Gentian Diagnostics Asa · OSL:GENT

Gentian Diagnostics Asa — Q3 2024 Earnings Presentation

33 slides from Gentian Diagnostics Asa's earnings presentation, Oct 31, 2024

  1. Slide 1: Q3 24 Presentation

    Q3 24 Presentation 31 October 2024

  2. 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

  3. Slide 3: Efficient diagnostics for better treatment decisions

    Efficient diagnostics for better treatment decisions

  4. 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

  5. Slide 5: Proven business model with focus on profitable sales growth

    Proven business model 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 Entere

  6. Slide 6: Long-term ambitions rooted in recent progress

    Long-term ambitions rooted in recent progress Five established products with potential to grow 20%+ annually Prove clinical relevance of GCAL® and bring NT-proBNP to market 7 products with combined net Bring a steady stream of new high-impact diagnostic tests to market revenue potential of Targeting

  7. Slide 7: Highlights

    Highlights

  8. Slide 8: Improved margin and continued positive EBITDA

    Improved margin and continued positive EBITDA 3Q24 financials and key milestones Highlights Sales Gross margin  Sales of fCAL® turbo increased by 76% in 3Q24 compared to 3Q23. MNOK 32.7 52%  Bühlmann, Gentian’s exclusive commercial partner for fCAL +2% vs 3Q23 46% in 3Q23 turbo and fPELA turbo, an

  9. Slide 9: Strong performance in Europe and continued US growth

    Strong performance in Europe and continued US growth Highlights Sales revenue - geographic split  Sales of fCAL® turbo increased 76% in 3Q24 driving sales MNOK 3Q24 3Q23 YTD24 YTD23 2023 growth in Europe  Year to date sales growth in the US driven by customer US 2.4 1.9 8.1 6.7 8.7 additions Europ

  10. Slide 10: Continuously improving cost development

    Continuously improving cost development Gross margin % Operating expenses MNOK 3Q24 3Q23 YTD24 YTD23 2023 Sales and 6.1 5.5 19.0 17.0 23.1 marketing expenses 57% Administration 53% 53% 3.8 6.3 16.3 19.7 25.1 52% expenses 49% 46% 46% Research and 42% 5.5 6.7 16.6 21.4 36.1 development expenses Total

  11. Slide 11: Significant EBITDA improvement due to improved gross margin and OPEX discipline

    Significant EBITDA improvement due to improved gross margin and OPEX discipline EBITDA development (MNOK)  Gross margin improved to 52% vs 46% in 16.5 3Q23 and to 54% year to date compared to 49% YTD last year 3.3  Strong improvement of EBITDA in the first nine months of 2024 to NOK 16.5 million v

  12. Slide 12: Stable cash position

    Stable cash position 3Q24 balance sheet and cash flow Capital priorities  MNOK 17.4 million cash increase compared to Cash Capex 3Q23 MNOK 93.8 MNOK 2.7  Cash flow in 3Q24 influenced by a strong reduction MNOK 76.4 in 3Q23 MNOK 1.2 in 3Q23 in receivables to a level below normal  No interest-beari

  13. Slide 13: Product update

    Product update

  14. Slide 14: Cystatin C

    Cystatin C – strongly influenced by soft sales in China Sales of Cystatin C last 2 years (MNOK) Growth: -46% 16.5  Updated global guidelines expected to further 13.6 14.0 14.9 support adoption and usage of Cystatin C 13.3 12.2 8.7 9.4 9.0  Demand in Europe and the US remains strong with continued

  15. Slide 15: fCAL turbo

    fCAL® turbo – continued adoption in central laboratory environments Sales of fCAL® turbo last 2 years (MNOK) Growth: +76% 15.0  Sales growth of 76% in 3Q24 compared to 3Q23 13.6 13.7 14.3 and 27% in year-to-date 2024 vs YTD 2023 11.7 12.0 9.0 9.5 8.1  Automation and ease-of-use drive continued ado

  16. Slide 16: Third-party products

    Third-party products – stabilised sales in line with previous quarters Sales of third-party products last 2 years (MNOK) Growth: +50%  Q3 sales up 50% compared to Q3 last year 5.8 4.8 4.7 4.6 4.3  Sales in line with previous quarters 3.6 demonstrating the continued higher recurring 2.9 sales level

  17. Slide 17: Strong performance in Europe and the US

    Strong performance in Europe and the US Sales by region last 2 years (MNOK) US Asia 2.0 2.9 2.8 Europe 2.8 6.9 7.7 2.4  3Q24 sales growth was 46% in Europe and 28% 2.0 1.9 8.9 5.9 3.0 1.1 7.3 11.5 in the US compared to 3Q23 7.3 2.6 3.1 27.9 28.6 27.3  Significant decline in 3Q24 is entirely attrib

  18. Slide 18: R&D update and summary

    R&D update and summary

  19. Slide 19: NT-proBNP development proceeding as planned

    NT-proBNP development proceeding as planned Initial clinical evaluation show good clinical performance 3Q highlights:  Assay development with verification studies proceeding as planned  Secured the availability of the first clinical cohort for testing through an agreement with one of Norway’s lead

  20. Slide 20: 3Q summary

    3Q summary Improved margin and continued positive EBITDA 3Q24 financials and key milestones Highlights Sales Gross margin  Sales of fCAL® turbo increased by 76% in 3Q24 compared to 3Q23. MNOK 32.7 52%  Bühlmann, Gentian’s exclusive commercial partner for fCAL +2% vs 3Q23 46% in 3Q23 turbo and fPEL

  21. Slide 21: Q&A

    Q&A

  22. Slide 22: Appendix

    Appendix

  23. Slide 23: P&L highlights

    P&L highlights MNOK 3Q24 3Q23 YTD24 YTD23 2023 Sales 32.7 32.1 109.5 97.7 135.2 Cost of goods sold -15.7 -17.4 -50.5 -49.4 -70.9 Gross profit 17.0 14.7 59.0 48.3 64.2 Other revenues 1.0 2.7 2.8 6.9 7.2 R&D expenses -5.5 -6.7 -16.6 -21.4 -36.1 Sales and marketing expenses -6.1 -5.5 -18.9 -16.9 -23.1

  24. Slide 24: Balance sheet highlights

    Balance sheet highlights MNOK 3Q24 3Q23 2023 Inventory 42.6 41.1 37.1 Accounts- and other receivables 11.1 23.8 17.0 Cash and cash equivalents 93.8 76.4 87.6 Total non-current assets 41.6 46.7 39.3 Total assets 189.1 188.0 181.0 Total paid-in equity 316.1 312.9 313.7 Total retained equity -154.7 -15

  25. Slide 25: Cash flow highlights

    Cash flow highlights MNOK 3Q24 3Q23 YTD24 YTD23 2023 Operating activities 16.4 -2.0 17.5 1.8 15.5 Investing activities -2.7 -1.2 -7.7 -3.3 -4.9 Financing activities -1.2 -1.1 -3.8 -3.4 -4.6 Changes in cash and cash 12.5 -4.3 6.1 -5.0 6.0 equivalent Cash and cash equivalent at the 81.0 80.7 87.6 81.6

  26. Slide 26: 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

  27. Slide 27: 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

  28. Slide 28: 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

  29. Slide 29: 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%

  30. Slide 30: Dedicated and experienced management team

    Dedicated and experienced management team CEO CFO & COO CCO CSO CTO VP R&D VP QA & RA VP BD Matti Njaal Markus Dr. Alexandra Dr. Frank Dr. Torsten Anne-Mette Jack Heinonen Kind Jaquemar Havelka Frantzen Knüttel Horsrud Akre Andreassen 20+ years of relevant industry experience across management posit

  31. Slide 31: 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

  32. Slide 32: Top 20 shareholders

    Top 20 shareholders Shareholder No of shares % Vatne Equity AS 2 110 224 13.68 % Kvantia AS 1 803 368 11.69 % Holta Invest AS 1 228 502 7.97 % Verdipapirfondet Delphi Nordic 694 300 4.50 % Safrino AS 649 700 4.21 % Carpe Diem Afseth AS 568 189 3.68 % J.P. Morgan SE 523 631 3.40 % Verdipapirfondet De

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