Medicure Inc. · TSXV:MPH
Medicure — Q2 2020 Earnings Presentation
27 slides from Medicure's earnings presentation, Aug 11, 2020
Slide 1: Investor Presentation
Investor Presentation August 11, 2020 Albert Friesen Chair & CEO Neil Owens President & COO James Kinley CFO
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation is for informational purposes only and should not be considered as an offer to buy or sell securities. No stock exchange has either approved or disapproved of the information that is contained in this presentation. This presentation may contain forward-loo
Slide 3: A Heart for Life: WE ARE MEDICURE
A Heart for Life: WE ARE MEDICURE WE partner with healthcare providers to provide value WE define value as: Life-changing medicines and technologies Cost effective products Meaningful clinical engagement WE focus on the heart: commercialization of cardiovascular therapies for the U.S. market
Slide 4: Medicure: Heart Minded Leadership
Medicure: Heart Minded Leadership Dr. Albert Friesen, CEO & Board Chair Founded Medicure in 1997 Created and developed multiple companies, including ABI Biotechnology (now Apotex Fermentation), The Winnipeg Rh Institute and Genesys Venture Inc. Dr. Neil Owens, President & COO Joined Medicu
Slide 5: Medicure: Heart Minded Strategy
Medicure: Heart Minded Strategy Curate a portfolio Core sustainable cash flow positive products Build distribution & brand awareness of new products Evolve the portfolio as product life cycle occurs Manage the curated portfolio Sustain balance sheet strength Maintain sufficient liquidi
Slide 6: Medicure Investment Progression
Medicure Investment Progression Cardiovascular Products for the U.S. Market INTERVENTION PREVENTATIVE THERAPIES AGGRASTAT SODIUM NITROPRUSSIDE ZYPITAMAG
Slide 7: Medicure Investment Highlights
Medicure Investment Highlights Multiple Cardiovascular Products in the U.S. Market Branded • Aggrastat® • Zypitamag™ Generic • Sodium Nitroprusside • 2 more ANDAs in pipeline Financial Strength & Flexibility • Clean balance sheet – no debt • Proven marketing success • Aggrastat patient market
Slide 8: Acute cardiovascular hospital product
Acute cardiovascular hospital product • I.V. platelet inhibitor; binds to GP IIb/IIIa receptor • Indicated for Acute Coronary Syndrome (ACS) • 41% reduction in death and MI in high-risk patients1 • Launched by Merck in 1998 • U.S. rights acquired by Medicure in 2006 • Medicure obtained broader FDA a
Slide 9: AGGRASTAT Hospital Demand
AGGRASTAT Hospital Demand Total Units Sold 35,000 30,000 25,000 Label 20,000 Change Oct 2013 15,000 10,000 5,000 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 10: AGGRASTAT Patient Market Share
AGGRASTAT Patient Market Share 100% Estimated Patient Market Share (GP IIb/IIIa Inhibitors) 80% 65% 60% Aggrastat (tirofiban HCl) Integrilin (eptifibatide) 40% Reopro (abciximab) 20% 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2012 2013 20
Slide 11: AGGRASTAT Net Revenue
AGGRASTAT Net Revenue AGGRASTAT Net Revenue (CDN Millions) Launch of Competitor $35,000,000 Class Generics $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $0 2014 2015 2016 2017 2018 2019
Slide 12: AGGRASTAT Strategic Focus
AGGRASTAT Strategic Focus INVEST in the BRAND • Focus on distinctive advantages and capitalize on new clinical data VALUE PRICING • Segmentation OPTIMIZE DISTRIBUTION • Expense management to extract maximum operating cash flow in a competitive market 12
Slide 13: Zypitamag
ee Zypitamag (pitavastatin) tablets medicure’
Slide 14: ZYPITAMAG (pitavastatin) Overview
ZYPITAMAG (pitavastatin) Overview Novel Statin: Lowers LDL-C & raises HDL-C, with some benefits over other statins Positioning: Considered as a 3rd generation statin, metabolized differently from other statins; one branded competitor (Livalo) Approved by FDA: 2017, via 505(b)(2) pathway Launched: Ma
Slide 15: ZYPITAMAG – Clinical Differentiation
ZYPITAMAG – Clinical Differentiation Key Points Recommended in the most recent ACC/AHA Statin Intensity Guidelines Exchange for other statins because of myalgia (muscle pain) is only 0.5% vs 5-10% typically reported in RCTs* Lower effect on blood glucose compared to Lipitor (atorvastatin) in diabeti
Slide 16: ZYPITAMAG – Patient Groups
ZYPITAMAG – Patient Groups Consult the Zypitamag Prescribing Information to understand the clinical and safety data for Zypitamag in these patient groups Please visit patient.zypitamag.com for more information Please refer to IMPORTANT SAFETY INFORMATION on slide 26 16
Slide 17: ZYPITAMAG – Market Growth Potential
ZYPITAMAG – Market Growth Potential Livalo Market • 0.37% of statin market • Approximately Generic Statin 65,000 Lives Market • Same Target Patient Groups as • 17,500,000 U.S. Lives, Zypitamag 5-10% cannot tolerate their statin • Discontinuation can impact health HIV Population • Goal is to increase
Slide 18: Sodium Nitroprusside Injection
Sodium Nitroprusside Injection Acute Cardiovascular Hospital Product • Indicated for the immediate control of very high blood pressure • Launched in Q3 2019 Please refer to IMPORTANT SAFETY INFORMATION, including BOXED WARNING on slide 27 18
Slide 19: Future Development Pipeline
Future Development Pipeline • 1 ANDA approved for Sodium Nitroprusside • 2 ANDAs in the pipeline for generic cardiovascular drugs On Market Medicure Product and Business Development Pipeline 2020 2020 2020 2020 2021 2021 2021 2021 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 AGGRASTAT ZYPITAMAG Sodium Nitroprusside (AND
Slide 20: Adj. EBITDA and R&D Spending
Adj. EBITDA* and R&D Spending Consolidated Adj. EBITDA (CDN Millions) $12,000,000 Adj. EBITDA R&D Spending $9,500,000 $7,000,000 $4,500,000 $2,000,000 -$500,000 -$3,000,000 -$5,500,000 2014 2015 2016 2017 2018 2019 * The Company defines EBITDA as "earnings before interest, taxes, depreciation, amort
Slide 21: Quarterly Net Revenue
Quarterly Net Revenue Consolidated Quarterly Net Revenue (CDN Millions) $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 22: Apicore Transaction Summary
Apicore Transaction Summary 1. July 2014 – Acquired 5% interest in Apicore with a 3 year option to purchase the remaining shares 2. December 2016 – Increased ownership to 60% with CDN $60 million loan 3. July 2017 – Increased ownership to 92% with Apicore funds 4. November 2017 – Sold Apicore busine
Slide 23: Key Financial Info – MPH: TSXV
Key Financial Info – MPH: TSXV Capital Structure as of August 10, 2020 Basic Total 10,662,313 Fully Diluted Total 12,938,221 Share Price C$1.01 Market Cap C$10.8M Recent Financial Highlights • Q2 2020 Net Revenue $2.7M • Q2 2020 Adj. EBITDA $263,000 • 2019 Net Revenue $20.2M • 2019 Adj. EBITDA (
Slide 24: Thank you
Thank you Contact a Product Specialist Investor Relations 1.800.509.0544 ir@medicure.com 1.888.435.2220 (Ext. 228) For More Information www.medicure.com www.aggrastathdb.com www.zypitamag.com www.medicure.com/reds
Slide 25: Important Aggrastat Safety Information
Important Aggrastat Safety Information Indication: AGGRASTAT is indicated to reduce the rate of thrombotic cardiovascular events (combined endpoint of death, myocardial infarction, or refractory ischemia/repeat cardiac procedure) in patients with non-ST elevation acute coronary syndrome (NSTE-ACS).
Slide 26: Important Zypitamag Safety Information
Important Zypitamag Safety Information IMPORTANT SAFETY INFORMATION FOR ZYPITAMAG (pitavastatin) INDICATIONS & USAGE Drug therapy should be one component of multiple-risk-factor intervention in individuals who require modifications of their lipid profile. Lipid-altering agents should be used in addi
Slide 27: Important Sodium Nitroprusside Safety Information
Important Sodium Nitroprusside Safety Information IMPORTANT SAFETY INFORMATION for Sodium Nitroprusside Injection WARNING - EXCESSIVE HYPOTENSION; Sodium Nitroprusside can cause precipitous decreases in blood pressure. In patients not properly monitored, these decreases can lead to irreversible isch