony Differentiated NGS System Healthcare Technologies Differ

  14. Slide 14: QuantiFERON-TB: Advancing the global fight against Tuberculosis

    QuantiFERON-TB: Advancing the global fight against Tuberculosis Total latent TB annual addressable market: ~65 million tests 2016 key achievements  U.S. FDA submission of 4th-generation QuantiFERON-TB test; approved in June 2017  Winning major tenders worldwide – including South Korea, United King

  15. Slide 15: NGS: Driving dissemination into clinical use

    NGS: Driving dissemination into clinical use ~80% of all NGS runs conducted on samples processed with QIAGEN 2016 key achievements  GeneReader NGS System wins >10% share of new oncology NGS benchtop placements  Expanding universal solutions for highest quality in liquid biopsy applications  Setti

  16. Slide 16: Personalized Healthcare: Pioneer in companion diagnostics

    Personalized Healthcare: Pioneer in companion diagnostics More than 20 master collaboration agreements 2016 key achievements  >20 master collaboration deals in place with leading pharma and biotech companies  Expanding portfolio to support use of novel immuno-oncology (I-O) therapies  Broadening

  17. Slide 17: QIAsymphony: Driving molecular testing dissemination

    QIAsymphony: Driving molecular testing dissemination 2017 target: >2,000 cumulative installed systems 2016 key achievements  Surpassing 2016 target for >1,750 cumulative installed placements  Implementing sample processing solution for use with GeneReader NGS System  Introducing automation protoc

  18. Slide 18: Differentiated Technologies: Enabling cutting-edge innovations

    Differentiated Technologies: Enabling cutting-edge innovations QIAGEN: #1 in Sample Technologies 2016 key achievements  Leveraging MO BIO technology for complex microbiome sample processing  Expanding leadership in liquid biopsy  Making single-cell research accessible to every lab with QIAscout a

  19. Slide 19: Bioinformatics: Best in-class data analysis and interpretation

    Bioinformatics: Best in-class data analysis and interpretation The total amount of sequence data doubles every 7 months 2016 key achievements  Acquisition of OmicSoft(1) adds scalable data management system for vast NGS data  Launching microbiome profiling workflows  Expanding list of internation

  20. Slide 20: 2017: Transformation building momentum

    2017: Transformation building momentum 2017 ambitions  Sample to Insight portfolio capturing opportunities  Outlook for improving performance  Commitment to increasing returns and creating greater value Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 20

  21. Slide 21: Sustainability update

    Sustainability update Green development Economic progress Corporate citizenship  LEDs saving 225,000 kWh/  Recognized as one of  1,000 hours of volunteer year – 72% less energy Germany’s “Top Employers” time in Maryland in 2016  Reusing waste water saves  Ranked as No.1 brand in  German partne

  22. Slide 22: Success factor: Employees

    Success factor: Employees Diverse global workforce Family support Employee development  ~4,700 employees  Kindergarden to support  ~35,000 hours per year of Hilden employees since 2008 employee training  ~60 nationalities  ~200 children have so far  76 employees in QIAGEN  ~50% women attended

  23. Slide 23: Corporate governance

    Corporate governance About QIAGEN N.V. Endorsing relevant principles  Organized under the laws of Netherlands  Application of Dutch governance standards  Listed on NASDAQ (New York)  NASDAQ – Corporate Governance Rules  Member of TecDAX Index (Frankfurt) Sample to Insight QIAGEN Annual General

  24. Slide 24: Investor Relations

    Investor Relations Analyst ratings (As of June 2017) 2016 IR activities  Private shareholder day: ~30 participants  Institutional conferences: ~20 events Buy 30% 29%  1x1 investor meetings: ~450 meetings  Extel: Top 3 TecDAX ranking for 3 years Hold 57% 63% Sell 13% 8% 2015 2016 Sample to Insigh

  25. Slide 25: 2016: QIAGEN shares (Frankfurt)

    2016: QIAGEN shares (Frankfurt) QIAGEN share price development – Frankfurt Stock Exchange (euros) QIAGEN (Frankfurt) TecDAX Year-End: €26.68 20 10 6.2% 0 -1.0% -10 -20 -30 -40 Jan Apr Jul Sep Dec 2016 Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 25

  26. Slide 26: 2016: QIAGEN shares (NASDAQ)

    2016: QIAGEN shares (NASDAQ) QIAGEN share price development – NASDAQ (U.S. dollars) Qiagen (NASDAQ) NASDAQ Biotech Index Year-End: $28.02 20 10 1.3% 0 -10 -20 -21.7% -30 -40 Jan Apr Jul Sep Dec 2016 Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 26

  27. Slide 27: Jun-2016 to Jun-2017: QIAGEN share performance (Frankfurt)

    Jun-2016 to Jun-2017: QIAGEN share performance (Frankfurt) QIAGEN share price performance since AGM June 21, 2016 vs. indices (As of June 19, 2017, euros) QIAGEN (Frankfurt) TecDAX Current: €30.85 64.6% 70 60 50 40 42.3% 30 20 10 0 -10 -20 Jun Sep Dec Mar Jun 2017 Sample to Insight QIAGEN Annual Gen

  28. Slide 28: Jun-2016 to Jun-2017: QIAGEN share performance (NASDAQ)

    Jun-2016 to Jun-2017: QIAGEN share performance (NASDAQ) QIAGEN share price performance since AGM June 21, 2016 vs. indices (As of June 19, 2017, U.S. dollars) QIAGEN (NASDAQ) NASDAQ Biotech Index Current: $34.61 70 61.8% 60 50 40 30 20 10 17.8% 0 -10 -20 Jun Sep Dec Mar Jun 2017 Sample to Insight QI

  29. Slide 29: 2017 YTD: QIAGEN share performance (Frankfurt)

    2017 YTD: QIAGEN share performance (Frankfurt) 2017 YTD share price performance vs. indices (As of June 19, 2017, euros) QIAGEN (Frankfurt) TecDAX Current: €30.85 30 26.8% 20 15.6% 10 0 -10 -20 Jan Feb Mar Apr May Jun 2017 Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 29

  30. Slide 30: 2017 YTD: QIAGEN share performance (NASDAQ)

    2017 YTD: QIAGEN share performance (NASDAQ) 2017 YTD share price performance vs. indices (As of June 19, 2017, U.S. dollars) QIAGEN (NASDAQ) NASDAQ Biotech Index Current: $34.61 30 23.5% 20 13.2% 10 0 -10 Jan Feb Mar Apr May Jun 2017 Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 30

  31. Slide 31: 2007 – 2017: QIAGEN share performance (Frankfurt)

    2007 – 2017: QIAGEN share performance (Frankfurt) Share price performance vs. indices (As of June 19, 2017) QIAGEN (EUR) DAX 160% 140% 128% 125% 120% 106% 100% 80% 68% 69% 60% 60% 34% 40% 30% 16% 12% 20% 0% YTD 1 Year 3 Years 5 Years 10 Years Sample to Insight QIAGEN Annual General Meeting, June 21,

  32. Slide 32: 2007 – 2017: QIAGEN share performance (NASDAQ)

    2007 – 2017: QIAGEN share performance (NASDAQ) Share price performance vs. indices (As of June 19, 2017) QIAGEN (US) NASDAQ 160% 138% 140% 115% 120% 102% 91% 100% 80% 68% 60% 43% 38% 40% 30% 24% 16% 20% 0% YTD 1 Year 3 Years 5 Years 10 Years Sample to Insight QIAGEN Annual General Meeting, June 21,

  33. Slide 33: 2007 – 2017: QIAGEN share performance (S&P 500)

    2007 – 2017: QIAGEN share performance (S&P 500) Share price performance vs. indices (As of June 19, 2017) QIAGEN (US) S&P 500 160% 140% 120% 102% 91% 100% 82% 80% 68% 60% 60% 38% 40% 24% 25% 18% 20% 10% 0% YTD 1 Year 3 Years 5 Years 10 Years Sample to Insight QIAGEN Annual General Meeting, June 21,

  34. Slide 34: Summary

    Summary Reaccelerating performance after transformation Sustainable sales growth and leverage trajectory Emerging as a stronger, focused, differentiated leader Committed to higher returns and greater value creation Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 34

  35. Slide 35: 2016 Annual General Meeting

    2016 Annual General Meeting June 21, 2017 Venlo, the Netherlands Roland Sackers Chief Financial Officer Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 35

  36. Slide 36: Forward looking and intended use statements

    Forward looking and intended use statements Safe Harbor Statement: This presentation contains both historical and forward-looking statements. All statements other than statements of historical fact are, or may be deemed to be forward looking statements within the meaning of Section 27A of the U.S. S

  37. Slide 37: 2016: Overview (U.S. GAAP adjusted)

    2016: Overview (U.S. GAAP adjusted) 1 Strong 2016 performance 2016 Key results In $ millions Change $ /  +6% CER net sales growth in line with 2016 target (Except EPS) FY 2016(1) FY 2015(1) (CER)  Free cash flow up 22% to $267 million Net sales (CER) 1,338.0 1,281.0 +4% / (+6%) Operating income 98

  38. Slide 38: 2016: Net sales and EPS

    2016: Net sales and EPS 2016 net sales development 2016 adjusted diluted EPS(1) development (In $ billions) (In $ per share) +$0.08 $1.14 +6% CER +4% CER CER -$0.03 $1.11 $1.34 bn $1.06 $1.28 bn -2% p.p. -2 p.p. +8% CER ~3% ~97% of sales of sales 2015 2016 2016 2016 FX 2016 2015 2016 2016 net sales

  39. Slide 39: 2016: Net sales by customer classes

    2016: Net sales by customer classes FY 2016 net sales $1,338.0 million Sales % CER % of (In $ m) change sales Consumables and related revenues $1,166 +6% 87% Instruments $172 +5% 13% Molecular Diagnostics(1) $663 +7% 50% Of which: U.S. HPV test sales $33 -29% 3% MDx excluding U.S. HPV test sales(1)

  40. Slide 40: 2016: Geographic regions

    2016: Geographic regions FY 2016 net sales $1,338.0 million Sales % CER % of (In $ m) change sales Americas(1) $627 +5% 47% Europe / Middle East / Africa $428 +8% 32% Asia-Pacific / Japan $279 +11% 21% Americas Europe / Middle East / Africa Asia-Pacific / Japan 2016 Top 7 emerging markets +19% CER a

  41. Slide 41: 2016: Key results

    2016: Key results Full year (In $ millions, unless indicated) (Diluted EPS in $ per share) 2016(1) 2015(1) Change +4% Net sales 1,338.0 1,281.0 (+6% CER) Gross profit margin 63% 65% Adjusted gross profit margin 70% 71% Operating income 98.8 179.5 -45% Operating income margin 7% 14% Adjusted operatin

  42. Slide 42: 2016: Reconciliation of reported to adjusted results (U.S. GAAP)

    2016: Reconciliation of reported to adjusted results (U.S. GAAP) In $ millions (Except EPS) Net Gross Operating Pretax Income Tax Net Diluted (unaudited) sales profit income income tax rate income EPS Full-year 2016 Reported results 1,338.0 844.7 98.8 56.9 23.4 NM 80.4 0.34 Adjustments Business inte

  43. Slide 43: 2016: Review of U.S. GAAP and IFRS results

    2016: Review of U.S. GAAP and IFRS results Consolidated Income Statements for the year ended December 31, 2016 Reconciliation of net income from IFRS to U.S. GAAP (In $ millions) +17 +9 +2 +3 80.3 63 54 49 51 49.3 2016 Other Intangibles Tax impacts(2) Revaluation of 2016 IFRS upper call(1) U.S. GAAP

  44. Slide 44: 2016: Review of U.S. GAAP and IFRS results

    2016: Review of U.S. GAAP and IFRS results Consolidated Income Statements for the year ended December 31, 2016 Difference In $ millions U.S. GAAP IFRS (U.S. GAAP (Except per share data) 2016 2016 vs. IFRS) Net sales 1,338.0 1,338.0 Gross profit 844.7 834.0 10.6 Income from operations 98.8 90.3 8.5 N

  45. Slide 45: 2016: Balance sheet and cash flow

    2016: Balance sheet and cash flow Balance sheet data Leverage ratio(1) (As of December 31) 2016 2015 Group liquidity (In $ millions) 532 421 3.3 Net debt (In $ millions) 537 642 Shareholder equity ratio 61% 61% Leverage ratio(1) 1.2x 1.6x 2.2 1.6 1.3 1.2 Cash flow 1.1 0.9 0.9 (In $ millions) 2016 20

  46. Slide 46: 2016: Ongoing commitment to disciplined capital allocation

    2016: Ongoing commitment to disciplined capital allocation Disciplined capital allocation Reinvest for organic growth Increase returns Targeted M&A / licensing  Capture more value from our  Commitment to return $300  Continuing our strategy Sample to Insight portfolio million by end of 2017  Nov

  47. Slide 47: 2016: Prudent financing structure offers strategic flexibility

    2016: Prudent financing structure offers strategic flexibility Structure as of December 31, 2016 Maturities of debt instruments (In $ millions) 600 Cash and short-term 2019 Notes investments 500 $532 m 73 400 2021 Notes 300 Net debt $537 m 200 430 300 300 U.S. Private Placement 100 27 0 2017 2018 20

  48. Slide 48: Digitization

    Digitization Digitization: Increasing speed, relevance and impact of molecular insights 2020 sales goals 2020 efficiency goals  50% of sales via  >$20 million cost digital channels efficiency improvement  50% customer accounts  Central Digital Accelerator digitally integrated unit driving transf

  49. Slide 49: Employees as of December 31, 2016

    Employees as of December 31, 2016 Europe / Asia Pacific / Total Total Americas Change Middle East / Africa Japan / ROW 2016 2015 Production 261 622 113 996 1,000 0% R&D 197 753 45 995 1,019 -2% Sales 634 694 581 1,909 1,762 8% Marketing 75 158 75 308 314 -2% Admin 93 316 67 476 463 3% Total 1,260 2,

  50. Slide 50: Summary

    Summary 2016: Solid performance as portfolio builds momentum Growth drivers at forefront of QIAGEN transformation Stronger, more differentiated molecular testing leader Committed to higher returns and greater value creation Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 50

  51. Slide 51: Agenda

    Agenda 3 a. Supervisory Board Report on the Company’s Annual Accounts (the “Annual Accounts”) for Calendar Year 2016 b. Report of the Compensation Committee of the Supervisory Board for Calendar Year 2016 Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 51

  52. Slide 52: Agenda

    Agenda 4 Adoption of the Annual Accounts for Calendar Year 2016 (voting item) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 52

  53. Slide 53: Agenda

    Agenda 5 Reservation and dividend policy Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 53

  54. Slide 54: Agenda

    Agenda 6 Discharge from liability of the Managing Directors for the performance of their duties during Calendar Year 2016 (voting item) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 54

  55. Slide 55: Agenda

    Agenda 7 Discharge from liability of the Supervisory Directors for the performance of their duties during Calendar Year 2016 (voting item) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 55

  56. Slide 56: Agenda

    Agenda 8 (Re-) Appointment of the following Supervisory Directors of the Company for a one-year term ending at the close of the Annual General Meeting in 2018 (voting item) a. Mr. Stéphane Bancel b. Dr. Håkan Björklund c. Dr. Metin Colpan d. Prof. Dr. Manfred Karobath e. Prof. Dr. Ross L. Levine f.

  57. Slide 57: New appointment to Supervisory Board

    New appointment to Supervisory Board Dr. Håkan Björklund New member of Supervisory Board  Operating Executive Avista Capital Partners  Current Chairman at Swedish Orphan Biovitrum AB  Previously Chairman of Lundbeck, also prior Board member at Alere, Coloplast, Atos Medical and Danisco  Former C

  58. Slide 58: Supervisory Board members

    Supervisory Board members Supervisory Board members Prof. Dr. Manfred Karobath Stéphane Dr. Håkan Dr. Metin Prof. Dr. Elaine Prof. Dr. Ross Lawrence A. Elizabeth E. Bancel Björklund Colpan Mardis Levine Rosen Tallett Six new Board members appointed since 2011 with broad range of experience Sample to

  59. Slide 59: Supervisory Board committees

    Supervisory Board committees Independent Audit Compensation Selection and Science and Committee Committee Appointment Technology Committee Committee Prof. Dr. Manfred Karobath Chair Stéphane Bancel Dr. Håkan Björklund. Dr. Metin Colpan Chair Prof. Dr. Elaine Mardis Prof. Dr. Ross Levine Lawrence A.

  60. Slide 60: Agenda

    Agenda 9 Reappointment of the following two Managing Directors of the Company for a term ending on the date of the Annual General Meeting in 2018 (voting item) a. Mr. Peer M. Schatz b. Mr. Roland Sackers Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 60

  61. Slide 61: Agenda

    Agenda 10 Reappointment of KPMG Accountants N.V. as auditors of the Company for the calendar year ending December 31, 2017 (voting item) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 61

  62. Slide 62: Agenda

    Agenda 11 Authorization of the Supervisory Board, until December 21, 2018 to: a. issue a number of Common Shares and financing preference shares and grant rights to subscribe for such shares, the aggregate par value of which shall be equal to the aggregate par value of all shares issued and outstand

  63. Slide 63: Agenda

    Agenda 12 Authorization of the Managing Board, until December 21, 2018, to acquire shares in the Company’s own share capital (voting item) Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 63

  64. Slide 64: Agenda

    Agenda 13 Questions Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 64

  65. Slide 65: Agenda

    Agenda 14 Closing Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 65

  66. Slide 66: Thank you

    Thank you Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 66

  67. Slide 67: QIAGEN Private Investor Day 2017

    Wir möchten Sie herzlich zu unserem QIAGEN Private Investor Day 2017 am 29. September, 2017 von ca. 11:00 – 16:00 bei QIAGEN in Hilden, Deutschland einladen Kontakt: Alexandra König +49 2103 29 11709 E-Mail: alexandra.koenig@qiagen.com Sample to Insight QIAGEN Annual General Meeting, June 21, 2017 6

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