Quest Diagnostics Incorporated · NYSE:DGX
Quest Diagnostics — 34th Annual J.P. Morgan Healthcare Conference (January 2016)
16 slides from Quest Diagnostics's conference presentation, Jan 12, 2016
Slide 1: Quest Diagnostics at 34th Annual J.P. Morgan Healthcare Conference
Quest Diagnostics Steve Rusckowski President and Chief Executive Officer 34th ANNUAL J.P. MORGAN HEALTHCARE CONFERENCE January 12, 2016
Slide 2: Safe Harbor Disclosure
Safe Harbor Disclosure The statements in this presentation which are not historical facts may be forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date that they are made and which reflect management’s current esti
Slide 3: Quest has Unmatched Size and Scale
Quest has Unmatched Size and Scale SERVES 1/3 OF THE U.S. ADULT >$7B IN SERVES 50% POPULATION AND REVENUE OF HOSPITALS ~50% WITHIN 3 YEARS 2,000 PATIENT SERVICE CENTERS >20B TEST RESULTS >200K Care360 PLACEMENTS >25 MAJOR TESTING SITES DELIVERED OVER 3,500 COURIERS PAST DECADE 10,000 PHLEBOTOMISTS,
Slide 4: Quest is the Clear Leader in a Fragmented Market
Quest is the Clear Leader in a Fragmented Market Total U.S. Lab Market “Outside the Hospital” Independent Lab Segment Lab Segment $75 BILLION $46 BILLION $25 BILLION DGX Other POL 6% 10% 6% DGX Hospital Outpatient 26% 37% 17% 39% Small 52% 35% Independent Independent Outside the Hospital Labs Labs H
Slide 5: Quest is Positioned for Continued Market Leadership During a Time of Significant Change
Quest is Positioned for Continued Market Leadership During a Time of Significant Change Market Drivers and Dynamics Utilization Reimbursement Stakeholder Technology Dynamics Evolution • ACA Lives • Government and • Hospital • Advances in Commercial Consolidation Genomics • Population Reimbursement •
Slide 6: Action from Insight
Action from Insight One Vision Empowering better health with diagnostic insights Three Goals A healthier world Build value Creating an inspiring workplace Five Point Strategy Restore growth Drive operational excellence Simplify the organization Refocus on diagnostic information services Deliver disc
Slide 7: Restore: Near Term Focus
1 RESTORE Near Term Focus Commercial Clinical-Based Partnering Excellence Focus to Grow with Hospitals Esoteric Testing 7
Slide 8: Positioning for growth
Positioning for growth Clinical-Based Focus Partnering with Hospitals Innovative Solutions 7 PLS RELATIONSHIPS ANNOUNCED IN 24 MONTHS Engaging Patients & Providers >2M MOST RECENTLY WITH MyQuest PATIENTS NJ’S #1 SYSTEM Information Services HCV Market 8 Data Diagnostics 5 HOSPITAL OUTREACH ACQUISITIO
Slide 9: Restore: Longer Term Focus
1 RESTORE Longer Term Focus Lead in Leverage Capabilities Precision into Extended Medicine Care Settings Create Value Succeed from Information Internationally Assets 9
Slide 10: Drive Operational Excellence
2 DRIVE Drive Operational Excellence Superior Customer Experience Cost Excellence $1.3B IN RUN RATE SAVINGS THROUGH 2017 Note: As presented at November 2014 Investor Day 10
Slide 11: Identifying Key Opportunities to Meet our New $600M Goal
Identifying Key Opportunities to Meet our New $600M Goal Changing How We Operate Standardizing eEnabling Getting Paid for the Model Services What We Do • Process • eOrder • ezPay $600M • Data • eBill • Notification • Systems • ePickup • Open Balance • eCare • Upfront Payment • eResult • Convenient O
Slide 12: Simplify the Organization
3 SIMPLIFY Simplify the Organization Building a Continue to High Performance Strengthen Team Culture 12
Slide 13: Refocus on Diagnostic Information Services
4 REFOCUS Refocus on Diagnostic Information Services Ongoing Portfolio Review Sharp Focus on Core 13
Slide 14: Deliver Disciplined Capital Deployment
5 DELIVER Deliver Disciplined Capital Deployment Returning Majority Investing in Value Creating of Free Cash Flow to the Business M&A Shareholders 14
Slide 15: 2015 – 2017 Outlook Shared at our November 2014 Investor Day
2015 – 2017 Outlook Shared at our November 2014 Investor Day 3-Year CAGR Revenue 2% to 5% • Includes M&A • Organic growth to accelerate to market levels through period Adjusted Diluted EPS 8-10% • Excludes share repurchases Adjusted Diluted EPS, 8-10% Excluding Amortization • Excludes share repurcha
Slide 16: Quest Diagnostics
(@) Quest Diagnostics”
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