Elekta Ab Class B · OMXSTO:EKTA_B
Elekta Ab Class B — Investor Day (October 2012)
55 slides from Elekta Ab Class B's investor day presentation, Oct 29, 2012
Slide 1: Elekta Capital Markets Day
Elekta Capital Markets Day 29 October 2012, Boston Note: This capital markets presentation is intended for investors and analysts only. Some products are still in research and/or not cleared/approved in all markets. Cancer statistics are given to show the potential market in the respective area and
Slide 2: Growth through innovation
Growth through innovation 13:00 Innovation ● Growth Tomas Puusepp, President and CEO 13:20 Elekta Neuroscience Åsa Hedin, Executive Vice President 13:40 Elekta Brachytherapy John Lapré, Executive Vice President 14:00 Q&A and Coffee 14:20 Elekta Oncology Dee Mathieson, Senior Vice President 14:50 Ele
Slide 3: Elekta – pioneer of modern cancer care
Elekta – pioneer of modern cancer care • One of the fastest growing companies in the industry • Last year close to 1,000,000 patients benefited from treatment with radiation therapy equipment from Elekta • Market leader in: – 3 out of 4 business areas – 2 out of 3 regions • 8-9% of net sales is inve
Slide 4: >50% of cancer patients in established markets to receive radiation therapy
>50% of cancer patients in established markets to receive radiation therapy Share of cancer patients receiving radiation therapy today USA 63% Europe 30-50% Canada 32% Japan 25-30% From ”palliative” to ”curative” – radiotherapy is a major contributor to improved cancer care • Technology advancements
Slide 5: Elekta is the pioneer of modern radiation therapy
Elekta is the pioneer of modern radiation therapy MR-guided MOSAIQ® OIS radiation Workflow software therapy for cancer care SRS Stereotactic Radiosurgery IGRT Digital linear Image guided accelerators radiation therapy Integrated solutions AgilityTM Technological shift Brachytherapy in collimation Li
Slide 6: Improved prevalence - still low in some large indications
Improved prevalence - still low in some large indications Incidence Cumulative 2004-2008 Prevalence 5-year 2008 Lung Breast Colorectum Stomach Prostate Liver Cervix uteri Oesophagus Bladder Non-Hodgkin … 0 2 000 4 000 6 000 8 000 Thousands Source: IARC, WHO, Globacon 2008 database Innovation through
Slide 7: Agility - modern cancer care without compromise
Agility™* - modern cancer care without compromise • Superior beam shaping to match the tumor • Minimal exposure to healthy tissue • Significantly faster *Not for sale or distribution in all markets depending on status of approval and clearances. Elekta’s aspiration - double number of patients treate
Slide 8: Elekta has strengthened its position in radiation therapy
Elekta has strengthened its position in radiation therapy Trend Varian 48% Elekta 39% Accuray 8% Siemens 5% Others *- Note: Order intake. Sources – company reports * Accurate data missing Regional outlook North and South America • Stable demand in North America • Strong growth prospects in South Ame
Slide 9: Outlook for fiscal year 2012/13
Outlook for fiscal year 2012/13 • Net sales is expected to grow by more than 15% in local currency, including Nucletron – Organic growth >10% • Operating profit in SEK is expected to grow by more than 15%, including Nucletron • Currency is estimated to have a neutral effect, including hedges 17 9
Slide 10: Leading Clinical Innovation
Leading Clinical Innovation Åsa Hedin Executive Vice President Elekta Neuroscience Elekta Neuroscience – pioneer in SRS World-leading solutions for treatment and localization of brain disorders 10
Slide 11: Innovation drives clinical excellence
Innovation drives clinical excellence 0,88 SW 0,86 SW HW 0,84 Conformity Index HW 0,82 0,8 0.865 0.842 n=36 0,78 0.836 0.825 n=109 n=106 n=155 0,76 0.781 n=200 0,74 0,72 Model B 4C Pfx ‘07 Pfx ‘10 Pfx ‘11 Treatment time 100% 103% 89% 73% 59% Data courtesy of Ian Paddick Leksell Gamma Knife® Precisio
Slide 12: Precision: Paddick conformity index
Precision Precision Tailor-made treatment for every patient Precision Superior conformity 1,0 Gamma Knife Perfexion • Superiority for Leksell Gamma CyberKnife Knife® Perfexion™ regardless Paddick conformity index 0,8 Novalis of number of lesions 0,6 • Typically 2-3 times less dose with Leksell Gamma
Slide 13: Safety is to minimize dose deposited
Safety Safety is to minimize dose deposited to tissues outside the radiation target Gy Intracranial dose 2,5 Leksell Gamma Knife® Perfexion™ VMAT 2 1,5 1 0,5 0 Brainstem Lens Optic Nerve Brain Source: Elekta Internal investigation Right picture “The Leksell Gamma Knife® Perfexion™ and comparisons wi
Slide 14: Gamma Knife surgery saves cost
Efficiency Gamma Knife® surgery saves cost Required staff for 40 operated patients per month: 24 • 1 neurosurgeon • 2 ICU anesthesiologist • 7 nurses ward (2shifts ) • 1 assistant neurosurgeon • 1 night shift anesthesiologist • 4 assistant nurses ward (2 shifts) • 1 anaesthesiologist • 4 ICU nurses
Slide 15: Strong growth of brain metastases
Strong growth of brain metastases • Brain metastases occur in 20-40% – Majority of patients present with multiple metastases (50-63%) • Reasons for increase in brain metastases incidence: – Improved survival in patients with cancer due to better diagnosis and management of the primary cancer – Incre
Slide 16: Continuous innovation to improve cancer care
Continuous innovation to improve cancer care Extend System Treatment Registry Planning Accuracy – Dose – Workflow MOSAIQ® Connectivity Further improving clinical data management Leksell Gamma Knife® Leksell Gamma Knife® Society Registry Site Registry Leksell Gamma Knife® Center Leksell Gamma Knife®
Slide 17: Leksell Gamma Knife: Uniquely positioned for the future of SRS
Leksell Gamma Knife® Uniquely positioned for the future of SRS Precision Clinical evidence Efficiency Safety Meeting the patient’s needs • Focus on growth segments (metastases) and invest in markets with low penetration • Continue upgrading and expanding installed base • Work even closer with patien
Slide 18: Elekta Brachytherapy
Elekta Brachytherapy John Lapre EVP Elekta Brachytherapy President Nucletron 18
Slide 19: World leader in brachytherapy
World leader in brachytherapy • Unmatched global leadership in brachytherapy – Presence in >100 countries – 3,000 clinics worldwide using Elekta brachytherapy products – 60% worldwide market share (HDR) • Strong R&D focus ~11% of revenues invested in fiscal 2011/12 • Brachytherapy to grow with >10%
Slide 20: Responding to physician and patient needs
Brachytherapy Responding to physician and patient needs Clinician Patient Flexible: used in combination Short, effective treatment with EBRT, surgery, or alone course Efficacious, precision Accessibility to, and compliance targeting with, treatment Prevents unnecessary Favorable safety profile, dama
Slide 21: The brachytherapy solution
The brachytherapy solution Diagnostic Applicator Treatment Verification Treatment Imaging delivery Imaging insertion planning & QA Applicator Treatment Treatment Treatment Imaging insertion planning delivery delivery Specialized Oncentra® microSelectron Prostate IBU-Digital applicators Brachy Flexit
Slide 22: Nucletron within the Elekta group
Nucletron within the Elekta group Continued focus on four growth drivers Driving awareness of brachytherapy Expanding geographically Developing new body sites Growing the installed base Growing the installed base Cross-selling opportunities Afterloader upgrade No. of customers: 5,000 3,000 ~1,000 un
Slide 23: Cross-selling customer cases in emerging markets
Cross-selling customer cases in emerging markets Venezuela: Maturin Linac + Afterloader Indonesia: Thailand: Murni Teguh Bumrungrad International Linac+ Afterloader + Oncentra Elekta Synergy® + MOSAIQ® + CMS + Oncentra® Prostate + Evolution Simulator China: Affiliated Yong Chuan Hospital of Chongqin
Slide 24: Truly global business and No.1 in the world
Truly global business and No.1 in the world North and South America Europe and MEA Asia Pacific Share of sales 2011: 34% Share of sales 2011: 40% Share of sales 2011: 26% Japan No.1 Europe No. 1: US No.1 • Germany China No.1 • Italy • Spain • France India No.1 • CEE2) LatAm1) No. 2 Source: Company i
Slide 25: Driving awareness of brachytherapy
Driving awareness of brachytherapy • EMBRACE a study in MRI guided brachytherapy in Evidence locally advanced cervical cancer • Intense customer training Adoption program and workshops • Health technology Infrastructure assessments (reimbursement) New 1 MOSAIQ® Connectivity • Brachytherapy planning
Slide 26: Oncentra Brachy 4.3
New 2 Oncentra® Brachy 4.3 • Access to powerful 3D planning • Accuracy in treatment planning • Increasing workflow efficiency New 3 Repositioned Nucletron prostate solutions • Optimal accuracy and precision through “genuine real-time workflow” • “Streamlined procedure” based on integrated components
Slide 27: Innovation in brachytherapy: 4S model
Innovation in brachytherapy: 4S model Improve patient outcome Specificity Reduce S AF E TY Remove treatment times complex set-up Speed Simplicity Example: Vaginal CT/MR Multi Channel Applicator • Specificity • Speed • Simplicity • Safety 27
Slide 28: Good prospects for further growth
Good prospects for further growth • Large untapped market potential • Highly complementary treatment modality serving many of the same customers as Elekta • Combined customer base of more than 6,000 • 4S innovation model • Brachytherapy to grow with >10% 28
Slide 29: Growth through innovation
Elekta Capital Markets Day 29 October 2012, Boston Growth through innovation 13:00 Innovation ● Growth Tomas Puusepp, President and CEO 13:20 Elekta Neuroscience Åsa Hedin, Executive Vice President 13:40 Elekta Brachytherapy John Lapré, Executive Vice President 14:00 Q&A and Coffee 14:20 Elekta Onco
Slide 30: Elekta Oncology: Cancer is growing worldwide
Elekta Oncology Advancing Clinical Practice Dee Mathieson Senior Vice President Oncology Business Line Management Cancer is growing worldwide 2010, Asia 2030, Asia Most frequent cancers, world Age (years) Age (years) Lung Breast Colorectum Stomach Male Female Male Female Prostate Liver Cervix uteri
Slide 31: The challenge
The challenge █ Mortality █ Incidence Lung cancer Breast cancer Prostate cancer Global incidence, millions Global incidence, millions Global incidence, millions 2,2 1,7 2,9 1,4 1,7 0,9 1,5 0,5 0,3 2010 2030E 2010 2030E 2010 2030E • Constantly moving • Minimizing impact on • Motion management • Decre
Slide 32: Agility
Agility™ Setting a new standard of care • 2x number of leaves – Outstanding resolution to precisely match the contours of the tumor • 2x speed – Unparalleled efficiencies – Essential for latest treatment techniques • Less than 0.5% transmission – Minimal exposure to healthy surrounding tissue – Fewe
Slide 33: Elekta delivery system
Elekta delivery system The most clinically focused offering on the market Modular platform Conventional - VMAT - SRT Outstanding Advanced beam shaping image Agility™ guidance 2D, 3D & 4D Digital control 7th Generation High precision Stereotaxy Energy efficient 30% less consumption Motion solar power
Slide 34: Prostate cancer – most frequent male cancer
Prostate cancer – most frequent male cancer Incidence and mortality Challenge world, million 1,7 Motion management Accuracy and dose 0,9 Mortality control Incidence 0,3 2010 2030E Source: Globocan 2008 Prostate – Motion management Clarity® with Autoscan – Confidence during treatment Non-invasive, no
Slide 35: Pioneering the next major breakthrough…
Pioneering the next major breakthrough… State of the art MR imaging state of the art radiation therapy • Building on a decade of research from UMC, Utrecht, NL – In collaboration with Elekta and Philips • Research demonstrated unparalleled soft tissue visualization during irradiation • Research coll
Slide 36: Strong growth within oncology
Strong growth within oncology • Significant increase in underlying demand • Best cancer care solutions on the market • New technology drives increased usage • Comprehensive R&D project pipeline Oncology will be a significant contributor to reaching 2 million patients treated Integrated workflows thr
Slide 37: Elekta Software
Elekta Software Todd Powell Executive Vice President 37
Slide 38: World leader in cancer care software solutions
World leader in cancer care software solutions 15,000 users are supported by over 400 dedicated experts driving best in class development Over 1,000 parameters are managed during a typical treatment Growth drivers for software • Continue to grow installed base with market leading OIS system MOSAIQ®
Slide 39: MOSAIQ – best OIS software on the market
MOSAIQ® – best OIS software on the market • Empower hospitals and clinics to digitally manage and streamline all aspects of cancer care • Drive development towards disease-specific needs while enhancing tools to support standardization and clinical evidence • Facilitate and record activities that ar
Slide 40: True open systems commitment
True open systems commitment Treatment Beam Treatment Imaging SRS and delivery shaping planning Brachy Elekta Elekta Elekta Elekta Elekta Varian Varian Varian Varian Varian Siemens Siemens Siemens Siemens Accuray Accuray Brainlab Phillips Any DICOM Mitsubishi compliant device Brainlab Xstrahl 79 Tru
Slide 41: One platform – multiple locations
One platform – multiple locations MOSAIQ® MOSAIQ® IQ ScriptsTM 41
Slide 42: Customizing and automating patient workflow
Customizing and automating patient workflow MOSAIQ® IQ Scripts™ MOSAIQ® enables full product integration Elekta treatment Elekta planning portfolio Synergy® Leksell Gamma Knife® MOSAIQ® Elekta Compact™ Brachytherapy Elekta Agility™ solutions 42
Slide 43: Leveraging on the strong market positions
Leveraging on the strong market positions ≈ 50% / OIS Software 61% in US Linears accelerator ≈ 35% TPS Software ≈ 23% Source: Elekta MOSAIQ® RTP – integrated treatment planning • Oncentra® • Monaco® • XiO® • Conventional RT & particle support • Powerful integrated imaging tools 43
Slide 44: MOSAIQ Evaluate
MOSAIQ® Evaluate The first step along the way… • Comprehensive plan review • Full plan approval • Full integration with MOSAIQ® • Entirely new imaging framework MOSAIQ ® Evaluate is currently under 510(k) review by the U.S. FDA and is not yet commercially available in the U.S. DVH templates 44
Slide 45: MOSAIQ RTP
MOSAIQ® RTP Streamline your clinical workflow • Reduced travel to dosimetry • Integrated workflows • Reduced interruptions • Simplified chart rounds Innovations presented at ASTRO • Connectivity to the Leksell Gamma Knife® and the Registry • Connectivity to the Nucletron HDR including brachy chartin
Slide 46: Region North America
Region North America Jay Hoey Executive Vice President 46
Slide 47: Strengthened presence in North America
Strengthened presence in North America • 7% of world’s population Elekta North America, organic order growth • 30% of the world’s linear accelerators CAGR 6% • Most advanced radiotherapy market in the world • Elekta has >60% market share in software (OIS) and brachytherapy. 24% in new sales of linac
Slide 48: Elekta North America is gaining share
Elekta North America is gaining share Market share - installed base Market share – new orders (FY11/12) (FY11/12) Management Analysis Accuray Elekta Accuray 2% Siemens 7% 11% Siemens 3% Elekta 10% 24% Varian 71% Varian 72% 70 60 Elekta’s installed base, age 50 40 30 20 10 0 1 2 3 4 5 6 7 8 9 10 11 1
Slide 49: US reimbursement and health care tax
US reimbursement and health care tax CMS reimbursement proposal • Increase proposed for HOPPS, decrease for free-standing clinics • Extensive discussions and activities from industry organizations Affordable care and health care tax • Result in upcoming election of importance • Health care tax to be
Slide 50: Increased medical initiatives in Mexico
Increased medical initiatives in Mexico • Installed base: – ~ 65 linacs installed ~ 26 cobalt units • ~70% government and ~30% private • Government initiatives with funding approved for expanding in radiation medicine • Private sector will expand radiotherapy and OIS segments (updating installed bas
Slide 51: Good progress in Agility roll-out
Good progress in Agility™ roll-out Johns Hopkins Hospital • World renowned, top ranked hospital in the US* • 2 Agility installations William Beaumont Hospital • Top 5 academic hospital** • 2 Agility installations UC Davis Medical Center • Top 10 Hospital in America*** • 1 Agility installation * U.S.
Slide 52: Top customer satisfaction in the US
IMV Ratings* Outcome of Number 1 position in sub-items 2010 2011 2012 Elekta 7 15 23 Varian 16 16 10 All 35 37 43 *ServiceTrak™ Imaging 2012 -‐ Radiation Oncology Accelerators – Highly satisfied ratings – IMV report, October 2012 Top customer satisfaction in the US C U S T O M E R S A T I SFAC TI O
Slide 53: Concluding remarks
Concluding remarks Tomas Puusepp President and CEO 53
Slide 54: Pioneer development and facilitate increased usage of radiation therapy
Pioneer development and facilitate increased usage of radiation therapy • Comprehensive solution offerings to meet future requirements • Increase utilization of radiation therapy by extending penetration in existing markets and improve accessibility in emerging markets • World class organization wit
Slide 55: Human Care Makes the Future Possible
Human Care Makes the Future Possible 55