NeuPath Health Inc. · TSXV:NPTH
NeuPath Health — Investor Presentation (January 2021)
19 slides from NeuPath Health's investor presentation, January 2021
Slide 1: Corporate Presentation
CORPORATE PRESENTATION JANUARY 2021 TSXV: NPTH www.neupath.com
Slide 2: Legal Disclaimer
Legal Disclaimer Certain statements contained in this Presentation may constitute forward-looking information under the meaning of applicable securities laws, which are based on the opinions, estimates and assumptions of the NeuPath’s management and are subject to a variety of risks, uncertainties a
Slide 3: Legal Disclaimer – non-IFRS Measures
Legal Disclaimer – non-IFRS Measures Non-IFRS Measures This presentation contains financial terms (such as adjusted EBITDA) that are not considered in IFRS. Such financial measures, together with measures prepared in accordance with IFRS, provide useful information to investors and shareholders, as
Slide 4: Investment Highlights
Investment Highlights Large, growing Leading chronic Significant growth Virtual Care and underserved pain management opportunities Platform market company • Affects 1 in 5 • Largest in Canada • Grow revenue by • Telemedicine Canadian adults almost 2x based combined with • Clinic footprint on current
Slide 5: Positive EBITDA & access to capital = platform for growth
Positive EBITDA & access to capital = platform for growth May 2017 Feb 2018 Jul 2020 Nov 2020 Nov 2020 • NeuPath was • Acquired group • Started trading • Reported 7th • Closed founded of 3 clinics on TSX Venture consecutive oversubscribed • Acquired group • Largest chronic • Ticker is NPTH quarter o
Slide 6: Chronic pain is 4th most burdensome disease or condition
Chronic pain is 4th most burdensome disease or condition 1990 2005 2015 1 Lower respiratory infection Ischaemic heart disease Ischaemic heart disease • Global Burden of Disease Study assesses mortality and 2 Neonatal preterm birth Lower respiratory infection Cerebrovascular disease morbidity from ma
Slide 7: Chronic pain, mental health & employers
Chronic pain, mental health & employers Mental Health Chronic Pain Stigmatized • A lot of parallels between chronic pain and mental health: • Prevalence • Cost to employers Prevalence in population 1 in 5 1 in 5 • Stigma • Mental health is further along in terms of employee health Prevalence in work
Slide 8: Chronic pain-focused employee health initiative
Chronic pain-focused employee health initiative Remote pain management Clinic Network Virtual Care Research • Largest chronic • ~10% of total visits • Wholly-owned pain management are virtual visits contract research network in Canada • Opportunity to organization • Ability to provide expand beyond
Slide 9: Growth Strategy - Organic
Growth Strategy - Organic Improved capacity utilization with room to continue growth • Measure capacity utilization based on combination of physician shift and 60 60 patient appointment slot vacancy rates 50 50 • Capacity utilization rate has increased Revenue ($Millions) 40 40 from 29% in 2017 to 5
Slide 10: Growth Strategy – M&A
Growth Strategy – M&A Fragmented Small Groups or Gap in Market Strategic Growth Market Single-Location Via Acquisitions Clinics • More than 60 • Many single- • No national • Acquire clinics and multidisciplinary location clinics networks exist create efficiencies clinics in Ontario without broad by
Slide 11: Strong Business Performance Through Pandemic
Strong Business Performance Through Pandemic Growing Adjusted EBITDA Solid Revenue Base through Pandemic Strong Balance Sheet Capacity Utilization Upside • Cash ~ $13.6M (Q3 plus net proceeds from financing) 60% • $12M bought deal financing in Nov 50% 40% Capacity improved • Operations are cash flow
Slide 12: Summary Capital Structure
Summary Capital Structure Equity Capital Structure (Millions) Fully Diluted Ownership Total shares issued and outstanding 41.8 Board & Mgmt 9% Paid-up warrants1 10.4 Dilutive Instruments: 31% Warrants 18.5 Stock Options & RSUs 2.1 60% Institutions and Fully-Diluted Shares 72.8 other Shareholders War
Slide 13: Comparable Companies
Comparable Companies Share Market Cap EV CAGR - Revenue EV / Sales Company Price (C$mm, as of 2020-11-16) 1 Year 2 Year 3 Year TTM CY19 CY20e CY21e 1Life Healthcare (NASDAQ: ONEM) US$ 32.83 5,748.2 5,513.4 15.00% 151.0% n.d. 12.5x 14.3x 11.6x 8.9x WELL Health (TSX: WELL) C$ 7.31 1,175.7 1,073.6 30.4
Slide 14: Experienced Leadership Team
Experienced Leadership Team • Joined in July 2018 • Former CEO of VroomHealth Grant Connelly • Former CFO of Appletree Medical Group that operated over 30 medical clinics Chief Executive Officer • Over $200M in M&A transactions • MBA – Schulich School of Business at York • Joined in April 2019 • CPA
Slide 15: Board of Directors
Board of Directors Dianne Carmichael, Chair Jolyon Burton • Former President, Best Doctors Inc. • Co-founder of Bloom Burton & Co., providing capital raising, • Former President, Payer Markets at McKesson M&A advisory, equity research, business strategy & scientific • Former President, UHN Solutions
Slide 16: Investment Highlights
Investment Highlights Large, growing Leading chronic Significant growth Virtual Care and underserved pain management opportunities Platform market company • Affects 1 in 5 • Largest in Canada • Grow revenue by • Telemedicine Canadian adults almost 2x based combined with • Clinic footprint on current
Slide 17: Thank You
NeuPath Health Grant Connelly, CEO gconnelly@neupath.com Thank You Stephen Lemieux, CFO slemieux@neupath.com investors@neupath.com 17
Slide 18: Corporate Presentation
CORPORATE PRESENTATION JANUARY 2021 TSXV: NPTH www.neupath.com
Slide 19: Adjusted EBITDA
Adjusted EBITDA Non-IFRS Measures EBITDA refers to net income (loss) determined in accordance with IFRS, before depreciation and amortization, net interest expense (income) and income tax expense (recovery). The Company defines adjusted EBITDA as net income from continuing operations before net inte
NeuPath Health — Investor Presentation (January 2021) on 6ix