Dri Healthcare Trust · TSX:DHT.U
Dri Healthcare Trust — Q2 2021 Earnings Presentation
10 slides from Dri Healthcare Trust's earnings presentation, Aug 6, 2021
Slide 1: Advancing Science in the Fast Growing Pharmaceutical and Biotechnology Sector
ADVANCING SCIENCE in the Fast Growing Pharmaceutical and Biotechnology Sector Q2 2021 Earnings Call | August 6, 2021
Slide 2: Disclaimer
DISCLAIMER Certain statements made in this Q2 2021 earnings call presentation, including responses to questions, may contain forward-looking statements within the meaning of the safe harbor provisions of Canadian provincial securities laws. Forward-looking statements involve risks and uncertainties
Slide 3: Agenda
AGENDA 1. Q2 financial results 2. Portfolio highlights 3. Balance sheet & liquidity 4. Growth strategy & outlook 5. Question & answer period 3
Slide 4: Q2 2021 Financial Results - Highlights
Q2 2021 FINANCIAL RESULTS - HIGHLIGHTS Royalty income – US$23.4 million Quarter highlighted by strong performance from Adjusted EBITDA(1) – US$28.8 million existing pharmaceutical Adjusted Cash Earnings per Unit(1) – US$0.46 products portfolio Strong balance sheet and cash flows from royalty
Slide 5: Strong YTD Cash Flow Generation
STRONG YTD CASH FLOW GENERATION Pro Forma Adjusted EBITDA for the Six Months Ended June 30, 2021 (US$M)(1) $27.8 $63.9 ($3.5) Pro Forma ($3.0) $56.8 Adjusted EBITDA ($0.6) Margin(1)(4) ~89% $36.1 Adjusted Cash Earnings per Unit(5) US$0.97 Royalty Net Change in Pro Forma Total Cash Operating Manageme
Slide 6: Q2 2021 Financial Results – Portfolio Highlights
Q2 2021 FINANCIAL RESULTS – PORTFOLIO HIGHLIGHTS Cash Royalty Receipts (US$M) For the three months ended June 30, 2021 June 30, 2020 % Change Core Products Eylea(1) 4,352 3,644 19% FluMist 23 - n/a Natpara 513 305 68% Rydapt 3,856 1,970 96% Spinraza 5,615 5,642 - Xolair 1,417 1,406 1% Zytiga 9,498 8
Slide 7: Well Capitalized for Growth
WELL CAPITALIZED FOR GROWTH Strong balance sheet at quarter end US$145.7 million of cash and cash equivalents available to support acquisitions and operations (including US$30.1 million held in trust subject to July 15 debt payment) US$29.7 million of royalties receivable US$273.7 million
Slide 8: Growth Strategy
GROWTH STRATEGY Acquire traditional pharmaceutical royalties Growth strategy supported by DRI’s proven origination capabilities Create new synthetic royalty streams 8
Slide 9: Leveraging Our Strengths to Drive Growth
LEVERAGING OUR STRENGTHS TO DRIVE GROWTH Growth-focused, accretive Target transaction range represents an underserved niche transactions of $25M - $150M with high barriers to entry that allows us to source and execute attractive, often proprietary, transactions Medically necessary products Other
Slide 10: Outlook and Summary
OUTLOOK AND SUMMARY Strong performance of our existing assets Target sustainable On track to deliver on growth targets compounded growth in cash US$650 to US$750 million five-year aggregate acquisition target royalty receipts Acquisition pipeline remains strong and growing; transactions adva