Integral Diagnostics Ltd · ASX:IDX
Integral Diagnostics — UBS Australasia conference (November 2017)
14 slides from Integral Diagnostics's conference presentation, Nov 13, 2017
Slide 1: UBS Australasia conference
For personal use only UBS Australasia conference Ian Kadish (MD & CEO) 13 November 20
Slide 2: Integral Diagnostics is a leading Diagnostic Imaging business in Victoria, Queensland and Western Australia
Integral Diagnostics is a leading Diagnostic Imaging business in Victoria, Queensland and Western Australia For personal use only As at 10 Nov 2017 • Long history in each respective market Share price $1.70 Shares on issue 145 m • Leading provider in the regions we serve Market Cap $246 m June 2017
Slide 3: IDX is the clear leader in its regional markets
IDX is the clear leader in its regional markets For personal use only Brand 24 (incl. 6 9 (incl. 4 13 (incl. 2 hospital hospital hospital sites) sites) sites) 9 IDX market 11 5 3 position 6 2 IDX Competitor Competitor IDX Competitor Competitor IDX Competitor Competitor 1 2 1 2 1 2 Ballarat: 4 site
Slide 4: Growing addressable market
Growing addressable market • Industry growth supported: For personal use only An aging population Increasing prevalence of chronic disease Advancements in technology for early diagnosis and screening Estimated revenue in IDX's addressable diagnostic imaging market ($ billions) 5 6.8% CAGR 3.9
Slide 5: Regulatory environment more supportive
Regulatory environment more supportive • Reintroduction of MBS indexation for targeted DI services from For personal use only July 2020 • Government proposed reductions in bulk billing incentive for diagnostic imaging scrapped • MBS review is ongoing and direct changes made so far have had a negligi
Slide 6: Industry now cycling towards higher growth
Industry now cycling towards higher growth IDX Profitability($m) For personal use only • Slower industry growth through FY16-17 179.7 160.0 167.8 - Media coverage claiming unnecessary 138.7 149.9 testing 25.6 30.7 34.6 34.9 33.5 - Government announcements to cut health spending -113.0 -119.2 • The l
Slide 7: Focused strategy, disciplined execution into FY18
Focused strategy, disciplined execution into FY18 For personal use only Strategy 1 Grow existing business and contain costs 2 Strategic acquisitions Increase Develop Select Bolt- Drivers of Flex staff to capacity Centres of on Disciplined execution strategy demand utilisation Excellence Acquisitions
Slide 8: FY18 focus on managing costs to improve returns
FY18 focus on managing costs to improve returns • Reducing labour costs by flexing staff closer to patient demand For personal use only – Schedule and roster management – Daily revenue and cost information reviewed and actioned • Utilising technology – Voice recognition – Tele-reporting – Automated
Slide 9: Centres of Excellence
Centres of Excellence • Investing in Speciality Centres of Excellence: For personal use only – Rapidly changing technologies for diagnosis & treatment – Reflects specialisation amongst other professionals – Opportunities for radiologists to further develop skills – Consistent with international tren
Slide 10: Acquisitions
Acquisitions For personal use only • Currently evaluating and negotiating opportunities – strong pipeline – price expectations challenging for large groups, more reasonable for standalone and smaller practices – acquisitions to be earnings enhancing & sustainable • Western District Radiology, acquir
Slide 11: Summary
Summary For personal use only • Leading medical imaging company • Increasing demand driven by aging population & technology enhancements • Cost controls in place to improve productivity and capacity utilisation in FY18 • Focus on centres of excellence producing attractive returns and enhancing the r
Slide 12: Questions
For personal use only Questions 12
Slide 13: Disclaimer
Disclaimer For personal use only Some of the information contained in this presentation contains “forward-looking statements” which may not directly or exclusively relate to historical facts. These forward-looking statements reflect Integral Diagnostics Limited (IDX) current intentions, plans, expec
Slide 14: Contact us
For personal use only Contact us Dr Ian Kadish, CEO P: +61 3 9321 4915 E: kadishi@integraldiagnostics.com.au
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