Slide 1: Cyclopharm Limited Investor Presentation
For personal use only Cyclopharm Limited A profitable and growing market leader in nuclear medical imaging and lung healthcare Investor Presentation 6 March 2017 James McBrayer CEO & Managing Director 1
Slide 2: Contents
For personal use only Contents • Company Overview • Financial Highlights • Cyclopharm’s Technology Overview • Product Overview and Growth Opportunities o Technegas o Ultralute™ • Strategic Priorities and Outlook 2
Slide 3: Investment Highlights – Record Results
Investment Highlights – Record Results For personal use only CYC is a leading player in the global nuclear medicine imaging and lung health markets • Technegas: Diagnosis & monitoring of lung diseases • UltraluteTM: Extends useful life of medical isotopes $ • Unaudited 2016 Sales: • Unaudited 2016
Slide 4: CYC's Fast Facts
CYC’s 10 Fast Facts For personal use only 1. Technegas is a well established proprietary world leader in functional lung ventilation imaging technology with service and capital equipment revenue streams, the majority of sales generated from single patient consumables 2. Technegas is sold in 55 count
Slide 5: Our Strategy
Our Strategy For personal use only CYC has a clear strategy to leverage our position as a leading player in the global nuclear medicine imaging market and lung health space to expand the use of our proprietary products and introduce new innovative technology. We are doing this by: 1. Attaining appro
Slide 6: Unaudited 2016 Achievements
Unaudited 2016 Achievements For personal use only • FY2016 Sales of $14.39 million • FY2016 EBIT $1.44 million • Payment of recurring dividends • Cash reserves at 31 December totalling $4.59 million after repayment of debt & relocation • USFDA clinical trial program on track • Decision to move forwa
Slide 7: Technegas Full Year Performance
Technegas Full Year Performance For personal use only Third consecutive year of record underlying results • Another record financial Year ended 31 December ($000’s) 2016 Change 2015 Change 2014 result in FY16 Technegas Results: Sales Revenue • Underlying strong financial PAS 10,782 6.3% 10,145 8.1%
Slide 8: Group Balance Sheet
Cyclopharm Group Balance Sheet For personal use only Solid Financial Foundation to Leverage Growth Strategy • Operating cash flows supported $1.5m Kingsgrove HQ capex, ($000’s) FY 2016 FY 2015 FY 2014 $0.43m one-off relocation Cash 4,591 6,445 3,268 costs, ongoing USFDA trials Other current assets 6
Slide 9: Our Technology
Our Technology…. Business Model Based on Annuity Stream From Consumables For personal use only Manufacturer and distributor of • Invented in 1986 lung ventilation imaging devices • Track record of growing revenue, and equipment profits and cash flows • USFDA trials for sales in US progressing • Func
Slide 10: Technegas Technology
Technegas Technology For personal use only Product Definition Technegas is composed of Tc-99m labelled carbon nanoparticles Technegas is a System dispersed in high purity argon gas. In order to deliver efficacious clinical The particles are consistently well under 500 nm and due to the outcomes, Tec
Slide 11: Manufacture and Delivery of Technegas
Manufacture and Delivery of Technegas For personal use only Manufacture Technegas is composed of Technegas Tc-99m cores encapsulated within layers of graphite to form individual hexagonal plate-like particles. These particles agglomerate Turn on unit and Moisten crucible with Close drawer Initiate b
Slide 12: Growth Drivers: Technegas – Expanding the Global Footprint
Growth Drivers: Technegas – Expanding the Global footprint For personal use only • Technegas sold in 55 countries − Europe is the largest regional market for Technegas − In 2014 Canada became largest country market for Technegas, surpassing France • Over 210,000 patient studies in 2016 • Over 3,500,
Slide 13: Technegas – USFDA Clinical Trial Program On Track
Technegas – USFDA clinical trial program…. ON TRACK For personal use only USA Market Size: • Half the world’s nuclear medicine departments are in the USA • USA represents a potential base Pulmonary Embolism market of 480,000 patients per annum. (Current Rest of the World volumes = 200,000 patients p
Slide 14: Technegas – The Canadian Case Study
Technegas – The Canadian Case Study For personal use only • Canada is our largest single The Generator and Consumable Relationship country market with 13 consecutive years of PAS 50,000 140 growth Technegas Growth - Canada 45,000 • Canada represents a strong 120 Active Generators indicator of USA ac
Slide 15: Evolution of Functional Lung Ventilation Imaging
Evolution of Functional Lung Ventilation Imaging For personal use only • Improvements in 3D imaging techniques, hybrid imaging and the advent of analytical software have dramatically improved the sensitivity and specificity in functional lung imaging with Technegas • Traditionally used in the diagno
Slide 16: Technegas – Global Indication Expansion
Technegas – Global Indication Expansion For personal use only Targeting Chronic Obstructive Additional indication and applications Pulmonary Disease (COPD) market – Asthma, Lung Reduction and CTEPH* Evaluating the effectiveness of Technegas in Technegas can provide the clinician the ability to early
Slide 17: Indication Expansion – Targeting COPD in China
Technegas Indication expansion – Targeting COPD in China For personal use only • The Global incidence of Chronic Obstructive Pulmonary Disease (COPD) is 30x greater than that of Pulmonary Embolism (PE) • By 2030 COPD is estimated to be world’s 3rd highest cause of death • Between 2003 and 2033, it i
Slide 18: Australian Pilot Clinical Trial to Commence
Expanding the use of Technegas Australian Pilot Clinical Trial to Commence For personal use only • Partnership with the University of Newcastle, John Hunter Hospital and Hunter Medical Research Institute • Targeting Clinical Applications in COPD Patients • Clinical Hypothesis: Small airway dysfuncti
Slide 19: Ultralute
UltraluteTM For personal use only Innovative, first-in-class, disruptive, proprietary technology used toFeatures Technical improve radiopharmaceutical manufacturing efficiency and deliver health care cost effectiveness 19
Slide 20: Ultralute Product Overview and Technical Features
UltraluteTM For personal use only Product Overview Technical Features • Disruptive Technology – changes 60 years of • Enables a user to extend the usable life of how radiopharmaceuticals are manufactured a Mo99 Generator • Extends the effective use of Mo99 generator • Allows the user to purchase a s
Slide 21: Ultralute Generational Overview & Mo99 Supply Chain
UltraluteTM Generational Overview & Mo99 Supply Chain For personal use only Molybdenum Manufacturing and Supply Chain • There are over 5,000 Mo99 generators sold worldwide each week. • 50% are sold to Radiopharmacy with U235 Hospitals/Clinics & Radiopharmacies the remaining 50% sold Targets directly
Slide 22: Ultralute 2017 Launch – Targeting Direct Generator Users
UltraluteTM 2017 Launch - Targeting Direct Generator Users of Mo99 For personal use only • UltraluteTM v1 is targeted at the clinical end-user market • The European Mo99 generator market is completely Direct • UltraluteTM registration in the EU has been determined to be a laboratory apparatus • The
Slide 23: 2017 Strategic Priorities and Outlook
2017 Strategic Priorities and Outlook For personal use only Strategic Goals & Guidance Activity Timeframe United States • Commence patient recruitment April 2017 FDA Approval • Complete 10th clinical site installation Q3 2017 • Complete Technegas particulate study 2H 2017 • Submit preliminary report
Slide 24: Appendix Section
For personal use only Cyclopharm Limited Appendix Section • Cyclopharm History • MMI • Growth Opportunities and Key Performance Indicators • Disclaimer 24
Slide 25: Our History
Our History For personal use only 1984 1992 2000 2001 2007 2013 Technegas European markets Vita Life Sciences USFDA Technegas Plus UltraluteTM discovered and established acquires program initiated generator launched technology commercialised Tetley Medical for Technegas established 1985 1995 2000 20
Slide 26: Macquarie Medical Imaging
Macquarie Medical Imaging For personal use only • Joint venture with: • 50% Alfred Health Solutions CT MRI PET • 30% Macquarie University • 20% Cyclopharm • Comprehensive suite of imaging modalities • State of the art research platform • Growth and profitability linked to ramp-up Cardiac CT Ultra-so
Slide 27: Growth Opportunities and Key Performance Indicators
Growth Opportunities and Key Performance Indicators For personal use only Technegas USA • The USA represents the single largest market with half of the world’s nuclear medicine departments located there • Existing market for PE in the USA equates to ~480,000 patients per annum • First priority follo
Slide 28: Growth Opportunities and Key Performance Indicators
Growth Opportunities and Key Performance Indicators For personal use only Ultralute MMI Cyclopet Market • Europe targeted as the Revenue Volumes closely aligned with Molecular Following competition from Penetration primary market to launch the hospital. Continued double Imaging government owned ente
Slide 29: Disclaimer
For personal use only Disclaimer Corporate Head Office Certain views expressed here contain information derived from publicly available sources that have not Cyclopharm Limited been independently verified. Unit 4, 1 The Crescent Kingsgrove NSW 2208 Australia The presentation include certain statemen