Novartis Ag · SIX:NOVN
Novartis — Leerink Swann 2012 Global Healthcare Conference
13 slides from Novartis's conference presentation, Feb 15, 2012
Slide 1: Alcon, the Global Leader in Eye Care
Alcon, the Global Leader in Eye Care Stuart Raetzman VP Global Marketing and Area President US, Alcon Leerink Swann 2012 Global Healthcare Conference February 15, 2012 Disclaimer This presentation contains forward-looking statements that can be identified by terminology such as “planned,” “expected,
Slide 2: Eye care is an attractive, high-growth sector
Agenda 2011 Results Key drivers • Surgical • Pharmaceuticals • Vision Care Conclusions 3 | S. Raetzman | Leerink Swann 2012 Global Healthcare Conference | February 15, 2012 Eye care is an attractive, high-growth sector and our new division captures this opportunity Historical sector growth1 Future g
Slide 3: The new Alcon Eye Care Division
The new Alcon Eye Care Division Consumer Health Surgical OTC Ophthalmics Pharmaceuticals Animal Health NIBR NIBR Lens care Integration timeline 2011 2012 Jan Apr Jul Sept Jan Feb CIBA to Alcon Vision Care Integration Planning Ophthalmics to Alcon Falcon to Sandoz Merger Merger Financial TODAY Agreem
Slide 4: Alcon delivered strong operating leverage and Core Return on Sales in 2011
Alcon delivered strong operating leverage and Core Return on Sales in 2011 Pro forma1 Growth (in USD m) 2011 2010 (% USD) (% CC) Net sales 9 949 9 031 10 7 Core operating income 3 490 3 095 13 9 Operating income 1 461 1 181 24 14 Core operating income margin 35.1% 34.3% % Operating income margin 14.
Slide 5: Cataract surgery has diverse growth drivers
Agenda 2011 Results Key drivers • Surgical • Pharmaceuticals • Vision Care Conclusions 9 | S. Raetzman | Leerink Swann 2012 Global Healthcare Conference | February 15, 2012 Cataract surgery has diverse growth drivers Growth in number of cataract procedures Projected global cataract market (in USD bn
Slide 6: Surgical techniques vary by country
Cataract Surgical techniques vary by country Ultrasonic removal of Replacement Phacoemulsification with IOL1 natural lens Population >60 years 2011 Estimated Procedures penetration % Phaco old (millions) cataract procedures >60 years old procedures Brazil 21 533,000 2.6% 67% India 100 5,766,000 5.8%
Slide 7: Advanced technology intraocular lens growth drivers
Advanced technology intraocular lens growth drivers Three interrelated factors drive strategy Portfolio expansion ATIOL1 % of Alcon IOL unit sales2 Increased options through incremental innovation and regulatory approvals 16 14 In EURMEA3, each 1% conversion = Increase penetration and utilization
Slide 8: Broad surgical cataract portfolio
Broad surgical cataract portfolio “Surround the surgeon” and premium strategy Intraocular lenses (IOLs) Equipment Base InfinitiTM vision system AcrySof® monofocal price LaureateTM world phaco system AcrySof® IQ Toric 3x base Addresses astigmatism AcrySof® IQ ReSTOR® Custom packs 5x base Addresses pr
Slide 9: Glaucoma portfolio has several drivers
Glaucoma portfolio has several drivers BAK1-free formulations, combinations, and ex-US sales are key factors Adjunctive therapies ex-US New combination product expected Travatan® portfolio evolution to BAK1-free 2013 US 2014 EU US 1 Benzalkonium chloride 17 | S. Raetzman | Leerink Swann 2012 Global
Slide 10: Acute therapies diversify pharma franchise
Acute therapies diversify pharma franchise Anti-inflammatory Anti-infective Otic Allergy 19 | S. Raetzman | Leerink Swann 2012 Global Healthcare Conference | February 15, 2012 Novartis / Alcon pharmaceutical capabilities: Exceptional alliance of drug discovery and ophthalmic drug development capabil
Slide 11: Alcon's vision care portfolio is positioned to succeed
Agenda 2011 Results Key drivers • Surgical • Pharmaceuticals • Vision Care Conclusions 21 | S. Raetzman | Leerink Swann 2012 Global Healthcare Conference | February 15, 2012 Alcon’s vision care portfolio is positioned to succeed Monthly Contact Lenses Daily Contact Lenses DAILIES® AquaComfort Plus®
Slide 12: Dailies Total 1: Superior comfort for daily disposable contact lenses
Dailies® Total 1™ Superior comfort for daily disposable contact lenses Unmet need Superior S i comfort f t for f daily d il di disposable bl contact lens Key differentiators Highest oxygen transmissibility of any daily disposable lens for exceptional corneal health First water gradient silicon
Slide 13: Alcon: Commercial powerhouse in an attractive sector
Agenda 2011 Results Key drivers: • Surgical • Pharmaceuticals • Vision Care Conclusions 25 | S. Raetzman | Leerink Swann 2012 Global Healthcare Conference | February 15, 2012 Alcon: Commercial powerhouse in an attractive sector Global commercial leadership with strongest sales force Surgical: Mu
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