Nova Eye Medical Ltd · ASX:EYE
Nova Eye Medical — Investor Presentation (August 2018)
32 slides from Nova Eye Medical's investor presentation, Aug 30, 2018
Slide 1: Ellex Reports Full Year FY18 Audited Results
ASX RELEASE Ellex Medical Lasers Limited (ASX:ELX) Adelaide, Australia Date: 30 August, 2018 Release: Immediate Topic: Ellex Reports Full Year FY18 Audited Results Highlights: • Group sales growth of 13% 1 compared to prior corresponding period (pcp) • Implementation of targeted glaucoma growth stra
Slide 2: Lasers & Ultrasound performance
Lasers & Ultrasound performance The Laser and Ultrasound business segment reported record sales of $67.5 million in the 2018 financial year, up 10.4% in constant currency on the pcp. This strong sales result is a testimony to the global strength of the Ellex brand and was driven almost entirely by g
Slide 3: Capital raise uses and Outlook
• Equity capital raise of $24m in November 2017 • Final payment to iTrack business vendors of $2.0m • Investment in Ellex iTrack production capacity increase in Fremont, California of $0.9m, now complete • Finalisation of the investment in Laser & Ultrasound production capacity and expansion in Adel
Slide 4: For further information on Ellex please contact
For further information on Ellex please contact: Tom Spurling, CEO Mark Lindh Ellex Medical Lasers Limited W +61 8 8232 8800 | M +61 414 551 361 3 Second Avenue, Mawson Lakes, SA, 5095 mlindh@ellex.com W +61 8 7074 8293 | M +61 417 818 658 tspurling@ellex.com Maria Maieli, CFO & Company Secretary El
Slide 5: Ellex Medical Lasers Limited Investor Presentation
Ellex Medical Lasers Limited (ASX:ELX) Investor Presentation for the year ended 30 June 2018 Prepared 29 August 2018 ellex.com
Slide 6: Group Key Information
2 INVESTOR PRESENTATION FY18 Ellex Group Key Information Key Information Participating in the global market for supply of products that treat the four Market Cap (20 Aug) A$100million US$75million major causes of blindness; glaucoma, diabetic eye disease, cataracts and age-related macular degenera
Slide 7: Disclaimer
3 INVESTOR PRESENTATION FY18 Disclaimer This presentation has been prepared by Ellex Medical Lasers Ltd (Ellex). While the information in this presentation has been prepared in good faith and with reasonable care, no representation or warranty, express or implied, is made as to the accuracy, adequac
Slide 8: Group Summary FY18
4 INVESTOR PRESENTATION FY18 Ellex Group Summary FY18 • Group sales growth of 13%1 compared to prior year to $79.1m • Implementation of targeted glaucoma sales growth strategy demonstrating tangible results with 39%1 growth in the year and four-year CAGR of 28% • $11.4m1 of Ellex iTrack™ sales accel
Slide 9: Group Revenue Growth Trend
5 INVESTOR PRESENTATION FY18 Ellex Group Revenue Growth Trend $Am FY18 Annual FY15 FY16 FY17 FY18 Constant Growth 4-year Reported Currency Constant CAGR(1) Currency Laser & Ultrasound 58.0 65.2 62.5 67.5 69.0 10.4% 4% Ellex iTrack™ 4.7 6.3 8.2 11.1 11.4 39% 25% 2RT® - 1.4 0.9 0.5 0.5 - - 62.7 72.9 7
Slide 10: Group Performance by Business Segment in FY18
6 INVESTOR PRESENTATION FY18 Ellex Group Performance by Business Segment in FY18 Ellex Revenue Segment Current Market Current Estimated Revenue Growth in FY18 in Segment EBITDA Business Model Size Market Growth FY18 Constant $Am/(loss) per annum Rate Currency Ellex Core Laser & Capital equipment 67.
Slide 11: Accessing Large, Rapidly-Growing Markets
7 INVESTOR PRESENTATION FY18 Ellex Accessing Large, Rapidly-Growing Markets Glaucoma is the second-leading cause of blindness in the developed world. CURRENT - 1 1. Increased uptake of Ellex Tango™ as primary GLAUCOMA therapy 2. Increased market penetration of Ellex iTrack™ GROWTH MIGS device STRATE
Slide 12: Glaucoma Devices Market - Growth
8 INVESTOR PRESENTATION FY18 Glaucoma Devices Market - Growth CURRENT PROJECTED MARKET1 MARKET (in US millions) IN 20221 (in US millions) MIGS* US$263m US$4.9 US$5.3 MIGS* PHARMA billion per billion per US$1423m US$4600m annum* annum* PHARMA US$ 3900m * MIGS market includes SLT. * MIGS market includ
Slide 13: Restorative Glaucoma Therapy Device Revenue Drives Growth
9 INVESTOR PRESENTATION FY18 Ellex Restorative Glaucoma Therapy Device Revenue Drives Growth Ellex Group Revenues (in A$) 90,000,000 CAGR 4% CAGR 28% 80,000,000 70,000,000 60,000,000 50,000,000 A$ 40,000,000 30,000,000 20,000,000 10,000,000 - FY15 FY16 FY17 FY18 Other disease states Glaucoma Therapy
Slide 14: Established Global Sales Channel
10 INVESTOR PRESENTATION FY18 Ellex Established Global Sales Channel 6% 41% Germany North America 15% Direct Sales Subsidiary, Berlin Minneapolis, MN EMEA US Direct Sales Subsidiary Distributor Sales, Lyon Fremont, CA US Head Office and iTrack™ Manufacturing 3% France 7% 15% Direct Sales Asia Japan
Slide 15: iTrack
11 INVESTOR PRESENTATION FY18 Ellex iTrack ™ ellex.com
Slide 16: iTrack Unique Characteristics Drives Customer Targeting
12 INVESTOR PRESENTATION FY18 Ellex iTrack™ Unique Characteristics Drives Customer Targeting • There are now a large number of ophthalmic physicians considering options for minimally iTrack™ surgical system invasive interventional glaucoma surgeries ahead of eye drops and invasive surgery, and many
Slide 17: iTrack – USA sales
13 INVESTOR PRESENTATION FY18 Ellex iTrack™ – USA sales Improved sales and re-orders in the USA due Composition of Ellex iTrackTM Sales by Quarter to: 1,600,000 • Improved experience of sales team; 1,400,000 • Investment in sales team management; 1,200,000 • Specific targeting of physicians for whom
Slide 18: iTrack – Global Sales
14 INVESTOR PRESENTATION FY18 Ellex iTrack™ – Global Sales Global (USA plus OUS) iTrack™ Sales by Quarter 12 months to 30 June 2018 3,000,000 2017 2018 Growth Units: 2,500,000 USA 4,347 6,392 47% 2,000,000 China 1,165 1,550 33% Rest of world 4,143 4,695 13% US$ 1,500,000 9,655 12,637 31% US$ sales 1
Slide 19: iTrack Operating Costs
15 INVESTOR PRESENTATION FY18 Ellex iTrack™ Operating Costs • Operating expenditure has grown significantly $000’s during FY18 with the growth of sales and FY17 FY18 marketing infrastructure and the production team and a good base is now in place. Revenue from ordinary activities 8,219 11,085 Change
Slide 20: Lasers & Ultrasound
16 INVESTOR PRESENTATION FY18 Lasers & Ultrasound ellex.com
Slide 21: Laser & Ultrasound Market
17 INVESTOR PRESENTATION FY18 Ellex Laser & Ultrasound Market Total annual spend on Assessed device- Current device-market Disease Current Ellex Devices disease treatment with market position against accessible to Ellex (1) pharma and devices competition(2) SLT with TangoReflex™, US$46m 1. Ellex Gla
Slide 22: Laser & Ultrasound Sales by Eye Disease
18 INVESTOR PRESENTATION FY18 Ellex Laser & Ultrasound Sales by Eye Disease • 41% growth in glaucoma laser sales (MarketScope estimates market growth rate at 1.5%). Some impact on cataract and vitreous opacities laser growth due to TangoReflex™, the combined glaucoma and floater treatment laser. Thi
Slide 23: 2RT for Early AMD
19 INVESTOR PRESENTATION FY18 Ellex 2RT for Early AMD ® ellex.com
Slide 24: 2RT - Interventional Treatment for Early to Intermediate AMD
20 INVESTOR PRESENTATION FY18 Ellex 2RT® - Potentially Game-changing Interventional Treatment for Early to Intermediate AMD • $0.5m of revenue for FY18 based on sales of units to early adopters and procedure fees • Substantial growth opportunity pending results of clinical trial with results due in
Slide 25: Cash Flow for Operations and Growth
21 INVESTOR PRESENTATION FY18 Ellex Cash Flow for Operations and Growth FY17 FY18 $m $m Cash flow from/(used) in operations (3.5) 0.5 Investments for future growth: • Working capital management • Product development glaucoma, cataracts, retina, ultrasound (2.5) (2.0) achieved significant improvement
Slide 26: Group Outlook for FY19
22 INVESTOR PRESENTATION FY18 Ellex Group Outlook for FY19 • Ellex expects to grow group sales and have an improved operating result in FY19 subject to global economic conditions and foreign exchange rates. • Glaucoma growth strategy is expected to be primary growth driver in FY19. • Ellex iTrack™ w
Slide 27: Contact Details
23 INVESTOR PRESENTATION FY18 Contact Details Tom Spurling, CEO Mark Lindh Ellex Medical Lasers Limited W +61 8 8232 8800 | M +61 414 551 361 3 Second Avenue, Mawson Lakes, SA, 5095 mlindh@ellex.com W +61 8 7074 8293 | M +61 417 818 658 tspurling@ellex.com Maria Maieli, CFO & Company Secretary Ellex
Slide 28: Appendices
24 INVESTOR PRESENTATION FY18 Appendices ellex.com
Slide 29: Group Balance Sheet
25 INVESTOR PRESENTATION FY18 Ellex Group Balance Sheet Assets $millions 30 June 2017 30 June 2018 Cash 9.2 23.1 Trade receivables 15.1 15.0 Inventories 23.9 22.5 Product development capitalised 13.5 14.9 Deferred tax asset 6.3 7.6 • Improved cash position as a result of equity issue in PPE, iTrack™
Slide 30: Group P&L by Segment FY18
26 INVESTOR PRESENTATION FY18 Ellex Group P&L by Segment FY18 A$’000’s L&U iTrack™ 2RT® Corporate Total Revenue 67,485 11,085 497 - 79,067 Other Income - - - 477 477 Changes in inventories of finished goods and work in progress (646) 282 (28) - (392) Raw materials and consumables used (30,483) (2,08
Slide 31: Group P&L by Segment FY17
27 INVESTOR PRESENTATION FY18 Ellex Group P&L by Segment FY17 A$’000’s L&U iTrack™ 2RT® Corporate Total Revenue 62,515 8,219 901 - 71,635 Other Income - - - 328 328 Changes in inventories of finished goods and work in progress 2,650 124 (12) - 2,762 Raw materials and consumables used (31,474) (1,929
Slide 32: Other Information
28 INVESTOR PRESENTATION FY18 Other Information Product Development Costs $millions FY16 FY17 FY18 Opening balance product developments cost in balance sheet 10.7 11.6 13.5 Plus: New product investments (including 2RT® clinical trial) 2.8 3.1 3.2 Less: Amortisation of investments in products (1.9) (
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