Covalon Technologies Ltd. · TSXV:COV
Covalon Technologies — Q2 2024 Earnings Presentation
12 slides from Covalon Technologies's earnings presentation, May 29, 2024
Slide 1: Q2 FY'24 Earnings Presentation
TSX-V: COV OTCQX: CVALF info@covalon.com Q2 FY’24 Earnings Presentation May 29, 2024 Brent Ashton – CEO Katie Martinovich – Interim CFO Compassionate solutions designed for patients and made for care providers 1
Slide 2: Forward-Looking Statements and Non-GAAP Financial Information
Forward-Looking Statements and Non-GAAP Financial Information Certain statements included in this presentation may be considered forward-looking statements. These forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, “estimate”, “e
Slide 3: Q2 Results Demonstrate Solid Focus and Execution
Q2 Results Demonstrate Solid Focus and Execution Positive EBITDA of $1.7 million and Adjusted “We delivered a very strong second quarter – a testament to the value that EBITDA of $2.5 million our products bring to our customers and • Achieved through substantial their patients as well as the hard wo
Slide 4: Covalon Has Created Focused Business Platforms
Covalon Has Created 3 Focused Business Platforms Covalon is where where compassion meets innovative technology. Our commitment to transforming healthcare goes beyond technology—it’s about infusing care with empathy, understanding, and a relentless pursuit of excellence Advanced Wound Care Vascular A
Slide 5: Q2 FY'24 Financial Results
Q2 FY’24 Financial Results Q2 Key Financial Metrics Q2 Revenues By Geographies Total Revenue Product Revenue Rest of World $8.41 M $8.39 M 21% 16.1% YoY Growth 37.3% YoY Growth Gross Profit Operating Expenses 63.1% $3.83 M 560 bps YoY improvement YoY reduction of 21.8% Net Income Adjusted EBITDA USA
Slide 6: Q2 FY'24 P&L / EBITDA
Q2 FY’24 P&L / EBITDA Q2 FY’24 Q2 FY’23 Delta Revenue growth led by US Revenue $8.4 $7.2 + 16.1% Product Sales (+54% YoY) Gross Profit (Gross Margin) $5.3 (63.1%) $4.2 (57.5%) + 560 bps Operating Expenses $3.8 (45.4%) $4.9 (67.5%) - 2,210 bps Margin improvement from (% to Revenue) investments in in-
Slide 7: Q2 FY'24 Balance Sheet and Cash
Q2 FY’24 Balance Sheet and Cash Q3 Q4 Q1 Q2 FY’23 FY’23 FY’24 FY’24 Stabilizing cash position Cash $9.2 $8.8 $8.3 $7.3 Net Working $18.6 $16.1 $14.7 $16.9 Capital Strong improvement in Shareholders’ Net Working Capital and Commentary $21.1 $18.8 $17.7 $19.8 Equity Shareholders’ Point 2 Equity Debt $
Slide 8: Building Momentum for an Exciting Future
Building Momentum for an Exciting Future Solid Financial Valued Product Strong Future Position Offerings Growth Potential • Zero debt and stabilized • Our products help to solve • Favorable market trends cash position challenging clinical problems • Robust hopper of • Expanding gross profit opportun
Slide 9: Covalon's Value is Recognized by Leading Health Systems
Covalon’s Value is Recognized by Leading Health Systems Strong relationships with leading Children’s Hospitals Solid progress made with leading providers in the United States and Internationally 9
Slide 10: Summary
Summary Q2 was a strong outcome – the result of great work from the One Covalon team We have line of sight to continuing the momentum of the business – for the remainder of FY’24 and beyond Extensive foundational work initiated - will unlock significant value realization for Covalon 10
Slide 11: Q&A
Q&A 11
Slide 12: Investor Relations Contact Information
Investor Relations Contact Information Brent Ashton Katie Martinovich Chief Executive Officer Interim Chief Financial Officer investors@covalon.com