Microport Scientific Corp. · HKEX:853
Microport Scientific — FY2013 Earnings Presentation
19 slides from Microport Scientific's earnings presentation, March 2014
Slide 1: 2013 Financial Results & Business Update
2013 Financial Results & Business Update Stock Code: 00853(HK) March 2014
Slide 2: Content
Content 2013 Financial Results Business Update *Appendix - Financial Statements 1
Slide 3: Financial Summary 2013
Financial Summary 2013 Highlights Key Financial Summary Revenue: 939m, Y/Y ↑1% RMB: million 2013 2012 Flux Recurring operating profit: 302m, Y/Y ↓15% Revenue 938.7 931.0 1% Cost (178.1) (153.1) 16% - R&D Exp, Y/Y ↑24% (35M) Gross Profit 760.6 777.8 -2% - DES price deduct net off other segment Rev ↑
Slide 4: Financial Performance
Financial Performance Revenue & Gross Margin Net Profit & Net Margin (RMB million) (RMB million) 86% 87% 84% 84% 82% 81% 37% 38% 38% 931.0 938.7 33% 33% 839.8 727.7 16% 560.7 354.0 320.9 485.2 240.1 178.8 186.4 148.5 2008 2009 2010 2011 2012 2013 2008 2009 2010 2011 2012 2013 Revenue Gross Margin Ne
Slide 5: Business Diversification - Revenue Mix for Reference
Business Diversification - Revenue Mix for Reference Revenue by Products (2013) Other cardiovascular devices, 6.1% Endovascular devices, 8.5% (79M) Neurovascular devices, Surgical management, 3.1% (29M) 5.7% New business, Orthopedic devices, 9.1% 0.3% Drug eluting stents, 73.2% Diabetes care and end
Slide 6: Operating Expenses
Operating Expenses Sales and Marketing Cost Administrative Expense Research and Development Cost (RMB million) (RMB million) (RMB million) 18.6% 17.5% 17.7% 18.1% 16.9% 18.2% 19.3% 13.6% 12.7% 16.2% 15.7% 15.4% 11.7% 11.2% 9.9% 9.6% 9.1% 12.2% 173.0 158.6 152.1 129.0 180.7 119.2 104.6 153.0 145.8 98
Slide 7: Business Update
Business Update +] MicroPort LLL $$, 1a Bll | ES JT
Slide 8: Business Update
Business Update 1 Cardiovascular Business 2 Endovascular Business 3 Neurovascular Business 4 Orthopedics Business 5 Electrophysiology Business 6 R&D Pipeline (Incl. CRM) 7
Slide 9: Cardiovascular Business
1 Cardiovascular Business Firebird2 Firehawk Update APA from Cordis Asset purchase agreement on Jan 2014, acquired: Certain DES manufacturing related equipment and machinery; Certain DES-related patents & IP Commercially launched in CFDA approved in Jan, 2014 January 2009 CE submitted in
Slide 10: Endovascular Business
2 Endovascular Business TAA/AAA Market Leadership Products Profile (in terms of units implanted) Castor Branched Aortic Stent-Graft and Delivery System 30% First-in-man Finished in early 2013 Clinical Trial started in 2013 20% Hercules T / Hercules B 10% 0% Medtronic Metronic Cook Others Inter
Slide 11: Neurovascular Business
3 Neurovascular Business Solid Growth of Neurovascular in Revenue Products Already Received SFDA Approval RMB: million 28.7 Willis 20.8 17.5 13.4 Intracranial Stent Graft System 8.6 Received CFDA approval on March, 2013 2.6 2008 2009 2010 2011 2012 2013 Leading Position in Neurovascular stents R
Slide 12: Orthopedic Business
4 Orthopedic Business Milestones Full Range of Products Pipeline 2009 OrthoRecon Spine Trauma • Established Shanghai MicroPort Orthopedics 2010 SLED Uni Knee Spine-Plates Spine-Screws Trauma-Plates Trauma-Nails • Obtained CE Certificates for Knees over 5 products since 2010 2011 • Acquired Suzhou BE
Slide 13: Electrophysiology Business
5 Electrophysiology Business Solid Growth of Electrophysiology in Revenue CE Certification Received in 2013 RMB: million 18.3 FireMagic EasyFinder Radiofrequency Ablation Fixed or adjustable Curved Catheter Mapping Catheter 9.7 5.5 EasyLoop FireMagic 3D Circumferential Pulmonary Saline Infus
Slide 14: R&D Pipeline
6 R&D Pipeline CRM Others JV – with Sorin Agreement in early 2014 Transcatheter Aortic Valve MicroPort 51%, Sorin 49% Implantation system 62m investment in JV Under R&D stage Sales and service of Sorin’s CRM product in greater China Accelerate development of local CRM products IPG – Impl
Slide 15: Appendix I - Consolidated Income Statement
Appendix I - Consolidated Income Statement (RMB '000) 2013 Actual 2012 Actual Revenue 938,682 930,962 Cost of sales (178,118) (153,129) Gross profit 760,564 777,833 Other revenue & net income 45,306 67,898 Research and development costs (180,703) (145,849) Distribution costs (158,638) (172,999) Admi
Slide 16: Appendix II - Consolidated Balance Sheet
Appendix II - Consolidated Balance Sheet RMB'000 31 Dec 2013 31 Dec 2012 Cash and cash equivalents 968,757 413,149 Deposits with banks 341,219 666,275 Trade & Other receivables 383,277 433,890 Inventories 123,070 92,654 Total current assets 1,816,323 1,605,968 Fixed Assets & CIP & Prepay for FA 945,
Slide 17: Appendix III – Condensed Consolidated Cash Flow Statement - Adjusted
Appendix III – Condensed Consolidated Cash Flow Statement - Adjusted (RMB '000) 2013 Actual 2012 Actual Cash generate from operations 411,624 352,250 Income tax paid (54,060) (66,664) Net cash generated from operating activities 357,564 285,586 Net cash (used in)/from investing activities* (287,271)
Slide 18: Disclaimer
Disclaimer •This document is for information purposes only and does not constitute or form part of any offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for any securities of MicroPort Scientific Corporation, and no part of it shall form the basis of,
Slide 19: MicroPort
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