Slide 1: Natera, Inc. Q2 2021 Earnings call
Natera, Inc. Investor presentation Q2 2021 Earnings call
Slide 2: Safe harbor statement
Safe harbor statement This presentation contains forward-looking statements under the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained in this presentation, including statements regarding our market opportunity, our p
Slide 3: Recent highlights
Recent highlights ● Fastest year-on-year volume and revenue growth quarter since the IPO: – 376,000 tests processed in Q2, 61% growth vs Q2 2020 – Total revenues of $142M, 64% growth vs Q2 2020 – Product revenues of $137M, up 71% vs Q2 2020 ● Increasing 2021 revenue guide from $550M-$575M to $600M-$
Slide 4: Record Q2 volume of 376,000 units
Record Q2 volume of 376,000 units Total processed units (in thousands) ● ~ 61% volume growth over Q2 2020 376K 348K ● Strong market 295K share gains in 262K Women’s Health 236K 234K 200K 195K 200K 209K ● Continued 174K 163K 167K momentum in Transplant and Oncology Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 5: Accelerating revenues
Accelerating revenues Total revenues Product revenues1 ($ in millions) ($ in millions) ● Volume-out 64% $142 71% $137 performance 18% combined with improving ASPs 17% $80 17% $87 $74 $63 $54 ● New products gaining momentum Q2 Q2 Q2 Q2 Q2 Q2 Q2 2017 2018 2019 2020 2021 2020 2021 1. Excludes licensing
Slide 6: Head-to-head study in Transplantation Reports
Head-to-head study in Transplantation Reports Single center study at UCLA1 Other dd- Prospera ● Compared two different dd-cfDNA assays for cfDNA test test detection of rejection ● A series of 15 paired-samples from individual Sensitivity 4 out of 6 5 out of 6 kidney transplant recipients using Prosp
Slide 7: Multi-organ transplant rejection testing
Multi-organ transplant rejection testing Simultaneous pancreas-kidney use case Data presented at ATC ● ~8% of kidney transplants are multi- Biopsy-matched SPK & PAK3 organ transplants1 ● 15% of simultaneous pancreas-kidney Sensitivity 83.3% recipients will experience a rejection of their kidney in t
Slide 8: Prospera pathway to multiple organs
Prospera pathway to multiple organs ● LCD covers broad range of solid organ transplants for dd-cfDNA testing ● Creates accelerated pathway to reimbursement for Prospera test beyond kidney transplants 8 Not for reproduction or further distribution.
Slide 9: Oncology evidence generation advancing
Oncology evidence generation advancing Disease-free survival Overall Prospective survival Sensitivity Outcomes Data Predictive of treatment benefit Specificity Validation Data PPV/NPV 9 Not for reproduction or further distribution.
Slide 10: CIRCULATE-IDEA – large prospective MRD study
CIRCULATE-IDEA – large 1 prospective MRD study First prospective CRC study reporting disease free survival in a real-world setting Key results % 100 ctDNA 80 Negative Pre-surgical detection2 >94% Positive 60 DFS Longitudinal sensitivity 40 ctDNA Events/N 6M-DFS 95%CI to relapse2 >93% Negative 6/657
Slide 11: Can physicians avoid chemotherapy for MRD-negative stage III CRC patients?
Can physicians avoid chemotherapy for MRD- negative stage III CRC patients? Post-operative Management of Stage III CRC Patients Using Signatera ● Today, almost all stage III CRC patients get adjuvant chemotherapy, despite ~50% cured MRD- by surgery alone1 Positive Adjuvant Chemo − Current Signatera
Slide 12: Prospective overall survival data in oligometastatic CRC
Prospective overall survival data in oligometastatic CRC Prospective PREDATOR clinical trial:1 Overall Survival based on Post-surgery MRD-status ● 112 oligo mCRC patients who underwent surgical 1.00 resection with curative intent ● MRD status assessed with Signatera after surgery and 0.75 during fol
Slide 13: Prospective overall survival data in adjuvant MIBC
Prospective overall survival data in adjuvant MIBC IMvigor010 ● Phase III trial of atezolizumab vs Predictive observation in high-risk, MIBC ● Pre-specified analysis using Signatera ● Outcomes tracked prospectively for up to 4 years, overall survival measured Key results ● MRD-positivity after surge
Slide 14: Signatera awarded ADLT designation
Signatera awarded ADLT designation FDA Breakthrough Device Designation Breakthrough device Final coverage for Draft immunotherapy ADLT Designation designation by the colorectal cancer (CRC) coverage FDA – 3 total May 2019, March 2021 September 2020 September 2020 June 2021 Breakthrough helps Fin
Slide 15: Oncology MRD market opportunity – tests per year
Oncology MRD market opportunity – tests per year Short term Mid term Published/presented indications Studies underway ~13M 12 9 Tests per year (M) 6 ~4M 3 0 IO response Adjuvant Ovarian Esophageal monitoring MIBC Stage II-III CRC Neo-adjuvant Multiple Total Total Indications Total CRC oligomet breas
Slide 16: Q2 Financial overview
Q2 Financial overview ($ in millions, except for per share data) P&L Q2’21 Q2’20 Change Product Revenues $137.2 $80.4 $56.8 Licensing and Other Revenues $4.8 $6.1 ($1.3) Total Revenues $142.0 $86.5 $55.5 Gross Margin% 1 46% 46% 69.5 bps R&D $53.8 $23.0 $30.8 SG&A $127.5 $68.2 $59.3 Net Loss Per Dilu
Slide 17: Raising 2021 annual guidance
Raising 2021 annual guidance Guide $ (millions) Original Q1 Guide Current Key drivers Revenue $500 – $525 $550 – $575 $600 – $620 Volume acceleration Strong women’s health margins Gross margin % 47% – 52% 52% – 55% 52% – 55% balanced by growth-related costs in revenue new businesses SG&A $430 – $450
Slide 18: Not for reproduction or further distribution.
©2020 Natera, Inc.Inc. All Rights Reserved. NotNot for reproduction or further distribution. 18 Not for reproduction or further distribution. ©2021 Natera, All Rights Reserved. for reproduction or further distribution.