Quanterix Corporation · NASDAQ:QTRX
Quanterix — Q1 2020 Earnings Presentation
34 slides from Quanterix's earnings presentation, May 5, 2020
Slide 1: Q1 2020 Earnings Call
Q1 2020 Earnings Call Kevin Hrusovsky & Amol Chaubal May 5, 2020
Slide 2: Forward-Looking Statements & Non-GAAP Financial Measures
Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend" and similar expressions (as wel
Slide 3: Today's Agenda
Today’s Agenda I. Strategic and Financial Progress – Kevin Hrusovsky – Chairman, CEO i. Q1 2020 Highlights ii. Vision and Strategy – Executional / Aspirational value creation – Navigating COVID-19: Neuro + Near-term CAC PIVOT iii. Beyond COVID-19 II. Financial Report – Amol Chaubal – CFO III. Q&A Q1
Slide 4: Continuing our journey into 2020, despite COVID-19 Headwind
Continuing our journey into 2020, despite COVID-19 Headwind Further pivoting our focus to COVID/ID to drive breakout performance PUBLICATIONS* MARKERS* Accelerator (Trials & Revenue) Instrument Placements Total Revenue $m * Cumulative $m Revenue # of units placed Q1 330 Number of Drug Trial Projects
Slide 5: Q1 2020 Growth Led by Lab & Other services
Q1 2020 Growth Led by Lab & Other services Q1 2020 Q1 2019 YoY Q1 Revenue growth +27%, despite Revenue ($million) Growth install-base overhaul and COVID-19 impact US GAAP $15.7 $12.3 +27% Includes $0.9m from large, one-time Early steps taken to protect employees customer study and implement resi
Slide 6: Q1 2020 Growth Stratification
Q1 2020 Growth Stratification 0% 4% 17% 19% Geography 48% 50% Customer 50% Diseases 35% 77% Growth Growth Growth NA -5% Pharma/Biotech CRO -5% Neurology -5% Europe +4% Academia Oncology -8% +7% Asia +29% Others +29% Inflammation & Infectious Diseases Q1 2020 Earnings Call | May 5, 2020 | 6
Slide 7: Convergence of Technology and Healthcare
Convergence of Technology and Healthcare Late : Invasive Digital Biomarkers Revolution Early : Non-Invasive Q1 2020 Earnings Call | May 5, 2020 | 7
Slide 8: Evolution of Immunoassay
Evolution of Immunoassay Simoa® enables quantitative digital proteomics 1970-’00 RSU IVD (nanogram / ml) 1300 205 Proteins Proteins 2000-’14 LoD (picogram / ml) Comparison Sensitivity Increase +3,000X Assay 2014+ (femtogram / ml) 1000x More sensitive RSU IVD 10,500 1000 Proteins Proteins Concentrati
Slide 9: Compelling and Rare Investment Thesis
Compelling and Rare Investment Thesis Digital Proteomics Disruption EXECUTION ASPIRATION Low Risk Research High Value Diagnostics & Health Screens Short to Mid-term: 2 – 3x Mid to Long-term: 10 – 15x “High Probability” Drug Development “Liquid MRi” for Brain, Serology & “Liquid Biopsy” Strong cash
Slide 10: Capture Major Market Opportunity
Capture Major Market Opportunity EXECUTION ASPIRATION $1B - $4B: Research $40B+ Diagnostics Market Growth ~10% p.a. Oncology / Immunology Other HD-X Luminex (55% Share) Immunoassay & MSD (17%) HD-X Diagnostics Others (28%) (Inflammation, etc.) SP-X & Neuro $12bn Disruptive HD-X & SP-X SR-X Diagnosti
Slide 11: Neuro + Near-term CAC PIVOT
Neuro + Near-term CAC PIVOT COVID-19 / ID Accelerator Services China Catalyzed PPH global ecosystem: Expanded capacity and capabilities of Accelerate growth as people return to work: Accelerator Laboratory services to: • Measure total immune response • Drive rapid adoption in COVID-19 • Overcome cus
Slide 12: COVID-19 Active Collaborations
COVID-19 Active Collaborations PPH Network enabling worldwide outreach Q1 2020 Earnings Call | May 5, 2020 | 12
Slide 13: COVID-19 High Resolution Test Suite: The Complete Picture
COVID-19 High Resolution Test Suite: The Complete Picture Catalyzing PPH Ecosystem to Accelerate Commercialization 1 3 2 Innate Immune Response Viral Load Adaptive Immune Response – Serology • Cyto/Chemokines; HDX, SRX, & SPX • Blood & saliva; HDX & SPX • High Def; HDX: EUA & HDX / SPX: RUO • Cytoki
Slide 14: Measure Innate Immunity Dysfunction
Measure Innate Immunity Dysfunction Cytokine Storm radar system Ultra sensitive cytokine & chemokine panels to help anticipate & manage immune dysregulation IFNα IL-10 CorPLexTM Cytokine Panel: IL-6 Biomarker dynamics to predict IFN-γ, IL-1β, IL-4, IL-5, IL-6, IL-8, TNFα IL-10, IL-12p70, IL-22, TNFα
Slide 15: QTRX COVID-19 High Definition Serology Panel
QTRX COVID-19 High Definition Serology Panel IgM 1st circulating Immune response Ab, rapidly declines Susceptibility and IgG Most recurrence risk abundant, • Comprehensive immunity: IgG 1st & can add IgM / IgA long-term immunity • First quantitative IgG test in serum/plasma in development Early vira
Slide 16: COVID-19 High Resolution Immune Response
COVID-19 High Resolution Immune Response Quantitative Assays Deliver High Definition Immune Response Signature 1 Innate Immune Response 3 Viral Load 2 Adaptive Immune Response • Simoa COVID-19 Cytokine & • Direct viral detection in Profiling Chemokine panels for cytokine blood & saliva to support •
Slide 17: COVID-19 High Resolution Immune Response
COVID-19 High Resolution Immune Response Quantitative Assays Deliver High Definition Immune Response Signature 1 Innate Immune Response 2 Viral Load 3 Adaptive Immune Response • Simoa COVID-19 Cytokine & • Direct viral detection in Profiling Chemokine panels for cytokine blood & saliva to support •
Slide 18: COVID-19 High Resolution Immune Response
COVID-19 High Resolution Immune Response Quantitative Assays Deliver High Definition Immune Response Signature 1 Innate Immune Response 2 Viral Load 3 Adaptive Immune Response • Simoa COVID-19 Cytokine & • Direct viral detection in Profiling Chemokine panels for cytokine blood & saliva to support •
Slide 19: COVID-19 High Resolution Immune Response
COVID-19 High Resolution Immune Response Quantitative Assays Deliver High Definition Immune Response Signature 1 Innate Immune Response 2 Viral Load 3 Adaptive Immune Response • Simoa COVID-19 Cytokine & • Direct viral detection in Profiling Chemokine panels for cytokine blood & saliva to support •
Slide 20: COVID-19 High Resolution Immune Response
COVID-19 High Resolution Immune Response RUO Quantitative Assays Deliver High Definition Immune Response Signature 1 Innate Immune Response 2 Viral Load 3 Adaptive Immune Response • Simoa Cytokine & Chemokine • Direct viral detection in Profiling panels for cytokine storm signatures, blood & saliva
Slide 21: Commercial CAC - Pivot Plan
Commercial CAC - Pivot Plan COVID19 Immune Response, Drive Accelerator and Expand China footprint Program Pivot Plan • PPH Direct ID customer outreach in hot zones (42 meetings in April) • Optimized lead gen process and leverage PPH webinar catalyst COVID • Cytokine storm Radar and drugs, vaccine an
Slide 22: Quanterix Product Offerings
Quanterix Product Offerings Instruments Assay kits Services Bead based Planar HD-X SR-X SP-X Plate Bead Accelerator List Price: $200k List Price: $75k List Price: $75k 300+ assays Contract research 255+ Installed @ YE 2019 120+ Installed @ YE 2019 15+ Installed @ YE 2019 (200+ HD-1s, 55+ HD-Xs) Home
Slide 23: Addressing a Significant Unmet Need in Drug Development
Addressing a Significant Unmet Need in Drug Development DRUG PERFORMANCE PROBABILITY OF DRUG APPROVAL VALIDATION OF SIMOA IMPACT TOXICITY 300% Instruments at Projects at CROs Quanterix 116 Adverse drug events are a substantial cause of Death in USA increase if biomarkers are used EFFICACY Hematology
Slide 24: FDA Supporting Biomarkers for Drug Development
FDA Supporting Biomarkers for Drug Development 1 Issued guidance to use biomarkers for drug approvals Neuro health is national Priority: 2 - veteran PTSD Drug makers - opioid addiction discouraged by lack of Rapid adoption - rapid AD ramp returns and subjective - mental issues cognitive endpoints -
Slide 25: Blue Chip Customers
Blue Chip Customers 2019 2018 2017 2016 2015 2014 Research Institutions Biopharma CROs & Other Q1 2020 Earnings Call | May 5, 2020 | 25
Slide 26: Nf-L Rapidly Expanding as Best In Class Neuro Biomarker
Nf-L Rapidly Expanding as Best In Class Neuro Biomarker PEER-REVIEWED PUBLICATIONS ON Nf-L 160 Simoa Nf-L Nf-L PUBLICATIONS NFL PUBLICATIONS Key meeting Abstracts and presentations 60 25 2015 140 Our Focus 50 2016 20 2017 40 PubMed Citations 120 2018 30 42 MS Nf-L 15 134 Nf-L 49 clinical trials clin
Slide 27: Unlocking rich clinical potential of Nf-L
Unlocking rich clinical potential of Nf-L Active Interventional Studies Total Clinical Studies using Nf-L Nf-L in Active Interventional Studies Study Phases & Disease Area Academic / Govt. Funded Completed, Observational Phase 4 Others Studies using NfL Pharma / Biotech Completed, Interventional Pha
Slide 28: Serum Nf-L Powering Major Drug Trials
. Serum Nf-L Powering Major Drug Trials $22B Market – 16 drugs Relaps e Right Drug? Drug Trials • Phase III ASCLEPIOS I/II trials • Nf-L used as secondary endpoint, reduction after 3 months Drug Selection • Phase III OPERA I/II AND ORATORIO trials: Nf-L lowered to healthy. • Ocrevus: $1.75B sales, h
Slide 29: Neurofilament light chain (Nf-L): From Promising Biomarker to Clinically-relevant Tool
Neurofilament light chain (Nf-L): From Promising Biomarker to Clinically-relevant Tool Multi-site analytical validation study: Large normative study ongoing 5 NA and 12 EU sites 11,000 healthy controls, >18,000 samples Evidence of Evidence neuronal of damage neuronal damage Illustrative ranges Nf-L,
Slide 30: 2020 Objectives
2020 Objectives Revised in-light of COVID-19 Neurology Oncology/ ID COVID-19 Strategy Financials Technology 3yr Growth: 30-40% High double digit growth Develop Solutions for Oncology KOL Ecosystem IVD partnerships High-Resolution COVID- Gross Margin: +200 bps 40% 50%+ utilization 100x sensitivity in
Slide 31: Q1 2020 Financial
Q1 2020 Financial In $m GAAP Non-GAAP* * $m Q1 Revenue Q1 2019 Q1 2020 Q1 Q1 Q1 Q1 +107% -1% 1x Study Revenue 2020 2019 2020 2019 Instruments 3.8 3.4 3.8 3.4 6.1 6.1 5.8 +10% 0.9 Growth vs. PYR 10% 10% 3.8 3.4 Consumables 6.1 6.1 6.1 6.1 2.8 Growth vs. PYR -1% -1% Services 5.8 2.8 5.8 2.8 0.0 0.1 In
Slide 32: Poised to Disrupt Healthcare and Create Significant Value
Poised to Disrupt Healthcare and Create Significant Value Execution: 2 – 3x value creation Aspirational: 10 – 15x value creation Differentiator Value Best in 1 Category-defining; Unrivaled Sensitivity / Technology Disrupt Class 2 $3B to New Methodical market penetration strategy to reward investors
Slide 33: Appendix
Quanterix APPENDIX
Slide 34: Reconciliation of non-GAAP Financials
Reconciliation of non-GAAP Financials in thousands (unaudited) 2020 2019 Three months ended March 31 Total revenue $ 15,727 $ 12,337 GAAP Gross profit $ 6,813 $ 6,007 Acquisition-related purchase accounting charges (Note 1) $ 820 — Non-GAAP gross profit $ 7,633 $ 6,007 GAAP gross margin % 43.3% 48.7