Slide 1: H1 2024 Interim Presentation
ROBUST PERFORMANCE AND PROGRESS ACHIEVED AGAINST STRATEGY H1 2024 Interim Presentation 16 September 2024
Slide 2: Disclaimer
Disclaimer For the purposes of this disclaimer, "presentation" means this document, any oral presentation, any question and answer session and any written or oral material discussed or distributed during the presentation. This presentation includes statements that are, or may be deemed to be, “forwa
Slide 3: Presenting team
Presenting team Dr. Mike Griffiths Jayesh Pankhania Chief Executive Officer Chief Financial Officer 3
Slide 4: Today's agenda
Today’s agenda Corporate Financial Conclusion Overview Review and Q&A 4
Slide 5: Corporate Overview
HELPING ALL PEOPLE WITH HARD-TO-HEAL WOUNDS GET BACK TO LIVING THEIR LIVES TO THE FULLEST Corporate Overview Dr. Mike Griffiths 5
Slide 6: TWO2 Therapy – a game-changing, multi-modal oxygen therapy
TWO2® Therapy – a game-changing, multi-modal oxygen therapy 45 Patents THE ONLY CYCLICAL-PRESSURE MULTIMODALITY TOPICAL WOUND OXYGEN Registered / THERAPY FOR THE TREATMENT OF ACUTE AND CHRONIC WOUNDS Granted ✓ Controller provides timed ✓ MEDIUM and LARGE ✓ Single-Use Multi-Patch for therapy and cycl
Slide 7: Hard to heal wounds are extremely costly and impact quality of life
Hard to heal wounds are extremely costly and impact quality of life Diabetic foot ulcers (DFUs) are the #1 FIVE-YEAR MORTALITY RATES AND DIRECT Venous leg ulcers (VLUs) are reason for infection and leg COSTS FOR DFU COMPARABLE TO ALL amongst the most prevalent and amputation CAUSE CANCER persistent
Slide 8: TWO2 Therapy is the only multi-modality oxygen therapy…
TWO2® Therapy is the only multi-modality oxygen therapy… Wounds are typically hypoxic; oxygen is vital for healing wounds but getting sufficient oxygen to the wound has been the challenge – until now. O2 CONCENTRATION DRIVES IMMUNE RESPONSE, REVASCULARISATION AND DURABLE HEALING WHY OXYGEN? High-pre
Slide 9: … with an unprecedented level of clinical evidence
… with an unprecedented level of clinical evidence The ONLY therapy on the market proven to deliver LONG- TERM outcomes: driving clinical adoption & reimbursement 9
Slide 10: AOTI's unique at-home therapy delivers proven sustained healing
AOTI’s unique at-home therapy delivers proven sustained healing SOLVING PATIENT ACCESS & IMPROVING HEALTH EQUITY Patient-applied disposable at-home adjunctive wound therapy PATIENT-CENTRIC In-home set-up, education, engagement, with remote support EYES ON THE WOUND Engaged outcomes, compliance and c
Slide 11: NEXA a newly launched NPWT complementing our TWO2 strategy
NEXA a newly launched NPWT complementing our TWO2® strategy REDUCES THE RISK OF FURTHER RE-ADMISSION Best-in-class device broadens AOTI’s solution offering gaining channel access HIGHLY DIFFERENTIATED MARKET POSITION Three key innovations; the proprietary pump, negative pressure connector and the fl
Slide 12: All the key pillars are in place for commercial success
All the key pillars are in place for commercial success DME High growth and Transformative Best-in-class Exceptional level Experienced team Strategically highly profitable clinical outcomes disposable NPWT of evidence and in chronic important Durable MedTech device outcomes diseases Medical business
Slide 13: Our IPO accelerates our commercial roll-out plan
Our IPO accelerates our commercial roll-out plan ACCELERATE our commercial roll-out to increase coverage whilst continuing to expand the Group’s sales and support teams in the US RAISE AWARENESS and drive adoption in current markets and the opening up of new territories worldwide EXPAND market size
Slide 14: Market access and commercialisation plan for TWO2 Therapy
Market access and commercialisation plan for TWO2® Therapy PHASE 1 PHASE 2 PHASE 3 2022: <10% Nat. Coverage 1-2 Years: Expanding coverage for FY 2024 and beyond 3+ Years: <Nat. Coverage EXISTING ESTABLISHING ACCESS WITH ACCELERATED ACCESS COVERAGE LARGEST US PAYERS LEVERAGING PAYER CONTRACTS Veteran
Slide 15: Operational Highlights for H1 2024
Operational Highlights for H1 2024 Dr. Mike Griffiths 15
Slide 16: Robust performance and progress achieved against strategy
Robust performance and progress achieved against strategy INCREASING MARKET ACCESS FOR TWO2® THERAPY • Growth delivered across all business segments, with the higher margin Medicaid and International segments growing at the fastest rate • VA FSS contract extended for an additional six months, while
Slide 17: Financial Review
Financial Review Jayesh Pankhania 17
Slide 18: Revenues up 26.4% driven by growth across all business segments
Revenues up 26.4% driven by growth across all business segments HALF ON HALF REVENUES REVENUE BREAKDOWN BY SEGMENT ($’000) 30,000 Other 540 25,000 20,000 Medicaid Revenue ($’000) 8,926 15,000 VA 16,873 10,000 5,000 0 H1 22 H2 22 H1 23 H2 23 H1 24 18
Slide 19: Sustainable growth and margin improvement
Sustainable growth and margin improvement HISTORICAL REVENUES, ADJUSTED EBITDA AND GROSS MARGIN 50 100% 45 90% 40 80% 35 70% Revenue Gross Margin % 30 60% Revenue ($m) CAGR: 38% (2021 – 2023) 25 50% 20 40% 15 30% 10 20% 5 10% 0 0% 2017 2018 2019 2020 2021 2022 2023 H1 2024 Revenues Adjusted EBITDA G
Slide 20: Strong topline growth
Strong topline growth CONSOLIDATED STATEMENT OF OPERATIONS #039;000 H1 2024 H1 2023 Change Increase mainly driven by Total revenues 26,338,786 20,845,347 26.4% Medicaid states (+84%) and VA (+7%) Total cost of revenues 3,352,837 2,642,670 Growth driven by revenue and Gross profit 22,985,949 18,202,677
Slide 21: Adjusted EBITDA margin growing
Adjusted EBITDA margin growing RECONCILIATION BETWEEN NET LOSS AND ADJUSTED EBITDA #039;000 H1 2024 H1 2023 Change Net Loss (3,867) (2,686) 44.0% Provision for income taxes 143 455 Interest expense 1,084 973 Depreciation and amortization 801 669 Loan fees Amortization 48 48 EBITDA (1,791) (541) 231.1%
Slide 22: Strengthening balance sheet
Strengthening balance sheet CONSOLIDATED BALANCE SHEET #039;000 H1 2024 H1 2023 FY 2023 Total non-current assets 12,692,354 12,497,439 12,737,301 Inventory 1,995,237 1,947,568 2,203,516 Income tax receivable 51,344 238,323 40,145 Increased proportion of non-VA 7,706,753 4,372,608 5,221,915 revenue lead
Slide 23: Net cash position reflects the funds raised as part of the IPO
Net cash position reflects the funds raised as part of the IPO NET CASH / (NET DEBT) MOVEMENT 23
Slide 24: Outlook
Outlook EXPECTED NEWSFLOW OVER THE NEXT 12 MONTHS Commence sales in Rollout of NEXA NPWT Saudi Arabia and greater Veterans Administration System in US, including Expand reimbursement Gulf region post NUPCO FSS extension home care setting in Germany tender award Launch ‘Eyes on the Gain NHS Trust bas
Slide 25: Conclusion and Q&A
Conclusion and Q&A Dr. Mike Griffiths 25
Slide 26: AOTI – a high-growth profitable medical technology business
AOTI – a high-growth profitable medical technology business Focused on sustainable healing of hard-to-heal wounds, in particular DFUs and VLUs Leveraging two best-in-class and at-home therapies, TWO2® and NEXA The market leader in the rapidly expanding topical oxygen wound therapy segment Extensive
Slide 27: Q&A
Q&A 27
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