Bruker Corporation · NASDAQ:BRKR

Bruker — 32nd Annual J.P. Morgan Healthcare Conference (January 2014)

24 slides from Bruker's conference presentation, Jan 15, 2014

Slide 1: Bruker Corporation at J.P. Morgan Healthcare Conference
Bruker Corporation (NASDAQ: BRKR) 32nd Annual J.P. Morgan Frank Laukien, President & CEO Healthcare Conference Charles Wagner, EVP & CFO January 15, 2014 Joshua Young, VP, Investor Relations Innovation with Integrity
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
Slide 3: Agenda
Agenda 1 Company Overview & 2014 Key Themes and Initiatives 2 Innovation & Transformation 3 Restructuring, Financials & Investment Thesis © Bruker Corporation Innovation with Integrity 3
Slide 4: Company Profile
Company Profile Bruker: the leading provider of high-performance scientific KEY FIGURES instruments and solutions for life science, diagnostic and Founded in 1960 applied markets. ~$1.8B revenue ~6,700 employees ~82% of revenues outside Bruker Scientific Bruker Energy & Supercon of the US Instrument
Slide 5: Our BSI Groups have distinct capabilities and products, and serve complementary markets
Our 3 BSI Groups have distinct capabilities and products, and serve complementary markets Bruker Bruker Bruker Bruker BioSpin CALID MAT BEST 1. Nuclear Magnetic 1. Life-Science and 1. Atomic Force 1. LTS Superconductors Resonance (NMR) Applied Mass Microscopy (AFM) Spectrometry 2. HTS Superconductor
Slide 6: Most of our revenues are from academic, government, industrial, pharma/biotech and diagnostics markets
Most of our revenues are from academic, government, industrial, pharma/biotech and diagnostics markets Bruker Bruker Bruker Bruker BioSpin CALID MAT BEST MARKETS SERVED MARKETS SERVED MARKETS SERVED MARKETS SERVED 1. Academic & Medical 1. Academic/government 1. Industrial research and 1. Healthcare
Slide 7: Key Themes for 2014–2016: Innovation & Transformation
Key Themes for 2014–2016: Innovation & Transformation 1 Bruker has a premium brand and an exceptional record of major product innovation and strong organic growth. We have achieved leadership positions in focused segments in LST. 2 We are expanding into fast-growing markets in molecular diagnostics
Slide 8: Key Initiatives for 2014: Innovation & Transformation
Key Initiatives for 2014: Innovation & Transformation 1 2014 priority: meaningful improvement in EPS and Cash Flow 2 Bruker plans major product introductions and is accelerating expansion into attractive, adjacent markets throughout 2014 3 After 18 months of implementing senior leadership (new CFO,
Slide 9: Agenda
Agenda 1 Company Overview & 2014 Key Themes and Goals 2 Innovation & Transformation 3 Restructuring, Financials & Investment Thesis © Bruker Corporation Innovation with Integrity 9
Slide 10: Product Innovation: MALDI Biotyper for Microbiology ID
Product Innovation: MALDI Biotyper for Microbiology ID INDUSTRY ISSUE: The identification (ID) of microbial infections can take several hours or days using traditional methods BRUKER INNOVATION: VALUE CREATED: • Faster time-to-result (TTR) MALDI Biotyper: a benchtop MALDI-TOF • More differentiated i
Slide 11: Product Innovation: Ascend Aeon NMR magnets
Product Innovation: Ascend Aeon NMR magnets INDUSTRY ISSUE: Diminishing supply and availability of helium has led to increasing costs to maintain NMR magnets BRUKER INNOVATION: VALUE CREATED: • Independence from Ascend Aeon magnets: Helium supply situation incorporates advanced refrigeration design
Slide 12: Market Innovation: Expansion into fast-growing Proteomic & Metabolomic Molecular Diagnostics
Market Innovation: Expansion into fast-growing Proteomic & Metabolomic Molecular Diagnostics We are entering molecular diagnostics, leveraging our proteomics and metabolomics MS and NMR tools: • MALDI Biotyper transforming clinical microbiology with faster time-to- result, more specific ID and lower
Slide 13: Market Innovation: Expansion into fast-growing Preclinical Imaging and Cellular Imaging
Market Innovation: Expansion into fast-growing Preclinical Imaging and Cellular Imaging We have emerged as leader in >$400M Preclinical Imaging market: • #1 in preclinical MRI (#2 exited market in Q4-13) • #1 in emerging preclinical MPI • Preclinical uCT leader with SkyScan acquisition in 2012 • Eme
Slide 14: Transformation: 2013 was first year of a multi-year effort
Transformation: 2013 was first year of a multi-year effort to transform Bruker and to reset its foundation 2012 2013 2014 2015 2016 2017 New Leadership & Organization • Simplified organizational structure • New leaders & incentive structures • Globalized approach to business Incremental Profit Impro
Slide 15: Transformation: We have made significant progress in 2013 and will continue in 2014-2015
Transformation: We have made significant progress in 2013 and will continue in 2014-2015 Organization/People Processes/Systems Restructuring/Efficiency • New CFO and three new • Transitioning to global • Launched restructuring Group presidents business model, from initiatives in all businesses count
Slide 16: Agenda
Agenda 1 Company Overview & 2014 Key Themes and Goals 2 Innovation & Transformation 3 Restructuring, Financials & Investment Thesis © Bruker Corporation Innovation with Integrity 16
Slide 17: Our YTD revenue growth is roughly in-line with the broader life science tools market
Our YTD revenue growth is roughly in-line with the broader life science tools market Q3 2013 YTD Performance Q3 YTD Performance  Organic revenue growth of 2.0% Revenues [$ m] +1% 1. CALID & BioSpin generate mid-single digit revenue growth 1.27 1.29 2. BMAT revenues decline mid-single digits, with w
Slide 18: We are taking actions in 2013 that are expected to drive meaningful cost savings in 2014
We are taking actions in 2013 that are expected to drive meaningful cost savings in 2014 Facility Headcount Outsourcing Divestitures Closures Reductions $15–20m of expected annualized savings in 2014 © Bruker Corporation Innovation with Integrity 18
Slide 19: Transformation: Bruker CALID Group reducing costs & improving operations
Transformation: Bruker CALID Group reducing costs & improving operations Key 2013 Actions: • Narrowed CAM strategic focus and reduced operating expenses • Closed CAM Netherlands manufacturing, and consolidated or outsourced production (Q4 2013) • Impact: ~50 headcount, headcount plus inventory benef
Slide 20: Transformation: Bruker BioSpin Group ramped-up outsourcing activity
Transformation: Bruker BioSpin Group ramped-up outsourcing activity Key 2013 Actions: • Outsourced/divested Swiss electronics production and French power supply production to partners in Q1-13 • Closed one pre-clinical imaging site in Q4-13 • Impact: ~100 headcount, plus inventory benefit Additional
Slide 21: Transformation: Bruker Materials Group reallocated investment & right-sized
Transformation: Bruker Materials Group reallocated investment & right-sized Key 2013 Actions: • Right-sized BNS headcount in response to weak demand results (Q3 2013) • Right-sized AXS and Elemental headcount to better reflect investment priorities (Q4 2013) • Consolidating one AXS manufacturing ope
Slide 22: Transformation: BEST narrowed its strategic focus & drove profitability
Transformation: BEST narrowed its strategic focus & drove profitability Key 2013 Actions: • Discontinued iSFCL development project (Q2 2013) • Discontinued CGM development project and closed German magnet operation (Q4-13) • Reduced other overhead costs • Impact: ~20 headcount Additional 2014 Action
Slide 23: Why Invest in Bruker?
Why Invest in Bruker? A Strong Foundation • Premier brand for high-performance life-science, diagnostics and analytical scientific instruments • Strong innovation and expansion track record, taking concrete actions to improve profitability & cash flow • Excellent customer relationships and collabora

Bruker — 32nd Annual J.P. Morgan Healthcare Conference (January 2014) on 6ix

Bruker — 32nd Annual J.P. Morgan Healthcare Conference (January 2014)

Slide 1: Bruker Corporation at J.P. Morgan Healthcare Conference

Slide 2: Safe Harbor Statement

Slide 3: Agenda

Slide 4: Company Profile

Slide 5: Our BSI Groups have distinct capabilities and products, and serve complementary markets

Slide 6: Most of our revenues are from academic, government, industrial, pharma/biotech and diagnostics markets

Slide 7: Key Themes for 2014–2016: Innovation & Transformation

Slide 8: Key Initiatives for 2014: Innovation & Transformation

Slide 9: Agenda

Slide 10: Product Innovation: MALDI Biotyper for Microbiology ID

Slide 11: Product Innovation: Ascend Aeon NMR magnets

Slide 12: Market Innovation: Expansion into fast-growing Proteomic & Metabolomic Molecular Diagnostics

Slide 13: Market Innovation: Expansion into fast-growing Preclinical Imaging and Cellular Imaging

Slide 14: Transformation: 2013 was first year of a multi-year effort

Slide 15: Transformation: We have made significant progress in 2013 and will continue in 2014-2015

Slide 16: Agenda

Slide 17: Our YTD revenue growth is roughly in-line with the broader life science tools market

Slide 18: We are taking actions in 2013 that are expected to drive meaningful cost savings in 2014

Slide 19: Transformation: Bruker CALID Group reducing costs & improving operations

Slide 20: Transformation: Bruker BioSpin Group ramped-up outsourcing activity

Slide 21: Transformation: Bruker Materials Group reallocated investment & right-sized

Slide 22: Transformation: BEST narrowed its strategic focus & drove profitability

Slide 23: Why Invest in Bruker?

Slide 24: www.bruker.com