Angiodynamics, Inc. · NASDAQ:ANGO
Angiodynamics — Investor Presentation (January 2014)
34 slides from Angiodynamics's investor presentation, Jan 15, 2014
Slide 1: Joseph M. DeVivo, President and CEO, January 2014
Joseph M. DeVivo, President and CEO January 2014 AngioDynamics, the AngioDynamics logo and other trademarks displayed in this presentation are trademarks owned and used by AngioDynamics, Inc. © Copyright 2012 AngioDynamics, Inc. All rights reserved.
Slide 2: Forward-Looking Statements
Forward-Looking Statements Notice Regarding Forward Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements regarding AngioDynamics’ expected future financial position, results of operations,
Slide 3: Profile of AngioDynamics
Profile of AngioDynamics Corporate History Founded 1988 | IPO May 2004—ANGO (NASDAQ) Acquired Microsulis (2013) | Vortex Medical (2012) Navilyst (2012) | Oncobionic (2008) | RITA Medical (2007) Worldwide Presence Albany NY – HQ | 1,300 Employees | 7 Operating Locations Recognized globally as a leadi
Slide 4: Performance Update
Performance Update AngioVac CE Mark approval AngioVac market awareness BioFlo clinical data John Soto appointed Chief Commercial Officer New CMS reimbursement for in-hospital thermal vein ablations Operational excellence initiative BioFlo Ports FDA clearance Celerity Tip Location Clinical Devices, B
Slide 5: Financial Snapshot
Financial Snapshot MAY 2004 49M NET SALES MAY 2013 342M NET SALES z Peripheral Vascular 56% Vascular Access 30% Oncology/ Surgery 14% US 80% Int’l 20% 351M FY14 Revenue Guidance
Slide 6: Strategic Imperatives
Innovative Technology Develop innovative Technology that improves patient outcomes while reducing overall healthcare costs Operational Excellence Enhance our profitability by driving operation excellence across the entire organization Above Market Growth Focus our investments in product categories a
Slide 7: Three Global Businesses
Three Global Businesses Vascular Access VA Peripheral Vascular PV Oncology/ Surgery O/S Fluid Management Thrombolytics Laser Vein Ablation Angiographic Catheters/Drainage PICCs Ports Dialysis Thermal Ablation Non-Thermal Ablation Resection
Slide 8: Vascular Access / Peripheral Vascular / Oncology
Vascular Access VA Peripheral Vascular PV Oncology/ Surgery O/S Fluid Management Thrombolytics Laser Vein Ablation Angiographic Catheters/Drainage PICCs Ports Dialysis Thermal Ablation Non-Thermal Ablation Resection
Slide 9: Peripheral Vascular
Peripheral Vascular PV Reinvigorate NAMIC Build Thrombus Management Grow Core Strategic Objectives Key Growth Drivers $1.6B Market Global Net Sales $ in millions FY13 Fluid Mgmt $81 VenaCure EVLT $46 Thrombus Mgmt. $7 Angiographic/Drainage $46 Catheters Total PV $180 Expand EVLT Adoption 11% Share
Slide 10: Annual Incidence Venous Thromboembolism (VTE)
Additional: Annual Incidence Venous Thromboembolism (VTE) Incidence ~1 Million VTE Events per Year in US ~300,000 VTE Deaths per Year in US - #3 cause Heit JA, et al. Blood. 2005;106:267A. Murphy SL, et al. Deaths: Preliminary Data for 2010. National Vital Statistics Reports; 2012 Catheter/Lead RA 2
Slide 11: Disruptive VTE Technology
Disruptive VTE Technology Everyone remembers their first time Pioneering options in ver ainage TTT 22F eoibseinforced ®D angiodynamics i>) angiodynamics
Slide 12: Disruptive VTE Technology: FDA Cleared & CE Mark Approved
FDA Cleared & CE Mark Approved Attractive pricing & higher margins Scalable platform for next generation devices Disruptive VTE Technology ~800+ CASES TO DATE
Slide 13: U.S. Auto Injectors: A Significant Opportunity
U.S. Auto Injectors: A Significant Opportunity ANGIO Mkt Share Expected CAGR >50% Contracting 20-25% Low Single Digit Growth 0% Double Digit Growth Automated (Interv. Cardiology) $40M Manual (Interv. Cardiology) $75M Manual (Periph. Vascular) $55M Source: Millennium Research Group reports; company a
Slide 14: NAMIC Duet—Next Generation API
NAMIC Duet—Next Generation API NAMIC Duet builds on AngioDynamics' leading position in fluid management by creating economic and clinical value for facilities through its ability to dilute and reduce contrast to the patient.
Slide 15: Leading Laser Vein Treatment
Leading Laser Vein Treatment 30M People in U.S. w/ varicose veins Large Underpenetrated Market Opportunity <2% Receive treatment 140,000+ VenaCure EVLT procedures in FY2013 ANGO has 28% share of Venous Ablation market and 65% share of the Laser Ablation market Installed base of 4,000 units WW, i
Slide 16: Leading Laser Vein Treatment: NICE ruling and CMS APC
Leading Laser Vein Treatment NICE ruling establishes thermal ablation, including laser, as the standard of care for the treatment of varicose veins in the United Kingdom New CMS APC includes in-hospital endovenous RF and laser varicose vein ablations, increasing payment for laser by 9% while creatin
Slide 17: Vascular Access
Vascular Access VA Peripheral Vascular PV Fluid Management Thrombolytics Laser Vein Ablation Angiographic Catheters/Drainage PICCs Ports Dialysis Oncology/ Surgery O/S Thermal Ablation Non-Thermal Ablation Resection
Slide 18: Vascular Access: Penetrate & Convert
Penetrate & Convert Penetration of IDNs/GPOs Strategic Objectives Key Growth Drivers $1.0B Market Global Net Sales $ in millions FY13 PICCs $52 Ports $31 Dialysis $24 Total VA $107 Grow Int’l from 10% to 25% of revenue Vascular Access VA Tip Location Clinical Data 11% Share
Slide 19: PICC-Related UEDVT Incidence and Cost
Estimated Cost Per Incident4 $11,957 PICC-Related UEDVT Incidence Rates2, 3 2.7M PICCs placed by nurses & Physicians in 20121 2Evans SR, Sharp JH, Lorraine LH, et al. CHEST 2010 ; 138; 803-810 1US MARKETS FOR VASCULAR ACCESS DEVICES 2012 - Millennium Research Group U.S. Cost of Hospital-Acquired DVT
Slide 20: BioFlo Technology Customer Evaluation
Hospital BioFlo PICC Placements DVTs DVT RATE 1 167 1 0.6% 2 533 6 1.1% 3 1251 7 0.6% BioFlo Technology *Data based on results presented at the Association for Vascular Access 27th Annual Scientific Meeting. Prospective Customer Evaluation of BioFlo* Multi-Center Study Investigates Whether BioFlo PI
Slide 21: Celerity Tip Location – Canadian Launch
Celerity Tip Location – Canadian Launch Tip location, coupled with our innovative BioFlo technology, will improve our competitive position in the PICC market. Ease of use Use with existing ultrasound Replaces chest x-ray Three lead EKG-based platform Predictable and reliable confirmation 50% less co
Slide 22: Expanding BioFlo Platform
Expanding BioFlo Platform Levitan, N et al. Rates of Initial and Recurrent Thromboembolic Disease Among Patients with Malignancy Versus Those Without Malignancy. Medicine: 1999: 78; 285-291.
Slide 23: Oncology/Surgery
Peripheral Vascular PV Oncology/ Surgery O/S Fluid Management Thrombolytics Laser Vein Ablation Angiographic Catheters/Drainage Thermal Ablation Non-Thermal Ablation Resection Vascular Access VA PICCs Ports Dialysis
Slide 24: Drive NanoKnife Adoption, Increase Thermal Ablation Share
Drive NanoKnife Adoption Increase Thermal Ablation Share Strategic Objectives Global Net Sales Invest in Clinical Development $225M Market 21% Share $ in millions FY13 Thermal Ablation $28 NanoKnife $13 Resection $6 Total O/S $47 Oncology/ Surgery O/S Key Growth Drivers
Slide 25: Leading Microwave Ablation Technology
Leading Microwave Ablation Technology “Everything we wanted in a microwave device…” -Current AngioDynamics RFA Customer 2.45Ghz system for faster tissue penetration Single applicator Predictable volumes of coagulation Attractive pricing and gross margins †The liver coagulation results are from coagu
Slide 26: Expanding Leadership in Tumor Ablation
THERMAL NON-THERMAL “The US Nonvascular Interventional Radiology market with the fastest growth and greatest potential is the ablation device market” – MRG Nov. 2012 Expanding Leadership in Tumor Ablation AngioDynamics offers a full complement of tumor ablation products that provide clinicians maxim
Slide 27: Building NanoKnife Clinical Data
Building NanoKnife Clinical Data 16 PATIENTS TO BE ENROLLED 1 STUDY SITE WORLDWIDE AngioDynamics Partners with Clinical Research Office of the Endourological Society (CROES) NanoKnife Safety and Efficacy Study Multi-Center Study Focused on the Ablation of Prostate Cancer CROES STUDY FDA Grants Prost
Slide 28: Portfolio Growth vs. Gross Margin: FY2013
Fluid Mgmt PICCs Other PV YoY Sales Growth EVLT Ports 0% 5% 10% 15% 20% 40% HARVEST FIX INVEST SCALE Microwave IRE RFA Resection Other VA Std GM% (10%) (5%) HIGH LOW FY 2013: Flat Sales; 50% GM%
Slide 29: Portfolio Growth vs. Gross Margin: Long-Term
Ports 0% 5% 10% 15% 20% +50% YoY Sales Growth 40% EVLT AngioVac Resection Other VA Other PV Fluid Mgmt Dialysis Microwave Std GM% PICCs RFA (10%) (5%) IRE Long-Term: 10% Sales Growth; 60% GM% HIGH LOW
Slide 30: Operational Excellence
Product rationalization Lean Initiatives Consolidation of NY manufacturing plants Supply Chain Optimization Enterprise resource planning implementation Operational Excellence $15-18M SAVED OVER THREE YEARS
Slide 31: Fiscal 2014 Second Quarter Results
Q2 2014 (a)(b)(c) YOY Growth Adjusted EBITDA $12.7 (15%) Adjusted EPS (excl. amort.) $0.14 (18%) Fiscal 2014 Second Quarter Results Sales $ in millions, except per share amounts Q2 2014 (a)(b)(c) YOY Growth WW WW(excl. supply agreement) $88.6 $87 2% 3% Peripheral Vascular Vascular Access $48.9 $25.6
Slide 32: Fiscal 2014 Guidance
Fiscal 2014 Guidance $ in millions, except per share amounts Adjusted Non-GAAP Q3 Adjusted Non-GAAP Full Year Sales $85 — $88 $349 — $353 EBITDA (a)(b) N/A $56 — $59 EPS (a) (c) $0.15 — $0.18 $0.63 — $0.67 Adjusted results exclude costs relating to acquisitions, debt financing, business restructurin
Slide 33: Investment Summary
Int’l growth & upside High growth products Optimized capital structure Optimized R&D team Investment Summary Strong talent pool Quality management Operational excellence Accelerated long-term growth & profitability
Slide 34: AngioDynamics, the AngioDynamics logo and other trademarks displayed in this presentation are trademarks owned
AngioDynamics, the AngioDynamics logo and other trademarks displayed in this presentation are trademarks owned and used by AngioDynamics, Inc. © Copyright 2012 AngioDynamics, Inc. All rights reserved.