Cytosorbents Corporation · NASDAQ:CTSO
Cytosorbents — Q2 2021 Earnings Presentation
25 slides from Cytosorbents's earnings presentation, Aug 3, 2021
Slide 1: Second Quarter 2021 Earnings Conference Call
CytoSorbents Corporation Second Quarter 2021 Earnings Conference Call August 3, 2021
Slide 2: Conference Call Participants
Conference Call Participants Moderator: Terri Anne Powers CytoSorbents Corporation Phillip Chan, MD, PhD – Chief Executive Officer Vincent Capponi, MS – Chief Operating Officer and President Kathleen Bloch, MBA, CPA – Chief Financial Officer Efthymios “Makis” Deliargyris, MD, FACC, FESC, FSCAI – Chi
Slide 3: Safe Harbor Statement
Safe Harbor Statement Statements in this presentation regarding CytoSorbents Corporation and its operating subsidiaries CytoSorbents Medical, Inc and CytoSorbents Europe GmbH that are not historical facts are forward-looking statements and are subject to risks and uncertainties that could cause actu
Slide 4: Q2 2021 Operational Update
Q2 2021 Operational Update Phillip Chan, MD, PhD Chief Executive Officer
Slide 5: Q2 2021 Operational Highlights
Q2 2021 Operational Highlights • Received Full FDA IDE approval to begin U.S. STAR-T trial with the DrugSorb-ATR antithrombotic removal system, with first patients targeted for Q3 2021 and study completion expected in 2022 • Delivered >143,000 cumulative CytoSorb cartridges to date, up 43% from 100,
Slide 6: Q2 2021 Financial Highlights
Q2 2021 Financial Highlights • Total Q2 2021 revenue of $12.0M vs. $9.8M in Q2 2020 • Q2 2021 product sales of $11.4M vs. $9.5M a year ago, a 19% increase • Core, non-COVID-19 sales in Q2 2021 grew 38% Y-Y and accounted for 85% of product sales • Blended product gross margins were 82% in Q2 2021 vs.
Slide 7: U.S. COVID-19 Status
U.S. COVID-19 Status Early May 2021 • Rapidly rising new cases in Southern Central/East states. West coast worsening • 97% of new serious infections are in unvaccinated • Highly contagious Delta variant responsible for 83% of new U.S. infections Early August 2021 7 Source: https://www.nytimes.com/in
Slide 8: Worldwide COVID-19 Status
Worldwide COVID-19 Status Early May 2021 Early August 2021 COVID-19 continues to cycle through New surges in U.K., Spain, Portugal, France, countries, driven by new variants (e.g. Delta) Russia, Middle East, SE Asia, South Africa and unvaccinated people Fully Partially Country Vaccinated Vaccinated
Slide 9: 2021 Product Revenue Guidance
2021 Product Revenue Guidance • We expect second half 2021 product revenue to be greater than product revenue in the first half of 2021 • We expect continued strong growth in core underlying non-COVID-19 sales, with at least 30% Y-Y growth in the second half of 2021, as well as at least 30% Y-Y grow
Slide 10: Investing in Key Areas to Drive Growth
Investing in Key Areas to Drive Growth Company 210+ Headcount – Sales Buildout of New Strengthen Logistics Sponsored Marketing, Manufacturing Manufacturing Facility with New Hub Clinical Studies R&D for New Retired Debt Int’l Expansion & Prep for Products & Applications Inventory U.S. Commercializat
Slide 11: Clinical Update
Clinical Update Prioritizing US Marketing Approval and Executing Global Clinical Strategy Efthymios N. Deliargyris, MD, FACC, FESC, FSCAI Chief Medical Officer
Slide 12: Dual Path to FDA Marketing Approval
Dual Path to FDA Marketing Approval STUDY Status Ticagrelor Removal • Full FDA IDE approval to study DrugSorb-ATR received 7/2/2021 • Double blind, RCT to enroll 120 patients at 20 US sites STAR-T • STAR-T study listed on clinicaltrials.gov (NCT04976530) • Renowned study leadership (PIs: Michael Mac
Slide 13: 2021 - Rich in Clinical Milestones
2021- Rich in Clinical Milestones Complementary approach to data generation: RCTs, Registries, Single-arm trials 2021 Q1 Q2 Q3 Q4 STAR-T IDE Submission & Operational Protocol FPI Enrollment RCT Full FDA Approval Readiness Cardiovascular REFRESH II Study Resumption Protocol FPI Enrollment RCT Activit
Slide 14: Q2 2021 Financial Highlights
Q2 2021 Financial Highlights Kathleen Bloch, MBA, CPA Chief Financial Officer
Slide 15: Q2 2021 Comparative Revenue Results
Q2 2021 Comparative Revenue Results Quarter Ended Quarter Ended Y-Y % June 30, 2021 June 30, 2020 Increase Product revenue $11.4M $9.5M 19% Grant income $0.6M $0.3M 140% Total revenue $ 12.0M $ 9.8M 23% • Q2 2021 product sales were $11.4M, a 19% increase over $9.5M in Q2 2020, driven by growth in co
Slide 16: Comparative First Half Revenue Results
Comparative First Half Revenue Results First Half Ended First Half Ended Y-Y % June 30, 2021 June 30, 2020 Increase Product revenue $21.5M $17.7M 22% Grant income $1.1M $0.8M 35% Total revenue $22.6M $18.5M 22% • Product sales for 1H 2021 were $21.5M, a 22% increase over product sales of $17.7M for
Slide 17: Quarterly Product Sales
Quarterly Product Sales $12.0 Product Sales $2.5 $1.7 Core Non-COVID-19 Product Sales COVID-19 Sales $10.0 $2.7 $1.8 $9.7 $2.4 $9.0 $8.0 $8.3 $1.7 $7.5 $ in Millions $7.1 $6.6 $6.5 $6.0 $5.9 $5.7 $5.5 $5.2 $5.1 $4.6 $4.0 $4.4 $4.3 $3.4 $3.0 $2.6 $2.6 $2.0 $2.1 $1.9 $1.6 $1.5 $1.1 $0.8 $0.7 $0.0 Q1 Q
Slide 18: Trailing Twelve Month Product Sales
Trailing Twelve Month Product Sales $50.0 85% $45.0 $43.3 $40.0 80% $35.0 PRODUCT GM % $30.0 $ IN MILLIONS $30.0 75% $25.0 $21.0 $20.0 $17.4 70% $15.0 $10.4 $10.0 $6.0 65% $5.0 $3.4 $0.0 60% Q2 2015 Q2 2016 Q2 2017 Q2 2018 Q2 2019 Q2 2020 Q2 2021 Product Sales Blended Gross Margin, adjusted for non-
Slide 19: Working Capital and Cap Table ($M)
Working Capital and Cap Table ($M) Working Capital as of 6/30/2021 3/31/2021 12/31/2020 12/31/2019 12/31/2018 Current Assets: Cash and short-term investments $65.6 $68.5 $71.4 $12.2 $22.4 Grants and accounts receivable, net 5.8 5.0 5.2 4.5 3.9 Inventories 3.7 3.1 2.7 2.1 0.8 Prepaid expenses and oth
Slide 20: Commercialization Update
Commercialization Update Growing the Core Business Christian Steiner, MD Executive Vice President of Sales and Marketing Managing Director – CytoSorbents Europe GmbH
Slide 21: Quarterly Product Sales
Quarterly Product Sales $12.0 Product Sales $2.5 $1.7 Core Non-COVID-19 Product Sales COVID-19 Sales $10.0 $2.7 $1.8 $9.7 $2.4 $9.0 $8.0 $8.3 $1.7 $7.5 $ in Millions $7.1 $6.6 $6.5 $6.0 $5.9 $5.7 $5.5 $5.2 $5.1 $4.6 $4.0 $4.4 $4.3 $3.4 $3.0 $2.6 $2.6 $2.0 $2.1 $1.9 $1.6 $1.5 $1.1 $0.8 $0.7 $0.0 Q1 Q
Slide 22: COVID Situation Improving
COVID Situation Improving COVID-related challenges are declining: • Access to hospitals and doctors significantly improved • Appointment frequency – Q1: <25%; Q2: <50%; Q3: 50-75% vs. pre-pandemic • High interest for CytoSorb news and information • Increased interest in study/registry participation
Slide 23: Strong Core Sales Growth Expected to Continue
Strong Core Sales Growth Expected to Continue • Core business delivered record Q2 sales with 38% Y-Y growth despite pandemic restrictions • Indications include • Critical Care indications with high cytokine blood levels including septic and non-infectious vasoplegic shock • Cardiovascular indication
Slide 24: Well-Positioned for Sustained, Long-Term Growth
Well-Positioned for Sustained, Long-Term Growth • Strong, experienced management team with continued addition of key talent to support growth initiatives • Well-capitalized to support planned investments in manufacturing capacity, clinical programs and commercialization efforts for the coming years
Slide 25: Q&A Session
Q&A Session CytoSorbents Corporation NASDAQ: CTSO Investor Relations Contact Terri Anne Powers tpowers@cytosorbents.com 25