Revvity, Inc. · NYSE:RVTY
Revvity — PerkinElmer — Investor Day (June 2021)
105 slides from Revvity's investor day presentation, Jun 24, 2021
Slide 1: Investor and Analyst Day
Investor and Analyst Day June 24, 2021 Proprietary & Confidential | © 2021 PerkinElmer
Slide 2: Welcome & PerkinElmer Overview agenda
Welcome & Prahlad Singh, President and Chief Executive Officer PerkinElmer Overview Technology & Gintas Vildzius, Senior Vice President, Research & Development Innovation Karen Madden, Senior Vice President, Chief Innovation Officer Commercial Miriame Victor, Senior Vice President, Chief Commercial
Slide 3: Safe Harbor
SAFE HARBOR This presentation contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to estimates and projections of future earnings per share, cash flow and revenue growth and other financi
Slide 4: PerkinElmer
[> = PerkinEImer wy VA For the Better,
Slide 5: What You'll Hear Today
WHAT YOU’LL HEAR TODAY Overview and Our People Prahlad Singh Operational Excellence Technology and and Financial Update Innovation Gintas Vildzius Jamey Mock and Karen Madden Portfolio and Commercial Execution End Markets Alan Fletcher and Miriame Victor Amar Kamath 5
Slide 6: Who We Are
WHO WE ARE OUR MISSION Passionate about saving and Diagnostics transforming patients’ lives INNOVATING Life Sciences Focused on accelerating pre-clinical discoveries and enabling customers to for a deliver safe and effective therapies healthier Dedicated to ensuring the highest quality Food product
Slide 7: 80+ Years of Innovating
80+ YEARS OF INNOVATING FOR A BETTER TOMORROW 7
Slide 8: How We Win
HOW WE WIN LEADING STRONG BRANDS >3,500 >500 WITH REGULATORY SCIENTIFIC AND BEST-IN-CLASS SCIENCE APPROVALS* PUBLICATIONS* SOLUTIONS LARGE AND EXPANSIVE GROWING GLOBAL REACH INSTALLED BASE 400,000 30% of revenue in ACTIVE INSTRUMENTS EMERGING MARKETS * Since 2016 8
Slide 9: Who We Are: New PKI
WHO WE ARE: NEW PKI +15% +15% increase to LS/Dx mix recurring revenue Diagnostics (Dx) CONSUMABLES $3.8B 75% SERVICES 2020 Revenue SOFTWARE Discovery & Analytical Solutions 25% INSTRUMENTS (DAS) +10% ~$3.4B global revenue Select Portfolio Additions deployed capital* 40% 35% 25% AMERICAS EUROPE APAC
Slide 10: Our Latest Additions
OUR LATEST ADDITIONS T-Cell ChLIA Expertise Automation Molecular Specialty Sample Dx Menu Prep Cell & Cell Gene Counting & Therapy Analysis Base Viral Editing Vectors $300M annualized revenue in fast-growing LS and Dx end markets 10
Slide 11: Our People Are Our Greatest Strength
OUR PEOPLE ARE OUR GREATEST STRENGTH STRONGER TOGETHER 14K EMPLOYEES 11
Slide 12: Distributed and Diverse Team
DISTRIBUTED AND DIVERSE TEAM 14,000 PEOPLE SPANNING ~40 COUNTRIES AMERICAS REST OF WORLD 30% 70% OF EMPLOYEES OF EMPLOYEES >50% DIVERSITY ACROSS LEADERSHIP POSITIONS 12
Slide 13: Engaged With Shared Core Values
ENGAGED WITH SHARED CORE VALUES US BEFORE ME PASSION FOR BETTER CUSTOMER WE ARE A TEAM PEOPLE SOLUTIONS TODAY ✓ CREATED, DEFINED, AND REFINED BY PKI’S TOP 300 LEADERS DO THE RIGHT THING ALWAYS ✓ UNDERSCORES TEAM PASSION AS CORNERSTONE OF COMPANY CULTURE ✓ PROGRESSING AND TRACKING EMPLOYEE SATISFACTI
Slide 14: Continued Investment in Talent
CONTINUED INVESTMENT IN TALENT Added Global Head of Launched DIVERSITY & INCLUSION PKI ACADEMY Invested in Refreshed LEARNING & GLOBAL TALENT COACHING REVIEW Program Accelerated Investment in Talent by 50% in 2020 External Partners 14
Slide 15: Entrepreneurial Spirit Growing Through Acquisitions
ENTREPRENEURIAL SPIRIT GROWING THROUGH ACQUISITIONS 26 >5,000 TOTAL EMPLOYEES >10% ANNUAL GROWTH ~20% OF 2019 REVENUE ACQUISITIONS ADDED SINCE 2015* Retained ~75% OF THE FOUNDERS AND SENIOR LEADERSHIP teams across all acquisitions * Excludes Sirion Biotech and IDS, as both deals have not closed 15
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Slide 17: Sustainability & Stewardship
SUSTAINABILITY & STEWARDSHIP (ESG) Corporate Social Responsibility Environmental | Social | Governance Reach net carbon neutrality by Saving the lives of more than 2040 and 30% reduction of 70 babies per day on average EMISSIONS Scope 1 & 2 emissions by 2030 (vs. 2019) Achieve 15% reduction in non-
Slide 18: What You'll Hear Today: The New PerkinElmer
WHAT YOU’LL HEAR TODAY: THE NEW PERKINELMER Positioned for Inspired, Leading LS and Reinvigorated Greater Success Dx Franchise Innovation Entrepreneurial Workforce & Value Creation INNOVATIVE SOLUTIONS enhanced by COMMERCIAL EXECUTION reinforcing our PORTFOLIO STRATEGIES supported through OPERATIONA
Slide 19: Technology & Innovation
TECHNOLOGY & INNOVATION Gintas Vildzius, Senior Vice President, Research & Development Karen Madden, Senior Vice President, Chief Innovation Officer
Slide 20: Accelerating PerkinElmer's Global Impact
ACCELERATING PERKINELMER’S GLOBAL IMPACT Relentlessly CURIOUS COMPASSIONATELY Driven INNOVATING SOLUTIONS FOR A BETTER TOMORROW 20
Slide 21: Rapidly Growing Needs
INNOVATING SOLUTIONS FOR A BETTER TOMORROW Globally, over >360,000 By 2050, there will be In 2025, HALF OF 8 MILLION DEATHS REGISTERED 2 BILLION THE WORLD’S ANNUALLY from CLINICAL TRIALS, more people to feed, POPULATION will not INFECTIOUS up from ~100,000 doubling demand have reliable access DISEAS
Slide 22: Who We Are: Global Team
WHO WE ARE: GLOBAL TEAM 1,800+ PERSON GLOBAL R&D TEAM >$250M >55% >1,200 Annual R&D Spend PhDs/Masters Issued Patents in the Past 3 Years 22
Slide 23: Who We Are: Global Capabilities
WHO WE ARE: GLOBAL CAPABILITIES Gene Editing and Immunofluorescence Molecular Diagnostics Cell Engineering Drug Discovery Assays NGS Assays & Pathogen Detection Magnetic Beads Dried Blood Spot Workflow Automation Platform Spectroscopy Autoimmune Assays Data Analytics and Mass Spectrometry Detection
Slide 24: World-Class Innovations Launched in 2020
WORLD-CLASS INNOVATIONS LAUNCHED IN 2020 COVID-19 RT-PCR Kit Opera Phenix® Plus NexION® 5000 LOWEST 10 MILLISECOND PART PER TRILLION LIMIT OF DETECTION FRAME RATE DETECTION Nominated for the “Scientists’ Choice Awards” Awarded “2021 World Changing Ideas” 2021 Winner 2020 Winner 24
Slide 25: Our Innovation DNA
OUR INNOVATION DNA 1 ✓ Technical experts rapidly flex BREADTH & across segments DEPTH ✓ PKI & partner ecosystem enables solution offerings 2 ✓ Partnering with customers on CUSTOMER- outcomes to drive value creation DRIVEN ✓ Thought leader in scientific INNOVATION problem-solving 3 ✓ Nimble portfolio
Slide 26: explorer Workstation
1 Novel Solution BREADTH & for Infectious DEPTH Disease ✓ End-to-end automated workstation ✓ Flexibility to scale up to 10K samples / day (best-in-class throughput) explorer™ Workstation ✓ Modular system for SARS-CoV-2 RT-PCR Developed by cross-functional teams across the globe 26
Slide 27: PhenoVue Cell Painting
2 CUSTOMER- Cell and DRIVEN Computational INNOVATION Biology Expertise 14 New Kits ✓ Complements our best-in-class High Content Screening portfolio ✓ Advances understanding of disease and development of more targeted therapies PhenoVueTM Cell Painting Kits ✓ Unique solution Developed in collaboratio
Slide 28: Strong Response From Market
3 GLOBAL Extending our AGILITY Core Right-to-Win ✓ Leveraged local expertise in India to accelerate time-to-market ✓ Features flexible and durable IndiScope™ benchtop design for Whole Milk Food Safety & Nutritional Analysis ✓ Primed for global expansion into adjacent food and beverage markets Strong
Slide 29: Summary
SUMMARY Relentlessly COMPASSIONATELY CURIOUS Driven OUR INNOVATION DNA 1 BREADTH & DEPTH OUR CORE 2 CUSTOMER-DRIVEN INNOVATION 3 GLOBAL AGILITY INNOVATING SOLUTIONS FOR A BETTER TOMORROW 29
Slide 30: Our Core Enables Expansion and Exploration
OUR CORE ENABLES EXPANSION AND EXPLORATION CELL, GENE & BIOLOGICAL THERAPIES EXPLORE DECENTRALIZED TESTING DIGITAL LAB OF THE FUTURE EXPAND SINGLE CELL ANALYSIS OUR CORE 30
Slide 31: Future Growth Accelerators
FUTURE GROWTH ACCELERATORS CELL, GENE & DECENTRALIZED SINGLE CELL DIGITAL LAB OF BIOLOGICAL TESTING ANALYSIS THE FUTURE THERAPIES New Capabilities add $10B of Growing at >20% over the Total Addressable Market by 2025 next 5 years 31
Slide 32: Cell, Gene & Biological Therapies
Pin-pointTM BASE EDITING GENE EDITING & CRISPR TOOLS Awarded 6 out of last 8 years CELL, GENE & BIOLOGICAL NEXT GEN BIOSENSOR THERAPIES PLATFORM Carterra® LSATM 32
Slide 33: Future Growth Accelerators
FUTURE GROWTH ACCELERATORS CELL, GENE & DECENTRALIZED SINGLE CELL DIGITAL LAB OF BIOLOGICAL TESTING ANALYSIS THE FUTURE THERAPIES New Capabilities add $10B of Growing at >20% over the Total Addressable Market by 2025 next 5 years 33
Slide 34: Decentralized Testing
Upconverting nanoparticles to increase sensitivity of lateral flow NOVEL POC DIAGNOSTICS RONIATM Digitally- Women’s Health enabled BETTER DETECTION INCLUDING CUTTING- FASTER EDGE SENSOR TECHNOLOGY ✓ Highly sensitive ✓ Real-time DECENTRALIZED ✓ Multiplex TESTING Remote lab monitoring through PKeyeTM
Slide 35: Future Growth Accelerators
FUTURE GROWTH ACCELERATORS CELL, GENE & DECENTRALIZED SINGLE CELL DIGITAL LAB OF BIOLOGICAL TESTING ANALYSIS THE FUTURE THERAPIES New Capabilities add $10B of Growing at >20% over the Total Addressable Market by 2025 next 5 years 35
Slide 36: Single Cell Analysis
SAMPLE PREP SINGLE CELL ANALYSIS RESULT Detection Cultured Cells and Data Blood Manipulation Isolation Barcoding Analysis Solid Tissue Aspirates NEW CRISPR-Engineered Cells Cell Counting Single Cell Storage & Analysis & Analysis NGS Reagents Workflow Tools SINGLE CELL ANALYSIS 36
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Slide 38: Future Growth Accelerators
FUTURE GROWTH ACCELERATORS CELL, GENE & DECENTRALIZED SINGLE CELL DIGITAL LAB OF BIOLOGICAL TESTING ANALYSIS THE FUTURE THERAPIES New Capabilities add $10B of Growing at >20% over the Total Addressable Market by 2025 next 5 years 38
Slide 39: Digital Lab of the Future: Data Lake
Animal Study Metabolomics ELISA Genomics DATA LAKE Clinical Cellular Single Proteomics Trial Imaging Cell AI DIGITAL LAB OF THE FUTURE INTELLIGENT DRUG AUTOMATED LAB MULTI-’OMICS DISCOVERY 39
Slide 40: Putting It All Together
PUTTING IT ALL TOGETHER Innovating for a Innovation Track Record of Investing in Better Tomorrow DNA Success New Frontiers >$250M total R&D spend is DOUBLE 2016 levels ~80% ~30% of spend aligned to NPI VITALITY LS, DX, AND DIGITAL excluding impact of GROWTH COVID-19 solutions ACCELERATORS 40
Slide 41: Commercial Execution
COMMERCIAL EXECUTION Miriame Victor, Senior Vice President, Chief Commercial Officer
Slide 42: PerkinElmer's Commercial Team Evolution
PERKINELMER’S COMMERCIAL TEAM EVOLUTION INCREASING CONVERGENCE ACROSS END MARKET SEGMENTS Actively Listened to Phase 1: Careful phasing to Enabling localized decision Customer consolidating minimize customer making through a strategic Feedback into 3 regions disruption global infrastructure ✓ Seamle
Slide 43: Who We Are: Global Team
WHO WE ARE: GLOBAL TEAM ~6,000 PERSON GLOBAL TEAM Commercial Office AMERICAS EUROPE APAC ~35% ~30% ~35% Regional Sales & Marketing, Strategic Accounts & Service Delivery Global Commercial Global Service Enablement Team Teams Portfolio Strategy around Complete Workflows Life Diagnostics Food Applied
Slide 44: Three Global Execution Pillars
THREE GLOBAL EXECUTION PILLARS 1 NEW GLOBAL CHANNEL Evolving channel FASTER COMMERCIAL strategy to improve EXCELLENCE coverage GROWTH OFFICE Clear Strategy & 2 Consistent Execution Building a customer- CONSISTENT EFFICIENCY centric business RESULTS ecosystem 3 CUSTOMER Enhancing the end-to-end GREAT
Slide 45: Enabling Faster Growth
ENABLING FASTER GROWTH 1 CHANNEL Strategic Accounts E-Commerce New Partners EXCELLENCE ONESOURCE ENTERPRISE & LABS ✓ Expanded program embedding Leading with Science into PKI DNA ✓ Increased synergies between Triple e-Commerce Sales & Service exposure by 2023 51
Slide 46: Establishing a Customer-Centric Business Ecosystem
ESTABLISHING A CUSTOMER-CENTRIC BUSINESS ECOSYSTEM 2 Voice of EFFICIENCY Tools & Analytics Programs Customer Competitive Intelligence Center ✓ Improved gross Pricing Augmenting regional margin intelligence teams with a new global program Service & Consumable Rapid Feedback Loop to ✓ Share gains Mast
Slide 47: Accelerated Investments Across the Customer Journey
ACCELERATED INVESTMENTS ACROSS THE CUSTOMER JOURNEY Customer Journey 3 CUSTOMER Loyalty & Inquiry Purchase EXPERIENCE Retention COHESIVE STRATEGY TO INCREASE OUTREACH VIRTUAL REALITY: VR-MEETTM ROADSHOWS Web Experience Social Media ‘OMICS Food Novel Lead Mixed Reality Spectrum Europe Americas Genera
Slide 48: Digital Tools to Engage Customers
ACCELERATED INVESTMENTS ACROSS THE CUSTOMER JOURNEY Customer Journey 3 CUSTOMER Loyalty & Inquiry Purchase EXPERIENCE Retention DIGITAL TOOLS TO ENGAGE AND DELIGHT CUSTOMERS NEW: ✓ Get to know the instrument pre-delivery CUSTOMER RESOURCE ✓ Lab preparation PORTAL techniques ✓ Digital activity tracki
Slide 49: Increasing Share of Wallet and Mindshare
ACCELERATED INVESTMENTS ACROSS THE CUSTOMER JOURNEY Customer Journey 3 CUSTOMER Loyalty & Inquiry Purchase EXPERIENCE Retention INCREASING SHARE OF WALLET AND MINDSHARE WITH OUR CUSTOMERS Best-in-Class Service NEW: Customer 360° App ✓ Provides a full view of Unique NPS Program customer relationship
Slide 50: Delighting Our Customers
DELIGHTING OUR CUSTOMERS Cross-PKI Investments in Global Execution Pillars Advocacy & Awareness Consistently Delighting Our Customers CHANNEL EXCELLENCE Generating Brand Awareness and Strength Times Square Ticker for campaign to support Newborn Screening Saves EFFICIENCY Lives Reauthorization Act of
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Slide 52: Building Best-in-Class Commercial Office
PUTTING IT ALL TOGETHER Driving Accelerated Seamless Customer Building Clear Tailoring Organic Growth Accountability Full Solutions Interactions BUILDING BEST-IN-CLASS COMMERCIAL OFFICE +100 bps incremental growth expected beyond 2023 52
Slide 53: Discovery & Analytical Solutions
DISCOVERY & ANALYTICAL SOLUTIONS Alan Fletcher, Senior Vice President, Life Sciences
Slide 54: Discovery & Analytical Services at a Glance
DISCOVERY & ANALYTICAL SERVICES (DAS) AT-A-GLANCE Life KEY POSITIONS Sciences Total Addressable Pre-clinical genotyping, Food Market Pre-Clinical Analysis #1 detection & imaging $1.7B (TAM) 2020 revenue $35B+ Translational research & Informatics #2 clinical informatics Applied Food Grain moisture &
Slide 55: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK REPOSITIONED IN ATTRACTIVE 5% ACCELERATING LIFE SCIENCES MARKETS GROWTH 2% DAS average 50% organic growth rate ’14 – ‘16 ’17 – ‘19 LS DAS 2015 MARGIN EXPANSION STRONG RECURRING Revenue OPPORTUNITIES REVENUE >60% LS 16% 2015 67% 2020 DAS 2021E Revenue 22%
Slide 56: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK CONSISTENT MSD+ Underpinned by strong GROWTH and VALUE CREATION STRATEGY ATTRACTIVE MARGINS Strengthen Maximize Add CORE RIGHT TO WIN GROWTH ACCELERATORS MEANINGFUL SCALE Maintain and expand Leverage novel and Drive attractive expansion core competencies
Slide 57: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK CONSISTENT MSD+ Underpinned by strong GROWTH and VALUE CREATION STRATEGY ATTRACTIVE MARGINS Strengthen Maximize Add CORE RIGHT TO WIN GROWTH ACCELERATORS MEANINGFUL SCALE Maintain and expand Leverage novel and Drive attractive expansion core competencies
Slide 58: Track Record of Innovation
TRACK RECORD OF INNOVATION BEST-IN-CLASS IMAGING INCREASING REAGENT INTEGRATED DIGITAL Strengthen & DETECTION ATTACH RATE CAPABILITIES CORE RIGHT TO WIN Opera Suite of Screening Signals Phenix® Reagents Expansion Plus PREMIER CONFOCAL LARGEST THERAPEUTIC FUTURE-PROOF, CLOUD- SOLUTION BIOMARKER PORTF
Slide 59: Leading High Content Screening Workflow
LEADING HIGH CONTENT SCREENING WORKFLOW Best-in-Class, Complete Workflow PhenoVueTM Cellular Reagents Leading Software Predictive Live cells and tissues Disease with 3D capabilities Models Opera Phenix® Plus High Content Screening System Accelerating First Opera Phenix® NPI cycle was ~5 years and NP
Slide 60: Commercial Execution in Action: Discovery Reagents
COMMERCIAL EXECUTION IN ACTION: DISCOVERY REAGENTS COMPLEMENTED BY STRONG Commercial Segment GLOBAL CHANNEL DESIGN Office Market Voice of CRM ✓ Dedicated reagents team Research Customer Analysis ✓ Strong lead sharing program for Americas instrumentation team Discovery ✓ Cross-trained on complete Rea
Slide 61: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK CONSISTENT MSD+ Underpinned by strong GROWTH and VALUE CREATION STRATEGY ATTRACTIVE MARGINS Strengthen Maximize Add CORE RIGHT TO WIN GROWTH ACCELERATORS MEANINGFUL SCALE Maintain and expand Leverage novel and Drive attractive expansion core competencies
Slide 62: Rapid Innovation Together With Our Customers
RAPID INNOVATION TOGETHER WITH OUR CUSTOMERS Maximize Accelerating Digital GROWTH Transformation ACCELERATORS ✓ Anchor Signals platform with market- Leverage novel and leading capabilities agile innovation to increase market share ✓ Cloud-based ✓ Moving to AI and ML algorithms Signals Enterprise Lab
Slide 63: Delivering Complete Food Safety Solutions
DELIVERING COMPLETE FOOD SAFETY SOLUTIONS Full range of offerings served by indirect and direct channels Meizheng’s MicroFast® Aerobic Count Plates “Very clear and precise, easy to use." - Major U.K. Contract Lab Expansion into new $100M+ Food Safety market opportunity 63
Slide 64: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK CONSISTENT MSD+ Underpinned by strong GROWTH and VALUE CREATION STRATEGY ATTRACTIVE MARGINS Strengthen Maximize Add CORE RIGHT TO WIN GROWTH ACCELERATORS MEANINGFUL SCALE Maintain and expand Leverage novel and Drive attractive expansion core competencies
Slide 65: Where We're Headed: Scaling Our Cell & Gene Therapy Portfolio
WHERE WE’RE HEADED: SCALING OUR CELL & GENE THERAPY PORTFOLIO ❑ Humans ✓ Models ❑ 3D Organoids Broadening ✓ Cells capabilities in ✓ Proteins DRUG ✓ DNA/RNA DISCOVERY COMBINATION IS TRANSLATING Leader in phenotypic analysis “We are very excited by the potential offered through the combination of Hori
Slide 66: Where We're Headed: Leveraging More Broadly
WHERE WE’RE HEADED: LEVERAGING MORE BROADLY TO PUSH NEW FRONTIERS OF PERSONALIZED MEDICINE ✓ ❑ Humans ✓ Models Closing the ❑ 3D Organoids ✓ Cells Chasm: ✓ Proteins driving new ✓ DNA/RNA insights in CLINICAL 1 CELL AND GENE THERAPY PORTFOLIO: EXCELLING AT PERSONALIZED MEDICINE 2 NEXT FRONTIER Upstrea
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Slide 68: Putting It All Together
PUTTING IT ALL TOGETHER Focused Value Best-in-class Investing in Strong MSD+ Creation Franchises the Next Growth Outlook Strategy across Portfolio Frontiers DOUBLED Life Sciences revenue vs 2015 Significant 60% of portfolio channel growing >6% synergy potential 68
Slide 69: Diagnostics
DIAGNOSTICS Amar Kamath, Vice President, Diagnostics
Slide 70: Diagnostics at a Glance
DIAGNOSTICS (DX) AT A GLANCE Reproductive Applied KEY POSITIONS Health Genomics (RH) (AG) Total Addressable Provider of Newborn, NIPT, Market Reproductive $2.1B (TAM) Health #1 biochemical screening, and pre-eclampsia solutions 2020 revenue $35B+ ImmunoDx Extensive menu of across (IDx) ImmunoDx #2 a
Slide 71: Transformed Portfolio Driving Strong Outlook
TRANSFORMED PORTFOLIO DRIVING STRONG OUTLOOK DIVERSIFIED INTO NEW DX AREAS ACCELERATING 8% OUTSIDE REPRODUCTIVE HEALTH (RH) GROWTH 7% Dx average organic AG growth rate ’14 – ‘16 ’17 – ‘19 IDx RH RH MARGIN EXPANSION NEARLY DOUBLED AG OPPORTUNITIES CORE DX REVENUE Dx 2015 Revenue 28% 2019 $1B 2020 IDx
Slide 72: Leading Franchise: Making the Complex Very Simple
LEADING FRANCHISE: MAKING THE COMPLEX VERY SIMPLE SUSTAINED PROFITABLE, Underpinned by differentiated HSD+ GROWTH 3 “D” STRATEGY ETECTION ECENTRALIZATION IGITIZATION Driving best-in-class Advancing novel breadth and scale and Increasing simplicity capabilities through a augmenting through a and conv
Slide 73: Leading Franchise: Decentralization
LEADING FRANCHISE: MAKING THE COMPLEX VERY SIMPLE SUSTAINED PROFITABLE, Underpinned by differentiated HSD+ GROWTH 3 “D” STRATEGY ETECTION D ECENTRALIZATION D IGITIZATION Driving best-in-class Advancing novel breadth and scale and Increasing simplicity capabilities through a augmenting through a and
Slide 74: Track Record of Innovation in Detection
TRACK RECORD OF INNOVATION IN DETECTION Select Technologies ETECTION 2018 2020 2021 Vanadis EONISTM Accentis Core® System Driving best-in-class breadth and scale and augmenting ROLLING CIRCLE REAL-TIME PCR RANDOM ACCESS through a REPLICATION (RCR) MULTIPLEXING CHEMILUMINESCENCE complete, modular ✓ 2
Slide 75: Rapid Commercial Uptake
RAPID COMMERCIAL UPTAKE Foundational, high- performance platform Supporting our customers’ expanded Molecular Dx needs Highly-scalable >90% workflow Tender win rate in 2,000 to competitive bids 10,000 explorer™ G3 Workstation tests per day 75
Slide 76: M&A Progress: Combining Differentiated Chemistry
M&A PROGRESS: COMBINING DIFFERENTIATED CHEMISTRY WITH PERKINELMER WORKFLOW Market leading, Highly sensitive, differentiated #2 player in Latent TB latent TB IGRA Solution testing globally Key Synergy: Powerful chemistry, deep Automation application expertise, and and Workflow premier automation T-SP
Slide 77: Continued Leadership in Reproductive Health Workflows
CONTINUED LEADERSHIP IN DIFFERENTIATED REPRODUCTIVE HEALTH WORKFLOWS Automated High-Throughput Workflow Solution Vanadis Extract® Vanadis Core® • Launched early March 2021 300,000+ patients served • First commercial application in the US for Vanadis • Additional locations across Vanadis View® LifeCy
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Slide 79: Leading Franchise: Digitization
LEADING FRANCHISE: MAKING THE COMPLEX VERY SIMPLE SUSTAINED PROFITABLE, Underpinned by differentiated HSD+ GROWTH 3 “D” STRATEGY D ETECTION ECENTRALIZATION D IGITIZATION Driving best-in-class Advancing novel breadth and scale and Increasing simplicity capabilities through a augmenting through a and
Slide 80: Investing to Expand Access
INVESTING TO EXPAND ACCESS DECENTRALIZATION ECENTRALIZATION CAPABILITIES SuperFlex™ (CE-IVD) RONIATM Point of Care MiniLab Point of Care Advancing novel capabilities to address decentralization trends and expand our addressable market Sample Type Turnaround Time Sample Type Turnaround Time Sample Ty
Slide 81: Leading Franchise: Decentralization
LEADING FRANCHISE: MAKING THE COMPLEX VERY SIMPLE SUSTAINED PROFITABLE, Underpinned by differentiated HSD+ GROWTH 3 “D” STRATEGY D ETECTION D ECENTRALIZATION IGITIZATION Driving best-in-class Advancing novel breadth and scale and Increasing simplicity capabilities through a augmenting through a and
Slide 82: Solutions and Insights Driving Customer Stickiness
SOLUTIONS AND INSIGHTS DRIVING CUSTOMER STICKINESS ✓ Janus Liquid Handling IGITIZATION workstations enabled ✓ Strong sales penetration Increasing simplicity and Upcoming Chemagic convenience PKeyeTM and LabChip® through digital PKeye launches Mobile Lab Operations Monitor solutions Demographics Test
Slide 83: Putting It All Together
PUTTING IT ALL TOGETHER Strong +HSD Transformed Strong Brands The Future: Portfolio in New Verticals Decentralization Growth Outlook and Digitization DOUBLED Diagnostics revenue vs 2015 DOUBLED >$2B deployed core kits sold in capital since 2015 Emerging Markets since 2015 83
Slide 84: Operational Excellence & Financial Update
OPERATIONAL EXCELLENCE & FINANCIAL UPDATE Jamey Mock, Senior Vice President, Chief Financial Officer
Slide 85: Why Operational Excellence?
WHY OPERATIONAL EXCELLENCE? OPPORTUNITY TALENT Numerous opportunities for value creation INNOVATION SYSTEMATIC APPROACH OPERATIONAL Focused on 5 P’s (Purpose, People, EXCELLENCE Problem-solving, Process, Performance) with small global team to support COMMERCIAL BENEFITS EXECUTION PORTFOLIO TRANSFORM
Slide 86: Operational Excellence: Preliminary Value Drivers
OPERATIONAL EXCELLENCE: PRELIMINARY VALUE DRIVERS STARTED WITH THE BASICS Identifying key levers that everyone in the company touches 86
Slide 87: Cost-Out Drivers: 2023 Roadmap to 23%+
COST-OUT DRIVERS: 2023 ROADMAP TO 23%+ $2.3B 2023 20.7% Adj. OP Impact Drivers PRODUCT Improved Transportation & 140+ Site Optimization Cost of MARGIN: Procurement Logistics bps Product 62% Cost of SERVICES Labor Robotic Process 90+ Service TRANSFORMATION: Utilization Automation (RPA) bps SG&A Headc
Slide 88: FCF Conversion Outlook: Consistent 85%+
FCF CONVERSION OUTLOOK: CONSISTENT 85%+ ADJUSTED FCF CONVERSION % KEY INITIATIVES 107% • Targets embedded into global incentive plans 81% 89% GOVERNANCE • Improved analytics, reporting, & forecasting 70% 64% • Order processing automation LINEARITY 2016 2017 2018 2019 2020 • Improved supply chain pla
Slide 89: Best-in-Class Total Quality
BEST-IN-CLASS TOTAL QUALITY In Process Data Influenced Design Control Communication Monitoring Design PROCESS WORKFLOW: Critical feature Supply chain ERP supplier modules Enhancements & definition verification tools & factory in-line design to leverage verifications reliability for NPIs Select Resul
Slide 90: Acquisition Integration: New Dedicated Team
ACQUISITION INTEGRATION: NEW DEDICATED TEAM PEOPLE Dedicated team with retention focus ACQUISITION INTEGRATION PLAYBOOKS Tailored synergy execution PROGRAM GOVERNANCE Cross-functional alignment 90
Slide 91: Acquisition Integration: New Dedicated Team
ACQUISITION INTEGRATION: NEW DEDICATED TEAM 2021 EARLY SUCCESSES PEOPLE Dedicated team with Employee Revenue & retention focus Retention Cost & Mobility Synergies ACQUISITION INTEGRATION 2023 IMPACT PLAYBOOKS PROGRAM Tailored synergy execution ~$400M ~23% Revenue Adjusted OP GOVERNANCE Cross-functio
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Slide 93: Operational Excellence: Summary
OPERATIONAL EXCELLENCE: SUMMARY NEW PROGRAM EARLY SCALE AND FULLY FORMATION SUCCESSES INTEGRATE Expand initial ~500-person Building foundation foundation to >2,500 people by Launched in 2020 with 4 preliminary value drivers 2023 with full integration to develop over the long-term 93
Slide 94: What You Heard Today: Exciting Future Outlook
WHAT YOU HEARD TODAY: EXCITING FUTURE OUTLOOK 1 PORTFOLIO TRANSFORMATION Expanding into faster growing markets with greater capabilities 2 TECHNOLOGY AND INNOVATION Faster and more transformative solutions across PKI 3 COMMERCIAL EXECUTION Larger market share with greater efficiency NEW PKI BUILT ON
Slide 95: Expanding Into Fast Growing Markets
1 EXPANDING INTO FAST GROWING MARKETS PORTFOLIO TRANSFORMATION DIAGNOSTICS TRANSFORMED GROWTH PROFILE Capital ~$2B Deployed $4.0B+ $2.9B Market Growth $3.4B $2.1B 80% capital deployed* 65% >6% 45% across LIFE SCIENCES Capital 28 ~$1B Deployed <6% 55% 35% 20% transactions 2015 2019 2023 since 2015 TA
Slide 96: Strong Execution of Acquisitions
1 STRONG EXECUTION OF ACQUISITIONS PORTFOLIO TRANSFORMATION TOTAL ACQUISITION PERFORMANCE 2020 ROIC Time Since Close 11% 80% 85% +HSD 3 years Avg. Annual Organic Recurring Ex-US Growth since 2015 Revenue Revenue 2020 Adjusted EPS Accretion $1.10 +HSD 1 year +HSD 4 years Pre-Acq. Post-Acq. Pre-Acq. P
Slide 97: Faster, More Transformative Solutions
2 FASTER, MORE TRANSFORMATIVE SOLUTIONS TECHNOLOGY & INNOVATION TODAY: GROWTH DRIVERS TOMORROW: TRANSFORMATIVE AREAS Cell & Digital Lab Nucleic Acid Informatics Automation Discovery Gene of the Extraction Therapy Future Immuno Single Decentralized Genomics Food Safety Vanadis Cannabis Multi-OMICS Dx
Slide 98: Increase Share and Improve Productivity
3 INCREASE SHARE AND IMPROVE PRODUCTIVITY COMMERCIAL EXECUTION SHARE PRODUCTIVITY SG&A % of revenue New Key Account 26% E-Commerce Partnerships Reps 24% 23% Triple $50-100M 10% key exposure opportunity account growth 2015 2019 2023 Best-in-Class DRIVERS Service Brand Strength Bundling Incentives 98
Slide 99: Strong and Consistent Performance
4 STRONG AND CONSISTENT PERFORMANCE OPERATIONAL EXCELLENCE COST-OUT FREE CASH FLOW CONVERSION +$100M >$2B 2021 – 2023 FCF Generation 2023 Operating Profit Available for Capital Deployment OPERATIONAL EXCELLENCE QUALITY ACQUISITION INTEGRATION* +25 bps +$0.65 Adj. Gross Margin opportunity 2023 Adj. E
Slide 100: Purpose-Driven Careers & the Best Place to Work
5 PURPOSE-DRIVEN CAREERS & THE TALENT & CULTURE BEST PLACE TO WORK PKI BUILDING BLOCKS 2025 MEASURES OF SUCCESS Employee PURPOSE Satisfaction >75% Voluntary LEADING Turnover <10% GLOBAL WITH REACH SCIENCE Internal Leadership 50% Fill Rate CAPABILITY STEWARDSHIP Female DEVELOPMENT & DIVERSITY Leaders
Slide 101: The New PKI
THE NEW PKI BUILT ON A STRONG FOUNDATION PORTFOLIO TECHNOLOGY & TRANSFORMATION INNOVATION Drive strong COMMERCIAL OPERATIONAL financial EXECUTION EXCELLENCE profile TALENT AND CULTURE 101
Slide 102: Performance Track Record
PERFORMANCE TRACK RECORD REVENUE OPERATING MARGIN ADJ. EPS $3.8B 31.8% $8.30 8% CAGR 18% Expansion 20% $2.1B 17.0% CAGR $1.7B 13.7% $2.33 $1.33 2010 2015 2020 2010 2015 2020 2010 2015 2020 13% ADJ. EPS CAGR FROM 2010 TO 2019 Reconciliation 102
Slide 103: Executing on Our 2023 Pathway to $4B+ in Revenue
EXECUTING ON OUR 2023 PATHWAY TO $4B+ IN REVENUE PRIOR PATHWAY UPDATED PATHWAY ✓ ❑ Core organic growth of +5 to +$400M $4.0B+ Upside 7% per year from 2021 to potential 2023 +$770M +$100M with additional ✓ $250M ✓ $2B+ in 2020 ❑ $100M+ durable COVID capital to ✓ $150M deploy for product revenue $2.73
Slide 104: New PerkinElmer Portfolio Transformation
NEW PERKINELMER 1 PORTFOLIO TRANSFORMATION Expanding into faster growing markets with greater capabilities LONG-TERM FINANCIAL ALGORITHM 2 TECHNOLOGY AND INNOVATION Faster and more transformative solutions Organic +MSD to across PKI Growth HSD 3 COMMERCIAL EXECUTION Larger market share with greater
Slide 105: Q&A Session
j> PerkinElmer For the Better Q&A Session Thank You