Slide 1: Ambu the single-use company: Visualization update
Ambu the single-use company Visualization update CEO Juan Jose Gonzalez CFO Michael Højgaard CINO Måns Barsne June, 2019
Slide 2: Agenda
1 Ambu overview and priorities for 2019/20 2 R&D as a competitive advantage and pipeline update 3 Commercial execution 4 Financial guidance 5 Q&A 2
Slide 3: Ambu – the Single-use company
AMBU OVERVIEW AND PRIORITIES FOR 2019/20 Ambu – the Single-use company What makes Ambu unique? Global pioneer Major market Market leading One of the Robust and leader of opportunities – R&D and fastest growing financial single-use 100M annual innovation within companies in position to fund endoscopy
Slide 4: Ambu's transformation into the global leader of single-use endoscopy
AMBU OVERVIEW AND PRIORITIES FOR 2019/20 Ambu’s transformation into the Global leader of single-use endoscopy Endoscopes (‘000s) Sales (DKK m) 750 Overall Visualization Anaesthesia / Patient Monitoring CAGR 560 13% 2,606 364 836 1,584 200 1.770 5% 96 1.479 40 2013/14 2014/15 2015/16 2016/17 2017/18
Slide 5: Significant expansion potential
AMBU OVERVIEW AND PRIORITIES FOR 2019/20 Significant expansion potential Opportunity overview Key points: ▪ Significantly expand near-term addressable market by 30x to 100M units Additional areas using ▪ Full offering including specialty scopes ENT visualization technologies ▪ Expand into diagnostic
Slide 6: Ambu's key advantages in single-use endoscopy
AMBU OVERVIEW AND PRIORITIES FOR 2019/20 Ambu’s key advantages in single-use endoscopy First mover advantage Distinctive R&D and Strongest Dedicated 1%-share points of near-term pipeline salesforce single-use market potential (100M) would endoscopy more than double existing position visualization bu
Slide 7: Building blocks of Ambu's 2019/20 Visualization strategy
AMBU OVERVIEW AND PRIORITIES FOR 2019/20 Building blocks of Ambu’s 2019/20 Visualization strategy Innovation Globalization Capability expansion Talent and Culture ▪ Further enhance R&D ▪ Purposeful expansion of ▪ Global operations network ▪ Strengthening our winning competitive advantage direct sale
Slide 8: Agenda
1 Ambu overview and priorities for 2019/20 2 R&D as a competitive advantage and pipeline update 3 Commercial execution 4 Financial guidance 5 Q&A 8
Slide 9: Dedicated single-use visualization R&D at Ambu
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE Dedicated single-use visualization R&D at Ambu R&D centers Key technology tracks 5 with access to the best global visualization talent Image quality (sensor, light, image processing, tip design, lenses, AI, etc) ~160 Dedicated FTEs and growing D
Slide 10: Significant advantages in visualization core competencies
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE Significant advantages in visualization core competencies Camera technology User insights process – Sensor technology, cables, low cost HD, +1MB sensor, – Ambu DNA to work agile and in an iterative lenses relation to specific user groups Tip design
Slide 11: Our innovation aspiration for the next 3-5 years
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE Our innovation aspiration for the next 3-5 years Deliver industry- Develop full single Develop Build full Artificial Invest in future best visualization use portfolio next-generation Intelligence critical enablers performance (across offering across
Slide 12: Current visualization portfolio
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE Current visualization portfolio X Market opportunity (annual procedures) Commercially available Pipeline Commercially launched products ▪ aScope™ 4 Broncho 1 Pulmonary 5m ▪ VivaSight aView™ 2 Advance ▪ BronchoSampler™ ▪ Slim (US launch May 2019) 2 E
Slide 13: A next-generation monitor platform technology allowing Full-HD quality
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE A next-generation monitor platform technology that allows Full-HD-quality Two offerings that will cover our full portfolio aView™ 2 Advance aBox™ ▪ Compatible with both existing and future scopes ▪ The technology will enable connection to EMR system
Slide 14: Pulmonary: Expanding from a position of strength – New aScope 5
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE 1 Pulmonary: Expanding from a position of strength – New aScope™ 5 Market opportunity: Incremental 2M annual procedures with aScope™ 5 (current market 3M) ▪ All single use benefits (e.g., no cross-contamination, hospital reprocessing, lower cost, al
Slide 15: ENT: Fully focused on commercial launch
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE 2 ENT: Fully focused on commercial launch Market opportunity: 11m procedures Slim ▪ FDA approval of the Slim scope in May 2019 Intervention ▪ The slim version targets 95% of the ENT market ▪ All single use benefits (e.g., no hospital reprocessing, a
Slide 16: Urology: Developing a full portfolio
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE 3 Urology: Developing a full portfolio - ureteroscope is on the product pipeline Market opportunity: 8m procedures (~ 6m Cystoscopy and ~ 2m Ureteroscopy) ▪ Cystoscope (to evaluate urethra and bladder) is a routine use Cystoscope diagnostic scope ▪
Slide 17: Entering GI accelerated by combining Ambu and Invendo technologies
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE 4 + 5 Entering GI accelerated by combining Ambu and Invendo technologies What we got from the Invendo acquisition The two tracks we started to enter in GI Conclusion A Development of a basic line of GI aScopes aScope™ A technology platform for GI Du
Slide 18: Duodenoscope: Ambu's first entry into GI
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE 6 Duodenoscope: Ambu’s first entry into GI Market opportunity: 2M annual procedures (700K in US) DDW showcase ▪ All single use benefits (e.g., no cross-contamination, hospital reprocessing, etc.) ▪ Rapid learning curve / fast adoption expected ▪ Lig
Slide 19: Near-term visualization portfolio
R&D AS A COMPETITIVE ADVANTAGE AND PIPELINE UPDATE Near-term visualization portfolio X Market opportunity (annual procedures) Commercially available Launch plan aScope™ 5 Q4, 2020/21 1 Pulmonary 5m aScope™ 4 Significant aView 2 Advance BronchoSampler™ portfolio expansion Intervention (EU and AUS) ov
Slide 20: Agenda
1 Ambu overview and priorities for 2019/20 2 R&D as a competitive advantage and pipeline update 3 Commercial execution 4 Financial guidance 5 Q&A 20
Slide 21: We will invest DKK 225 million in 2019/20 to maximize growth
COMMERCIAL EXECUTION We will invest DKK 225 million in 2019/20 to maximize the growth potential after 2020 Accelerating commercial infrastructure in 2019/20 Key commercial focus areas to maximize pipeline value and 1 maintain first mover advantage: Significant investment DKK 175 million in sales for
Slide 22: Agenda
1 Ambu overview and priorities for 2019/20 2 R&D as a competitive advantage and pipeline update 3 Commercial execution 4 Financial guidance 5 Q&A 22
Slide 23: We expect 16-19% topline growth in 2019/20 and adjust EBIT margin
FINANCIAL GUIDANCE We expect 16-19% topline growth in 2019/20 and are adjusting our EBIT-margin due to accelerating commercial infrastructure Financial outlook for 2018/19 and 2019/20 Financial year 2018/19 Financial year 2019/20 Financial outlook Old New Old New 2018/19 Endoscopes sold (unit) +750k
Slide 24: What makes Ambu unique
What Pioneering single-use disposable endoscopy makes Major market opportunities to increase penetration worldwide Ambu Market leading R&D and innovation unique Top-tier growth profile Robust financial position 24
Slide 25: Ambu – the single-use company
Ambu – the single-use company