Slide 1: Fourth quarter and full-year 2018 results
Center for Biomarker Research, Graz, Austria Fourth quarter and full-year 2018 results February 5, 2019 Sample to Insight Fourth quarter and full-year 2018 results 1
Slide 2: Forward looking and intended use statements
Forward looking and intended use statements Safe Harbor Statement: This presentation contains both historical and forward-looking statements. All statements other than statements of historical fact are, or may be deemed to be forward looking statements within the meaning of Section 27A of the U.S. S
Slide 3: Agenda
Agenda John Gilardi Introduction VP Corp Communications and IR Peer Schatz Chief Executive Officer Business and financial update Roland Sackers Chief Financial Officer Q&A session ESCV conference, Athens, Greece Sample to Insight Fourth quarter and full-year 2018 results 3
Slide 4: Q4 and FY 2018: Overview
Q4 and FY 2018: Overview 1 Achieved 2018 target for net sales, exceeded on adjusted EPS Q4 and FY net sales Q4 and FY adjusted EPS(1) +6% net sales growth (+6% CER vs. ~+6-7% CER outlook) (In $ millions, at actual rates) (In $ per share) $1.34 adjusted EPS ($1.35 CER vs. ~$1.33-1.34 CER outlook)
Slide 5: Q4 and FY 2018: Financial review
Q4 and FY 2018: Financial review Fourth quarter Full-year In $ millions, unless indicated (Diluted EPS in $ per share) 2018 2017 Change 2018 2017 Change Net sales 403.2 396.9 2% (5% CER) 1,501.8 1,417.5 6% (6% CER) Gross profit margin 66% 66% 67% 65% Adjusted gross profit margin 70% 71% 71% 71% Oper
Slide 6: Q4 and FY 2018: Product type and customer class
Q4 and FY 2018: Product type and customer class Q4 2018 net sales: $403.2 million FY 2018 net sales: $1,501.8 million Sales % % CER % Sales % % CER % (In $ m) change change of sales (In $ m) change change of sales Consumables and related revenues $344 +1% +4% 85% $1,315 +6% +6% 88% Instruments $59 +
Slide 7: Q4 and FY 2018: Geographic regions
Q4 and FY 2018: Geographic regions Q4 2018 net sales: $403.2 million FY 2018 net sales: $1,501.8 million Sales % % CER % Sales % % CER % (In $ m) change change of sales (In $ m) change change of sales Americas $169 -4% -4% 42% $693 +6% +6% 46% Europe / Middle East / Africa $143 +7% +13% 35% $490 +6%
Slide 8: Q4 and FY 2018: Balance sheet and cash flow
Q4 and FY 2018: Balance sheet and cash flow Balance sheet data (As of December 31 ) 2018 2017 Leverage ratio(1) Group liquidity (In $ millions) 1,394 1,017 Net debt (In $ millions) 781 743 3.3 Shareholder equity ratio 46% 50% Leverage ratio(1) 1.4x 1.5x 2.2 1.6 1.5 1.3 1.4 1.1 1.2 Cash flow 0.9 0.9
Slide 9: Sample to Insight portfolio
Sample to Insight portfolio Q4 2018 developments Life Molecular Sciences Diagnostics ✓ Achieved 21% CER full-year 2018 growth QuantiFERON Introduced QuantiFERON-TB Access: Development dedicated to low-resource, high-burden regions ✓ ✓ Achieved 2018 target of >2,300 cumulative placements QIAsym
Slide 10: QuantiFERON
QuantiFERON 2018 highlights Full automation sets new standard for TB testing Achieved goal for 21% CER full-year sales growth QFT Gold Plus Strong guideline expansion driving modern blood test adoption + Hamilton and DiaSorin partnerships for automated TB testing Launch of CE-marked DiaSorin
Slide 11: QIAstat-Dx
QIAstat-Dx 2018 highlights QIAstat-Dx Addressing ~$800 million market opportunity in syndromic testing Over 300 placements following 2018 launch with two panels Differentiation: Ease of use, PCR-based system and cost efficiency U.S. submission done in Q4, plan for 2019 U.S. launch 2019 catal
Slide 12: NeuMoDx
NeuMoDx 2018 highlights NeuMoDx 96 / 288 Entering ~$2.7 billion fully-integrated PCR market segment Late 2018 launch, complements QIAsymphony (modular segment) Differentiation: Speed, random access, walk-away, on-board storage Contingent full acquisition of NeuMoDx: Mid-2019 to mid-2020(1) 2
Slide 13: Next-generation sequencing
Next-generation sequencing 2018 highlights GeneReader NGS System Exceeded $140 million target for NGS sales 2019 target of ~$190 million GeneReader NGS System Gaining share in ~$300 m global benchtop oncology NGS market Offering full menu of cancer gene panels Universal NGS Launch of Q
Slide 14: Assay roadmap
Assay roadmap Selected assay roadmap (2018-2021) 2018 2019 2020 2021 Respiratory Respiratory Meningitis Positive Blood Culture Gastrointestinal Gastrointestinal Oncology Pneumonia QIAstat-Dx Meningitis Positive Blood Culture CLIA Waiver Respiratory Pneumonia GBS CMV FluA&B/RSV CT/NG GAS HIV NeuMoDx(
Slide 15: Precision Medicine
Precision Medicine 2018 highlights N-of-One clinical interpretation services Novartis partnership: CDx for PIK3CA-mutated breast cancers Day One launch readiness with leading clinical laboratories NeoGenomics (U.S.) and SRL (Japan) Strong momentum in immuno-oncology (I-O) Launch of QIAseq
Slide 16: Life Sciences technologies
Life Sciences technologies QIAcube Connect QIAcube Connect New generation of automation for sample processing Based on proven QIAGEN spin columns and chemistry Builds on >8,000 first-generation QIAcube placements Over 3,000 protocols for automation of over 80 kits Digital connections for r
Slide 17: Q1 and FY 2019: Outlook and assumptions
Q1 and FY 2019: Outlook and assumptions As of February 4, 2019 Q1 2019 outlook FY 2019 outlook ~+5-6% CER ~+7-8% CER Adjusted net sales (Prior year: $343.6 m) (Prior year: $1,501.8 m) ~$0.26-0.27 CER ~$1.45-1.47 CER Adjusted EPS(1) (Prior year: $0.26) (Prior year: $1.34) Adjustments to operating inc
Slide 18: Summary
Summary Achieved 2018 guidance with strong performance Delivering sales growth along with efficiency gains Creating dynamic and disruptive Sample to Insight portfolio 2019 outlook for faster sales growth and solid adjusted EPS Chiangmai University Hospital, Chiangmai, Thailand Sample to Insight Four
Slide 19: Appendix
ASCO conference, Chicago, U.S. Appendix Sample to Insight Fourth quarter and full-year 2018 results 19
Slide 20: Q4 2018: Consolidated Statements of Income (unaudited)
Q4 2018: Consolidated Statements of Income (unaudited) Three months ended Three months ended (In $ thousands, except share data) December 31, 2018 December 31, 2017 Net sales 403,173 396,863 Cost of sales 138,419 135,584 Gross profit 264,754 261,279 Operating expenses: Research and development 40,66
Slide 21: FY 2018: Consolidated Statements of Income (unaudited)
FY 2018: Consolidated Statements of Income (unaudited) Twelve months ended Twelve months ended (In $ thousands, except share data) December 31, 2018 December 31, 2017 Net sales 1,501,848 1,417,536 Cost of sales 500,888 494,975 Gross profit 1,000,960 922,561 Operating expenses: Research and developme
Slide 22: Q4 and FY 2018: Reconciliation adjusted results
Q4 and FY 2018: Reconciliation adjusted results In $ millions (Except EPS) Net Gross Operating Pretax Income Tax Net Diluted (unaudited) sales profit income income tax rate income EPS Fourth quarter 2018 Reported results 403.2 264.8 88.3 68.4 -7.5 11% 60.9 0.26 Adjustments Business integration, acqu
Slide 23: Q4 and FY 2018: Currency impact
Q4 and FY 2018: Currency impact Net sales Net sales Currency exposure Change (In $ millions) (CER) (As % of CER sales) (In $ millions) Fourth quarter 2018 U.S. dollar 141.6 141.6 34% 0.0 Euro 106.8 109.6 26% 2.8 British pound 33.4 33.8 8% 0.4 Japanese yen 15.7 15.7 4% 0.0 Other currencies 105.7 114.
Slide 24: 2018: Quarterly and full-year income statement summary
2018: Quarterly and full-year income statement summary (In $ millions, unless indicated) (Diluted EPS in $ per share) Q1 2018 Q2 2018 Q3 2018 Q4 2018 2018 Net sales 343.6 377.2 377.9 403.2 1,501.8 Net sales (CER) 327.3 370.5 387.7 415.0 1,500.5 Gross profit 225.7 253.8 256.8 264.8 1,001.0 Gross prof
Slide 25: 2018: Total net sales overview
2018: Total net sales overview Net sales by customer class (In $ millions at actual rates / Q1 2018 Q2 2018 Q3 2018 Q4 2018 2018 change in actual, CER rates) Sales Act. CER Sales Act. CER Sales Act. CER Sales Act. CER Sales Act. CER Molecular Diagnostics 161 14% 9% 187 11% 10% 189 5% 9% 194 1% 5% 73
Slide 26: Consolidated Balance Sheets
Consolidated Balance Sheets December 31, December 31, December 31, December 31, (In $ thousands, except par value) 2018 2017 (In $ thousands, except par value) 2018 2017 Assets (unaudited) Liabilities and Equity (unaudited) Current assets: Current liabilities: Cash and cash equivalents 1,159,079 657
Slide 27: Consolidated Statements of Cash Flows
Consolidated Statements of Cash Flows Twelve months ended Twelve months ended December 31, December 31, December 31, December 31, (In $ thousands) 2018 2017 (In $ thousands) 2018 2017 (unaudited) (unaudited) Cash flows from operating activities: Cash flows from financing activities: Net income 190,3
Slide 28: Employees as of December 31, 2018
Employees as of December 31, 2018 Europe / Asia Pacific / Total Total Americas Change Middle East / Africa Japan / ROW Q4 2018 Q4 2017 Production 277 656 134 1,067 1,020 5% R&D 231 775 50 1,056 985 7% Sales 559 762 669 1,990 1,883 6% Marketing 77 155 76 308 278 11% Administration 86 322 123 531 491
Slide 29: Abbreviations
Abbreviations Adj Adjusted EUR Euro MP Mycoplasma Pneumonia AIV Avian influenza virus FDA Food and Drug Administration MRSA Methicillin-Resistant Staphylococcus Aureus ALK Anaplastic Lymphoma Kinase FX Foreign exchange MTB Mycobacterium Tuberculosis AML1 Acute Lymphoblastic Leukemia GAAP Generally A
Slide 30: Your contacts
Your contacts Download the QIAGEN IR App John Gilardi Dr. Sarah Fakih Alexandra Koenig Vice President Director Coordinator Corporate Communications and IR Investor Relations Investor Relations Phone: +49 2103 29 11711 Phone: +49 2103 29 11457 Phone: +49 2103 29 11709 +1 240 686 2222 Mobile: +49 152