Compumedics Limited · ASX:CMP
Compumedics — Shareholder Meeting (October 2017)
26 slides from Compumedics's shareholder meeting presentation, October 2017
Slide 1: Corporate presentation
Corporate presentation For personal use only September 2016 David Burton – Chairman, CEO dburton@compumedics.com.au David Lawson – Director, CFO dlawson@compumedics.com.au Sleep Diagnostics & Treatment - Neuro Diagnostics - Brain Research - Ultrasonic Blood Flow Monitoring 1
Slide 2: AGM Agenda
AGM Agenda For personal use only Meeting Opens Chairman's Address Ordinary Business Meeting Closes 2
Slide 3: Who is Compumedics?
Who is Compumedics? For personal use only A leading global, innovative developer and manufacturer of medical devices for: Monitoring neurological Ultrasonic monitoring of Diagnosing disorders including long- Highly sophisticated blood flow through the sleep disorders term epilepsy monitoring brain r
Slide 4: FY2017 – Performance Review
FY2017 – Performance Review For personal use only FY17 Revenue (reported) $34.3m, EBITDA (reported) $2.8m, NPAT (reported) $1.3m FY17 FY16 Variance Comment US sales (8) % on PCP and new general and sales Revenue -‐ reported $34.4m $37.5m (8)% leadership now in place, along with new and incrementa
Slide 5: FY2017 – Performance Review
FY2017 – Performance Review For personal use only Core: New general and sales leadership, and sales operational changes now largely in place in US. US sales FY2017 8% below pcp. US business poised for solid FY18 performance. Core: Asia business and China in particular strong with 33% lift in sal
Slide 6: Sales Bridge Chart – FY16 versus FY17
Sales Bridge Chart – FY16 versus FY17 For personal use only 40 35 30 25 20 15 10 5 0 Sales FY16 USA Aust Asia Europe Sales FY17 Fall Base 6
Slide 7: EBITDA movement – FY16 versus FY17
EBITDA movement – FY16 versus FY17 For personal use only 6 Expenses include US non-‐ 5 recurring restructuring costs -‐ $1.2m 4 3 2 1 0 EBITDA FY1 6 Sales Margin Expenses Other Revenues FX EBITDA FY17 Fall Base 7
Slide 8: Revenue Composition at $34.4m
Revenue Composition at $34.4m For personal use only 30 June 2017 By geographic region By product/market Tech. Supply Service; Europe; Items; 9% 10% 22% USA; 31% Brain Blood Flow; 18% Sleep; 37% Brain Res; Asia; 31% Aust; 16% 18% Neuro; 8% Software upgrades 5 to 10% of system sales Compumedics sells
Slide 9: Growth Platform – Core and Step-Out
Growth Platform – Core and Step-Out For personal use only Sales – schemaNc only FY18F FY19F FY20F FY21F FY22F Core -‐ Base Core -‐ Sleep/Neuro (Mid Market) Neuro -‐ MEG Sleep -‐ eHealth (Nexus360 & Somfit) • Step-‐out -‐ NEURO – BRAIN IMAGING – Winning the new MEG* sale with Barrow Neurological
Slide 10: Core Business – Premium Focus
Core Business – Premium Focus For personal use only Neuro Neuro Sleep Brain Blood Diagnostics – Diagnostics - Diagnostics Flow Diagnostics Clinic Research Global market – 250m 1,300m 20m 15m USD pa Compumedics market share 6% <1% 30% 35% (approximate) Aust – 1 Aust – 1 Aust – 1 Aust – 1 Compumedics
Slide 11: Core Business – US impact, profits maintained
Core Business – US impact, profits maintained For personal use only 40,000 6,000 35,000 5,000 30,000 4,000 25,000 3,000 20,000 2,000 15,000 US sales restructure 1,000 and delay 10,000 -‐ 5,000 -‐1,000 -‐ -‐2,000 2011 2012 2013 2014 2015 2016 2017 Revenues EBITDA AUD/USD exchange rate 1.2000 1.03
Slide 12: Core Business – Restored Net Cash Position
Core Business – Restored Net Cash Position For personal use only $m FY11 FY12 FY13 FY14 FY15 FY16 FY17 Cash 1.2 1.1 1.3 1.1 2.2 3.1 4.1 Trade receivables 10.2 8.7 8.1 8.6 9.8 11.9 13.1 Inventories 5.7 5.3 5.5 6.1 5.7 6.5 7.4 Prod. dev’t 4.2 4.0 3.5 2.9 2.7 2.4 2.4 Tax asset 0.9 0.0 0.0 0.0 0.0 0.5 0
Slide 13: Core Business – Adding Mid-Tier Range
Core Business – Adding Mid-Tier Range For personal use only Average Product Used for Bought by selling price Sleep and neurology, high end and Hospitals, doctors USD11,500 to Grael family price sensitive models and service providers USD17,500 Hospitals, doctors Somte PSG Sleep USD10,000 and service
Slide 14: Next Generation Growth – Core and Step-out
Next Generation Growth – Core and Step-out For personal use only Neuro Sleep Neuro Brain Blood Diagnostics – Diagnostics Diagnostics - Imaging Flow Diagnostics Clinic Cloud based sleep Long term epilepsy Leverage existing TCD Leverage CURRY Next generation diagnostic platforms for market penetration
Slide 15: Core Business - Growth Drivers
Core Business - Growth Drivers For personal use only Compumedics/NeuroScan LTEM innovative brain analysis software and high performance amplifiers are unrivalled world class technology We have >20,000 systems installed worldwide. Strong reputation and brand name. Customers like buying from Compumedi
Slide 16: USA Clinical Sales Force Expansion
USA – CMP is number 3 Supplier For personal use only USA Clinical Sales Force Expansion - Indicative More sales representatives = more revenue for both sleep and neurology Past USD4.0m FY2017 to now USD3.2m FY2018 USD7.0m FY2019 USD11.0m 16
Slide 17: China - We are the number Premier Supplier
China - We are the number 1 Premier Supplier For personal use only Compumedics Clients in China Sleep Neuroscience Neuroscan 28 2 Xin Jiang 5 Helongjiang Inner Mongolia 2 Jilin Beijing 88 2 Liaoning Ningxia 23 Qinhuangdao China Sales (invoiced) – USD’s QingHai 3 HeBei 10 3 Tianjin Dalian 2 3 16 12 G
Slide 18: FY18 Update
FY18 Update For personal use only Core business Tracking to guidance – US business remains sluggish but identified business continues to build, focus is on closing for H1 and then full year. Significant European win with EEG at Bleifeld. Asian markets to continue to contribute to growth. MEG Work on
Slide 19: Step out - Brain Imaging: 1st sale secured
Step out 1 - Brain Imaging: 1st sale secured For personal use only Opportunity Market & Competition Plan Outcome CMP’s CURRY brain analysis The MEG market is currently estimated H2 FY17 – secured first CMP plans to sell software is already the gold at about 20 systems a year at an sale to US based a
Slide 20: Step out - eHealth – Cloud Sleep Diagnostics
Step out 2 - eHealth – Cloud Sleep Diagnostics For personal use only Nexus 360 Operational systems have been Compumedics are now Key partners (professional developed for the cloud based approaching being pursued cloud sleep capture, transfer a select group of include web, diagnostics) sold and trans
Slide 21: Directors & Executive Team
Directors & Executive Team Key Management For personal use only David Burton, Ph.D. Executive Chairman, CEO Founder, Tenure 30yrs NED - Mr. Alan Anderson Mr. David Lawson Leading USA Attorney Chief Financial Officer CMP Tenure : 17 yrs & Company Secretary CMP Tenure 18 yrs Mr. Warwick Freeman Kerry
Slide 22: Investor Summary
Investor Summary For personal use only Core business profitable with on-going growth opportunities in key global markets International sales force Compumedics remains expansion, neurology and sleep committed to continuing to market opportunity and earnings deliver superior returns to improvement ini
Slide 23: Ordinary Business
Ordinary Business For personal use only Item 1 Financial Statements and Reports Item 2 Re-election of Director – David Lawson Item 3 Adoption of Remuneration Report (non-binding resolution) 23
Slide 24: Meeting closes
Meeting closes For personal use only Refreshments are available in the main reception area, where additional questions and discussion are encouraged, for those who are interested. 24
Slide 25: Disclaimer
For personal use only Disclaimer This presentation has been prepared by Compumedics Ltd (CMP). While the information in this presentation has been prepared in good faith and with reasonable care, no representation or warranty, express or implied, is made as to the accuracy, adequacy or reliability o
Slide 26: compumedics.com.au
For personal use only compumedics.com.au 26