Maravai Lifesciences Holdings, Inc. · NASDAQ:MRVI
Maravai Lifesciences — Q1 2023 Earnings Presentation
31 slides from Maravai Lifesciences's earnings presentation, May 8, 2023
Slide 1: Q1 2023 Financial Results
NASDAQ: MRVI Q1 2023 Financial Results May 8, 2023 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 2: Agenda
Agenda 01 Welcome Deb Hart, Head of Investor Relations 02 Business Highlights Carl Hull, Chairman of the Board and Interim CEO & Update 03 Financial Results Kevin Herde, Chief Financial Officer & Guidance 04 Q&A Session Carl Hull, Chairman of the Board and Interim CEO Kevin Herde, Chief Financial Of
Slide 3: Forward Looking Statements and Use of Non-GAAP Financial Measures
Forward Looking Statements and Use of Non-GAAP Financial Measures This presentation contains, and our officers and representatives may from time-to-time make, “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. I
Slide 4: Business Highlights & Update
Q1 2023 Business Highlights & Update Carl Hull Chairman of the Board and Interim Chief Executive Officer 4 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 5: Q1 2023 Results
Q1 2023 Results • NAP revenue of $61 M ADJUSTED EPS1 REVENUE ADJUSTED EBITDA1 $79 M $24 M $0.03 • Base NAP revenue per share of $45 M2 • BST revenue of $18 M 1. Reconciliation provided on pages 29-31 2. Total NAP base business without CleanCap® COVID-19 vaccine related revenue 5 ©2023 Maravai LifeSc
Slide 6: Great Position to Fund Long-term Strategy
Great Position to Fund Long-term Strategy Adjusted Free Cash Flow = $23 M in Q1 2023 (Adjusted EBITDA less Capital Expenditures) CASH LONG-TERM DEBT NET CASH $628 M $537 M $91 M 6 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or
Slide 7: CleanCap M6 makes mRNA more potent
CleanCap® M6 makes mRNA more potent – superior to enzymatically capped mRNA Increased potency for use in mRNA vaccines and therapeutics In vivo +32.4% protein expression Enzymatic Capping CleanCap M6 7 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and ar
Slide 8: CleanCap M6 Most Robust Capping Analog Available
CleanCap® M6 Most Robust Capping Analog Available Provides category leading capping New cap structure can produce Maintains the one-pot workflow efficiency of >95% 30%+ higher protein expression benefit of CleanCap ― Increased IVT efficacy resulting in high ― Increases potency of your mRNA drug ― Si
Slide 9: Capping Reagent Cost Comparison
Capping Reagent Cost Comparison Estimated both enzymatic capping and ARCA technologies lead to higher total reagent cost per 1 g of produced mRNA, GMP-grade: • ~$248k for enzymatic • ~$221k for ARCA • ~$215k for CleanCap® technology 9 ©2023 Maravai LifeSciences. This document and its contents are co
Slide 10: Total Manufacturing Cost Comparison
Total Manufacturing Cost Comparison When comparing the overall manufacturing costs of the three capping strategies, CleanCap® technology is expected to be 30% less than enzymatic capping and 20% less than ARCA For 1 gram of GMP grade mRNA batch, this CleanCap technology showed an estimated savings $
Slide 11: Glen Research – Part of Nucleic Acid Production
Glen Research – Part of Nucleic Acid Production Glen Report: published since 1987, serves as a resource to scientists engaged in DNA/RNA research and oligonucleotides synthesis Four New Products announced at TIDES New Product Highlight — Azido-Modifier Serinol CPG For Click Chemistry 11 ©2023 Marava
Slide 12: Continued expansion of NAP customer base
Continued expansion of NAP customer base, from R&D to Phase 2 and beyond +3% y/y 585 604 604 +69% y/y Our product and service offerings scale 312 with our customers as they mature into +9% y/y mRNA GMP 185 +11% y/y manufacturing 55 61 64 70 1 CleanCap Reagent CleanCap mRNA GMP mRNA w/ Total GMP mRNA
Slide 13: The customers' first choice since the beginning of their journey
From Discovery to commercialization, our NAP capabilities scale with our customers Customer A: Developing precision medicines for genetic diseases and T-cell cancers Products: CleanCap and N-1 methylpseudouridine-triphosphate Maravai Sales $7.75M $1.3M $619K 2018 2020 2022 Early discovery Phase
Slide 14: Catalyzing the Customer Journey to Enable the Miracles of Science
Catalyzing the Customer Journey to Enable the Miracles of Science Customer B: Developing personalized cancer vaccine Product: GMP CleanCap mRNA manufacturing Maravai Sales $3.2M $102K $225K 2018 2019 2022 R&D construct GMP screening manufacturing The customers’ firstfirst choice since the beginn
Slide 15: Biologics Safety Testing: Continued Innovation
Biologics Safety Testing: Continued Innovation MockV® RVLP Kit announced late 2022 Strong Market Uptake by Major BioPharma and CDMOs Closely watching International Conference on Harmonization Guideline PG13 HCP ELISA kit launched in March 2023 15 ©2023 Maravai LifeSciences. This document and its con
Slide 16: Organizational Updates
Organizational Updates Leadership Integration Inorganic Opportunities Drew Burch Executive Vice President, Nucleic Acid Production Premier provider of industrial-scale Remain active in pursuing inorganic molecular biology enzymes opportunities and expanding our international footprint Committed to e
Slide 17: 2022 ESG Report
2022 ESG Report Vision We envision a world where scientists are limited only by the boundaries of their imaginations - and where we expand those boundaries for every vaccine, therapeutic and diagnostic company on the planet. Visit our website: e Mission To empower our customers to transform ideas in
Slide 18: Financial Results
Q1 2023 Financial Results Kevin Herde Chief Financial Officer 18 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 19: Financial Overview
Financial Overview Earnings Per Share ($)1,2,3 $0.04 $0.03 $0.03 • GAAP Net Loss of $1.3 M4 Q1 REVENUE • Adjusted EBITDA of $24 M5 $79 M $0.02 $0.01 • EBITDA Margin of 30% $0.00 $0.00 $0.00 Basic EPS Diluted EPS Adjusted EPS 1. Basic EPS (GAAP) equals Net Income attributable to our Class A shares di
Slide 20: Balance Sheet Highlights
Balance Sheet Highlights CASH LONG-TERM DEBT 1.1X -0.2X GROSS DEBT/ NET DEBT/ $628 M $537 M TTM ADJUSTED TTM ADJUSTED EBITDA1 EBITDA1 Adjusted Free Cash Flow = $23 M in Q1 2023 (Adjusted EBITDA less Capital Expenditures) 1. Using trailing twelve months Adjusted EBITDA of $475 M 20 ©2023 Maravai Life
Slide 21: Q1 Business Segment Financials
Q1 Business Segment Financials Nucleic Acid Production ($M) Biologics Safety Testing ($M) REVENUE REVENUE $61 M $18 M • 78% of total Maravai revenue • 22% of total Maravai revenue • $28 M of Adjusted EBITDA1 • $14 M of Adjusted EBITDA1 • CleanCap® from COVID-19 = $16 M 1. Reconciliation provided on
Slide 22: Expanded facility footprint to offer unique capabilities to customers
Expanded facility footprint to offer unique capabilities to customers Nucleic Acid Products Nucleic Acid Products & Nucleic Acid Services Glen Research Sterling, VA TriLink BioTechnologies + Maravai Shared Services Wateridge Pacific Center Brown Deer Biologics Safety Testing Flanders 1 Cygnus Techno
Slide 23: 2023 Guidance
2023 Guidance CleanCap® REVENUE COVID-19 REVENUE ADJUSTED EPS1 ADJUSTED EBITDA1 $400 to $440 $100 $0.27 to $0.33 $155 to $175 million million per share million Guidance reflects base business revenues in the range of $300 M to $340 M2 1. Reconciliations provided on page 29-31 2. Base business – tota
Slide 24: Other 2023 Model Assumptions
Other 2023 Model Assumptions • Interest expense, net of interest income, between $18 million and $22 million; • Depreciation and amortization between $38 million and $42 million; • Stock based compensation, which we show as a reconciling item from GAAP to Non-GAAP EBITDA, to be $34 million to $38 mi
Slide 25: Closing Commentary
Q1 2023 Closing Commentary Carl Hull Chairman of the Board and Interim Chief Executive Officer 25 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 26: In Closing – We are Building a Strong Foundation for Long-Term Growth
In Closing – We are Building a Strong Foundation for Long-Term Growth • Playing in the right target markets with strong leadership positions and exceptional opportunities for base business growth • Continued innovation in mRNA • Building our product portfolio in high-value areas through organic and
Slide 27: Q&A
Q&A 27 ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 28: Thank you
Thank you Together, we enable the miracles of science. ©2023 Maravai LifeSciences. This document and its contents are confidential and proprietary and are not to be shared or redistributed without express consent.
Slide 29: Non-GAAP Reconciliations
Non-GAAP Reconciliations Net (Loss) Income to Adjusted EBITDA This presentation contains financial measures that have not Three Months Ended March 31, been calculated in accordance with accounting principles 2023 2022 generally accepted in the U.S. (GAAP). These non-GAAP measures include Adjusted an
Slide 30: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted Net Income and Adjusted Fully Diluted Earnings Per Share These non-GAAP measures are supplemental measures of Three Months Ended March 31, operating performance that is not prepared in accordance 2023 2022 with GAAP and that do not represent, and should not be consi
Slide 31: Explanatory Notes to Reconciliations
Explanatory Notes to Reconciliations Explanatory Notes to Reconciliations 1) Refers to incremental costs incurred to execute and integrate completed acquisitions, and retention payments in connection with these acquisitions. 2) Refers to non-cash expense associated with stock-based compensation. 3)
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