Fisher & Paykel Healthcare Corporation Limited · NZX:FPH
Fisher & Paykel Healthcare — Investor Day (September 2013)
39 slides from Fisher & Paykel Healthcare's investor day presentation, Sep 23, 2013
Slide 1: Fisher & Paykel Healthcare Investor Day Introduction
Fisher & Paykel Healthcare Investor Day Introduction For personal use only September 2013 Mike Daniell – Managing Director & CEO 1 Agenda - Sydney The Challenge Time Subject Presenters 10:00am Introduction Mike Daniell (MD & CEO) Lewis Gradon (Senior VP - Products & Technology) 10:15am Respiratory &
Slide 2: Health Spending Growing 5%-7% Per Year
Health Spending Growing 5% - 7% Per Year Demographics Driving Growth For personal use only • Population age and weight both increasing – US pop. 65yrs+ to grow ~80% over next 20 years1 – US males 60 -74 yrs, av. weight increased 0.4kg/yr since 19602 • 60% of US healthcare cost is after age 65yrs3 •
Slide 3: Our Opportunities / COPD
Our Opportunities For personal use only Improve patient care and outcomes • Increase • Reduce – effectiveness of care – intensity of care – efficiency of care Lewis Gradon – Senior VP - Products & Technology 8 9 Respiratory and Acute Care Chronic Obstructive Pulmonary Disease (COPD) • 6% of US adult
Slide 4: Respiratory & Acute Care – Invasive Ventilation
Respiratory & Acute Care – Invasive Ventilation Respiratory & Acute Care – Invasive Ventilation For personal use only • Almost always in the ICU • Normal airway humidification is bypassed • Patients are intubated • Mucociliary transport system • Generally unconscious operates • Ventilator breathes f
Slide 5: Surgical / Obstructive Sleep Apnea
Surgical Obstructive Sleep Apnea (OSA) For personal use only • Patients receive CO2 gas to • Temporary closure of airway during insufflate surgical site sleep • Humidification reduces risk of • 2% - 7% OSA adult prevalence1 complications, hypothermia, adhesion and infection • 70%–80% of those affect
Slide 6: Margin Expansion Opportunities
Margin Expansion Opportunities Margin Expansion Opportunities For personal use only Mexico Supply Chain Initiatives • New products, processes • Procurement commissioned in NZ first • Logistics • Subsequent capacity increases – Mexico • Distribution • Currently ~ 25% consumables Manufacturing • Lean
Slide 7: Respiratory and Acute Care Overview
Respiratory and Acute Care Overview Adult Care Continuum For personal use only Subject Presenter Care Continuum and Opportunities Matthew Payton (General Manager, RAC Product Group) • Invasive Ventilation • Noninvasive Ventilation Michelle Muir (Senior Clinical Research Scientist) • Optiflow Product
Slide 8: Predictive Model / Mucociliary Transport Video
Predictive Model Mucociliary Transport Video For personal use only Predictive model of inspired humidity vs. mucosal function vs. exposure time Relationship between level of humidity and mucociliary clearance Williams R et al. Crit Care Med, 1996 28 29
Slide 9: Secretion Quality and Clinical Outcomes
Secretion Quality Clinical Outcomes: Secretions For personal use only Methods • Surgical ICU, n=120 n = 88* n = 32 • Prospective study using an algorithm to choose humidification devices • Patients with bloody secretions, thick Aim tenacious sputum, and core temperature Determine the utility of a hu
Slide 10: Noninvasive Ventilation: Patient Tolerance
Adult Care Continuum Noninvasive Ventilation For personal use only Essential Humidity to Maximise NIV Success 36 37 NIV: Patient Tolerance Clinical opinions on humidified NIV NIV can be an uncomfortable therapy “There is little doubt that failure to humidify gas, even during short that some patients
Slide 11: Humidification Guideline – May 2012
Humidification Guideline – May 2012 Adult Care Continuum For personal use only Recommendations • Active humidification for NIV is suggested to improve adherence and comfort • Passive humidification (HME) is not recommended for NIV as it increases WOB and PaCO2 Restrepo & Walsh 2012; American Associa
Slide 12: Key Mechanisms of Optiflow
Key Mechanisms of Optiflow Key Mechanisms and Benefits of Optiflow For personal use only The combination of Optimal Humidity and Flow provides the 5 Level 3 key mechanisms of Optiflow: Clinical Outcomes Level 2 Physiological Outcomes Level 1 Mechanisms of Action 44 45 Patient and Economic Benefits K
Slide 13: Mucociliary Clearance and Optimal Humidity
Key Mechanisms of Optiflow Optimal Humidity For personal use only 1 Mucocilary Clearance Delivering Optimal Humidity (37 C , 44 mg/L) optimises mucociliary clearance • Improves secretion quality • Maintains mobility of secretions for transport out of the airway • Reduces the risk of respiratory inf
Slide 14: Optimal Flow
Optimal Flow Optimal Flow For personal use only 3 Accurate Oxygen Delivery 4 Washout of Anatomical Deadspace Optiflow Face Mask Optiflow Face Mask This washout effect aims to: • Reduce re-breathing of expired CO2 • Create a reservoir of fresh gas in the upper airway, ready for the next inspiration •
Slide 15: Physiological Outcomes
Physiological Outcomes Key Mechanisms and Benefits of Optiflow For personal use only Compared to standard oxygen therapy, Optiflow: Level 3 • Decreases respiratory rate Clinical • Increases tidal volume Level 2 Outcomes • Increases end expiratory lung volume Physiological • Improves oxygenation Leve
Slide 16: Clinical Outcomes: Emerging Evidence and Homecare
Clinical Outcomes: Emerging Evidence Clinical Outcomes: Homecare For personal use only • Optiflow to avoid escalation to invasive ventilation The clinical utility of long-term humidification therapy in chronic airway disease – Preliminary evidence suggests Optiflow may avert the need for invasive ve
Slide 17: Compelling Cost Reduction
Compelling Cost Reduction For personal use only Case Study: Bon Secours St. Francis Health System, South Clinical objectives Carolina, USA Results Conclusion Proactive use of Optiflow delivered results which could be directly attributed to significant cost savings Joseph Whitten, Director Respirator
Slide 18: Clinical Outcomes: Neonatal High-flow vs CPAP
For personal use only Clinical Outcomes High-flow Nasal Cannulae vs Nasal CPAP for Post- Extubation Respiratory Support of Very Preterm Infants: A Multicentre, Randomised Non-Inferiority Trial Brett J Manley, The HIPERSPACE Trial Team Article in press 68 69 • Clinical Outcomes • Consensus of evidenc
Slide 19: Respiratory and Acute Care Product Portfolio: Evaqua 2
Q&A Respiratory and Acute Care Product Portfolio For personal use only 72 73 Evaqua 2 • Able to deliver all therapies of the Care • High humidity gas can damage ventilators Continuum • Solution is patented Evaqua technology • Can be used with single patient use and reusable consumables • Evaqua 2 al
Slide 20: Noninvasive Ventilation
Noninvasive Ventilation For personal use only • Semi-reusable tube • Primarily for use in developing markets 76 77 78 79
Slide 21: Delivering Optiflow
Delivering Optiflow For personal use only F&P Optiflow Adult Nasal Cannula • Wide bore cannulae designed to deliver high flows without gas jetting • Ergonomically designed for exceptional comfort around the nasal septum • Lightweight and flexible • Mobile condensate is reduced by the unique breathab
Slide 22: Obstructive Sleep Apnea Overview
Q&A Lunch Break For personal use only 84 85 Obstructive Sleep Apnea Obstructive Sleep Apnea Overview Subject Presenter ICON+ Fiona Cresswell (Marketing & Clinical Manager, OSA Product Group) • ThermoSmart • SensAwake Info Technologies Fiona Cresswell (Marketing & Clinical Manager, OSA Product Group)
Slide 23: ICON+ with SensAwake
with SensAwake For personal use only Meeting the changing market needs…. • Simplified user experience – Simplifies equipment set-up and patient instruction • Stylish new colour • Smart clinical technologies – SensAwake – ThermoSmart 88 89 Optimising Patient Comfort SensAwake - Responsive Pressure Re
Slide 24: SensAwake and ThermoSmart
SensAwake......It’s Intuitive! ThermoSmart™ For personal use only • Simulates a sleep technician’s DRYNESS & CONGESTION develops due to dry CPAP air response to prevent disturbance to sleep/make their first CPAP experience a good one HIGH UNDIRECTIONAL INCREASED NASAL • In line with peer-reviewed gu
Slide 25: InfoTechnologies Compliance Monitoring
InfoTechnologies Compliance Monitoring For personal use only • The market is facing increased requirements for compliance monitoring, driven either by Government, Insurer or Physician • There is also increasing need for information after the initial 90 day period 96 97 Evolving, Creating … Simple, F
Slide 26: InfoUSB, InfoGSM, InfoView, InfoSmart Web
InfoUSB InfoGSM For personal use only • Fast, free, web-based • Hands-off solution • The system calls the patient to upload • Daily updates their data • Full compliance and efficacy reporting • Patient can upload data from any internet connected PC 100 101 InfoView InfoSmart Web • Direct from the di
Slide 27: Proactive Compliance Management
Proactive Compliance Management Remote Prescription Management For personal use only Compliant – report and file Non-Compliant - intervene No Data – intervene or wait 104 105 InfoCloud Services Info Technologies Summary • Info Technology solutions deliver simplicity and efficiency • Unique and cost
Slide 28: New Mask Introductions
Q&A New Mask Introductions For personal use only APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP FY13 FY14 108 109 The Brief • An innovative auto-adjusting sealing technology • A nasal mask which optimises ease of use • Fewer parts 110 111
Slide 29: The Technology: RollFit Seal
For personal use only The Technology The RollFit Seal • “Rolls” on the bridge of the nose • Three key components – Adjusts fit automatically, no complicated T-piece 1. RollFit™ Seal adjustments 2. Easy Frame – Minimises pressure on bridge of nose 3. ErgoFit Headgear • Incorporates Integrated Stabili
Slide 30: Overview: AirPillow Seal and Stretchwise Headgear
For personal use only Overview • An advance on our truly revolutionary Pilairo • Small, light (52gms) and visually appealing • Exceptional sealing performance even with movement at higher pressures • Virtually silent with new Q-cover • Two headgear options for increased versatility 116 117 AirPillow
Slide 31: Q-Cover and Adjustable Headgear Alternative
Q-Cover Adjustable Headgear Alternative For personal use only • New Q-Cover diffuses the exhaust flow for virtually silent and draft-free use • More conventional headgear alternative • No sleep disturbance for user or for bed-partner • Still very light and minimalist • Adds flexibility and versatili
Slide 32: The Design Brief
For personal use only The Design Brief • A full face mask that easily integrates with daily life • Minimal parts • Take comfort, seal and easy use to a new level in the full face category 124 125 The RollFit™ Seal The ErgoForm™ Headgear • Thermoformed with additional foam layers which • RollFit Seal
Slide 33: In The Market
For personal use only The ErgoForm™ Headgear The Easy Frame • ErgoForm incorporates Stretch and Non-stretch • One frame - three seal sizes S,M,L Panels • Easy-click seal/frame attachment - effortless • Adjustable Crown Strap assembly after cleaning – Helps enhance mask stability and sizing • Ball an
Slide 34: What else are they saying?
What else are they saying? What else are they saying? For personal use only Simply Seals Simply Desired The percentage of sleep trial patients The percentage of sleep trial patients who would like to use the F&P who reported the overall ‘seal Simplus moving forward performance’ as good or very good
Slide 35: US Sleep Market Overview
Q&A US Sleep Market Overview For personal use only Paul Shearer – Senior VP – Sales & Marketing 136 137 US Sleep Market Overview US Competitive Competitive Bidding Bidding Round 1 & 2 Total US Insured Population Subject Presenter Round 1 9 CBAs 2.3 million beneficiaries* Competitive Bidding Update P
Slide 36: Competitive Bidding
CompetitiveBidding Competitive Bidding Round Round 2 2 CompetitiveBidding Competitive Bidding For personal use only • 100 CBAs 55% of Medicare beneficiaries effective July 1 2013 Review • 45% average reduction, 47% for CPAP* • $202 million in savings in year 1 of the program (RD1, 9 CBAs)* Rates Non
Slide 37: Home Sleep Testing (HST)
HomeSleep Home SleepTesting Testing (HST) (HST) HomeSleep Home SleepTesting Testing (HST) (HST) For personal use only • Currently represents ~25% of total sleep test market • Delivery Models • HST expected to grow over the next 5 years – Traditional Sleep Centers – Most major payers now require pre-
Slide 38: F&P Strategy
F&PStrategy F&P Strategy F&PSales F&P SalesStrategy Strategy For personal use only Provide technology that: • Improves customer business efficiency • Reduces customer operating cost • Increases customer revenue opportunity • Raises barrier to entry Flexible Simple Simple Efficient Efficient Efficien
Slide 39: F&P Mask Strategy / Q&A
F&PMask F&P MaskStrategy Strategy Q&A Q&A For personal use only • Eson – NEW Improve business efficiency • Pilairo – NEW • Info Technology: ICON+, Eson, Pilairo Q, Simplus • Simplus – NEW Reduce operating cost • High level of comfort • Info Technology: ICON+, Eson, Pilairo Q, Simplus Simple • Quick
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