IQVIA Holdings, Inc. · NYSE:IQV
IQVIA — Quintiles — Jefferies 2016 Healthcare Conference
21 slides from IQVIA's conference presentation, Jun 7, 2016
Slide 1: Jefferies 2016 Healthcare Conference
Jefferies 2016 Healthcare Conference Tom Pike CEO June 7, 2016 © Copyright 2016 Quintiles NYSE: Q
Slide 2: Cautionary Statements Regarding Forward Looking Statements
Cautionary Statements Regarding Forward Looking Statements This communication contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Slide 3: Important Information About the Transaction and Where to Find It
Important Information About the Transaction and Where to Find It In connection with the proposed transaction, Quintiles has filed a registration statement on Form S-4 with the Securities and Exchange Commission (“SEC”) that includes the preliminary joint proxy statement of Quintiles and IMS Health a
Slide 4: Enterprise Vision and Strategy
Enterprise Vision and Strategy Quintiles We bring people and knowledge Vision together for a healthier world. Biopharma Our Customer Promise Integrated Product Healthcare Development Services Excellence at Global People, Process & Technology Scientific, Quantitative Therapeutic & & Analytical Rx Exp
Slide 5: Attractive and Growing Market
Attractive and Growing Market ~$200bn total market across both segments with increasing outsourcing penetration which drives estimated growth of 6% – 8% per year from 2015 – 2018 Approval Phase Commercial Phase I Phase II Phase III Healthcare Delivery IV Product Development Services Integrated Healt
Slide 6: Deep Therapeutic, Domain, & Regulatory Expertise Across Fast-Growing Therapy Areas
Deep Therapeutic, Domain, & Regulatory Expertise Across Fast-Growing Therapy Areas Our resources provide competitive advantage, breadth of offerings, & ability to innovate Apply knowledge & services across Ability to serve the diverse needs of therapy areas our biopharma customers Therapeutic Center
Slide 7: Quintiles' Global Delivery Network Extends Our Industry Leadership Position
Quintiles’ Global Delivery Network (GDN) Extends Our Industry Leadership Position Strategically leverages our global presence… …and drives quality, efficiency, & productivity Source top talent around the world Strategically manage peaks and troughs of supply and demand in key nodes Standardize proce
Slide 8: Integrated Data Assets Combine Our Deep Expertise and Global Scale
Integrated Data Assets Combine Our Deep Expertise and Global Scale Data Integration is key to unlocking the productivity puzzle Clinical research data collected across 487 indications Access to >30M patient lives in 18 therapeutic areas via Electronic Health Records Trial and Subject Data Electronic
Slide 9: Why Quintiles?
Why Quintiles? The integration of our assets creates differentiated value Global harmonized Deep therapeutic, domain, & best in class Technology & informatics regulatory expertise processes & workforce >1,100 >24 Quintiles Infosario® Platform Medical doctors Prime sites Planning & Design Global Safe
Slide 10: Track Record of Profitable Growth and Consistency
Track Record of Profitable Growth and Consistency Long-term performance underpinned with a diversified customer portfolio Service Revenues Adjusted EBITDA(1) ’11 – ’15 CAGR = 7.0% ’11 – ’15 CAGR = 13.7% $4,326 $4,404 4,400 $4,166 900 $844 $819 $3,692 $3,808 $725 $3,295 675 3,300 $606 $546 $490 $ Mil
Slide 11: Q1 2016 Financial Highlights
Q1 2016 Financial Highlights Constant Currency Revenue Agreement to merge with IMS Health 8.4% Growth(1) in all-stock transaction to create • 12.6% in Product Development Quintiles IMS, an industry-leading • (3.1%) in IHS information and technology-enabled healthcare services provider Adjusted Inc
Slide 12: Introducing Quintiles IMS
Introducing Global healthcare intelligence to measure and realize value from R&D and Commercial execution to real world patient outcomes Information-powered, technology-enabled, differentiated solutions to address life science’s most pressing issues 12
Slide 13: Two Best-in-Class Businesses
Two Best-in-Class Businesses 2015 • Revenue: $4.3B • Revenue: $2.9B Metrics • Adj. EBITDA / Margin(1): $819M / 19% • Adj. EBITDA / Margin(1): $886M / 30% • >1,100 medical doctors, ~1,050 PhDs, ~850 • >15 petabytes of encrypted and secure data biostatisticians & statistical programmers covering ~90 m
Slide 14: Transformational Partner To Life Sciences
Transformational Partner To Life Sciences Game Changing Solutions Realize Demonstrate Maximize Greater R&D Value & Measure Commercial Efficiency Outcomes ROI Technology-Enabled Real World Evidence Smarter CRO Commercial & Connected Health Operations • Equipping therapeutic, • Creating a full lifecyc
Slide 15: At Quintiles, we improve your probability of success
At Quintiles, we improve your probability of success 15
Slide 16: Appendix
Appendix QUINTILES’ 16
Slide 17: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Adjusted EBITDA Reconciliation LTM period Year Ended December 31 ended (In Thousands) 2011 2012 2013 2014 2015 3/31/2016 Adjusted EBITDA: Net Income Attributable to Quintiles Transnational Holdings $241,772 $177,546 $226,591 $356,383 $387,205 $407,475 Inc. Interest Exp
Slide 18: 2016 Constant Currency Reconciliation
2016 Constant Currency Reconciliation Service Revenues and Income from Operations (millions of dollars) Three Months Ended March 31 Year on Year Growth Exchange Exchange Consolidated Actual Impact Constant Actual Impact Constant Service Revenues $ 1,108.0 $ (8.1) $ 1,116.1 7.6% (0.8%) 8.4% Income fr
Slide 19: Income Statement GAAP – Non-GAAP Reconciliation
Income Statement GAAP – Non-GAAP Reconciliation 2016 2015 Income Net Income Income Net Income Three Months Ended March 31 from Attributable from Attributable (millions of dollars) Operations to Quintiles Operations to Quintiles As Reported $ 178.8 $ 106.7 $ 143.2 $ 86.4 Adjustments Restructuring Cos
Slide 20: Reconciliation of Net Income to Non-GAAP Adjusted Net Income and Diluted Adjusted EPS
Reconciliation of Net Income Attributable to Quintiles to Non-GAAP Adjusted Net Income and Diluted Adjusted EPS Three Months Ended March 31 (millions of dollars) 2016 1 2015 1 EPS EPS Net Income Attributable to Quintiles $ 106.7 $ 0.88 $ 86.4 $ 0.68 Restructuring Costs 3.1 0.03 5.3 0.04 2 Adjustment
Slide 21: IMS Health Net Income to Adjusted EBITDA
IMS Health Net Income to Adjusted EBITDA Twelve Months Ended (in millions) December 31, 2015 Net Income $ 417 Benefit from income taxes (200) Other income, net (19) Interest expense 169 Interest income (3) Depreciation and amortization 341 Deferred revenue purchase accounting adjustments 10 Stock-ba