Bruker Corporation · NASDAQ:BRKR

Bruker — Cowen and Company 33rd Annual Healthcare Conference (March 2013)

22 slides from Bruker's conference presentation, Mar 5, 2013

  1. Slide 1: Bruker Corporation at Cowen 33rd Annual Healthcare Conference

    Bruker Corporation (NASDAQ: BRKR) Cowen and Company 33rd Annual Healthcare Conference Charles Wagner, EVP & CFO March 5, 2013 Joshua Young, VP, Investor Relations

  2. Slide 2: Safe Harbor Statement

    Bruker Corporation Safe Harbor Statement Any statements contained in this presentation that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are

  3. Slide 3: Agenda

    Agenda 1 Overview of Bruker 2 Driving Profitable Growth 3 Business & Market Update © Bruker Corporation 3

  4. Slide 4: Overview of Bruker

    Overview of Bruker © Bruker Corporation 4

  5. Slide 5: Key Messages

    Key Messages 1 We are a premium brand that has consistently delivered higher than industry average organic growth 2 We have added new management and modernized our organizational structure to drive change and efficiency 3 We are evaluating and implementing initiatives to accelerate growth in our adj

  6. Slide 6: Company Profile

    Company Profile Bruker: the leading provider of high-performance KEY FIGURES scientific instruments and solutions for life science, Founded in 1960 diagnostic and applied markets. $1.79B revenue ~6,00 employees ~82% of revenues outside of the US Bruker Scientific Bruker Energy & ~Direct sales Instru

  7. Slide 7: Broad geographic exposure with most revenues outside the US

    We have broad geographic exposure with most of our revenues generated outside of the US Europe 42% United States Asia Pacific 18% 32% 8% Rest of World © Bruker Corporation 7

  8. Slide 8: Distinct capabilities and products, serving similar markets

    Our businesses have distinct capabilities and products, but serve similar markets Bruker Bruker Bruker Bruker BioSpin CALID MAT BEST 1. Nuclear Magnetic 1. Mass Spectrom. 1. Atomic Force 1. Superconductor Resonance (NMR) Microscopy materials 2. Gas Chrom. & 2. Electron Liquid Chrom. 2. X-ray Diffrac

  9. Slide 9: Industries served by each business

    Our businesses have distinct capabilities and products, but serve similar markets Bruker Bruker Bruker Bruker BioSpin CALID MAT BEST Industries Served Industries Served Industries Served Industries Served 1. Academic 1. Pharma/Biotech 1. Industrial 1. Healthcare 2. Government 2. Industrial 2. Semico

  10. Slide 10: Driving Profitable Growth

    Driving Profitable Growth © Bruker Corporation 10

  11. Slide 11: Track record of innovation and growth faster than industry

    Our strong track record of innovation has enabled us to grow faster than the industry… $1,791 $1,652 $1,305 $1,107 $1,115 Revenues [$ m] 2008 2009 2010 2011 2012 Organic Growth Rate 3.2% 0.0% 12.7% 9.2% 11.9% © Bruker Corporation 11

  12. Slide 12: Profitability and cash flow increases have not been sustained

    . . .but increases in profitability and cash flow have not been sustained Non-GAAP Operating Margin Free Cash Flow Per $1 of Revenue 13.8% 11.9% 11.9% 12.2% 12.0% 10.5% 9.5% 5.4% 3.3% 2.0% 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 © Bruker Corporation 12

  13. Slide 13: Multi-year process to improve profitability and cash flow

    Our efforts to drive profitability & cash flow improvements will be a multi-year process 2012 2013 2014 2015 2016 2017 New Leadership & Organization  Simplified organizational structure  New leaders and incentive structures  Globalized approach to business Incremental Profit Improvement  Better

  14. Slide 14: 2013 priorities focus on profitability improvement

    Our 2013 priorities reflect our focus on profitability improvement 1 Implement operational excellence initiatives to lower costs and working capital 2 Continue CAM division growth with new products, while moving closer to break-even 3 Leverage new leadership to implement processes and systems that d

  15. Slide 15: Specific actions for 2013 to reduce costs

    We recently announced specific actions for 2013 to help reduce our costs Facility • Closing CAM plant and R&D Facility Closures • Closing BEST manufacturing plant Outsource • Further outsourcing of BioSpin non-core Production manufacturing • Reduction in headcount of 150 employees Financial Impact •

  16. Slide 16: Business & Market Update

    Business & Market Update © Bruker Corporation 16

  17. Slide 17: Solid revenue growth in 2012 despite market headwinds

    Bruker delivered solid revenue growth in 2012 despite facing market headwinds Key Business Highlights FY 2012 Financials  Excellent revenue growth in a soft environment Revenues [$ bn] +8.5%  Strong uptake of new products  Demand from academic customers outside of US was solid  Strengthened mana

  18. Slide 18: FY 2012 Non-GAAP Results

    FY 2012 Non-GAAP Results [$ m] FY 2012 FY 2011 Δ COMMENTS Total Revenues 1,791 1,652 9%  Healthy organic revenue growth of 12%; Gross Profit 853 777 10% generated double-digit Margin (% of sales) 47.6% 47.0% organic revenue growth in all four quarters SG&A -439 -403 9% (% of revenues) 24.5% 24.4% 

  19. Slide 19: Positive and negative trends balancing in mixed environment

    Positive & negative trends are currently balancing in a mixed business environment Positive Developments Negative Developments  Some core and niche markets  US academic budget uncertainty generate attractive growth  EURO zone softness continues  New product launches are gaining traction  China

  20. Slide 20: Guidance FY 2013

    Guidance FY 2013 Bruker FY 2013 Guidance ASSUMPTIONS  Current economic Revenue Growth ~4%-5% environment unchanged  Industrial markets remain stable Restructuring Costs ~$20-$25M  Profitability and growth skewed to 2nd half, especially Q4 2013 Non-GAAP Tax Rate ~30%-32%  Reported numbers will be

  21. Slide 21: Why Invest in Bruker?

    Why Invest in Bruker? A Strong Foundation  Premier brand for high-performance life-science, diagnostics and analytical instruments  Strong innovation and organic growth record, expanding market share, high ROIC  Excellent customer relationships and collaborations …with Realistic Upside Potential

  22. Slide 22: www.bruker.com

    www.bruker.com © Bruker Corporation 22

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