Koru Medical Systems, Inc. · NASDAQ:KRMD
Koru Medical Systems — Q4 2023 Earnings Presentation
15 slides from Koru Medical Systems's earnings presentation, Mar 13, 2024
Slide 1: KORU Medical Systems Q4 and FY 2023 Earnings Call
KORU Medical Systems Q4 and FY 2023 Earnings Call March 13, 2024 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 regarding our expectations for future performance, including but not limited to our 501(k) clearances, elec
Slide 3: Continued Momentum towards our Vision 2026 Growth Strategy
Continued Momentum towards our Vision 2026 Growth Strategy 1 Fourth Quarter Revenues of $7.2 million and Full Year Revenues of $28.5 million Strong FY Core performance, 6.7% growth driven by competitive share gains, continued Ig market 2 strength, and increasing geographic expansion Launch of 50mL p
Slide 4: Progress on Vision 2026 Strategic Growth Pillars
Progress on Vision 2026 Strategic Growth Pillars Increasing Penetration Expanding Novel Therapies Geographic Expansion In Domestic Core SCIg Pipeline Recovering Ig market 15 collaborations in total International Core growth High-single-digit growth in Q4, four 3 signed in 2023 Q4 8% y/y ; FY 10% y/y
Slide 5: Driving Accelerated Growth with PFS
Driving Accelerated Growth with PFS PFS is the Fastest Growing Segment Keys to KORU Projected Penetration of 50% in 2025 Success In PFS +20.5% 14% Patient Satisfaction Q4 PFS GROWTH Q4 PFS PENETRATION 78% patient preference with 35.0% Freedom60 and PFS 30.0% Leverage full portfolio Multiple sizes an
Slide 6: 97% Drug Adherence
New Patient Adherence Data with FREEDOM System "Enhancing Drug Adherence and Patient Outcomes: The Role of SCIG Pump Selection in Subcutaneous Immunoglobulin Therapy for Primary Immunodeficiency Disease” 11,213 PIDD Self-administered SCIg with 4.5 year Patients FREEDOM System retrospective study 97%
Slide 7: Expanding our Novel Therapies Collaboration Pipeline
Expanding our Novel Therapies Collaboration Pipeline $2.7B TAM(1) Across 15 Total Collaborations 19 Open Opportunities 1.6M(2) Global Patient Population Patient Population Novel Therapies (000’s) Phase I Phase II Phase III Drug Launch Date KRMD Clearance Hematology 15 May 2021 May 2022 Recent Launch
Slide 8: Q4 Y/Y Revenue by Business
Q4 Y/Y Revenue by Business Net Sales; In Millions Domestic Core • Increased 5% y/y, driven by share gains $7.3 (2%) $7.2 • Double-digit growth in pump volumes $0.8 $0.2 • Healthy overall Ig market growth $1.2 $1.3 International Core • Increased 8% y/y • Growth driven by strong Ig supply and expansio
Slide 9: 2023 Y/Y Revenue by Business
2023 Y/Y Revenue by Business Net Sales; In Millions Domestic Core $27.9 +2% $28.5 • Increased 6% y/y driven by volume in pumps $1.5 and consumables, attributed to share gains $2.5 • Record year for pump volumes $4.6 $4.2 International Core • Increased 10% y/y • Driven by accelerated growth in establ
Slide 10: Improving Gross Margin Profile
Improving Gross Margin Profile Disciplined margin improvement throughout 2H23 GAAP Gross Margin Fourth Quarter: 60.3% • Margin improvement driven by 63.1% increased manufacturing efficiencies and improved product mix 59.6% • Non-GAAP GM of 63.1% allowing for one-time inventory adjustment for product
Slide 11: Strong 2023 Year-End Cash Balance
Strong 2023 Year-End Cash Balance Cash Balance as of December 31, 2023: $11.5M Key Drivers • Q4 cash gain of $0.7M • Lower net losses in 2H driven by $2.5M $11.5M improved gross margin, and operating $10.8M expense control. • Net loss excludes non-cash items ($1.3M) for DTA (deferred tax asset ($0.5
Slide 12: 2023 Cash Usage by Quarter
2023 Cash Usage by Quarter Cash burn directionally improved throughout the year Key Drivers • Substantially reduced cash burn since $0.7M Q1 $0 • One-time investments in capex and ($0.5M) significant new hires are behind us ($0.9M) • Q4 cash gain of $0.7M • Expect 2024 quarterly cash usage pattern t
Slide 13: 2024 Guidance
2024 Guidance Revenue Gross Margin Cash & Growth Profile Cash Flow Revenue guidance of Gross margins Greater than $8M $31.2-$32.2M, or between 59-61% ending cash balance 10-13% growth Key Drivers/Milestones Key Drivers/Milestones Key Drivers/Milestones • SCIg drug market growth of • Geographic expan
Slide 14: Our Pipeline of Product Solutions Supports Our Objectives
Our Pipeline of Product Solutions Supports Our Objectives … Increased Market Penetration, Share Gain and Accelerated Growth Future Launches Recent Launches Near-Term Launches 2024-2025 2026+ SCIg Infusion sets 50mL PFS New Infusion Set Next Gen. on-label Ig Pump Novel Therapies Customized Novel Ther
Slide 15: 2024 Key Milestones
2024 Key Milestones Double-digit net revenue growth versus FY2023 Accelerating U.S. Core share gains with 50 mL Prefills and continued International Expansion Growing Novel Therapies pipeline with 3 new collaborations and continued focus on late-stage drug candidates Two new 510k submissions for a n