Luminex Plc · CSELK:LUMX.N0000
Luminex — Corporate Update (October 2017)
28 slides from Luminex's corporate update, Oct 23, 2017
Slide 1: Luminex Corporate Update
October 21, 2017 Luminex Corporate Update
Slide 2: Safe Harbor Statement
© Copyright 2017 Luminex Corporation 2 Safe Harbor Statement Certain statements made during the course of this presentation may not be purely historical and consequently may be forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including but not li
Slide 3: Today's Agenda
© Copyright 2017 Luminex Corporation 3 Today's Agenda Introductory Comments Licensed Technologies Group General Trends Molecular Diagnostics Group How We Are Winning Finance & Corporate Development Supporting Growth Q&A Concluding Comments Homi Shamir President and CEO Todd Bennett SVP, Global Sales
Slide 4: Introductory Comments
Homi Shamir President and CEO Introductory Comments
Slide 5: A Track Record of Success
© Copyright 2017 Luminex Corporation 5 A Track Record of Success 2014 2015 2016 Total Annual Revenue Growth Accelerating +13% $227M $238M $271M $300M - $310M 2017E Consistency: 11 Straight Quarters Meeting or Exceeding Street Revenue Expectations
Slide 6: Executive Summary
© Copyright 2017 Luminex Corporation 6 Executive Summary STRATEGIC GOALS • Continue to drive double digit total revenue growth, excluding LabCorp • Continued focus on profitable activities (high ROI) in both LTG and MDx • Leverage strong balance sheet to pursue expansion opportunities GROWTH DRIVERS
Slide 7: Licensed Technologies Group (LTG) General Trends
Todd Bennett SVP, Global Sales and Customer Operations Licensed Technologies Group (LTG) General Trends
Slide 8: Licensed Technologies Group: Summary
© Copyright 2017 Luminex Corporation 8 Licensed Technologies Group: Summary 1H17 LTG-Related Revenue, by Product: +5% in 1H17 ~40% Total: $74.5M Other 12% % of Total 1H17 LTG-Related Revenue, by Market: Royalty System Consumable LTG: ~50% of our business ~40% ~20% Transplant Diagnostics Immuno-dx Pr
Slide 9: LTG: Multiplexing Systems Overview
© Copyright 2017 Luminex Corporation 9 LTG: Multiplexing Systems Overview 0 5,000 10,000 15,000 2008 2010 2012 2014 2016 0 500 1,000 1,500 2,000 2,500 '01 / '02 '03 / '04 '05 / '06 '07 / '08 '09 / '10 '11 / '12 '13 / '14 '15 / '16 Total Cumulative Systems Shipped to Date Multiplexing System Shipment
Slide 10: LTG: High Margin Revenue Trends
© Copyright 2017 Luminex Corporation 10 LTG: High Margin Revenue Trends End-User Sales (Partner Reported)* $0 $50 $100 $150 $200 $250 $300 '01/'02 '03/'04 '05/'06 '07/'08 '09/'10 '11/'12 '13/'14 '15/'16 LMNX LTG Revenue: Total* $0 $200 $400 $600 $800 $1,000 $1,200 '01/'02 '03/'04 '05/'06 '07/'08 '09
Slide 11: LTG: Success Story Large European Blood Bank and Testing Network
© Copyright 2017 Luminex Corporation 11 LTG: Success Story Large European Blood Bank and Testing Network The Customer Why Luminex? The Result • Network of 15 centers • Focus on collection, testing, preparation and distribution of blood products to some 1,900 health care facilities • Dependability of
Slide 12: LTG: Growth Opportunities
© Copyright 2017 Luminex Corporation 12 LTG: Growth Opportunities • 70+ partners investing in our technology; long-term contractual partnerships; addressing large markets •Stable growth; highly profitable • Large and growing system base (14,500+) •New system (improved sensitivity and automation) 7
Slide 13: Molecular Diagnostics Group: How We are Winning
Reid Sadler VP, Sales & Marketing Americas MDx Molecular Diagnostics Group How We are Winning
Slide 14: Molecular Diagnostics (MDx): Summary
© Copyright 2017 Luminex Corporation 14 Molecular Diagnostics (MDx): Summary Molecular Diagnostics: ~50% of our business 1H17 MDx Assay Revenue, by Category: Genetic 19% Infectious Disease 81% Total: $74M 100+ Highly Experienced MDx Sales & Support Professionals +42% in 1H17
Slide 15: MDx: The Right Solution for Customers Needs
© Copyright 2017 Luminex Corporation 15 MDx: The Right Solution for Customers Needs SYSTEM THROUGHPUT M U L T IP L E X IN G C A P A B IL IT IE S MAGPIX® Launched 2010 Luminex® 200™ Launched 2005 ARIES® Launched 2015 VERIGENE® Acquired 2016 Automated Sample to Answer Non-Automated VERIGENE® II Coming
Slide 16: MDx: Targeted & Syndromic Testing Solutions
© Copyright 2017 Luminex Corporation 16 MDx: Targeted & Syndromic Testing Solutions HSV 1&2 Flu/RSV GBS C. Difficile Norovirus GAS MRSA Respiratory Panel GI Panel BCID Panel Targeted Syndromic Luminex is the only manufacturer providing Targeted & Syndromic solutions
Slide 17: MDx: Key Recent Wins
© Copyright 2017 Luminex Corporation 17 MDx: Key Recent Wins Sizeable agreements closed over the past 6 months Large Hospital (BF) BC,EP,RP $1M Large Hospital (BF) EP $500K IDN Hospital Grp (BF) BC, EP $500K IDN Hospital Grp EP $500K Large Hospital (BF) BC,RP $400K Large Hospital (Cult.) BC, EP RP $
Slide 18: MDx: 2017 Success Story Commercial Lab in California
© Copyright 2017 Luminex Corporation 18 MDx: 2017 Success Story Commercial Lab in California The Lab The Deal The Result Offering confidential lab- based drug tests as well as: • Upper Respiratory Testing • GI Pathogen Testing • UDT Testing • Oral Fluid Testing • Multi-year agreement including: ‒ xT
Slide 19: MDx: Customer Sales and Support
© Copyright 2017 Luminex Corporation 19 MDx: Customer Sales and Support Selling Sample to Answer and Non- Automated MDx Portfolio Jan 45+ 60 100+ Highly Experienced MDx Sales & Support Professionals Sales Force Sales Support MDx Sales Force Integrated & Trained Focused on Microbiology & Molecular Cl
Slide 20: MDx: Overview of S2A Active Customers
© Copyright 2017 Luminex Corporation 20 MDx: Overview of S2A Active Customers VERIGENE® platform continues strong traction. Blood Culture panels outpace market growth. Enteric and RP Flex panels gaining rapid traction. ARIES® traction due to menu expansion and anchor assays that can drive placements
Slide 21: MDx: The Importance of Our Flex Testing Strategy
© Copyright 2017 Luminex Corporation 21 MDx: The Importance of Our Flex Testing Strategy Single Center Experience with RP Flex* Annual Cost Savings of MDx Respiratory Testing Targets Competitor’s Full MDx Panel Luminex RP Flex Overall Cost Savings Flu A/B + RSV $215,760 $129,920 $85,840 Respiratory
Slide 22: Americas Corporate Accounts – Team Success
© Copyright 2017 Luminex Corporation 22 Americas Corporate Accounts – Team Success MDx: Group Purchasing Organization Execution What is a Group Purchasing Organization (GPO)? Entity that is created to leverage the purchasing power of a group of businesses to benefit from suppliers based on the colle
Slide 23: MDx: Group Purchasing Organization Execution
© Copyright 2017 Luminex Corporation 23 MDx: Group Purchasing Organization Execution • Immediate funnel increases •ARIES® additions to contracts imminent •Programmatic approach to facilitate turnkey closes VERIGENE® ARIES® GPO 1 GPO 2 GPO 3 GPO 4 GPO 5 GPO 6 NATIONAL & REGIONAL G
Slide 24: MDx: Growth Opportunities
© Copyright 2017 Luminex Corporation 24 MDx: Growth Opportunities • Total S2A revenue – accelerated growth from over $45M in 2017E and approaching ~$100M by end of 2019E, driven by; – Continued strong adoption of VERIGENE® I – Expanded menu on ARIES® – Recent expansion of GPO coverage of S2A platfor
Slide 25: MDx: Update on VERIGENE II
© Copyright 2017 Luminex Corporation 25 MDx: Update on VERIGENE® II Progress Report • VERIGENE® II system now robust and ready for clinical trials. Failure rates consistently below 5%. • Plan on commencing multiple clinical trials with system in 2018 (enteric, respiratory, blood culture ID) for laun
Slide 26: Financial and Corporate Development Supporting Growth
Financial and Corporate Development Supporting Growth Harriss Currie SVP, Finance and CFO
Slide 27: Financial Overview: Well Positioned for Future Growth
© Copyright 2017 Luminex Corporation 27 2H16 1Q17 MDx Revenue, Automated * 2H16 1Q17 Financial Overview: Well Positioned for Future Growth • Nanosphere deal accretive in 2Q17 - ahead of target • VERIGENE® gram-positive blood culture (BC-GP) and gram-negative blood culture (BC-GN) molecular assays ar
Slide 28: Thank You
~ Thank You * e@ @ e Luminex. Ss complexity simplified.