Slide 1: Investor Briefing
Investor Briefing May 2021 PRESENTED BY PRESENTED BY Brad O’Connor Darren Watson CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER © 2021 Cogstate Ltd. All rights reserved.
Slide 2: Cogstate Digital Brain Health Strategy
Cogstate Digital Brain Health Strategy Market Dynamics & Cogstate Positioning Offering Alzheimer’s therapies progressing Software with recent positive data • Scientific & commercial validation • Proprietary digital assessments Services Large and growing market for digital • scientific & operational
Slide 3: Financial Update 3Q'21 YTD
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M New Contracts Executed $35.9M YTD Up 7% on PCP* • Strong growth in Pharmaceutical R&D spend • Increase in Alzheimer’s disease (“AD”) mix reflecting growing Contracted Backlog $79.7M number of AD clinical trials Up 7% on 2Q’2
Slide 4: Financial Update 3Q'21 YTD: Contracted Backlog
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M Contracted Backlog $79.7M Up 7% on PCP* Record high level of contracted future backlog: • Up 89% on PCP Contracted Backlog $79.7M • Clinical Trials backlog of $55.7m Up 7% on 2Q’21 • Healthcare backlog of $24m Revenue Backlo
Slide 5: Financial Update 3Q'21 YTD: Revenue backlog coverage
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M Revenue backlog coverage Up 7% on PCP* • Beginning of year backlog has represented 52% of final revenue on average over last 5 years. Contracted Backlog $79.7M • Note that FY’19 impacted by low Clinical Trial new contract Up
Slide 6: Financial Update 3Q'21 YTD: Revenue
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M Revenue $22.7m YTD Up 7% on PCP* Record revenue for Cogstate (previous record $21.6m 3Q’18 YTD) • Clinical Trials revenue of $19.8m, up 42% on PCP Contracted Backlog $79.7M • AD investment driving Clinical Trials revenue gro
Slide 7: Financial Update 3Q'21 YTD: Positive Profit Before Tax
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M Positive Profit Before Tax (“PBT”) Up 7% on PCP* • Positive PBT in 3Q21 and FY21 YTD Contracted Backlog $79.7M • Strong Clinical Trials activity and cost management Up 7% on 2Q’21 driving improved margins • Recognition of He
Slide 8: Financial Update 3Q'21 YTD: Operating cash inflow
Financial Update 3Q’21 YTD All figures in US$ New Contracts Executed $35.9M Operating cash inflow $11.9m YTD Up 7% on PCP* • Positive operating cash flow YTD with receipt of Contracted Backlog $79.7M Eisai upfront payment (net $13.8m) in Dec 2020 Up 7% on 2Q’21 • Large skew of invoicing to March, im
Slide 9: Alzheimer's Opportunity in Clinical Trials
Alzheimer’s Opportunity in Clinical Trials Dementia is one of the major causes of disability and dependency among older people worldwide, representing a significant health crisis. Pharma investment in dementia (specifically Estimated dementia cases globally; 50m AD), as measured by the number of new
Slide 10: Alzheimer's Opportunity in Healthcare
Alzheimer’s Opportunity in Healthcare A disease modifying therapy will require early detection of cognitive decline in order to intervene and slow progression – creating a significant global market for scalable and sensitive dementia screening. 320 million people over age 65, key markets only USA: 5
Slide 11: Expanded Eisai partnership takes Cogstate a step closer to realizing its vision
Expanded Eisai partnership takes Cogstate a step closer to realizing its vision Global leaders in development and commercialization of total dementia care ecosystem, from identification to intervention Current Opportunity Potential Future Opportunity Enablers using Cogstate Increasing awareness of T
Slide 12: We have never been closer to the launch of potential disease modifying therapies
Submitted application to FDA 1. Aducanumab: Biogen / Eisai • FDA review date: 7 June 2021 • Monoclonal antibody targeting aggregated We have never amyloid-β • Also submitted applications to regulators in: been closer to the - Europe (announced Oct 2020) and launch of potential - Japan (announced Dec
Slide 13: Business & Financial Outlook
Clinical Trials • Increased activity in Clinical Trials with a shift to remote and digital assessments. • First signing completed under the ERT partnership • A record backlog of US$55.7m as at 31 March 2021. • A strong 4Q21 sales pipeline • Focus on expanding market reach through additional channel
Slide 14: Cogstate Investment Case
Cogstate Investment Case Record revenue pipeline with Significant leverage to an earnings leverage Alzheimer’s treatment • Momentum in Clinical Trials continues to build • There are now a number of potential treatments in (record $55.7m revenue backlog). phase II and III clinical trials and one in f
Slide 15: Appendices
Appendices 15
Slide 16: Restatement of prior period revenue
Restatement of prior period revenue • Due to the significance of the Eisai global licensing agreement, the group announced in its 1H21 results that it had reviewed the application of its accounting policy in respect of revenue relating to the grant of licences, provision of supporting services and t
Slide 17: 3Q21 Contracted Future Revenue grew by 6.6%
Contracted Future Revenue 31-Mar-21 31-Dec-20 VARIANCE FAV/(UNFAV) All results provided in US$ US$ US$ US$ % 3Q21 Contracted Contracted Clinical Trials Revenue 55,673,915 49,668,291 6,005,624 12.1 Eisai License – Global (commercial years 1-5)* 23,191,465 24,224,099 (1,032,634) (4.3) Future Revenue g
Slide 18: Solid 3Q21 and year to date revenue performance
Solid 3Q21 and year to date (YTD) revenue performance • Total revenue YTD of $22.7m a record for Cogstate (previous record $21.6m Mar 2018) • Clinical Trials revenue benefitting from the substantial increase in new sales contracts executed in recent periods. 3Q21 also reflects increased activity at
Slide 19: 3Q21 Cash Flow/Balance Sheet
3Q21 Cash Flow/Balance Sheet • A total cash outflow of -$1.2 million in 3Q21, including a net operating cash outflow of -$1.3 million. • Cash receipts from customers totalled $6.9 million for the quarter. With a series of invoices issued late in the quarter, the trade receivables balance increased f
Slide 20: Cogstate
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