Sartorius AG · XETR:SRT

Sartorius — Sartorius Stedim Biotech — Investor Presentation (October 2022)

43 slides from Sartorius's investor presentation, October 2022

  1. Slide 1: Simplifying Progress – Sartorius Stedim Biotech Investors Presentation

    Simplifying Progress Sartorius Stedim Biotech Investors Presentation October 2022

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains statements concerning the future performance of the Sartorius Stedim Biotech Group. These statements are based on assumptions and estimates. Although we are convinced that these forward- looking statements are realistic, we cannot guarantee that they will actual

  3. Slide 3: Agenda

    Sartorius Stedim Biotech Group Agenda Overview | Strategy Mid-term Growth Prospects 9M 2022 Results | FY 2022 Guidance Appendix 3

  4. Slide 4: Partner of biopharmaceutical research and industry

    Sartorius Stedim Biotech Group Partner of biopharmaceutical research and industry Our mission We empower scientists and engineers to simplify and accelerate progress in Good health and well-being at life science and bioprocessing, enabling the focus of Sartorius Stedim the development of new and bet

  5. Slide 5: Sartorius Stedim Biotech at a glance

    Sartorius Stedim Biotech Group Sartorius Stedim Biotech at a glance ~€2.89bn Four strong pillars drive above-average growth Sales revenue 2021 Pharma CAGR 4-7% ~23% market Sales CAGR1 2016-2021 Biopharma CAGR ~10% ~35.8% market EBITDA margin2 2021 >25 Single-use Double-digit countries, penetration g

  6. Slide 6: Covering most steps of the biopharmaceutical manufacturing process

    Sartorius Stedim Biotech Group Covering most steps of the biopharmaceutical manufacturing process  Differentiated by the range and completeness of the Culture media Seed Scale-up Production portfolio preparation cultivation  Excellent positioning in key single-use technologies UPSTREAM  Internati

  7. Slide 7: Generating revenue throughout the lifecycle of a biopharma drug

    Sartorius Stedim Biotech Group Generating revenue throughout the lifecycle of a biopharma drug Preclinical Clinical Commercial Stage (1 year) (4-7 years) (15+ years) Scale Process development Proof of concept - pilot Large  Wide product range of equipment and consumables for all stages (from pre-co

  8. Slide 8: Integrated services and technologies for all types of biopharmaceuticals

    Sartorius Stedim Biotech Group Integrated services and technologies for all types of biopharmaceuticals mAbs  ~ 95% of revenue generated with Regenerative bio/pharma customers medicine  Antibodies are most relevant; strong Vaccines position in vaccines as well  SSB provides solutions for the deve

  9. Slide 9: The market landscape is dynamic across therapy modalities

    Sartorius Stedim Biotech Group The market landscape is dynamic across therapy modalities Protein-based therapies Viral-based therapies Advanced therapies 65% 20% 15%  mAbs  Viral vectors for gene therapy  Cell therapy (e.g., iPSC, MSC)  Bi-/Multi-specifics  Virus and viral vector vaccines  Gen

  10. Slide 10: Attractive market environment offers strong growth opportunities

    Sartorius Stedim Biotech Group Attractive market environment offers strong growth opportunities Growing and aging population Biologics are gaining importance2 9 billion people by 20501 World population over age 60 in 2050 Sales share of biologics in 2026 >2bn ~37% ~10% CAGR biopharma market 2021 – 2

  11. Slide 11: Sustainable profitable growth

    Sartorius Stedim Biotech Group Sustainable profitable growth +52.6% Sales CAGR ~+19% +34.6% 3200 EBITDA1 margin +14.9pp +18.8% ~€2.89bn 40.0 +13.7% 39.0 3000 38.0 +4.1% 2800 37.0 2600 36.0 +20.4% 35.0 35.8 2400 +19.4% 34.0 2200 33.0 +15.9% 2000 32.0 31.0 1800 1600 +10.8% ~€1.05m 31.7 30.0 29.0 1400

  12. Slide 12: Regionalizing our supply chain and manufacturing; increasing our global capacity

    Sartorius Stedim Biotech Group Regionalizing our supply chain and manufacturing; increasing our global capacity Germany | Göttingen, Guxhagen China and South Korea Puerto Rico and USA Production capacities increasing Capacities will be created Capacities will be ramped up in selected areas for selec

  13. Slide 13: M&A strategy – adding innovation, enhancing focus

    Sartorius Stedim Biotech Group M&A strategy – adding innovation, enhancing focus 2016 2017 2019 2020 2021 2022 kSep Umetrics Biological Life Science BIA WaterSep CellGenix Xell Chrom. assets Albumedix Industries assets1 Separations from Novasep 1 Acquired from Danaher Portfolio: Complementary produc

  14. Slide 14: Recent acquisitions make us an even more relevant partner

    Sartorius Stedim Biotech Group Recent acquisitions make us an even more relevant partner across the biopharma production workflow  Expanded portfolio in areas where we Downstream processing Cell and gene therapies used to have a limited offering Chromatography systems for smaller Cell culture media

  15. Slide 15: CellGenix – Extending our cell culture media offering

    Sartorius Stedim Biotech Group CellGenix – Extending our cell culture media offering Freiburg, Germany Portfolio ~70 employees  Critical cell culture components for advanced therapies  Portfolio includes cytokines and growth factors, cell culture media, GMP manufacturing and R&D laboratories suppl

  16. Slide 16: Xell – Another building block to establish a strong media business

    Sartorius Stedim Biotech Group Xell – Another building block to establish a strong media business Bielefeld, Germany Portfolio ~35 employees  Media and feed supplements for cell cultures; focus on viral vectors that are used in gene therapeutics and vaccines Major state-of-the-art capacity  Analyt

  17. Slide 17: Acquisition of Novasep's chromatography division strengthens downstream offering

    Sartorius Stedim Biotech Group Acquisition of Novasep’s chromatography division strengthens the downstream offering Pompey, France Portfolio ~100 employees  Chromatography systems primarily suited for smaller biomolecules, such as oligonucleotides, peptides, and insulin, as well as innovative 40m r

  18. Slide 18: Acquisition of Albumedix further strengthens the portfolio for advanced therapies

    Sartorius Stedim Biotech Group Acquisition of Albumedix further strengthens the portfolio for advanced therapies Nottingham, UK Strategic rationale >100 employees  Leader in the field of recombinant albumin, a critical component in the manufacture and formulation of innovative biopharmaceuticals GM

  19. Slide 19: Competitive portfolio across our relevant end-markets

    Sartorius Stedim Biotech Group Competitive portfolio across our relevant end-markets Sartorius Merck | Danaher Thermo Top 3 Players Millipore Pall Cytiva1 Fisher 1./2./3. Merck | Millipore Filtration 1./2./3. Danaher | Pall 1./2./3. SSB 1. SSB Fluid 2. Thermo Fisher Management 3. Merck | Millipore 1

  20. Slide 20: Pioneer and leader in the growing single-use technology market

    Sartorius Stedim Biotech Group Pioneer and leader in the growing single-use technology market Single-use market penetration expected to increase from ~35% to ~75% Single-use products offer advantages over conventional stainless-steel devices  Capex|Opex reduction over entire lifecycle  Reduced ris

  21. Slide 21: Single-use allows manufacturers to mitigate investment risks

    Sartorius Stedim Biotech Group Single-use allows manufacturers to mitigate investment risks  Construction of stainless-steel based facilities takes longer and is more complex compared to single-use  Therefore, investment in stainless-steel facilities has to start in early clinical phase II  The c

  22. Slide 22: Limited dependence on individual accounts

    Sartorius Stedim Biotech Group Limited dependence on individual accounts Long-term business relationships with leading Limited dependence on individual accounts global (bio-) pharma companies Sales to Top 50 customers in 2021, € in millions 800 80.0% 70.0% 600 54% 50% 60.0% 44% 50.0% 36% 400 24% Cum

  23. Slide 23: Agenda

    Sartorius Stedim Biotech Group Agenda Overview | Strategy Mid-term Growth Prospects 9M 2022 Results | FY 2022 Guidance Appendix 23

  24. Slide 24: 2025 ambition

    Sartorius Stedim Biotech Group 2025 ambition  2025 revenue target does not include any Sartorius Stedim Biotech Group potential pandemic-related sales (vs. ~€500m generated in FY21 and ~€250m expected for Sales FY22) revenue €4bn  The margin target includes expenses for reduction of the company’s

  25. Slide 25: U.S. remains most important market; China with highest growth rates

    Sartorius Stedim Biotech Group U.S. remains most important market; China with highest growth rates Biologics market growth forecast U.S. CAGR U.S. ~119 ~167 Europe ~9% U.S. Europe ~46 ~58 China ~6% Europe China ~38 ~€250bn ~€365bn ~67 ROW ~15% China ROW ~47 ~72 2020 2024 Source: Evaluate Pharma, Jul

  26. Slide 26: The Chinese market is in the next development phase

    Sartorius Stedim Biotech Group The Chinese market is in the next development phase Dynamic increase in new Increasingly focusing on innovative medicines biopharma companies Innovation 2.0 300 China’s activity as a percentage of global activity Biologics innovators, indication expansion, technology m

  27. Slide 27: The U.S. and Asia are a focus of the regional growth strategy

    Sartorius Stedim Biotech Group The U.S. and Asia are a focus of the regional growth strategy Sales development by region Sales share 2021 | CAGR 2011-2021 Markets  U.S.: Highly innovative market, further potential for market share gains Asia | Pacific  Asia: Strong growth in China, Korea and other

  28. Slide 28: Biosimilars: Strong growth, big opportunities

    Sartorius Stedim Biotech Group Biosimilars: Strong growth, big opportunities  Major blockbuster biologics are going off-patent  Time-to-market is key as only the first providers are most likely profitable  Several approvals in Asia and Europe; U.S. at the beginning  For now, relatively small mar

  29. Slide 29: High innovation dynamics in Biopharma

    Sartorius Stedim Biotech Group High innovation dynamics in Biopharma Development of new Increased efficiency New tools and Future drug drugs and vaccines possible in the methods required manufacturing is must be accelerated, production of 'classic' e.g. for novel cell and more automated, e.g. throug

  30. Slide 30: Analytical technologies to improve process economics and safety

    Sartorius Stedim Biotech Group Analytical technologies to improve process economics and safety  Bioprocess sensors, analyzers and software  Collect, monitor and control quality-critical parameters  Analyze data to obtain a better process understanding  Use knowledge for process development, opti

  31. Slide 31: Agenda

    Sartorius Stedim Biotech Group Agenda Overview | Strategy Mid-term Growth Prospects 9M 2022 Results | FY 2022 Guidance Appendix 31

  32. Slide 32: Double-digit increase in sales revenue and earnings; order intake below prior year

    Sartorius Stedim Biotech Group Double-digit increase in sales revenue and earnings; order intake below exceptionally high prior-year figure Sartorius Stedim Biotech Group 9M 2021 9M 2022 in % in % cc1 in millions of € unless otherwise specified Sales revenue 2,108.8 2,602.7 +23.4 +17.0 Order intake

  33. Slide 33: Double-digit growth across all regions; Americas growing the fastest

    Sartorius Stedim Biotech Group Double-digit growth across all regions; Americas growing the fastest Americas EMEA Asia|Pacific Sales by Region € in millions € in millions € in millions in % +22.7% +11.0% +19.7% EMEA Americas ~ 38% ~ 36% 927.3 989.6 884.1 €2,602.7m 677.8 685.8 546.9 Asia|Pacific ~ 26

  34. Slide 34: Buildup of inventories reflected in cash flow

    Sartorius Stedim Biotech Group Buildup of inventories reflected in cash flow Sartorius Stedim Biotech Group 9M 2021 9M 2022 in % in millions of € unless otherwise specified Underlying EBITDA 765.5 911.9 +19.1  Higher inventories to support supply security Extraordinary items -16.0 -13.4 +16.6 impac

  35. Slide 35: Robust financial indicators; debt ratio remains low despite Albumedix acquisition

    Sartorius Stedim Biotech Group Robust financial indicators; debt ratio remains low despite recent Albumedix acquisition Key Financial Indicators Net Debt and Net Debt to Underlying EBITDA 1200 1.8 Dec. 31, Sep. 30, Sartorius Stedim Biotech Group 2021 2022 1000 1.5 800 1.2 Equity ratio in % 43.9 46.1

  36. Slide 36: Guidance 2022 specified for sales growth, profitability unchanged

    Sartorius Stedim Biotech Group Guidance 2022 specified for sales growth, profitability unchanged, uncertainties remain high Specified Guidance 20221 Sales revenue growth Underlying EBITDA margin lower half of range Sartorius Stedim Biotech Group ~15% - 19% >35% thereof from acquisitions ~2pp  Coron

  37. Slide 37: Agenda

    Sartorius Stedim Biotech Group Agenda Overview | Strategy Mid-term Growth Prospects 9M 2022 Results | FY 2022 Guidance Appendix 37

  38. Slide 38: Corporate responsibility & further financial information

    Sartorius Stedim Biotech Group Corporate responsibility & further financial information To Sartorius Stedim Biotech, sustainability means Please click below for further financial information: operating responsibly over the long term – with respect to business partners, employees and society as well

  39. Slide 39: Sartorius Stedim Biotech shares – an attractive investment

    Sartorius Stedim Biotech Group Sartorius Stedim Biotech shares – an attractive investment 1 2 3 Biopharma market fueled Leading market positions Global presence with by long-term growth in key technologies and strong base in growth drivers high brand awareness regions High entry barriers, low price-

  40. Slide 40: Share price performance

    Sartorius Stedim Biotech Group Share price performance 1000% 900% 800% 700% 600% Sartorius (pref.) 500% Sartorius (ord.) 400% Sartorius Stedim Biotech 300% SBF 120 200% MSCI Europe 100% 0% Jan-19 Sep-19 Jan-20 Sep-20 Jan-21 Sep-21 Jan-22 May-19 Nov-19 May-20 Nov-20 May-21 Nov-21 May-22 Mar-19 Mar-20

  41. Slide 41: A sampling of the product portfolio

    Sartorius Stedim Biotech Group A sampling of the product portfolio Filtration Purification Fermentation Fluid management 41

  42. Slide 42: Contacts and Financial calendar

    Sartorius Stedim Biotech Group Contacts and Financial calendar Petra Kirchhoff  November 10, 2022 Head of Corporate Communications & IR UBS European Conference | Virtual event +49.551.308.1686 petra.kirchhoff@sartorius.com  November 15, 2022 Jefferies HC Conference | London Petra Müller  November

  43. Slide 43: Scan or click here to visit our IR website

    Scan or click here to visit our IR website.

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