Slide 1: Life Starts Here: FY18 Half Year Results Presentation
LIFE STARTS HERE FY18 Half Year Results Presentation 26 February 2018
Slide 2: Disclaimer
Disclaimer The presentation has been prepared by Monash IVF Group Limited (ACN 169 302 309) (“MVF”) (including its subsidiaries, affiliates and associated companies) and provides general background information about MVF’s activities as at the date of this presentation. The information does not purpo
Slide 3: Operational & Financial Overview
OPERATIONAL & FINANCIAL OVERVIEW 3 Monash IVF Group | FY18 Half Year Results
Slide 4: 1H18 Summary
1H18 Summary Our Financial Result in 1H18 has been impacted by operational challenges related to changing competitive dynamics and investments in building a strong foundation for the future. We have a demonstrated track record of strong performance, and we maintain our view of the long term Stim
Slide 5: 1H18 Financial Summary
1H18 Financial Summary Our Financial Results in 1H18 have been impacted by operational challenges. 1 Revenue EBITDA NPAT $77.0m $20.8m $12.1m 1H17 $78.7m 1H17 $25.3m 1H17 $15.2m Down 2.2% Down 17.7% Down 20.9% Cash Conversion 2 Basic EPS Interim Dividend 85.0% 5.12 cents 3.4c 1H17 84.6% 1H17 6.48 ce
Slide 6: MVF long-term performance
MVF long‐term performance We have a demonstrated track record of strong performance. Number of Patient Treatments¹ Revenue ($m) H2 H1 H2 H1 8,811 8,515 8,110 77.3 76.5 7,050 6,322 64.7 56.4 49.8 9,090 8,895 8,447 7,237 7,751 79.3 78.7 77.0 6,260 57.6 60.3 46.5 FY13 FY14 FY15 FY16 FY17 FY18 FY13 FY14
Slide 7: Australian ARS market movement and growth
Australian ARS market movement and growth We maintain our view that the long term Stimulated Cycles growth rate is expected to be approximately 3% per annum. Stimulated Cycle Growth Rates in our Key Markets1 Number of Stimulated Cycles2 by Quarter Long Term Growth Rate of 3% 12000 15.0% 12.3% 10000
Slide 8: ARS - Australia
ARS ‐ Australia Our performance has been impacted by operational challenges related to changing competitive dynamics, the impact of a high volume doctor departure and investments in building a strong foundation for the future. Operational Overview Financial Overview Stimulated cycles decreased by
Slide 9: ARS - International
ARS ‐ International ARS International growth continues to be strong. We will leverage our capability to build our International operations. ARS revenue increased by 25.8% to $3.9m as Stimulated Cycles grew by 22.2% to 413 EBITDA increased by 49.5% to $1.6m EBITDA Margin increased by 5.5% to 41
Slide 10: Diagnostics and Ultrasound
Diagnostics and Ultrasound Diagnostic and Ultrasound capabilities have grown as we build our in‐house capability and expand our Ultrasound footprint. NIPT revenue contributed an additional $1.6m of revenue and earnings is in line with expectations NIPT volumes increased by 30.3% to 6,282 of whic
Slide 11: Financial Overview
FINANCIAL OVERVIEW 11 Monash IVF Group | FY18 Half Year Results
Slide 12: 1H18 Profit and Loss Overview
1H18 Profit and Loss Overview NPAT is down 20.9%, which is inline with AGM guidance. This is due to changing competitive dynamics, investments in building a strong foundation and one‐off costs. Revenues decreased $1.7m (‐2.2%) to $77.0m vs pcp due to: $m 1H18 1H17 % change • A doctor departure in
Slide 13: Capital Management Overview
Capital Management Overview Balance Sheet strength is maintained with capacity to support sustainable growth. Balance Sheet ($m) 31 Dec 17 30 Jun 17 % change Cash and cash equivalents 5.8 3.5 65.7% Balance Sheet strength maintained with Net Debt to Equity ratio stable at 56.9%; Other current asset
Slide 14: Cash Flow Overview
Cash Flow Overview Net operating cash flow post‐tax has increased which has supported our capital investments and dividend payments. Net operating cash flows increased by $m 1H18 1H17 % change 37.4% to $12.5m Net operating cash flow (pre‐tax) 17.7 21.4 (17.3%) Pre-tax conversion of operating cas
Slide 15: Strategy & Outlook
STRATEGY & OUTLOOK 15 Monash IVF Group | FY18 Half Year Results
Slide 16: Strategic Roadmap
Strategic Roadmap We have developed a strategic roadmap that will guide us to deliver sustainable value creation, while making a significant contribution to social good. Help bring life to the world, life starts here. Fertility Customer (Patient) Experience (Women and Men) Premium Offerings Diagnost
Slide 17: Strategic and Operational Priorities
Strategic and Operational Priorities We have developed a set of strategic and operational priorities to focus our activities. Strategic Priorities Operational Priorities Focus on our Premium Fertility offering. Empower and support our Customers (Patients) throughout their fertility Improve the
Slide 18: FY2018 Full Year Outlook
FY2018 Full Year Outlook We anticipate the reported FY18 NPAT will be approximately 25% lower than pcp due to operational performance, the impact of a high volume doctor departure and investments to build a stronger foundation for sustainable growth. We have developed a clear strategic roadmap and w
Slide 19: Appendix
APPENDIX 19 Monash IVF Group | FY18 Half Year Results
Slide 20: Overview of Monash IVF Group
Overview of Monash IVF Group Monash IVF Group is a market leader in fertility ARS Diagnostic Ultrasound 22 clinics 2 specialised 17 clinics laboratories in Victoria 5 service centres and South Australia 17 Sonologists 90 Fertility Specialists 4 Australian states 3 day hospitals in So
Slide 21: Treatment Mix
Treatment Mix IVF Treatment numbers 1H18 1H17 % change Monash IVF Group – Australia Stimulated cycles 4,078 4,557 (10.5%) Cancelled cycles 404 504 (19.8%) Frozen embryo transfers 3,184 3,167 0.5% Total Australian Patient Treatments 7,666 8,228 (6.8%) Monash IVF Group – International Stimulated cycle
Slide 22: Australian market share - IVF
Australian market share ‐ IVF % Stimulated Cycle3 Market Share Market share – IVF 1H18 1H17 change Australia Key Markets2 Stimulated Cycles3 19.4% 21.9% MVF Stimulated Cycles3 in Australia 4,078 4,557 (10.5%) MVF market share in Australia 19.4% 23.0% (3.6%) 80.6% 78.1% MVF Stimulated Cycles3 in Key
Slide 23: Questions
QUESTIONS 23 Monash IVF Group | FY18 Half Year Results