Roche Holding Ltd · SIX:RO
Roche — Investor Day (November 2018)
31 slides from Roche's investor day presentation, Nov 20, 2018
Slide 1: Leading the way in Integrated Diagnostics Solutions
Leading the way in Integrated Diagnostics Solutions Dr. Michael Heuer CEO Roche Diagnostics Rotkreuz, 20 November 2018 1
Slide 2: Diagnostics YTD Sep 2018 overview
Diagnostics YTD Sep 2018 overview Strategy Newsflow & Innovation Outlook 2
Slide 3: YTD Sep 2018: Diagnostics Division sales
YTD Sep 2018: Diagnostics Division sales Strong growth driven by Centralised and Point of Care Solutions 2018 2017 Change in % CHFm CHFm CHF CER Diagnostics Division 9,378 8,798 7 6 Centralised and Point of Care Solutions 5,625 5,211 8 7 Diabetes Care 1,484 1,464 1 1 Molecular Diagnostics 1,468 1,38
Slide 4: YTD Sep 2018: Diagnostics regional sales
YTD Sep 2018: Diagnostics regional sales Growth driven by Asia Pacific and North America Japan North America +3% +6% EMEA1 ~4% of divisional sales ~25% of divisional sales +2% ~39% of divisional sales Asia Pacific Latin America +13% +8% ~26% of divisional sales ~7% of divisional sales +13% growth in
Slide 5: YTD Sep 2018: Diagnostics Division highlights
YTD Sep 2018: Diagnostics Division highlights Strong growth driven by Centralised and Point of Care Solutions YoY CER growth Centralised and Point of +7% • Immunodiagnostics (+10%); clinical Care chemistry (+5%) Solutions Diabetes +1% • Blood glucose measurement (+1%); Care insulin delivery systems
Slide 6: HY 2018: Diagnostics Division
HY 2018: Diagnostics Division Core operating profit stable despite lower royalty income in HY1 2018 HY 2018 2018 vs. 2017 CHFm % sales CER growth Sales 6,264 100.0 6% Royalties & other op. inc. 39 0.6 -56% Cost of sales -2,846 -45.5 5% M&D -1,429 -22.8 5% R&D -715 -11.4 10% G&A -239 -3.8 4% 4% Core
Slide 7: Strategy
Diagnostics YTD Sep 2018 overview Strategy Newsflow & Innovation Outlook 7
Slide 8: Roche Clear Leader in Growing IVD Market
Roche Clear Leader in Growing IVD Market Share of IVD sales 2017 Expected IVD market growth IVD Market: +4% CAGR 19% CHF 70bn Blood Glucose -3% CAGR Monitoring +6% CAGR CHF 58bn Tissue Diagnostics +9% CAGR Blood Glucose Molecular Diagnostics 13% Monitoring Tissue Diagnostics Molecular Diagnostics 9%
Slide 9: Roche continuously outgrowing the market
Roche continuously outgrowing the market Increasing market leadership Quarterly growth (% in CER) 10% 9% 8% 7% • Strong commercial presence 6% • Broadest test menu 5% 4% 3% 2% 1% Roche Diagnostics Division WW IVD market 0% Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 9 Source: 3rd par
Slide 10: Integrated Core Lab
Integrated Core Lab Expansion with integrated solutions and entering new disciplines Digital Decision Consulting Support Viewics Service Roche Healthcare Consulting Integrating Remote Service Disciplines Lab Molecular Coagulation Software cobas 6800/8800 cobas t 511/711 Lab Automation cobas® infinit
Slide 11: Newsflow & Innovation
Diagnostics YTD Sep 2018 overview Strategy Newsflow & Innovation Outlook 11
Slide 12: Diagnostic innovation powerhouse: R&D budget > 11% of sales
Diagnostic innovation powerhouse: R&D budget > 11% of sales BDDs reflecting the quality of our research 12
Slide 13: 5,000 installations of cobas 8000 modular analyzer series
5,000 installations of cobas® 8000 modular analyzer series Performing 15m tests/day +30% 5,437 4,878 No of installations 3,747 2,945 2,222 1,526 969 470 157 15 2009 2010 2011 2012 2013 2014 2015 2016 2017 YTD Sep 2018 13
Slide 14: More than 14,000 installations of cobas 6000 analyzer series
More than 14,000 installations of cobas® 6000 analyzer series Performing 11m tests/day 14,662 13,887 13,018 11,644 No of installations 10,777 9,455 3,249 6,380 5,517 4,321 2,847 1,547 350 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 YTD Sep 2018 14
Slide 15: Best in class manufacturing site with R&D center opened in China
Best in class manufacturing site with R&D center opened in China* Roche investing in APAC region to meet growing healthcare needs • Opened in 2018 and will build a workforce of >400 employees by 2021 • Ensure a sustainable supply for clinical chemistry and immunoassays in Asia Pacific • Drive the de
Slide 16: Medical Value Assays
Medical Value Assays Developing medical value assays that change patients’ lives Disease Infectious Oncology Cardiovascular Neurology Women’s Health Others Area Diseases Major Fastest time to Plasma Separation FDA break- NICE recommen- Anemia, Bone, PD-L1 marker as achievements diagnosis of acute Ca
Slide 17: Alzheimer's Disease IVD tests receive Breakthrough Device Designation
Alzheimer’s Disease IVD tests1 receive Breakthrough Device Designation from the FDA PET Concordance Claim: Elecsys® pTau/Abeta42 ratio is a reliable or alternative to amyloid PET scan for amyloid detection with benefits of: – broader testing availability via lab Patients with For the detection Patie
Slide 18: Elecsys BRAHMS PCT receives FDA clearance for expanded use
Elecsys® B·R·A·H·M·S PCTTM receives FDA clearance for expanded use to aid in antibiotic therapy decision making Misuse and overuse of antibiotics (ABx) contribute to antibiotic resistance, which is a growing threat to global health1 PCT expanded use: The kinetics of PCT provide insights in patient’s
Slide 19: cobas 6800/8800 systems driving growth in molecular
cobas® 6800/8800 systems driving growth in molecular Main menu completion in 2018 Installed instrument base: ~500 MPX – Multiplex detection of HIV-1, HIV-2, HCV and HBV; WNV - West Nile virus; DPX – duplex detection of parvovirus B19 and HAV; HEV - Hepatitis E virus; CHIKVV - chikungunya virus; DENV
Slide 20: Launch of cobas Plasma Separation Card
Launch of cobas® Plasma Separation Card For testing and monitoring of HIV patients in resource limited settings • No refrigeration needed for patient plasma samples during transport to the lab • Only card that meets the WHO sensitivity requirement for determining HIV treatment • Compatible with HIV-
Slide 21: Installation of cobas 8800 at KEMRI/CDC laboratory
Installation of cobas 8800 at KEMRI/CDC laboratory1 >500,000 people already tested for HIV/AIDS in Kisumu, Kenya cobas® 8800 • Roche’s partnership with United Nations in Kenya helping to meet UNAIDS 90:90:90 goal2 • More than 50% increase in testing of HIV/AIDS since the introduction of cobas 8800 i
Slide 22: Strong flu season driving cobas Liat System sales
Strong flu season driving cobas® Liat® System sales Pediatric and emergency room focus segments Growing number of placements worldwide > 2500 cobas® Liat® cobas® Liat® EMEA ~220 Analyzer assay tube NAM ~1900 APAC ~15 • Easy to use with less than one minute hands-on time • Lab quality performance in
Slide 23: Launch of NGS Avenio tumor tissue analysis kits
Launch of NGS Avenio tumor tissue analysis kits Comprehensive genomic profiling of solid tumors AVENIO tumor tissue targeted kit Tumor • Pan-cancer assay for tumor profiling profiling • 17 genes (81 kb) • Includes all reagents & informatics for a “sample in – result out” solution • Each kit detects
Slide 24: Launch of Ventana DP 200 slide scanner for digital pathology
1 Launch of Ventana DP 200 slide scanner for digital pathology Provides a foundation in offering a comprehensive, high quality digital pathology portfolio Deliver a fully digitised Enabler of high pathology lab VENTANA DP 200 uPATH medical value assays slide scanner Workflow Software Breast Panel HE
Slide 25: Accu-Chek Solo micropump received CE mark
Accu-Chek® Solo micropump received CE mark Taking discreet and tube-free insulin pump therapy to the next level Features and Benefits • Modular design to detach and re-attach the pump • Bolus buttons on the micropump for flexible bolus insulin delivery • Handheld includes blood glucose monitoring an
Slide 26: Growing a portfolio of decision support solutions
Growing a portfolio of decision support solutions NAVIFY Portfolio and Platform App Ecosystem5 Value-Added Services4 Clinical Decision Support Apps3 Workflow Products2 Core Data Management Advanced 3rd Party NAVIFY Platform 1 Infrastructure (PHI and deID) Analytics Services 2017 2019 2021 2023 1 NAV
Slide 27: Launch of NAVIFY clinical decision support apps
Launch of NAVIFY clinical decision support apps Facilitating access to relevant clinical trial information & publications Product features Value-added services4 • NAVIFY Clinical Trial Match app identifies clinical trial options across multifold international CDS apps3 registries based on patient at
Slide 28: Outlook
Diagnostics YTD Sep 2018 overview Strategy Newsflow & Innovation Outlook 28
Slide 29: Key launches 2018
Key launches 2018 Area Product Market Central Laboratory cobas pro integrated solution – Serum Work Area solution for medium throughput to lower high throughout labs CE Specialty Testing cobas m 511 – World's first fully digital morphology analyzer and cell counter US Workflow CCM connectivity to co
Slide 30: Outlook
Outlook Investing into future growth • Continued strong growth in serum work area • Focus on implementation of next generation platforms, e.g. cobas pro • Continued investment into development of new technologies (e.g. sequencing, mass spectrometry) • Investing into data driven decision support solu
Slide 31: Doing now what patients need next
Doing now what patients need next 31