Angiodynamics, Inc. · NASDAQ:ANGO
Angiodynamics — Investor Presentation (August 2013)
25 slides from Angiodynamics's investor presentation, Aug 14, 2013
Slide 1: Mark Frost, Executive Vice President and CFO, August 2013
Mark Frost, Executive Vice President and CFO August 2013 AngioDynamics, the AngioDynamics logo and other trademarks displayed In this presentation are trademarks owned and used by AngioDynamics, Inc. © Copyright 2012 AngioDynamics, Inc. All rights reserved.
Slide 2: Forward-Looking Statements
* FORWARD-LOOKING STATEMENTS Notice Regarding Forward Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements regarding AngioDynamics’ expected future financial position, results of operations
Slide 3: AngioDynamics at a Glance
* ANGIODYNAMICS AT A GLANCE Corporate History Founded 1988 | IPO May 2004 | ANGO (NASDAQ) Acquired Microsulis (2013) | Vortex Medical (2012) Navilyst (2012) | Oncobionic (2008) | RITA Medical (2007) Worldwide Presence Albany NY – HQ | 1,400 Employees | 7 Operating Locations
Slide 4: Strategic Imperatives: A New Day for AngioDynamics
* Strategic Imperatives b A NEW DAY FOR ANGIODYNAMICS Vascular Access VA Peripheral Vascular PV Oncology/ Surgery O/S BioFlo as a platform technology Advanced techniques & procedures New technologies Automated fluid management Thrombolysis/thrombectomy/PE Comprehensive venous strategy NanoKnife stan
Slide 5: Transformation to a Double-Digit Growth Company
5 Fluid Mgmt PICCs Other PV 65% YoY Sales Growth EVLT Ports 0% 5% 10% 15% 20% 40% +50% HARVEST FIX INVEST SCALE Microwave IRE RFA Resection Other VA AngioVac Std GM% FY 2013: Flat Sales; 50% GM% (10%) (5%) Transformation to a Double-Digit Growth Company HIGH LOW
Slide 6: Transformation to a Double-Digit Growth Company: Long-Term
6 Ports 0% 5% 10% 15% 20% +50% YoY Sales Growth 40% EVLT AngioVac 65% IRE Resection Other VA Other PV Fluid Mgmt Dialysis Microwave Std GM% PICCs RFA Long-Term: 10% Sales Growth; 60% GM% Transformation to a Double-Digit Growth Company (10%) (5%) HIGH LOW
Slide 7: Peripheral Vascular Business
* PERIPHERAL VASCULAR BUSINESS Reinvigorate NAMIC Build Thrombus Management Grow Core PV Peripheral Vascular AngioVac Adoption Channel Synergy Fluid Management in IR/Vascular Venous Ablation in Cardiology Core Products in Cardiology Automated Power Injector (API) Strategic Objectives Key Growth Driv
Slide 8: Annual Incidence of Venous Thromboembolism: The Opportunity
8 Additional: Annual Incidence Venous Thromboembolism (VTE) Incidence Overall ~1 Million VTE Events per Year in US Overall 300,000 VTE Deaths per Year in US - #3 cause Heit JA, et al. Blood. 2005; 106:267A. Murphy SL, et al. Deaths: Preliminary Data for 2010. National Vital Statistics Reports; 2012
Slide 9: PV AngioVac Procedure
* PV AngioVac Procedure Strong IP Distinct product FDA cleared with 625+ cases to date Attractive pricing & higher margins Scalable platform for next generation devices Large, established unmet opportunity
Slide 10: NAMIC Duet Key Features and Benefits
10 Extended learning curve Long set up time Lack of flow restriction indicator Uncontrolled contrast dosage to the patient Contrast use and waste per procedure Unreliable hemodynamics readings Greater control Reduced per procedure costs Provide greater protection and safety NAMIC Duet Key Features a
Slide 11: VenaCure EVLT
* VENACURE EVLT PV The Power of Water… 30M People in U.S. w/ varicose veins Large Underpenetrated Market Opportunity <2% Receive treatment $240 million Global market, with 3-5% CAGR 140,000+ VenaCure EVLT procedures in FY2013 ANGO has 27% share of Venous Ablation market and 54% share of the Laser
Slide 12: Vascular Access Business
* VASCULAR ACCESS BUSINESS Penetrate & Convert BIOFLO BIOFLO BIOFLO VA Vascular Access BioFlo PICCs BioFlo Ports & BioFlo Dialysis Catheters 510(k)s planned for FY14 Tip Location Distribution agreement Penetration of IDNs/GPOs Strategic Objectives Key Growth Drivers $1.0B Market 12% Share PICC Lines
Slide 13: BioFlo Technology: The Big Picture
* BIOFLO TECHNOLOGY Estimated Cost Per Incident4 $11,957 PICC-Related UEDVT Incidence Rates2, 3 VA 2.7M PICCs placed by nurses & Physicians in 20121 The Big Picture 2Evans SR, Sharp JH, Lorraine LH, et al. CHEST 2010 ; 138; 803-810 1US MARKETS FOR VASCULAR ACCESS DEVICES 2012 - Millennium Research G
Slide 14: BioFlo Technology: A Revolutionary PICC Technology
* Coatings (on the surface) Impregnated (in the pores) Current Next Generation PICC Technologies NO HEPARIN NO ANTIBIOTICS NOT A COATING NOT ELUTING Minimizes complications associated w/ heparin Reduces risks associated w/ bacterial resistance Present throughout entire catheter Present for life of d
Slide 15: BioFlo Technology (cont'd)
* BIOFLO TECHNOLOGY (cont’d) VA 2Presented at INS May 21, 2013. 1Presented at Ohio Association for Healthcare Quality conference on May 17, 2013. Prospective Customer Evaluation of BioFlo Hospital BioFlo PICC Placements (6 months) DVTs DVT RATE Hillcrest1 276 0 0 Cleveland Clinic2 373 1 0.2% Prelimi
Slide 16: Oncology / Surgery Business
* ONCOLOGY / SURGERY BUSINESS Drive NanoKnife Adoption Increase Thermal Ablation Share NanoKnife Data Microwave Strategic Objectives Key Growth Drivers Global Net Sales Invest in Clinical Development O/S Oncology/ Surgery $600M Market Radiofrequency Ablation Microwave Ablation Irreversible Electropo
Slide 17: Microsulis
17 Microsulis We believe Microsulis is the leading microwave tumor ablation technology on the market today “Everything we wanted in a microwave device…” -Current AngioDynamics RFA Customer 2.45Ghz system for faster tissue penetration Single applicator 5 cm ablation Fast ablation times Predictable vo
Slide 18: Expanding Our Leadership in Tumor Ablation
18 AngioDynamics offers a full complement of tumor ablation products that provide clinicians maximum choice in treating patients THERMAL NON-THERMAL “The US Nonvascular Interventional Radiology market with the fastest growth and greatest potential is the ablation device market” – MRG Nov. 2012 EXPAN
Slide 19: Navilyst Integration
* $10M in FY13 savings achieved & at least $15 million in FY14 planned Organizational changes completed Management team now in place – best talent from both organizations New CFO New Chief Tech/Ops Officer Creation of three global businesses to achieve greater focus on customers and markets NAVILYST
Slide 20: Fiscal 2013 FY Results
* FISCAL 2013 FY RESULTS $ in millions, except per share amounts FY 2013 (a)(b) Reported YOY Growth WW Sales $342.0 54% % growth (1%) 54% Vascular Sales $286.4 80% % growth (2%) 80% Onc/Surg Sales $47.2 (25%) % growth 14% (25%) U.S. Sales $274.8 46% % growth (4%) 46% Int’l Sales $67.2 100% % growth
Slide 21: Fiscal 2014 Guidance
* FISCAL 2014 GUIDANCE $ in millions, except per share amounts Adjusted Non-GAAP Q1 Adjusted Non-GAAP Full Year Sales $81 — $84 $346 — $352 EBITDA (a) (b) N/A $52 — $54 EPS (c) $0.02 — $0.04 $0.31 — $0.35 EPS (c) (d) $0.10 — $0.12 $0.61 — $0.65 Adjusted result reflects an estimated $7 million in acq
Slide 22: Investment Summary
* Int’l growth & upside High growth products Optimized capital structure Optimized R&D team INVESTMENT SUMMARY Accelerated long-term growth & profitability Strong talent pool Quality management Operational excellence
Slide 23: AngioDynamics, the AngioDynamics logo and other trademarks displayed in this presentation are trademarks owned
AngioDynamics, the AngioDynamics logo and other trademarks displayed in this presentation are trademarks owned and used by AngioDynamics, Inc. © Copyright 2012 AngioDynamics, Inc. All rights reserved.
Slide 24: Income Statement
* $ in millions, except per share amounts FY 2013(a) FY 2012(b)(c) % Change Sales $342.0 $344.6 (1%) Gross Margin 51.2% 51.9% Operating Expenses $148.1 $155.5 (5%) Operating (loss) Income $27.0 $23.3 16% Operating Margin 7.9% 6.7% Net Income $12.2 $9.2 32% Adjusted EPS $0.35 $0.26 35% Adjusted EPS (
Slide 25: Balance Sheet and Cash Flow
* $ in millions FY 2013 FY 2012 Cash and investments $24.0 $40.1 Net working capital $77.8 $103.8 Total assets $791.9 $721.8 Total debt $142.5 $150.0 Total stockholders’ equity $526.8 $523.5 BALANCE SHEET AND CASH FLOW $ in millions, except per share amounts Cash flow from operations $26.3 $11.5 CFF