Cyclopharm Limited · ASX:CYC
Cyclopharm — Shareholder Meeting (May 2008)
34 slides from Cyclopharm's shareholder meeting presentation, May 2, 2008
Slide 1: Cyclopharm Limited Annual General Meeting
For personal use only Cyclopharm Limited Annual General Meeting 1 May 2008
Slide 2: Chairman's Welcome
Chairman’s Welcome For personal use only Welcome to the Annual General Meeting of Cyclopharm Limited 2
Slide 3: Agenda
Agenda For personal use only Business Managing Director’s Review Question Time Close 3
Slide 4: Proxy Summary
Proxy Summary For personal use only Resolution Business For Against Abstain 1 Remuneration Report 65,461,653 56,814 5,000 2 Election of Director 46,683,828 - 18,839,639 3 Dividend Reinvestment 65,468,961 28,819 25,687 Plan *Includes Open Useable Proxies that have instructed the Chairman to vote on t
Slide 5: Agenda
Agenda For personal use only Business Managing Director’s Review Question Time Close 5
Slide 6: Highlights
Highlights For personal use only ; Strong balance sheet ; Strong trading cashflow ; Development and implementation of Molecular Imaging division progressing well ; Strong underlying performance of the Technegas division ; Future growth of the business underpinned by capital investment by customers i
Slide 7: Mission
Mission For personal use only Our aim is to be the leading nuclear medicine company in the region 7
Slide 8: Nuclear Medicine
Nuclear Medicine For personal use only Nuclear Medicine relies on diagnostic radiotracers to detect and monitor various disease states for oncology, cardiology and neurology. Key characteristics: Non invasive (provides a view of the “inside” without surgery) Safe, painless, cost effective Provides i
Slide 9: Molecular Imaging
Molecular Imaging For personal use only Nuclear medicine is experiencing significant growth driven by PET Positron Emission Tomography (“PET”) allows physicians to differentiate between healthy and diseased tissue and therein: Detect cancer more accurately Detect cancer earlier than conventional met
Slide 10: Molecular Imaging: PET Central Pharmacies
Molecular Imaging For personal use only PET Central Pharmacies New South Wales Construction of the first PET Central Pharmacy has commenced at the Macquarie-Dalcross Private Hospital in North Ryde, New South Wales. Victoria Purchased site and completing design for a purpose built PET Central Pharmac
Slide 11: PET Pharmacy – Greater Sydney
Molecular Imaging For personal use only PET Pharmacy – Greater Sydney 11
Slide 12: PET Pharmacy – Greater Melbourne
Molecular Imaging For personal use only PET Pharmacy – Greater Melbourne 12
Slide 13: Molecular Imaging: Industry Developments
Molecular Imaging For personal use only Industry Developments Major industry participants developing molecular imaging strategies – the development of PET/CT capable machines continues to influence market in a positive way Industry submission to Government to expand the number of indications for reb
Slide 14: Industry Developments (continued)
Molecular Imaging For personal use only Industry Developments (continued) In 2001 - 15 indications approved for rebate for 7 camera’s In 2005 any institution that met government guidelines could claim 3 rebates In 2007 government widened eligibility criteria and extended existing agreement until 30
Slide 15: Financial Analysis
Financial Analysis For personal use only Full Year ending 31 December 2005 2006 2007 Sales Revenue $'000 8,806 10,332 11,128 NPAT $'000 1,582 2,028 1,131 EPS cents 1.48 1.87 0.83 Strong annual sales growth and strong cash flow EPS negatively impacted by: Delay in regulatory approval in key growth ma
Slide 16: Financial Analysis: Balance Sheet Summary
Financial Analysis For personal use only Balance Sheet Summary 31 December 2007 31 December 2006 Strong Balance Sheet Cash and receivables 5,183,393 4,848,450 Inventory 2,348,074 2,013,488 Working capital increase 119% Other 232,262 148,606 Total Current Assets 7,763,729 7,010,544 Current liabilitie
Slide 17: Financial Analysis: Sales Revenue
Financial Analysis For personal use only Sales revenue $millions 12 10 Cyclopharm expects growth in Technegas 8 sales revenue to 6 continue 4 2 0 2002 (a) 2003 (a) 2004 (a) 2005 (a) 2006 (a) 2007 (a) Technegas Generators and other Patient Administration Sets Total Revenue from sale of products Linea
Slide 18: Financial Analysis: Regional Analysis
Financial Analysis For personal use only $1.01 m Regional Analysis $0.93 m $0.26 m Dec 05 Dec 06 Dec 07 Strong growth in Europe from France, Generators PAS Germany and other European countries Germ any revenue $2.55 m $2.27 m $1.34 m 2005 2006 2007 France, PAS Revenue $3.49 m $3.35 m $3.30 m 2005 20
Slide 19: Regional Analysis: Canada and Asia
Financial Analysis For personal use only Regional Analysis $1.1 m $0.8 m Canada continues to be our star performer $0.6 m with revenue growth 38%.We expect continued growth of 30% in 2008. 2005 2006 2007 Canada, PAS Revenue We expect further recovery and continued growth in Asian markets 19
Slide 20: Variance Analysis to Prior Year
Financial Analysis For personal use only Variance Analysis to Prior Year Full Year Ending 31 December 2007 2006 Variance Sales volume Generators (sold) 113 89 24 Patient Administration Sets 176,700 166,950 9,750 Sales revenue Generators 2,825,405 2,234,684 590,721 Patient Administration Sets 8,302,8
Slide 21: Financial Analysis: 2007 and 2006 Comparison
Financial Analysis For personal use only 2007 2006 Comparison of 2007 and For the year ended 31 December $ $ 2006 results impacted by: Technegas Division Revenue 11,143,379 10,331,832 Profit before income tax 2,642,767 2,665,360 Technegas continues to grow but impacted by one off costs Molecular Ima
Slide 22: Cost of Materials Variance Analysis
Financial Analysis For personal use only Cost of Materials Variance Analysis Full Year Ending 31 December 2007 2006 Variance Cost of materials and manufacturing (3,121,919) (2,858,063) (263,856) Whilst the cost of raw materials to manufacture generators increased 14% overall margins from the sale of
Slide 23: Operating Expenses Variance Analysis
Financial Analysis For personal use only Operating Expenses Variance Analysis Full Year Ending 31 December 2007 2006 Variance Legal Patent & Other (845,650) (486,766) (358,884) One off Legal Patent & Other expenses (288,585) Increase Audit, compliance and shareregistry costs (62,253) Other (8,000) (
Slide 24: Cash Receipts
Financial Analysis For personal use only Cash Receipts $ 1 0 .5 1 m $ 9 .1 3 m Cyclopharm continues to generate strong $ 7 .3 8 m positive cash flow 2005 2006 2007 O p e r a t in g c a s h r e c e ip t s u p 1 5 % 24
Slide 25: Q1 2008 Result
Q1 2008 Result For personal use only For the 3 months ending 31 March 2007 2008 $'000 $'000 Sales revenue 2,018 2,038 OPEX (1,377) (1,133) EBIT (391) 192 Cyclopharm expect strong sales and profit from Italy, Russia, Canada, France, Germany et al by year end. 25
Slide 26: Comment on Year End Forecast
Comment on Year End Forecast For personal use only Another record sales year is expected Strong positive cash flow Technegas continues to grow Molecular imaging continues to develop Certain 2007 costs are non-recurring (e.g. new product registration and name change) Year end EBIT forecast of $2.0+ m
Slide 27: Business Initiatives: New Drug Application
Business Initiatives For personal use only New Drug Application (NDA) Phase III clinical trials finalised in October 2007 Certus International together with Dr Robert Wolfangel are preparing our NDA submission Submission of NDA scheduled for June 2008 Approval expected in late 2009 27
Slide 28: Business Initiatives: Italy and Russia
Business Initiatives For personal use only Italy Registration of medical reimbursement received in December 2007. Significant sales growth expected in 2008. Russia First sales of Technegas to a luminary nuclear medical site in Russia. There are in excess of 700 nuclear medicine sites in Russia. Sign
Slide 29: Business Initiatives: Brazil and Mexico
Business Initiatives For personal use only Brazil Pursuing regulatory approval in Brazil which has 350 nuclear medicine sites - approval delayed expected in 1H2008. Mexico Achieved regulatory approval in Mexico. Three generators have been sold. 50 nuclear medicine sites in Mexico City. 29
Slide 30: Business Initiatives: Asia and Other
Business Initiatives For personal use only Asia We achieved 62% growth in Asia for PAS. We will continue to invest in developing Asian markets Other We continue to develop our new markets in Tunisia and Oman, Panama, Dominican Republic, Columbia, Peru and Venezuela. We have made inroads into Argenti
Slide 31: Management
Management For personal use only Cyclopharm has entered the next phase of development Mr Sharman intends to step aside from his role as Managing Director but will continue as a non-executive director A Managing Director with radiopharmaceutical experience has been identified and the Board is hoping
Slide 32: Conclusion
Conclusion For personal use only Focus on NDA submission to sell Technegas in United States Construction of PET Pharmacy in North Ryde, NSW has commenced Another record sales year expected New Managing Director with radiopharmaceutical experience to commence in 2008 Radiopharmaceuticals improve the
Slide 33: Agenda
Agenda For personal use only Business Managing Director’s Review Question Time Close 33
Slide 34: Agenda
Agenda For personal use only Business Managing Director’s Review Question Time Close 34