Sanuwave Health, Inc. · NASDAQ:SNWV
Sanuwave Health — Investor Presentation (October 2022)
21 slides from Sanuwave Health's investor presentation, Oct 13, 2022
Slide 1: Investor Presentation October 2022
Investor Presentation October, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views with respect to certain current and future events and financial performance. Forward-looking state
Slide 3: Introduction
Introduction 2 FDA Approved Products: SANUWAVE is a commercial stage medical device company in the $45 billion US wound care space Wound care is undergoing a major transition to evidence based medicine This transition is being driven by payors who have assessed efficacy and restructured reimbursemen
Slide 4: Market Opportunity
Market Opportunity Growth Drivers Centers for Medicare and Medicaid Services (CMS) and commercial providers increasingly classifying regenerative technology products as medically necessary Aging population Increase in obesity, diabetes, cancers and autoimmune disorders Trend to move “care to the edg
Slide 5: Transition to Evidence Based Medicine
Transition to Evidence Based Medicine The Wound Care Market is Transitioning to Evidence Based Medicine 1. “Noncontact low-frequency ultrasound therapy in the treatment of chronic wounds: A meta-analysis,” 2011 Driver et al Improved Outcomes Clinical Evidence Improved Reimbursement Increased Usage C
Slide 6: SANUWAVE Advantage
The only 2 FDA approved directed energy devices for wound healing have been consolidated into SANUWAVE UltraMIST 931 ACTIVE UNITS IN FIELD Both units have established reimbursement and CPT codes Strong IP protection: 65 (UltraMIST) and 100+ (DermaPACE) US and international patents granted and filed
Slide 7: UltraMIST Therapy System
UltraMIST Therapy System ® 95% of current SANUWAVE revenues are UltraMIST Indications for use FDA Approved Diabetic Foot Ulcers Pressure Ulcers Venous Leg Ulcers Deep Tissue Pressure Injuries Surgical Wounds A low-frequency, non-contact ultrasound energy delivered through a fluid mist Device never t
Slide 8: dermaPACE System
dermaPACE System ® Great potential for market expansion as data drives wider reimbursement Non-invasive acoustic wave device utilizing proprietary form of high-energy, focused shockwave technology for the repair and regeneration of skin, musculoskeletal tissue and vascular structures Promotes wound
Slide 9: Payor Economics
Per CMS prices at 8.2 week treatment time 2. Graphic from “Effects of non contact low-frequency ultrasound on healing of suspected deep tissue injury: a retrospective analysis” Jeremy S Honaker et al; Int wound J 2012 Recurrence: ~50% of Diabetic Foot Ulcers recur with standard of care. Energy treat
Slide 10: Reimbursement under CPT codes
Schedule 1: Reimbursed under CPT code 97610: “low frequency, non-contact, non-thermal ultrasound, including topical application(s), when performed, wound assessment, and instruction(s) for ongoing care, per day” Schedule 3: Reimbursed under CPT code 0512T “extracorporeal shockwave for integumentary
Slide 11: Unit Economics
dermaPACE Unit Price $47,500 Applicators Per Patient Price $37.50 Wound Kit (Sleeves & Gel) Single Use kits Price $10.40 UltraMIST Unit Price $30,000 Applicators Single Use Price $101.16 TOTAL ESTIMATED GROSS MARGIN: * Pricing reflects manufacturer's suggested retail price (MSRP) 75% Unit Economics
Slide 12: Trials and Manufacturing Capacity
6/30/2021 3/30/2022 6/30/2022 Quarter Variation March-June 2022 YTD Variation 2021-2022 *Trials 44 66 94 42% +113% Trial value $1,510,000 $1,922,500 $3,133,380 63% +108% W2 sales reps 15 12 10 *Awaiting Trial 0 - 96 Value Potential 0 - $3,009,000 Backlog 94 An increase of 113% year-over-year. Manufa
Slide 13: Company Financials
Company Financials Q2 2021 Q1 2022 Q2 2022 YoY growth REVENUE $2.9mm $3.2mm $3.9mm +34% GROSS MARGIN 64% 72% 72% +800bp OPERATING INCOME - $4.1mm - $1.9mm - $2.2mm* 46% reduction in loss *includes ~$1mm in one-time costs from audit compliance, consultants, relocation, and system upgrades 2022 REVENU
Slide 14: Summary
Wound care is undergoing a payor led shift to evidence based medicine and reimbursement. This has aligned incentives for Patients, Payors, and Providers. SANUWAVE is in a prime position to benefit: Approved products protected by strong IP Strong existing reimbursement with room to improve Strong, fo
Slide 15: Appendix
Appendix
Slide 16: Applications Outside of Wound Care
Cosmetic/Aesthetic: (UM/DP) Scar treatment, post surgical, C-section Acne Post Laser peel, Inflamation reduction from facials Applications Outside of Wound Care GI Lesions Cardiovascular Orthopedic: (DP) Joint pain, deep tissue, chiropractic Men’s Health: (DP) Treatment of ED
Slide 17: Kevin A. Richardson, II, CEO
Kevin A. Richardson, II CEO Kevin A. Richardson, II, joined SANUWAVE as chairman of the board of directors in August of 2005 and CEO in 2018. The previous year, he founded Prides Capital LLC and Prides Capital Partners LLC, where he is the managing director. From 1999 to 2003, Richardson was a partn
Slide 18: Intellectual Property
165+ patents including broad foundational patents in technology for forming penetrating shockwaves and in medical use cases. Cover reflector/electrode commination and structure and application to wounds, lungs, bacterial cleansing, and other applications including software, personalized treatment al
Slide 19: Consumables
Consumables Consumables Active Accounts 527 Applicators 25.3 Top 100 Accounts 102.0 Remaining Accounts 7.4 Per Account per Month Per Account per Month Per Account per Month
Slide 20: UltraMIST vs. dermaPACE
UltraMIST dermaPACE Pain free, contact free Treats wound bed Treatments 3X/week Focus on captive patients, hospital and managed care settings, skilled nursing Highly portable device Why use UltraMist vs. dermaPACE? Contact system Treats wound bed and deeper peri-wound area around wound bed Treatment
Slide 21: Advanced Wound Care Continuum
ACUTE WOUND CARE CHRONIC / ADVANCED WOUND CARE Wound Discovery Primary Care Physician Specialist Referral Specialist Treatment Wound Closure Weeks 1-2 Weeks 2-4 Weeks 3-5 Weeks 4-6 Weeks 5-12+ Home Treatment Standard of Care Initial Visit & Treatment Continue Treatment Treatment & Closure Self-clean
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