Mimedx Group, Inc · NASDAQ:MDXG
Mimedx — Canaccord Genuity 2022 Musculoskeletal Conference
26 slides from Mimedx's conference presentation, Mar 22, 2022
Slide 1: A Transformational Placental Biologics Company
1 A TRANSFORMATIONAL PLACENTAL BIOLOGICS COMPANY Canaccord Genuity 2022 Musculoskeletal Conference March 22, 2022 EXHIBIT 99.1
Slide 2: Disclaimer & Cautionary Statements
2 DISCLAIMER & CAUTIONARY STATEMENTS This presentation includes forward-looking statements. Forward-looking statements are subject to risks and uncertainties, and the Company cautions investors against placing undue reliance on such statements. Actual results may differ materially from those set for
Slide 3: Disclaimer & Cautionary Statements
3 DISCLAIMER & CAUTIONARY STATEMENTS Additional forward-looking statements may be identified by words such as "believe," "expect," "may," "plan," "potential," "will," "preliminary," and similar expressions, and are based on management's current beliefs and expectations. Forward-looking statements ar
Slide 4: Leading Product Portfolio Positioned for Growth
4 LEADING PRODUCT PORTFOLIO POSITIONED FOR GROWTH 83.3% 2021 Gross Margin $258.6M 2021 Net Sales $693M Market Cap4 (1) Adjusted EBITDA is a non-GAAP measure consisting of GAAP net loss excluding: (i) depreciation, (ii) amortization of intangibles, (iii) interest expense, (iv) income tax provision, (
Slide 5: A Transformational Vision
5 Existing 2022-2023 2026+ A TRANSFORMATIONAL VISION $1.1B $4B+ Transforming medicine in large and high-growth markets with significant unmet needs Advanced Wound Care Advanced Wound Care Surgical Recovery Japan Advanced Wound Care Surgical Recovery Japan + + + + + Other OUS$2.7B BioMed GPS SmartTra
Slide 6: A Transformational Vision
6 Existing 2022-2023 2026+ A TRANSFORMATIONAL VISION $1.1B Transforming medicine in large and high-growth markets with significant unmet needs Advanced Wound Care Advanced Wound Care Surgical Recovery Japan Knee Osteoarthritis + + $2.7B Advanced Wound Care Surgical Recovery Japan + + + Other OUS + B
Slide 7: The Transformational Potential
7 Existing 2022-2023 2026+ THE TRANSFORMATIONAL POTENTIAL Advanced Wound Care Advanced Wound Care Surgical Recovery Japan + + Advanced Wound Care Surgical Recovery Japan + + + Other OUS + $1.1B $2.7B Knee Osteoarthritis DMOAD BioMed GPS SmartTrak; GlobalData Tissue Engineered-Skin Sub Data Model Wou
Slide 8: Significant Unmet Clinical Need in Knee Osteoarthritis
8 SIGNIFICANT UNMET CLINICAL NEED IN KNEE OSTEOARTHRITIS 19 Million Patients with KOA 12 Million Target for HA Injections Value Multipliers DMOAD substantially amplifies market opportunity • Product Label • Dosing Regimen • Bilateral Application • Prophylactic Use • Place in Treatment Algorithm • Cl
Slide 9: mdHACM Holds Potential to Reduce Pain and Increase Function in KOA
9 Knee Osteoarthritis 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 1H 2H 2022 2023 2024 2025 2026 2027 mdHACM HOLDS POTENTIAL TO REDUCE PAIN AND INCREASE FUNCTION IN KOA Phase 2B study did not meet primary endpoints, but demonstrated statistically significant and clinically meaningful improvement within Pre-Interi
Slide 10: The Placenta Is a Sophisticated Biological System That Supports Growth and Healing
10 THE PLACENTA IS A SOPHISTICATED BIOLOGICAL SYSTEM THAT SUPPORTS GROWTH AND HEALING • Regulator of angiogenesis2 • Modulates inflammation • Barrier membrane • Inhibitor of fibrosis and scars • Promoter of epithelialization3 • Non-immunogenic material Known Properties of Amniotic Tissue1 (1) N. G.
Slide 11: Mid-Term Growth Expectations Driven by Treatment Transformation and Portfolio Innovation
11 MID-TERM GROWTH EXPECTATIONS DRIVEN BY TREATMENT TRANSFORMATION AND ONGOING PORTFOLIO INNOVATION 7.0% 11.0% 8.0% 2.0% 2.0% 14.0% 3.0% 3.0% Existing Products New Products/ Expansion International Overall Growth + + = Management estimates of annual revenue growth rate.
Slide 12: 2022 Objectives Support Current and Future Growth Potential
12 2022 OBJECTIVES SUPPORT CURRENT AND FUTURE GROWTH POTENTIAL R&D Initiate Phase 3 KOA Clinical Studies Increase Product Vitality Index Advance body of scientific evidence Operations Implement CGMP throughout supply chain Leverage cost base through production efficiencies Optimize quali
Slide 13: Differentiated Value Proposition of Transformation Drives Growth
DIFFERENTIATED VALUE PROPOSITION OF TRANSFORMATION DRIVES GROWTH 13 Sustainable above-market growth from commercial business in multiple therapeutic areas with significant unmet need Native & multimodal therapeutic properties of placental tissue provide vast range of organic product innovation KOA i
Slide 14: Our Placental Biologics Are Transforming Medicine and Patients' Lives
14 OUR PLACENTAL BIOLOGICS ARE TRANSFORMING MEDICINE AND PATIENTS’ LIVES
Slide 15: Appendix
15 APPENDIX
Slide 16: Summary Balance Sheets
16 SUMMARY BALANCE SHEETS ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Assets Cash and Cash Equivalents 53.5 48.2 109.6 95.8 84.7 85.0 90.6 87.1 Accounts Receivable, net 31.9 30.1 33.0 35.4 35.4 37.2 36.5 40.4 Inventory, net 9.2 10.6 11.0 10.4 11.6 10.1 11.2 11.4 Other Current Assets 21.2 18
Slide 17: Summary Income Statements
17 SUMMARY INCOME STATEMENTS ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Net Sales 61.7 53.6 64.3 68.6 60.0 68.2 63.1 67.4 Cost of Sales 10.0 8.2 10.3 10.8 9.7 12.8 10.1 10.7 Gross Profit 51.7 45.4 54.0 57.8 50.3 55.4 53.0 56.7 Research & Development 2.7 2.3 3.4 3.4 4.3 4.1 4.3 4.6 Selling,
Slide 18: Summary Cash Flow Statements
18 SUMMARY CASH FLOW STATEMENTS ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Net (Loss) Income (4.8) (8.5) (19.4) (16.6) (8.4) (1.8) (2.3) 2.2 Share-Based Compensation 3.3 4.4 3.7 3.9 3.2 4.1 3.8 3.6 Depreciation 1.5 1.4 1.5 1.3 1.2 1.3 0.9 1.0 Other Non-Cash Effects 1.2 1.3 9.5 1.7 1.1 0.9
Slide 19: Revenue Detail
19 REVENUE DETAIL Quarter Trailing 12 Months ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q21 2Q21 3Q21 4Q21 Advanced Wound Care / Section 3611 48.5 45.8 55.1 59.4 51.5 59.3 62.3 66.9 211.8 225.3 232.5 240.0 Section 3511 8.7 6.1 8.2 8.7 8.2 8.6 0.5 0.3 31.2 33.7 26.0 17.6 Adjusted Net Sales
Slide 20: Non-GAAP Metrics Reconciliation
20 NON-GAAP METRICS RECONCILIATION ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Net Sales – Reported 61.7 53.6 64.3 68.6 60.0 68.2 63.1 67.3 Less: Revenue Transition Impact1 (4.5) (1.7) (1.0) (0.5) (0.3) (0.3) (0.3) (0.1) Adjusted Net Sales 57.2 51.9 63.3 68.1 59.7 67.9 62.8 67.2 Gross Profi
Slide 21: Adjusted EBITDA Reconciliation
21 ADJUSTED EBITDA RECONCILIATION ($ millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Net (Loss) Income (4.8) (8.5) (19.4) (16.6) (8.4) (1.8) (2.3) 2.2 Depreciation & Amortization 1.8 1.7 1.8 1.6 1.5 1.5 1.1 1.1 Interest Expense 2.4 2.6 1.5 1.5 1.5 1.4 1.0 1.2 Loss on Extinguishment of Debt 0.0 0.0
Slide 22: Phase 2B Study Demonstrated Statistically Significant Improvement Within Pre-Interim Analysis Cohort
22 PHASE 2B STUDY DEMONSTRATED STATISTICALLY SIGNIFICANT AND CLINICALLY MEANINGFUL IMPROVEMENT WITHIN PRE-INTERIM ANALYSIS COHORT STATISTICAL DIFFERENCES BETWEEN PATIENTS TREATED WITH mdHACM AND WITH PLACEBO Assessment Pre-Interim Analysis (190 patients) Post-Interim Analysis (256 patients) TOTAL TR
Slide 23: Phase 2B KOA Clinical Trial: WOMAC Total
23 PHASE 2B KOA CLINICAL TRIAL: WOMAC TOTAL p=0.038 p=0.008 Placebo mdHACM n=190 n=256 n=446
Slide 24: Phase 2B KOA Clinical Trial: WOMAC Pain
24 PHASE 2B KOA CLINICAL TRIAL: WOMAC PAIN p=0.032 p=0.009 Placebo mdHACM n=190 n=256 n=446
Slide 25: Phase 2B KOA Clinical Trial: WOMAC Function
25 p=0.046 n=190 n=256 n=446 p=0.009 PHASE 2B KOA CLINICAL TRIAL: WOMAC FUNCTION Placebo mdHACM
Slide 26: Reasons to Believe
26 REASONS TO BELIEVE Retrospective Evidence Real-world Data Positive Results from 190 Mechanism of Action Research
MiMedx Group — Canaccord Genuity 2022 Musculoskeletal Conference on 6ix