Slide 1: Investor presentation 2Q 2020
Investor presentation 2Q 2020. September 2020 2Q 2020 Results | 1
Slide 2: Disclaimer
• Disclaimer. This presentation (the “Presentation”) was prepared by MEDICALgorithmics SA (the “Company”) with due care; however, it may contain certain inconsistencies or omissions. The Presentation does not contain a complete or thorough financial analysis of the Company and does not present its s
Slide 3: Presentation Plan
Presentation Plan. Financial Results 2Q20 Group Development Innovation Roadmap Q&A 2Q 2020 Results | 3
Slide 4: Revenue
Revenue. 36,1 23,1 ▪ Number of claims decreased by 17% Revenue Q/Q affected by COVID with the M PLN highest impact in April -36% q/q ▪ Average reimbursement rates paid 2Q20 1Q20 by insurers (in USD) were lower in 2Q20 vs 1Q20 due to changes in 21 business model 18 ▪ Out of US revenues grew by 17% Cl
Slide 5: Operating Costs
Operating Costs. Operating costs 2Q20 ▪ Total operating costs lower by 11.2 M PLN Q/Q in 2Q20 (-25% Q/Q) Employee benefits - 60% ▪ Employee benefits down by 7.3 M PLN Third party service - 23% Q/Q in 2Q20 (-27% Q/Q) due to: Depreciation - 12% Raw material consumption - 4% - Working time optimization
Slide 6: Financial Results
Financial Results. M PLN ▪ Revenue decreased of 13.0 M PLN Sales revenue 2Q 20 1Q 20 Q/Q 4Q 19 23.1 36.1 (13.0) 37.6 Q/Q mainly due to lower number of Total costs of sales (33.4) (44.6) (11.2) (42.9) claims related to Covid, and lower Profit/(loss) on sales (10.3) (8.6) (1.7) (5.3) average rate for
Slide 7: Cash & debt
Cash & debt. M PLN June 30, 2020 Promissory note 8.3 Cares Act loan 12.7 ▪ Cash position was 41.0 M PLN at Bank debt 11.1 the end of the 2Q20 with net debt Total financial debt 32.1 at 9.0 M PLN Lease liabilities 17.8 ▪ In April company received additonal Total financial liabilities 50.0 13.2 M PLN
Slide 8: Presentation Plan
Presentation Plan. Financial Results 2Q20 Group Development Innovation Roadmap Q&A 2Q 2020 Results | 8
Slide 9: USA Operations Continuing During Covid-19 Pandemic
USA Operations Continuing During Covid-19 Pandemic. ▪ Daily Enrollments return to Pre-COVID numbers at approx. 315 daily sessions ▪ Repositioned the entire company – 186 FTEs with 90% permanently remote; instituted new technology to better facilitate connectivity with customers ▪ Telemedicine part o
Slide 10: Significant improvement in sessions started
Significant improvement in sessions started. ▪ Changes in # of sessions MediLynx: Sessions per working day (average per working day, 4 weeks moving daily average) summary: Current 4 weeks vs 350 previous 4 week: +7% ; Current 300 12 weeks vs previous 12 weeks: 250 +36% 200 150 ▪ Avarage daily number
Slide 11: Technology: Driving Productivity
Technology: Driving Productivity. EMS Team Continuous Improvement Cross functional group of senior Onboarding new Lean Six Sigma leaders now meets weekly to resource to drive corporate review progress, remove culture to deliver both impediments and set guidance incremental and breakthrough for engin
Slide 12: Driving a profitable business
Driving a profitable business. Quantitative vs Qualitative Strategy ▪ Reengineered sales organization ▪ Inspired Field Organization with communication during COVID ▪ Customer Profitability Analysis ▪ CRM Process: targeted selling for profitable growth ▪ Accelerated Payor contracting ▪ MCT growth ini
Slide 13: U.S. Market Analysis
U.S. Market Analysis. MediComp Cardiac Total Market Size ~$900M+, growing at a 3% InfoBionic, Insights, 3% 6% CAGR out to 2022 and beyond MedilLynx 2% 4% Bardy 3% Preventice ▪ Patch market is ~2/3 of the total cardiac 4% monitoring market iRhythm 28% ▪ 1/3 of total market is Extended Holter Patch Bi
Slide 14: Business out of US
Business out of US. More than 650 new devices sold in 2Q20 Medicalgorithmics: Active devices out of US Continued rapid business growth in 4000 Canada 3000 2000 1000 Shift for telehealth services supporting for 0 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 business growth Medicalgorithmics: Rev
Slide 15: Presentation Plan
Presentation Plan. Financial Results 2Q20 Group Development Innovation Roadmap Q&A 2Q 2020 Results | 15
Slide 16: Innovation roadmap – Extended Holter
Innovation roadmap – Extended Holter. Addition of Extended Holter Status: Complete - launched in 1Q20 ▪ All-in-1 device = easy management of inventory & software systems ▪ Can transition from Holter to Event or from Holter to Telemetry seamlessly, when the patient is at home (without patient interac
Slide 17: Innovation roadmap – Pocket ECG IV, PatchECG & AI
Innovation roadmap – Pocket ECG IV, PatchECG & AI. PocketECG IV PatchECG Status: FDA approved – delivery at the end of 2020 Status: Under development – expected (Q1-2.21) ▪ Utilizes LTE technology allowing to more efficiently ▪ Easy to use wearable live-stream continuous ECG with all heartbeat label
Slide 18: Presentation Plan
Presentation Plan. Financial Results 2Q20 Group Development Innovation Roadmap Q&A 2Q 2020 Results | 18
Slide 19: Medicalgorithmics SA contact details
Medicalgorithmics SA Contact IR Contact PR Central Tower, 19 piętro CC Group CC Group Al. Jerozolimskie 81 Piotr Owdziej Katarzyna Sadowska 02-001 Warszawa +48 697 612 913 +48 697 613 020 www.medicalgorithmics.pl piotr.owdziej@ccgroup.pl katarzyna.sadowska@ccgroup.pl 2Q 2020 Results | 19