Dri Healthcare Trust · TSX:DHT.U
Dri Healthcare Trust — Q2 2024 Earnings Presentation
16 slides from Dri Healthcare Trust's earnings presentation, Aug 7, 2024
Slide 1: Advancing Science in the Pharmaceutical and Biotechnology Sector
Advancing Science in the Pharmaceutical and Biotechnology Sector Q2 2024 Earnings Call | August 7, 2024 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by DRI Healthcare Trust (the “Trust”). The Trust is an unincorporated open-ended trust governed by the laws of the Province of Ontario, Canada and is externally managed by DRI Capital Inc. (“DRI Healthcare”). The Trust completed an initial public offeri
Slide 3: Gary Collins
Gary Collins Chief Executive Officer, DRI Healthcare Trust 3
Slide 4: Executive Appointments
Executive Appointments New leadership to lead Trust to continued growth Gary Collins Ali Hedayat Sandy Kwan CEO, Acting CEO, Acting CFO, DRI Healthcare Trust DRI Healthcare DRI Healthcare Trust & DRI Healthcare 4
Slide 5: Recent Highlights
Recent Highlights Focus on deal execution, capital allocation and unitholder returns Royalty Transaction Normal Course Issuer Bid Dividend Declaration Additional Xenpozyme royalty Generating unitholder value Quarterly cash distribution • Aggregate deal value of up to $45.75 • $3.9 million in NCIB bu
Slide 6: Navin Jacob
Navin Jacob Executive Vice President, Investments & Chief Investment Officer, DRI Healthcare 6
Slide 7: Portfolio performance
Portfolio performance Portfolio assets show continued growth into 2024 ($ millions) Q2 2024 Q2 2023 % Change1 Q1 2024 % Change1 $63.5 (32)% TOTAL CASH ROYALTY RECEIPTS2 $43.0 $27.1 59% Ex-milestones - $37.5 Ex-milestones – 14% 0.7 - n/a - n/a 11.3 3.3 246 8.6 32 31.6 (72) 8.9 - n/a Ex-milestones – 1
Slide 8: Xenpozyme II royalty transaction
Xenpozyme II royalty transaction Second royalty on long-term asset further increases portfolio duration TRANSACTION OVERVIEW STRONG GROWTH POTENTIAL Approved by the EMA in June 2022 and by $32.5 million in potential milestone the FDA in August 2022 for the treatment of payments based on Xenpozyme Ac
Slide 9: $3.2 billion in potential opportunities
Address important unmet needs with life-changing therapies for patients Robust pipeline of over $3.2 billion Marketed by leading biotech or biopharma companies in potential opportunities1 Provides strong intellectual property and regulatory protection 1. As of August 7, 2024. Represents the aggregat
Slide 10: Sandy Kwan
Sandy Kwan Acting CFO, DRI Healthcare Trust & DRI Healthcare 10
Slide 11: Q2 2024 financial highlights
Q2 2024 financial highlights Normalized Total Cash Receipts1 Total Income Adjusted EBITDA1 $43.0 million $41.6 million $32.9 million 50% over Q2 2023 48% over Q2 2023 31% over Q2 2023 Adjusted EBITDA Margin1 Adjusted Cash Earnings per Unit1 Declared Cash Distributions per Unit 77% $0.49 $0.085 1. No
Slide 12: Strong cash generation
Strong cash generation Cash available to drive portfolio growth and maintain distributions to unitholders Adjusted EBITDA for the Last Twelve Months Ended June 30, 2024 ($M)1 Adjusted EBITDA Margin1 85% $191.8 $1.9 $193.7 ($9.7) $184.0 ($10.0) ($18.2) $155.8 Adjusted Cash Earnings per Unit4 Royalty
Slide 13: Well capitalized for further growth
Well capitalized for growth Significant capacity for Cash and cash equivalents Royalties receivable Credit facility availability further $53.9 $43.5 $260.8 growth million1 million1 million1 1. As at June 30, 2024. 13
Slide 14: Ali Hedayat
Ali Hedayat Acting CEO, DRI Healthcare 14
Slide 15: Delivering on our long-term objectives
Delivering on our long-term objectives Focus on sustainable strategic growth GUIDANCE AT IPO (FEB 2021) GUIDANCE TODAY Capital deployment target $650 – $750 million over 5 years More than $1.25 billion over 5 years1 Sustainable cash generation Declining cash curve due to expected High-teens royalty
Slide 16: Key priorities
Rebuild trust with a focus on strong governance and tone from the top Key Invest in our people and build the priorities industry leading royalty investment team Execute on strong pipeline and operate at peak performance Focus on long-term, sustainable growth generating strong unitholder returns 16