Acrux Limited · ASX:ACR
Acrux — Shareholder Meeting (November 2019)
21 slides from Acrux's shareholder meeting presentation, Nov 28, 2019
Slide 1: Acrux Annual General Meeting
For personal use only ACRUX ANNUAL GENERAL MEETING (ASX: ACR) 28 November 2019
Slide 2: Ross Dobinson, Chairman
For personal use only ROSS DOBINSON CHAIRMAN
Slide 3: CEO Michael Kotsanis
For personal use only CEO MICHAEL KOTSANIS
Slide 4: Important Notice and Disclaimers
IMPORTANT NOTICE AND DISCLAIMERS This presentation contains forward-looking statements which are identified by words such as ‘may’, ‘could’, ‘believes’, ‘estimates’, For personal use only ‘expects’, or ‘intends’ and other similar words that involve risks and uncertainties. These statements are based
Slide 5: Acrux is an experienced and proven developer of high value topical drugs
ACRUX IS AN EXPERIENCED AND PROVEN DEVELOPER OF HIGH VALUE TOPICAL DRUGS Acrux is a revenue generating pharmaceutical company with an advancing product pipeline of topical generic products nearing For personal use only additional commercialisation and revenue milestones Acrux products Acrux outcomes
Slide 6: Investment Highlights
INVESTMENT HIGHLIGHTS Acrux is a revenue generating pharmaceutical company with an advancing product pipeline of For personal use only topical generic products nearing additional commercialisation and revenue milestones ▪ The topical generic market provides attractive returns with fast, low-risk dev
Slide 7: Revenue generating business model supporting long-term growth
REVENUE GENERATING BUSINESS MODEL SUPPORTING LONG-TERM GROWTH For personal use only 1 2 Generic drug Development ▪ With a State of the art GMP facility and identification and IP transfer 25 specialised scientists, Acrux possesses the capabilities for the development, regulatory submission and approv
Slide 8: Topical generics: an attractive US$20B market
TOPICAL GENERICS: AN ATTRACTIVE US$20B MARKET For personal use only Acrux focus: Total market Oral drugs Topical drugs Total US prescription Drugs that are Drugs that are applied topically (including Definition of market pharma market ingested orally directly to the skin, eyes, ears and nose) Market
Slide 9: Generic drug development is faster and less risky than novel drug development
GENERIC DRUG DEVELOPMENT IS FASTER AND LESS RISKY THAN NOVEL DRUG DEVELOPMENT Acrux’s drug development strategy provides more certainty than novel drug development For personal use only Acrux’s portfolio strategy for topical generics Novel drug development Single Drug Strategy Portfolio Strategy Com
Slide 10: Acrux product pipeline's $1.5 billion addressable market
ACRUX PRODUCT PIPELINE’S $1.5 BILLION ADDRESSABLE MARKET Acrux’s $34m investment in R&D unlocks a $1.5bn market in topical drugs with limited generic competition For personal use only Addressable market value of pipeline1 ($USm) # of commercialised generic (ANDA) Addressable market competitors appro
Slide 11: Experienced management team with a proven history of commercialising generic drugs
EXPERIENCED MANAGEMENT TEAM WITH A PROVEN HISTORY OF COMMERCIALISING GENERIC DRUGS CEO & MD Michael Kotsanis leads a team of highly credentialed experts in generic drugs For personal use only Felicia Colagrande, BSc(Hons), MBA Michael Kotsanis Product Development and Technical Affairs Director CEO &
Slide 12: Platform for growth established
PLATFORM FOR GROWTH ESTABLISHED With $34m invested in the platform over the past 4 years Acrux has a competitive advantage in the identification, For personal use only development, registration and launch of generic topical drugs Acrux Pipeline Status Description Product Acrux expects a typical lice
Slide 13: Milestones & 2020-21 strategic objectives
MILESTONES & 2020-21 STRATEGIC OBJECTIVES Significant value expected over the next 24 months with multiple FDA approvals and licensing deals For personal use only anticipated across the portfolio Pipeline composition – CY19 Key upcoming milestones 11 CY20 CY21 ▪ 4 products ▪ 4 products submitted to
Slide 14: Case study: topical generic drug market entry
CASE STUDY: TOPICAL GENERIC DRUG MARKET ENTRY With modest development costs generic drugs represent a de-risked approach to drug development For personal use only ▪ In September 2000 Allergan received FDA 16 Branded vs Generic Sales per Quarter ($USD) approval for its topical cream Tazarotene 14 whi
Slide 15: Case study: Sol-Gel's profit share from the development of acyclovir cream
CASE STUDY: SOL-GEL’S PROFIT SHARE FROM THE DEVELOPMENT OF ACYCLOVIR CREAM For personal use only 7.8 ▪ A small clinical-stage dermatology company focused on 6.4 identifying, developing and commercialising branded and Sol-Gel revenue generic topical drug products from profit share agreement ▪ Announc
Slide 16: CFO Deborah Ambrosini
For personal use only CFO DEBORAH AMBROSINI
Slide 17: Full Year Profit and Loss
FULL YEAR PROFIT AND LOSS For personal use only Full Year Ending 30 June 2019 30 June 2018 $'000 $'000 % Royalty revenue 631 2,687 (76.5)% Interest & other income 579 671 (13.8)% Grant revenue 4,072 0 - Other income 4 74 (94.6)% Total 5,286 3,432 54.0% R&D investment (10,917) (10,624) 2.8% Other ope
Slide 18: Full Year Cashflow
FULL YEAR CASHFLOW For personal use only Full Year Ending 30 June 2019 30 June 2018 $'000 $'000 % Cash flow from operating activities Receipts from product agreements 576 7,872 (92.7)% Payments to suppliers and employees (13,233) (12,731) 3.9% Interest received 611 610 0.2% Income tax refunded / (pa
Slide 19: Future Catalysts
FUTURE CATALYSTS For personal use only The success of Acrux’s strategy and management’s execution will be driven and measured by: ACRUX • Commercial launch and cash flow generation from new generic drugs STRATEGY • FDA approvals for new products • Licensing and profit share agreements with generic p
Slide 20: Benefits of a Pooled Development Fund
BENEFITS OF A POOLED DEVELOPMENT FUND For personal use only 1 Companies with PDF status are taxed at 15% on their income and capital gains received from their investments 2 Australian resident shareholders are exempt from capital gains tax after selling their shares 3 Unfranked dividends received by
Slide 21: Thank You
For personal use only THANK YOU Michael Kotsanis Acrux Limited CEO & Managing Director P: + 61 3 8379 0100 E: michael.kotsanis@acrux.com.au Visit our website: http://www.acrux.com.au/ Follow us on LinkedIn: