Cytosorbents Corporation · NASDAQ:CTSO
Cytosorbents — HC Wainwright 21st Global Investment Conference (September 2019)
22 slides from Cytosorbents's conference presentation, Sep 16, 2019
Slide 1: HC Wainwright 21st Global Investment Conference
NASDAQ: CTSO HC Wainwright 21 st Global Investment Conference September 10, 2019 HELPING REDUCE DEADLY UNCONTROLLED INFLAMMATION IN HOSPITALIZED PATIENTS WORLDWIDE
Slide 2: Safe Harbor Statement
Safe Harbor Statement 2 This presentation contains “forward - looking statements” pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 . Forward - looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply fu
Slide 3: CytoSorbents is a Leader in Critical Care Immunotherapy
Cyto Sorbents is a Leader in Critical Care Immunotherapy Leading the Prevention or Treatment of Life - Threatening Inflammation in the ICU and Cardiac Surgery using CytoSorb ® Blood Purification 3
Slide 4: CytoSorbents At a Glance
Cyto Sorbents At a Glance (NASDAQ: CTSO $5.15) 4 • CytoSorb ® is E.U. approved as an extracorporeal cytokine adsorber with 67,000+ cumulative treatments (up from 46,000 a year ago) delivered and distributed in 58 countries • Record 2018 Financial Performance: • Conducting the pivotal REFRESH 2 - AKI
Slide 5: Uncontrolled Inflammation is Deadly
Lung Injury Burn Injury Sepsis T ra u m a P a nc r ea t itis Influenza Cytokine Release Syndrome Millions Die Of Uncontrolled Deadly Inflammation Each Year Surgical Complications Liver Failure 5 Uncontrolled Inflammation is Deadly
Slide 6: Massive Inflammation Causes Organ Failure
Massive Inflammation Causes Organ Failure Organ failure occurs when vital organs stop working, causing nearly half of all deaths in the ICU. Little can be done to prevent or treat organ failure today 6
Slide 7: No Ideal Options to Treat Severe Inflammation
No Ideal Options to Treat Severe Inflammation 7 A n t i - In f lammato r y (too weak) NSAIDs Aspirin Anti - cytokine antibodies A nt i - i n tegrin antibodies Anti - oxidants Immunosuppressive (too strong) Corticos t e ro i d s Chemotherapy Organ transplant Anti - rejection drugs Radiation Immune sy
Slide 8: CytoSorb Bridges the Gap
A nt i - I n f la m ma t o r y (too weak) NSAIDs Aspirin A n t i - c y t ok ine antibodies A n t i - integrin antibodies Anti - oxidants I mm u n o s u p pressi v e (too strong) Corticosteroids Chemotherapy Organ transplant Anti - rejection drugs Radiation Immune system ablation Anti - leukocyte Abs
Slide 9: CytoSorb Reduces the Fuel to the Fire
Cyto Sorb ® Reduces the Fuel to the Fire • CytoSorb ® targets the $20+ billion opportunity in critical care and cardiac surgery • Approved in the European Union as the first specifically approved extracorporeal cytokine adsorber • Broad indication for use where cytokines are elevated • Removes cytok
Slide 10: Patented Blood Purification Technology
Patented Blood Purification Technology The underlying blood purification technology is based on biocompatible, highly porous polymer beads that act like tiny sponges to remove harmful substances from blood . • Proprietary patented technology with multiple patents pending worldwide • Manufactured at
Slide 11: CytoSorb is "Plug and Play" Compatible with Existing Machines
CytoSorb is “Plug and Play” Compatible with Existing Dialysis and Heart - Lung Machines • Place a temporary dialysis catheter in a major vein • Connect the device to a standard dialysis, ECMO, or heart - lung machine found in hospitals worldwide • Pump blood out of the body and through the cartridge
Slide 12: Goal: To Prevent or Treat Organ Failure
Goal: To Prevent or Treat Organ Failure S e p s is A R D S Burn Injury T ra u m a Pancreatitis I n fl u e nz a Sur g i c a l The Potential to Revolutionize Critical Care Medicine Improve Patient Ou t c om e and Survival D e cr e ase Costs Of ICU and Patient Care 12
Slide 13: Refractory Septic Shock
Refractory Septic Shock Prospective, single arm study in 20 patients with refractory late - stage septic shock using CytoSorb aggressively every 12 hours with a new cartridge • Patients had refractory shock despite high doses of vasopressors, respiratory failure requiring mechanical ventilation, oli
Slide 14: CytoSorb Is a High Margin "Razorblade"
Cyto Sorb ® Is a High Margin “Razorblade” 14 • High margin “razorblade” fully compatible with existing installed base of “razor” blood pumps: Dialysis/CRRT, ECMO machines (ICU), heart - lung machines (OR) • Blended gross margins are 76%, expected to rise to ~80% on a quarterly basis in 2019, driven
Slide 15: Product Sales (TTM) and Blended Gross Margins
Product Sales (TTM) and Blended Gross Margins $1,750,196 $ 3 ,3 7 9, 6 81 $ 6 ,0 1 7, 1 68 $ 1 0, 3 9 3 ,0 6 2 $ 1 7, 4 2 3 ,5 5 9 $ 2 1, 0 0 0 ,5 2 7 6 0 % 6 2 % 6 4 % 6 6 % 6 8 % 7 0 % 7 2 % 7 4 % 7 6 % 7 8 % Q2 2014 Q2 2015 Q2 2016 Q2 2017 Q2 2018 Q2 2019 $0 $5,000,000 $10,000,000 $15,000,000 $20
Slide 16: 80% Blended Product Gross Margins Are Near
80% Blended Product Gross Margins Are Near 16 • We are a vertically - integrated ISO 13485 certified manufacturer of CytoSorb • Manufacture our proprietary porous polymer beads from raw chemicals • Assemble fully - finished devices • Send out for third - party gamma sterilization • Conduct all quali
Slide 17: Demand for CytoSorb Continues to Grow
• CytoSorb sales are driven primarily by re - orders with ~85% of our invoices from repeat customers • The number of CytoSorb cartridges per invoice continues to rise, demonstrating increased usage and adoption at many accounts • Usage is increasing because CytoSorb is helping physicians “regain con
Slide 18: Investing Heavily for Growth
Investing Heavily for Growth 18 • Direct sales are ~75% of our product sales, with higher product gross margins • Doubled the number direct sales countries from 5 to 10 in 2019 , adding Poland, Sweden, Netherlands, Norway and Denmark, to Germany, Austria, Switzerland, Belgium and Luxembourg with a c
Slide 19: Near Term Clinical Data May Catalyze Sales
Near Term Clinical Data May Catalyze Sales Also Indication Pre - Clinical Safety Feasibility Pivotal APPROVED C y to So r b ® REFRESH 2 - AKI Pivotal Trial 121/400 R E M O V E Endo c a r di t i s T r i al 231/250 Completion 2019. Data Readout 1H 2020 Post - cardiac surgery AKI Extracorporeal Cytokin
Slide 20: CE Mark Renewal to May 2024 Ensures Supply
CE Mark Renewal to May 2024 Ensures Supply 20 • The new Medical Device Regulation (MDR) in the E.U. replaces the Medical Devices Directive (MDD) for CE Mark approval for medical devices • The MDR was published in May 2017 and will be in full effect in May 2020 after a 3 - year grace period and will
Slide 21: Investment Summary
Investment Summary • We believe we are a unique company in the medical device space with a high margin razorblade in another company’s razor business model • We are helping to treat some of the biggest unmet medical needs in modern medicine and are riding the wave of multiple macro trends • Aging ba
Slide 22: Dr. Phillip Chan, MD, PhD – CEO
NASDAQ: CTSO Dr. Phillip Chan, MD, PhD – CEO pchan@cytosorbents.com
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