Staar Surgical Company · NASDAQ:STAA
Staar Surgical — Investor Presentation (August 2018)
22 slides from Staar Surgical's investor presentation, Aug 22, 2018
Slide 1: STAAR Surgical Company August 22, 2018
STAAR Surgical Company NASDAQ: STAA August 22, 2018
Slide 2: Forward Looking Statements
Forward Looking Statements ; All statements in this presentation that are not statements of historical fact are forward - looking statements, including statements about any of the following: any financial projections, including those relating to the plans, strategies, strategic priorities, and objec
Slide 3: Business Focus
A leading developer, manufacturer and marketer of premium implantable lenses for refractive vision correction. We transform lives by providing visual freedom through premium lens - based surgical correction of refractive error. 3 Business Focus
Slide 4: Business Momentum
4 Business Momentum Net Sales Growth Y/Y 7% 10% 33% 55% Fiscal '16 Fiscal '17 Q1 2018 Q2 2018 Sales Momentum Has Further Accelerated in Year 1 of 2018 - 2020 Three - Year Plan
Slide 5: Products Overview
Products Overview EVO Visian ICL™ Visian ICL™ Implantable Collamer® Lens ; ICL delivers Visual Freedom to patients needing Myopic (distance vision) correction ; Patient pay Crystalline Lens Replacement ; IOL replaces the patient’s natural lens after cataract surgery ; Primarily reimbursed 80 % of Q2
Slide 6: Exclusive Collamer Material Benefits and ICL Placement in the Eye
Biocompatible UV Protection No Dry Eye Removable Exclusive Collamer® Material Quiet in the Eye Iris Cornea ICL™ Natural Lens 6 STAAR’s exclusive Collamer® material offers patients a unique set of benefits … ICL Placement in the Eye
Slide 7: Select Metrics
Select Metrics *STAAR sells directly in the U.S., Canada, the U.K., Spain, Germany & Japan and through a Hybrid sales model along with distributors in China, South Korea, and India, and through distributors in the remaining countries. 850K+ ICLs™ Implanted Globally 75+ Countries* 73.2% Gross Margin
Slide 8: ICL Patient Experience
ICL™ Patient Experience 99.4% of Patients Would Have the ICL’s Implanted Again* *Patient Registry Survey Data on File Step 1 Patient need and awareness Outreach, education and eye surgeon visit Decision to use ICL Step 2 Surgery day Local anesthetic, minimally invasive Quick 20 - 30 minute procedure
Slide 9: ICL Patient Testimonials
ICL™ Patient Testimonials “Upgradeable, Replaceable”… I feel like a big part of health is using what your body already has. Visian ICL is in line with that because it’s keeping your eye completely intact. My eye is still my eye. EVE TORRES GRACIE JIU JITSU INSTRUCTOR, FORMER WWE DIVA, MOM I had my f
Slide 10: Myopia
Myopia An Inability to Focus at Distance due to Genetic and/or Environmental Factors • Predicted 50% of Global Population • More screen use; near vision work; and less time spent outdoors • Positive correlation between education level and myopia • ICL™ Label Approved Use is - 3 to - 20 diopters of v
Slide 11: Myopia: STAAR's Market Position & Opportunity
Myopia STAAR’s Market Position & Opportunity • STAAR is a market leader providing a premium refractive surgical solution and patient experience for high Myopes. • High Myopia annual market opportunity of ~ 120,000 Eyes* • Moving down the diopter curve represents a significant opportunity for STAAR.
Slide 12: Presbyopia: STAAR's Market Position & Opportunity
Presbyopia An Inability to Focus on Near Objects due to an Age Related Loss of Lens Accommodation ICL refractive solution could be more desirable to patients seeking Visual Freedom • Current refractive options for presbyopia are Monocular/LASIK/RLE • ICL Not laser/equipment dependent • ICL Bilateral
Slide 13: Strategic Priorities and Goals 2018-2020
Strategic Priorities and Goals 2018 - 2020 13 Culture of Quality Retain Compliance with All Regulatory Bodies x FDA Warning Letter lifted June 2018 Innovation Innovate, Develop and Introduce Premium Collamer Lenses and Delivery Systems Build the Market Successfully Build the Visual Freedom Market fo
Slide 14: TAM: STAAR Global Market Opportunity
TAM 3.6 Million Refractive Vision Correction Procedures Annually * 120,000 500,000 1,500,000 High Myopia Mid-Myopia Early Presbyopia STAAR Global Market Opportunity Est. ~ 2.1 Million Eyes Annually* Current Products Visian ICL (global) EVO (x U.S.) Central Port EVO+ (x U.S.) Larger Optic Product Pip
Slide 15: 2Q 2018 Highlights
2Q 2018 Highlights Reported August 1, 2018 ; Revenue Growth Accelerated to 55 % Y/Y ; Broad based revenue growth included ICL revenue up 67% and Other products up 18% ; Broad based geographic growth included ICL unit growth in Japan +131%; China +127%; Canada +64%; India +61%; Germany +30%; and Euro
Slide 16: Financial Outlook 2018
Financial Outlook 2018* August 1, 2018 Update ; Revenue Growth Percentage Target Increase May Exceed 25% Full Year 2018 Over 2017 (Prior : closer to mid teens/ 20%) ; Achieve At Least Breakeven GAAP Net Income (Prior: EPS Improvement Full Year 2018 over 2017 actual ($0.05)) • Achieve Full Year Posit
Slide 17: Millions of Eyes Global Opportunity
STAAR Surgical Company 2018 - 2020 17 Millions of Eyes “Millions of Eyes” Global Opportunity – Myopia and Presbyopia Revenue Growth 15 - 20% Annual Revenue Growth Goal Profitability Targets Targeting Achievement of Sustained Profitability Margin Expansion Gross Margin Improvement & Cash Generation G
Slide 18: STAAR Surgical Company August 22, 2018
STAAR Surgical Company NASDAQ: STAA August 22, 2018
Slide 19: Appendix Financial Results 2015-2018
Appendix Financial Results 2015 - 2018 19.3 21.0 20.1 22.1 20.4 21.9 23.5 24.9 27.1 33.9 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 68.4% 70.8% 70.9% 71.7% 74.4% 2015 2016 2017 Q1 2018 Q2 2018 $82.4 2016 $90.6 2017 $ Millions Revenue Gross Margin 2018 19
Slide 20: Appendix Financial Results 2015-2018
2018 2016 2017 Appendix Financial Results 2015 - 2018 Quarter - End Cash, Cash Equivalents & Restricted Cash* GAAP and Non - GAAP Earnings Per Share** 9.1 12.8 14.4 14.1 13.6 13.6 16.3 18.6 20.9 21.4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 $ Millions $(0.17) $(0.30) $(0.05) $0.04 $(0.04) $0.01 2015 2016 2017
Slide 21: Reconciliation of Non-GAAP Measure
Reconciliation of Non - GAAP Measure This presentation includes supplemental non - GAAP financial information, which STAAR believes investors will find helpful in understanding its operating performance. “Non - GAAP Earnings (Loss) Per Share” excludes the following items that are included in “Earnin
Slide 22: Reconciliation of Non-GAAP Measure (cont.)
Reconciliation of Non - GAAP Measure (cont.) [Insert chart] 22 Year Ended (in 000’s ) January 1, 2016 December 30, 2016 December 29, 2017 June 30, 2017 June 29, 2018 Unaudited Net income (loss) - (as reported) $ (6,533) $ (12,129) $ (2,139) $ (3,174) $ 2,413 Less: Foreign currency impact 949 147 (81