Austco Healthcare Ltd · ASX:AHC
Austco Healthcare — Azure Healthcare — Investor Presentation (November 2016)
33 slides from Austco Healthcare's investor presentation, November 2016
Slide 1: Investor Presentation
Investor Presentation November 2016 1
Slide 2: Disclaimer
Disclaimer This Publication does not constitute an offer, invitation or recommendation for the sale or purchase of any securities in any jurisdiction. References to, and the explanation of, legislation and regulatory issues in this Publication are indicative only and should not be relied on. They do
Slide 3: Agenda
Agenda • About Azure • Year in Review • Strategic Priorities • Business Outlook • Research & Development Overview • New Products • Q&A Shareholder Roadshow | November 2016 3
Slide 4: About Azure
About Azure • Established in 1986 Capital Structure as at 15 November 2016 Shares on Issue 189,711,544 • Global manufacturer of Nurse call Systems and Share Price $0.076 Clinical Workflow solutions for hospitals and aged care facilities. Market Capitalisation $14.5 million Cash (as at 30 June 2016)
Slide 5: About Azure
About Azure Balance Sheet ($’000s) 30-June-2016 Cash 1,685 Trade Payables 6,366 Other Current Assets 14,440 Other Current Liabs 3,367 Plant & Equipment 774 Long Term Borrowings 8 Other Non-Current A’s 5,084 Provisions 72 Total Assets 21,983 Total Liabilities 9,813 Net Assets 12,170 Board & Senior Ma
Slide 6: Benchmarking Analysis
Benchmarking Analysis Net Assets Enterprise FY16 FY16 FY16 EV / Market as at 30 Number EV / Net Company Value Rev. NPBT EBTDA FY16 Cap ($m) June 2016 of Sites Assets ($m) ($m) ($m) ($m) Rev. ($m) Azure Healthcare 14.4 14.8 32.0 (3.9) (3.2) 12.2 0.46x 4,501 1.2x Limited Alcidion Group* Ltd 35.2 29.5
Slide 7: Management Structure
MANAGEMENT STRUCTURE
Slide 8: Corporate Structure
Corporate Structure AZURE HEALTHCARE Austco Communications Pty Ltd Sedco Communications Pty Ltd 40 O'Malley Street, (Production) 40 O'Malley Street (Production) Osborne Park Osborne Park Western Australia 6017 Western Australia 6017 Austco Marketing & Service (Asia) Austco Marketing & Service (Canad
Slide 9: Management Structure
Management Structure CEO Clayton Astles MANUFACTURING Operations REGIONAL MANAGEMENT RESEARCH & DEVELOPMENT FINANCE (Australia) (Global) President Operations Manager General Manager - Director R&D CFO (USA & Latin America) (Perth) Global Operations Stephen Belcher Jason D’Arcy Clayton Astles Andrew
Slide 10: The Year in Review
THE YEAR IN REVIEW Shareholder Roadshow | November 2016 10
Slide 11: The Year in Review
The Year in Review Launched New Software Platform Enterprise Information Dashboard with Reporting Sophisticated Integrations Mobile Applications Workflow Optimization Intuitive User Interface Shareholder Roadshow | November 2016 11
Slide 12: The Year in Review
The Year in Review Upcoming Pilot Sites Reports and Dashboards Health South Monte Fiore (USA) Sick Kids (AUS) (CAN) 2016 Shareholder Shareholder Roadshow Roadshow | April 2016 | November 12
Slide 13: The Year in Review
The Year in Review Large Project Deployments 1200 Beds 370 Beds Ng Teng Fong General Sick Kids (SK) Hospital (NTFGH) 300 Beds 400 Beds Perth Children’s Hospital (PCH) New Oakville Hospital (NOH) Shareholder Roadshow | November 2016 13
Slide 14: Strategic Priorities
STRATEGIC PRIORITIES 2016 Shareholder Roadshow | April 2016 14
Slide 15: Our Strategic Priorities
Our Strategic Priorities Organizational Restructuring Streamline reporting structure Focus on Quality Reduce Regulatory manufacturing costs Compliance Improve Adapt to Evolving efficiencies Industry Restructuring will be completed by December 2016 2016 Shareholder Shareholder Roadshow Roadshow | Apr
Slide 16: Our Strategic Priorities
Our Strategic Priorities Relocate Manufacturing to USA Average wage 21% Lower Factory Overheads 45% Lower Break-Even Point 3.5 Times Lower Perth Factory closure will result in savings of AUD $1M to $1.4M annually Sale of non-core asset Cellguard for $1 million (before adjustments and transaction cos
Slide 17: Our Strategic Priorities
Our Strategic Priorities Rationalize Product Lines to improve profitability • Austco has more that 900 products in its portfolio • Typically with companies that have many products, 80% of sales come from only 20% of those products • Over 29 years, Austco has continued to add products to its portfoli
Slide 18: Our Strategic Priorities
Our Strategic Priorities Introduce Subscription Pricing Model Benefits for Azure: • Predictable and continuous revenue • While subscribed, Azure has regular contact with the customer, rather than sporadic contact. • More competitive on bids (cost of software is spread out over years) Perpetual Reven
Slide 19: Product Roadmap
Product Roadmap and future product opportunities Shareholder Roadshow | November 2016 19
Slide 20: Nurse Call emerging trends
Nurse Call emerging trends Voice Voice Switch Applications Pulse Oximeter Infusion Pump System New Nurse Call standard System Patient Ventilator Infant Active Directory Monitoring Systems Protection System Traditional Nurse Call RTLS ADT System Stat Lab Patient Flow Results System Onsite Paging BMS
Slide 21: Reports & Dashboards
Reports & Dashboards Analytics and reporting Few competitive solutions Austco’s platform could be a market leader Products displayed are for demonstration purposes only. Shareholder Roadshow | November 2016 21
Slide 22: New Widgets
New Widgets 2 Products displayed are for demonstration purposes only. 2
Slide 23: RTLS for Nurse Call
RTLS for Nurse Call “Presence” over door light Acknowledge alarms at nurse station Track time spent in room, response time Accurate for multi-bed rooms Position relative to other tags Shareholder Roadshow | November 2016 23
Slide 24: Whiteboards
WHITEBOARDS For nurse’s station, patient rooms Uses icons and pics Easy to configure Customized workflow Products displayed are for demonstration purposes only. Shareholder Roadshow | November 2016 24
Slide 25: Mobile Apps
MOBILE APPS Bring your own device (BYOD) Lets nurses use technology they already know Nurses not tied to a station Products displayed are for demonstration purposes only.
Slide 26: Focused on Alarm Management
FOCUSED ON ALARM MANAGEMENT Acknowledge alarm Forward/Decline alarm Escalate alarm SMART WATCH APPS Reminders Hands-free care Watches are ideal notification devices Products displayed are for demonstration purposes only. Shareholder Roadshow | November 2016 26
Slide 27: Interface video
Interface video http://www.austco.com/media/roadshow2016-tacerawalkthrough.mp4 Shareholder Roadshow | November 2016 27
Slide 28: End-to-End Alarm Management
ALL AUSTCO PRODUCTS Consistent interactions Consistent visual language END-TO-END ALARM MANAGEMENT Entire ecosystem Products displayed are for demonstration purposes only. Shareholder Roadshow | November 2016 28
Slide 29: Business Outlook
BUSINESS OUTLOOK 2016 Shareholder Roadshow | April 2016 29
Slide 30: Nurse Call Market Size
Business Outlook Nurse Call Market Size GLOBAL NURSE CALL SYSTEMS MARKET, 2012 - GLOBAL NURSE CALL SYSTEMS MARKET, 2020, REVENUE (USD Mil) BY GEOGRAPHY, 2013 (US$ M) Rest of the World $72M North America Asia Pacific $229M $140M Europe $156M Source: TMR Analysis, December 2014 Shareholder Roadshow |
Slide 31: Importance of the USA Market
Business Outlook Importance of the USA Market Healthcare expenditures in the US are twice those of other developed countries 2016 Shareholder Roadshow | April 2016 31
Slide 32: Investment Case
Business Outlook Investment Case Ageing baby Complementary • Project Revenue boomer revenue streams • Transaction Based generation • Recurring Revenue Well positioned to Well diversified take advantage of across future opportunities geographies Growing sales pipeline for High barriers sophisticated
Slide 33: Questions?
QUESTIONS? Shareholder Roadshow | November 2016 33
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