Medicure Inc. · TSXV:MPH
Medicure — Q1 2016 Earnings Presentation
19 slides from Medicure's earnings presentation, May 11, 2016
Slide 1: Investor Presentation
Investor Presenta,on May 11, 2016 Albert Friesen Chair, President & CEO James Kinley CFO Graeme Merchant Vice President, Commercial Opera,ons
Slide 2: Disclaimer
Disclaimer This presentation is for informational purposes only and should not be considered as an offer to buy or sell securities. No stock exchange has either approved or disapproved of the information that is contained in this presentation. This presentation may contain forward-looking statements
Slide 3: Medicure Inc.
Medicure Inc. A specialty pharmaceu0cal company focused on the development and commercializa0on of therapeu0cs for the U.S. hospital market. Core Competencies: § Unique, head-office based sales team § One of the only hospital cardiology pharma sales teams in the U.S. 3
Slide 4: Net Revenue Growth: 2012 - 2015
Net Revenue Growth: 2012 - 2015 $ Canadian $25,000,000 $20,000,000 $15,000,000 Actual $10,000,000 1st half 2015 $5,000,000 $0 2012 2013 2014 2015 Net revenue for the three and twelve month period ended December 31, 2015 are preliminary and are based on the best informa,on currently available and sub
Slide 5: EBITDA Growth: 2012 - 2015
EBITDA Growth: 2012 - 2015 Adjusted EBITDA* $ Canadian $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 ($2,000,000) 2012 2013 2014 2015 The Company defines EBITDA as "earnings before interest, taxes, deprecia,on, amor,za,on and other income or expense" and Adjusted EBITDA as "EBITDA adjust
Slide 6: Acute cardiovascular hospital product
§ Acute cardiovascular hospital product § I.V. platelet inhibitor; binds the GP IIb/IIIa receptor § Indicated for Acute Coronary Syndrome (ACS) § 41% reduction in death and MI in high-risk patients* § Oct 2013: FDA Approved High Dose Bolus § Patented until June 2023 § Sep 2015: sNDA filed for STEMI
Slide 7: Commercial Product: Aggrastat
Commercial Product: Aggrastat® United States GP IIb/IIIa Market Gross USD $276.2 million, Jan – Dec 2015 Aggrastat $24.1 million § Launched by Merck in 1998 § Is the #1 in class ex-USA § U.S. rights acquired by Medicure in 2006 Integrilin § Medicure obtained broader FDA approval in ReoPro $193.3 mil
Slide 8: Competitive Positioning of Aggrastat
Competitive Positioning of Aggrastat 8
Slide 9: Q1 2016 Net Product Sales
Q1 2016 Net Product Sales Aggrastat Quarterly Net Product Sales (CDN Millions) § Acute competitor shortage $12,000,000 impacted Q4 2015 & Q1 $10,000,000 2016 wholesaler revenue § Q4 2015 spike in wholesaler $8,000,000 purchasing resulted in $6,000,000 inventory buildup in Q1 2016 § Wholesaler invent
Slide 10: Quarterly Bag Demand
Hospital Bag Demand (“Quarterly Scripts”) 25,000 Label 20,000 Change Quarterly Bag Demand Oct 2013 15,000 10,000 5,000 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2012 2013 2014 2015 10
Slide 11: GPI Treatment Costs in the US
$3,500 GPI Treatment Costs in the US $3,000 $3,126.12 Aggrastat: 25 µg/kg § US healthcare system is bolus + 0.15 µg/kg/min Reopro financially stressed $2,500 Integrilin: 2x180 µg/kg bolus + 2.0 µg/kg/min § Integrilin often one of the largest $2,000 Reopro: 0.25 mg/kg pharmacy line items bolus + 0.12
Slide 12: Growth & Business Development
Growth & Business Development § Building a specialty pharmaceutical portfolio focused on the U.S. hospital market § Leveraging our sales infrastructure § Invest in reduced risk - high reward development projects § Maintain focus on profitability 12
Slide 13: Medicure Announces ANDA with Apicore
Generic Drug Development Press Release: January 6, 2016 Medicure Announces ANDA with Apicore ü Acute cardiovascular drug for U.S. hospitals ü Leverages sales infrastructure ü Reduced risk - high reward project ü Maintain focus on profitability • FDA Filing est. Late 2016 13
Slide 14: Apicore Transaction: July 2014
Apicore Transaction: July 2014 Fixed Price Op\on Fixed Price Op\on Founders 5.3% Minority Equity Shareholder Equity investor Loan + Warrants a private manufacturer of complex ac,ve pharmaceu,cal ingredients (APIs) and developer of generic products (ANDAs) 14
Slide 15: Apicore Background
Apicore Background Year Revenue (USD)* 2012 $5 Million 2013 $10.3 Million 2014 $14.3 Million 2015 $23 Million § API Manufacturer & ANDA Developer Somerset, New Jersey • Complex synthetic chemistry • Early & “first to file” generics • Secure, high quality production § History: • Founded in 2004 (New
Slide 16: Key Financial Info – MPH: TSXV
Key Financial Info – MPH: TSXV Cap Structure As of May 10, 2016 Basic Total 14,672,018 Fully Diluted Total 17,073,761 Share Price C$4.81 Market Cap C$70.6 M § Recent Financial Highlights • 2015 Net Revenue $22.1 M • 2015 * Adj.EBITDA $9.0 M • Q1 2016 Net Revenue $6.1 M • Q1 2016 *Adj.EBITDA $2.1 M §
Slide 17: Business Vision
Business Vision § To build a large, stable, specialty pharma company § To further expand Aggrastat revenue § To expand revenue with new commercial products § To diversify company value with new products and business areas 17
Slide 18: Aggrastat Prescribing Information
Aggrastat Prescribing Information Indication: AGGRASTAT is indicated to reduce the rate of thrombo,c cardiovascular events (combined endpoint of death, myocardial infarc,on, or refractory ischemia/repeat cardiac procedure) in pa,ents with non-ST eleva,on acute coronary syndrome (NSTE-ACS). Dosage an
Slide 19: Thank you.
Thank you. Contact a Product Specialist Investor Rela\ons 1.800.509.0544 ir@medicure.com 1.888.435.2220 (Ext. 228) For More Informa\on www.medicure.com www.aggrastat.com