Hls Therapeutics, Inc. · TSX:HLS
Hls Therapeutics — Q3 2024 Earnings Presentation
20 slides from Hls Therapeutics's earnings presentation, Nov 7, 2024
Slide 1: Q3 Fiscal 2024 Conference Call
Q3 Fiscal 2024 Conference Call November 7, 2024 Craig Millian, CEO John Hanna, CFO Brian Walsh, CCO TSX - HLS
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements in this presentation are “forward-looking statements”. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not alwa
Slide 3: Q3 2024: Financial Highlights
Q3 2024: Financial Highlights Revenue: 11% HLS Canadian product sales* $14.1M Adjusted EBITDA: 30% Vascepa net sales* $4.1M 15% Operating expenses Cash from operations: $1.5M $15M Debt repayment *in constant currency John Hanna now permanent CFO; Brian Walsh promoted to Chief Commercial Officer Toro
Slide 4: A New Paradigm in the Treatment of Cardiovascular Risk
A New Paradigm in the Treatment of Cardiovascular Risk Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forward-looking statements, actual results may vary materially; HLS disclaims any duty to update
Slide 5: Continued Growth in Prescribing
1,000 1,500 2,000 2,500 3,000 500 0 2020-02-21 2020-03-21 2020-04-21 2020-05-21 2020-06-21 2020-07-21 2020-08-21 2020-09-21 2020-10-21 2020-11-21 2020-12-21 2021-01-21 2021-02-21 2021-03-21 2021-04-21 2021-05-21 2021-06-21 2021-07-21 2021-08-21 2021-09-21 2021-10-21 2021-11-21 2021-12-21 2022-01-21
Slide 6: HLS Sales Force Now Responsible for Specialists and Primary Care
HLS Sales Force Now Responsible for Specialists and Primary Care Drive new patient starts Increase focus on physician 80% Vascepa prescribers are covered in new model practices with privately insured patients Augment with reimbursement and patient support 90% Vascepa prescribers who have initiated a
Slide 7: New Selling Model is Built for Efficiency and Effectiveness
New Selling Model is Built for Efficiency and Effectiveness 1. Coverage 2/3 Sales force effort on existing prescribers 2. Targeting 3. Focus 1/3 Sales force effort on high potential writers who have yet to prescribe 4. Ownership 5. Flexibility Bringing primary care “in house” should yield $4M in ann
Slide 8: Life-changing medicine for Treatment Resistant Schizophrenia
Life-changing medicine for Treatment Resistant Schizophrenia Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forward-looking statements, actual results may vary materially; HLS disclaims any duty to update
Slide 9: Consistent, Profitable Brand Performance
Consistent, Profitable Brand Performance US$9.4M US$6.8M Revenue Q3 2024 Direct contribution to 8 Adjusted EBITDA Q3 2024 consecutive years of patient growth in Canada since acquired by HLS US$28.0M US$20.4M (up 1.8% in Q3 2024) Revenue YTD 2024 Direct contribution to Adjusted EBITDA YTD 2024 Toront
Slide 10: Clozaril Provincial Strategies Having Impact
Clozaril Provincial Strategies Having Impact Quebec: leverage West: market CSAN support for share growth patient retention through CSAN differentiation Ontario: improve Clozaril utilization amongst TRS patients *Nova Scotia strategy similar to Ontario *New Brunswick strategy similar to western provi
Slide 11: Guidance
Guidance Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forward-looking statements, actual results may vary materially; HLS disclaims any duty to update
Slide 12: 2024 Guidance
2024 Guidance Consolidated Revenue: Adjusted EBITDA: $56.5-57.2M $16-16.7M from from $58.5-59.7M $15.5-16.7M Vascepa expected to make positive contribution to Adjusted EBITDA in Q4 2024 Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forwar
Slide 13: 2024 Guidance & 2025 Preliminary Outlook
2024 Guidance & 2025 Preliminary Outlook 2025 Consolidated Revenue: Adjusted EBITDA: Promoted Product Revenue: $56.5-57.2M $16-16.7M high single digit % growth from from Consolidated Adj EBITDA: $58.5-59.7M $15.5-16.7M growth in mid 20’s % range Vascepa expected to make positive contribution to Adju
Slide 14: Financial Review: Solid Foundation to support our growth
Financial Review: Solid Foundation to support our growth Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forward-looking statements, actual results may vary materially; HLS disclaims any duty to update
Slide 15: Q3 2024: Financial Review
Q3 2024: Financial Review Revenue: $14.1M 3% Excluding royalties 11% Canadian product sales* 30% Vascepa* 1% Clozaril Canada* 15% Clozaril U.S. *in constant currency Toronto Stock Exchange (TSX) - HLS Provided as part of an oral presentation and qualified by such, contains forward-looking statements
Slide 16: Q3 2024: Financial Review
Q3 2024: Financial Review Revenue: $14.1M Operating Expenses 3% Excluding royalties 15% OPEX excluding cost of sales 11% Canadian product sales* 17% Selling & marketing 30% Vascepa 10% General & admin 1% Clozaril Canada 15% Clozaril U.S. *in Canadian dollars Q4 will be the first full quarter of OPEX
Slide 17: Q3 2024: Financial Review
Q3 2024: Financial Review Revenue: $14.1M Operating Expenses Adjusted EBITDA: $4.1M 3% Excluding royalties 15% OPEX excluding cost of sales 55% AEBITDA excluding royalties 11% Canadian product sales* Direct to brand contribution 17% Selling & marketing $6.8M from Clozaril 30% Vascepa ($0.6)M Direct
Slide 18: Strong Balance Sheet
Strong Balance Sheet Summary Balance Sheet & Capitalization De-levering the Balance Sheet (US$ millions) At Dec 31, 2023 At Sept 30, 2024 Made $15M in debt payments in Q3 2024 Cash and Cash Equivalents 22.0 17.5 1 Senior Secured Term Loan and Revolver 88.5 70.0 Have reduced term loan by more than $1
Slide 19: Q3 Summary
Q3 Summary 1 Growth from promoted product portfolio 2 Delivering on our promise to reduce costs 3 De-levering the balance sheet strengthens financials and increases flexibility 4 Actions set HLS up for future growth and profitability Toronto Stock Exchange (TSX) - HLS Provided as part of an oral pre
Slide 20: Q3 Fiscal 2024 Conference Call
Q3 Fiscal 2024 Conference Call November 7, 2024 Craig Millian, CEO John Hanna, CFO Brian Walsh, CCO TSX - HLS