Slide 1: Unleashing Tools to Accelerate Breakthroughs in Human Health
Unleashing Tools to Accelerate Breakthroughs in Human Health Q4 and 2023 FULL YEAR FINANCIAL RESULTS FEBRUARY 28, 2024
Slide 2: Legal Information
Legal Information Forward-looking statements This presentation contains forward-looking statements that are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those referred to in the forward-looking statements. All statements other than state
Slide 3: CEO Commentary
CEO Commentary MICHAEL EGHOLM, PHD 3
Slide 4: Objectives & 2023 Scorecard
Objectives & 2023 Scorecard Applying Seasoned Operational & Commercial Expertise to Deliver on Commitments 1 Standardize to enhance 2 Leverage platform to 3 Harness differentiated tech profitability create scale to fuel growth 9% 900 17% 53% ✓ Closed Merger Jan 5th revenue growth bps improvement in
Slide 5: Positioned as an Industry Frontrunner
Positioned as an Industry Frontrunner Merger with SomaLogic Creates Scale and Activates Plan to Become Diversified Leader in Tools Space MANY Great Emerging Life Sciences Tools …FEW Built to Scale Technologies – Highly Fragmented… Profitably • Developing, manufacturing, + supporting customers, and c
Slide 6: Portfolio-Wide Progress
Portfolio-Wide Progress Driving Business Across Three Product Categories and Two End-User Markets FY23 REVENUE MIX 46% Instrument revenue growth Instruments Consumables ✓ Proteomics return to growth ✓ 36% 39% Genomics planned revenue decline; near contribution margin positive Services & Other 25% 64
Slide 7: SomaLogic Powers Comprehensive Proteomic Insights
SomaLogic Powers Comprehensive Proteomic Insights Highest plex, highest data quality, most reliable serum proteome tool Differentiated technology Blue-Chip Customer Base 11K SOMAmers measuring 10K unique 191 SomaScan Services customers, proteins from 55-µL sample (over 2x more relationships with top
Slide 8: Complementary Multi-Omic Technologies
Complementary Multi-Omic Technologies Differentiated Throughput, Reliability, and Data Integrity Proteomics Platform Genomics Serum Proteome Flow Cytometry Spatial Biology Workstation SomaScan® Assay CyTOF® XT Maxpar® Hyperion XTi Biomark X9 System for Integrated flow cytometry assays and kits Imagi
Slide 9: Proteomics: Flow Cytometry & Spatial Biology
Proteomics: Flow Cytometry & Spatial Biology Clearly Positioning Technological Advantages & Reinvigorating R&D Engine to Accelerate Growth Drivers of Growth 22% • Disciplined commercial execution • Continued focus on improved customer service & focus on quality Revenue growth • Launch of HyperionTM
Slide 10: Managing Genomics Pivot
Managing Genomics Pivot Stabilized Revenue AND Achieved Near-Positive Contribution in 2023 Strategic Repositioning Near-positive • Managed revenue decline (7%) resulting from strategic repositioning and portfolio consolidation to one core offering Operating → BiomarkTM X9 emerged as the lead contrib
Slide 11: Key Milestones & Near-Term Inflection Points
Key Milestones & Near-Term Inflection Points Roadmap for drivers of value Delivering on Cost Synergy Commitments Forward Guidance and Financial Metrics to Assess Growth into 2026 Merger Integration & Prioritization of Strategic Plan Anticipate >$40M or 50% of targeted Implement cost synergies findin
Slide 12: CFO Commentary
CFO Commentary JEFF BLACK STANDARD BIOTOOLS’
Slide 13: Revenue Contribution by Product
Revenue Contribution by Product Instrument Placements in 2023 Set Up Expanded Recurring Revenue Stream Q4 2023 YoY • Total revenue growth led by strong instrument placements in both Proteomics and Genomics Instruments $11M 44% • Growth in instrument placements expands future Consumables $10M (22)% c
Slide 14: Revenue Contribution by Segment
Revenue Contribution by Segment Proteomics Driving Growth; Genomics on Path to Positive Contribution Margin Q4 2023 YoY • Quarter-to-quarter variability impacted largely by timing of customer orders Proteomics $16M 21% • Q4 growth in Proteomics led by continued traction of Genomics $12M (13%) Hyperi
Slide 15: Gross Margin (Non-GAAP)
Gross Margin (Non-GAAP) Executing Roadmap to Expanded Gross Margin Profile • YoY GM% increase attributed to product mix, cost Q4 2023 YoY improvements & improved overhead absorption Gross Margin $ $17M +17% • Gross margin impacted by elevated repairs and warranty costs (~350-400 bps) Gross Margin %
Slide 16: Operating Expenses (Non-GAAP)
Operating Expenses (Non-GAAP) Continuing to Standardize Organization; Prudently Investing to Facilitate Growth Q4 % of Q4 % of 2022 Revenue 2023 Revenue R&D $7M 25% $6M 23% • Investing in commercial organization to enhance SG&A $18M 69% $18M 64% service, increase penetration, expand Total $25M 94% $
Slide 17: Capturing Potential $80M Synergy Opportunity
Capturing Potential $80M Synergy Opportunity Early Progress with Strong 2023 Execution POTENTIAL SYNERGY RUN-RATE Elimination of redundant public BY 2026E company and G&A costs G&A (Exec., HR, Legal, Finance, IT) ~$20M ~$80M ~$20M Rationalization of common S&M commercial infrastructure (Sales, Marke
Slide 18: Cash
Cash Runway to Execute Growth Strategy 53% Improvement in Q4 Cash Use Q4 2022 FY 2022 FY 2023 operating cash use 2023 Cash used in $19M $14M $89M $43M operating activities Pro forma combined $565M cash, cash equivalents, Capex $1M $- $4M $3M restricted cash and short-term investments at 12/31/23 Ope
Slide 19: 2024 Revenue Outlook $200M - $205M
2024 Revenue Outlook Navigating ongoing macroeconomic headwinds facing the life sciences tools industry $200M - Managing integration of two organizations $205M Executing on a growing pipeline of opportunities Set up for expanded growth profile into 2025 and beyond FY24 REVENUE Committed to growth wi
Slide 20: Accelerated Path to Scale and Profitability
Accelerated Path to Scale and Profitability Pro Forma Combined Combined Expected Merger 2026E 2023E(1) Impacts (Unaudited) Targets Double-Digit Revenue $192M Annual revenue growth $300M+ with synergies Non-GAAP gross margin ~54% ~65% Non-GAAP SG&A % of sales ~90% ~35% $80M Run-rate cost synergies 20
Slide 21: CSO Commentary
CSO Commentary ADAM TAICH STANDARD BIOTOOLS’
Slide 22: Tackling Our Next Chapter of Growth Together
Tackling Our Next Chapter of Growth Together Enabling Customers to Accelerate Research and Inform New Biological Discoveries Broadening Continued expansion into BioPharma; highlighting the Customer Reach benefits of expanded portfolio Illumina On track: Early access in 2024; full commercial release
Slide 23: Closing Remarks
Closing Remarks MICHAEL EGHOLM, PHD 23
Slide 24: Better Together
M E R G E R : C L O S E D – J a n u a r y 5 th 2 0 2 4 Better Together Tech Leadership Lucrative Markets Complementary Establishes diverse portfolio of Targets large, high-growth Symbiotic customer mix maximizes multi-omic solutions with markets with differentiated cross-selling opportunities and hi
Slide 25: Unleashing Tools to Accelerate Breakthroughs in Human Health
Unleashing Tools to Accelerate Breakthroughs in Human Health
Slide 26: Appendix
STANDARD Appendix
Slide 27: Capitalization Table
Capitalization Table Issued and Pro Forma (in millions, except per share data) Outstanding(a) Fully Diluted Common Shares 293M 293M Series B Preferred NA 75M 2019 Convertible Notes (b) NA 19M Restricted Stock Units NA 11M Warrants(c) NA - Stock Options (d) NA - Total Shares 293M 397M Market Capitali
Slide 28: Non-GAAP Reconciliation: Gross Margin
Non-GAAP Reconciliation Gross Margin Q4 2022 Q4 2023 FY 2022 FY 2023 GAAP Gross Profit ($M) $11.2 $13.4 $37.1 $50.5 Add: Amortization on Technology in COGS $2.8 $2.8 $11.2 $11.2 Add: Depreciation and Amortization in COGS $0.3 $0.5 $ 1.2 $ 1.4 Add: Stock-Based Comp in COGS $0.1 $0.1 $0.6 $0.8 Non-GAA
Slide 29: Non-GAAP Reconciliation: Operating Expenses
Non-GAAP Reconciliation Operating Expenses In $M Q4 2022 Q4 2023 FY 2022 FY 2023 GAAP R&D $7.4 $6.9 $37.4 $25.9 Less: Stock-Based Comp in R&D $0.5 $0.4 $2.5 $1.7 Less: Depreciation and Amortization in R&D $0.1 $0.1 $1.0 $0.4 Less: Intangible impairment in R&D - - $3.5 - Non-GAAP R&D $6.8 $6.4 $30.4
Slide 30: Operating Cash Use
Operating Cash Use In $M Q4 2022 Q4 2023 FY 2022 FY 2023 Cash used in operating activities $19.2 $14.1 $89.4 $43.3 Add: Purchases of PP&E $0.7 $0.1 $3.8 $2.8 Less: Cash Paid for Interest ($1.6) ($1.7) ($3.5) ($3.8) Operating Cash Use $18.3 $12.5 $89.7 $42.3 Numbers may not add and percentages may no
Slide 31: High-Parameter Testing Is a Challenge With Proteins
High-Parameter Testing Is a Challenge With Proteins Mass Cytometry Solves Fundamental Limitation of Fluorescence Physics Advantage Fluorescent labels Spectral overlap vs. Metal isotopes for mass cytometry Discrete channels 100 75 50 25 0 89Y 110Pd 141Pr 150Nd 161Dy 191lr 209Bi Biological insights Ma
Slide 32: Flow Cytometry For Translational Research
Flow Cytometry For Translational Research The most robust solution in High-Parameter Market Segment 25 CyTOF future (intracellular) markers Physics Advantage 20 CyTOF Number of functional today No limit to how many different markers can be 15 detected at once 10 BIOLOGICAL INSIGHTS 5 10 20 30 40 50
Slide 33: Spatial Biology Hyperion XTi is a Game-Changer
Spatial Biology Hyperion XTi is a Game-Changer HIGH 40 Slides | 40 Markers Discovery Translational research 24 Hours Quality Low-plex IF* Transcript Profiling Cycling High-plex IF LOW 0.1 1 10 100 Throughput: number of slides/day 33 *IF: immunofluorescence
Slide 34: SomaScan Advantage
SomaScan Advantage Twice the content and half the CV of any other Proteomics technology Low Player A CV Player B Mass Spec Traditional ELISA and Flow High 10 100 1K 10K 20K Number of Protein Measurements 34