Gentian Diagnostics Asa · OSL:GENT
Gentian Diagnostics Asa — Q1 2024 Earnings Presentation
31 slides from Gentian Diagnostics Asa's earnings presentation, Apr 30, 2024
Slide 1: Q1 24 Presentation
Q1 24 Presentation 30 April 2024
Slide 2: Important notice
Important notice This presentation has been prepared by and is the sole which are subject to risks, uncertainties and other factors with applicable laws and regulations. The Company require responsibility of Gentian Diagnostics ASA (the “Company” that may cause actual events to differ materially fro
Slide 3: Efficient diagnostics for better treatment decisions
Efficient diagnostics for better treatment decisions
Slide 4: Attractive value proposition: fast results at lower cost
Attractive value proposition: fast results at lower cost The IVD market challenge Gentian’s solution High-value benefits Many of the existing, but clinically Gentian converts existing biomarkers relevant biomarkers are available only to the most efficient automated, high- Faster results leading to b
Slide 5: Strategy with focus on profitable sales growth
Strategy with focus on profitable sales growth 7* tests contributing Industry-leading to saving costs and team and knowhow protecting life Team with proven track- USD 1.8bn serviceable record and industry market with 5-10% annual expertise from market growth leading IVD companies Entered partnership
Slide 6: High-impact diagnostics with global commercial traction
High-impact diagnostics with global commercial traction Sales and R&D offices, Sweden HQ, Norway Sales office, US Rep. office, China Total revenue 2023 5Y-CAGR Oslo listing Market cap MNOK 142 30% OSE: GENT MNOK ~600 Note: Market cap as per close on 31 March 2024.
Slide 7: Highlights
Highlights
Slide 8: Strong momentum and positive EBITDA
Strong momentum and positive EBITDA 1Q24 financials and key milestones Highlights ▪ Record sales of MNOK 38.5 in 1Q24, up 22% vs 1Q23 (19% organic growth) Sales Gross margin ▪ EBITDA of NOK 4.8 million in 1Q24 versus NOK -0.5 million MNOK 38.5 53% in 1Q23 +22% vs 1Q23 49% in 1Q23 ▪ Gross margin of 5
Slide 9: Continued high sales growth in line with target
Continued high sales growth in line with target Highlights Sales revenue - geographic split ▪ Sales of MNOK 38.5 in 1Q24, up 22% vs 1Q23 (19% MNOK 1Q24 1Q23 2023 organic growth) ▪ Revenue growth contribution was achieved by all products US 2.9 2.0 8.7 and via all sales channels in the first quarter
Slide 10: Stable cost development
Stable cost development Gross margin % Operating expenses MNOK 1Q24 1Q23 2023 Sales and marketing 6.4 5.4 23.1 expenses 53% 53% Administration expenses 6.0 7.2 25.1 48% 49% 46% 46% 42% Research and 39% 6.1 7.8 36.1 development expenses Total 18.5 20.4 84.3 ▪ Operating expenses ended at NOK 18.5 mill
Slide 11: Improved cash position: NOK +10 million compared 1Q23
Improved cash position: NOK +10 million compared 1Q23 1Q24 balance sheet and cash flow Capital priorities ▪ Cash position 1Q24 increased by NOK 9.6 million Cash Capex compared to 1Q23 MNOK 85.6 MNOK 3.2 ▪ No interest-bearing debt MNOK 76.0 in 1Q23 MNOK 1.1 in 1Q23 ▪ Long-term net working capital/sal
Slide 12: Product update
Product update
Slide 13: Cystatin C
Cystatin C – guidelines support extended growth trajectory Sales of Cystatin C last 2 years (MNOK) ▪ Updated global guidelines released during Growth: +10% 1Q24 expected to further support adoption and usage of Cystatin C 16.5 14.4 14.0 14.9 ▪ Strong product sales growth in the US and 13.6 12.2 Euro
Slide 14: Cystatin C
Cystatin C – revised KDIGO guidelines* recommends increased use of cystatin C Updated guideline emphasises the significance of cystatin C in estimating glomerular filtration rate (GFR) and its role in risk assessment and clinical decision-making in Chronic Kidney Disease (CKD): ▪ Highlights importan
Slide 15: fCAL turbo
fCAL® turbo – continued adoption in central laboratory environments Sales of fCAL® turbo last 2 years (MNOK) Growth: +44% ▪ Sales growth of 44% in 1Q24 vs 1Q23 13.6 13.7 12.0 ▪ Automation and ease-of-use drive continued 11.7 adoption into core laboratory settings 9.5 8.8 9.0 8.1 6.8 ▪ Increased orde
Slide 16: Third-party products
Third-party products – growing customer base and product portfolio Sales of third-party products last 2 years (MNOK) ▪ Growth story continues, recording 31% growth in Growth: +31% the first quarter 2024 versus the same quarter last year 5.8 4.8 4.7 ▪ Growth attained through new customers and new 3.6
Slide 17: Universal regional growth underscores global appeal
Universal regional growth underscores global appeal Sales by region last 2 years (MNOK) US Asia 2.0 2.9 Europe 2.8 1.9 8.9 7.7 ▪ All regions recorded higher sales during the first 2.0 1.5 1.1 5.9 quarter 2024 compared to 2023 with record sales 9.4 7.3 11.5 in Europe and the US with further investmen
Slide 18: NT-proBNP entering the final stages of optimisation
NT-proBNP entering the final stages of optimisation Significant technical advancements and successful upscaling ▪ In the first quarter, significant advancements were achieved in the technical development of the NT- proBNP assay. The stability of the latest prototype formulation is continuously asses
Slide 19: Summary
Summary EBITDA development (MNOK) • Record sales of MNOK 38.5 in 1Q24, up 22% vs 1Q23 4.80 • Gross margin improved to 53% vs 49% in 1Q23 3.27 • Strong improvement of EBITDA to NOK 4.8 million vs -0.5 million in 1Q23 • New KDIGO guidelines recommends increased use of cystatin C -12.99 • NT-proBNP ent
Slide 20: Q&A
Q&A
Slide 21: Appendix
Appendix
Slide 22: P&L highlights
P&L highlights MNOK 1Q24 1Q23 2023 Sales 38.5 31.4 135.2 Cost of goods sold -18.2 -16.0 -70.9 Gross profit 20.3 15.4 64.2 Other revenues 0.8 2.2 7.2 R&D expenses -6.1 -7.8 -36.1 Sales and marketing expenses -6.5 -5.4 -23.1 Administrative expenses -6.0 -7.2 -25.1 Operating profit 2.6 -2.9 -12.8 Net f
Slide 23: Balance sheet highlights
Balance sheet highlights MNOK 1Q24 1Q23 2023 Inventory 36.6 39.1 37.1 Accounts- and other receivables 22.8 22.1 17.0 Cash and cash equivalents 85.6 76.0 87.4 Total assets 186.6 185.4 181.0 Total paid-in equity 314.5 311.4 313.7 Total retained equity -163.1 -157.2 -167.0 Total equity 151.4 154.2 146.
Slide 24: Cash flow highlights
Cash flow highlights MNOK 1Q24 1Q23 2023 Operating activities 2.6 -3.3 15.5 Investing activities -3.2 -1.1 -4.9 Financing activities -1.2 -1.1 -4.6 Changes in cash and cash -1.8 -5.5 6.0 equivalent Cash and cash equivalent at the 87.6 81.6 81.6 beginning of period Cash and cash equivalent at the 85.
Slide 25: Gentian develops and manufactures innovative and efficient diagnostic tests
Gentian develops and manufactures innovative and efficient diagnostic tests IN VITRO DIAGNOSTICS (IVD) GENTIAN DIAGNOSTICS • Tests done on samples that have been • Focused on Immunoassay, the taken from the human body such as largest IVD segment, where an blood. IVD can detect diseases, antibody1 is
Slide 26: Achieved 30% p.a. sales growth last five years
Achieved 30% p.a. sales growth last five years 160 Sales revenue and CAGR Partnerships prove viability of go-to-market model NOKm 140 +30% 135 120 Global distribution agreement for GCAL®, initial roll-out in Europe 100 102 80 Long-standing commercial 83 partnership for Cystatin C 60 63 40 48 Partner
Slide 27: Products targeting important disease groups
Products targeting important disease groups ESTABLISHED PRODUCTS IN MARKET IN PRODUCT DEVELOPMENT DEVELOPMENT Lifestyle Inflammation Pancreas Inflammation Cardiac Kidney disease Inflammation associated & infection deficiency & infection disease diseases Cystatin C Canine CRP fCAL® fPELA® RBP GCAL® N
Slide 28: USD 1.8bn global serviceable market estimated to grow by 5-10% annually next 4-6 years
USD 1.8bn global serviceable market estimated to grow by 5-10% annually next 4-6 years Serviceable Market Total Addressable Total Serviceable Target market share, Gentian’s annual growth rate, Market, USDm Market, USDm unrisked revenue take next 4-6 years Established products 2,220 240* ~25% 30-50%
Slide 29: Dedicated and experienced management team
Dedicated and experienced management team CEO, CFO & COO Consulting Founder CCO CSO VP R&D VP QA & RA VP BD Njaal Dr. Erling Markus Dr. Alexandra Dr. Torsten Anne-Mette Jack Kind Sundrehagen Jaquemar Havelka Knüttel Horsrud Akre Andreassen 20+ years of relevant industry experience across management
Slide 30: Board of directors
Board of directors Hilja Espen T. Kari E. Kjersti Fredrik Ibert Jørgensen Krogstad Grimsrud Thoresen Chair of Board member Board member Board member Board member the Board Hilja Ibert has 25+ years Espen Tidemann Kari Krogstad has Kjersti Grimsrud is Fredrik Thoresen is a of experience from the Jørg
Slide 31: Top 20 shareholders
Top 20 shareholders Shareholder No of shares % Vatne Equity AS 2 110 224 13.68 % Kvantia AS 1 623 368 10.53 % Holta Invest AS 1 228 502 7.97 % Verdipapirfondet Delphi Nordic 975 272 6.32 % Safrino AS 749 700 4.86 % Carpe Diem Afseth AS 554 689 3.60 % Skandinaviska Enskilda Banken AB 444 037 2.88 % J