Quidelortho Corporation · NASDAQ:QDEL

Quidelortho — Quidel — Bank of America Merrill Lynch 2016 Health Care Conference

13 slides from Quidelortho's conference presentation, May 10, 2016

  1. Slide 1: Doug Bryant

    Doug Bryant

  2. Slide 2: Forward-looking statements

    Forward-looking statements This presentation contains forward-looking statements within the meaning of the federal securities laws that involve material risks, assumptions and uncertainties. Many possible events or factors could affect our future financial results and performance, such that our actu

  3. Slide 3: Quidel is…

    Quidel is… A market leader in the development of innovative medical diagnostic platforms… • Traditional and Next-generation Immunoassays, • Cellular-Based Virology assays, and • Versatile Molecular Diagnostic platforms …that is focused on delivering highly accurate, connected new products with low i

  4. Slide 4: Quidel is developing new products that can compete in the evolving healthcare environment

    Quidel is developing new products that can compete in the evolving healthcare environment Diagnostic products will need to be connected as compliance, access to testing data and the handling of those data will increase in importance. Assays will need to be faster and easier to use as testing moves i

  5. Slide 5: Our strategic intent

    Our strategic intent Build a broader-based diagnostic company that delivers revenue and margin more consistently. Use existing resources to solidify price and volume in our core businesses, while gaining access to, and competing in larger markets, to include molecular. • Defend price and volume in o

  6. Slide 6: Our Intended Served Markets are Large (in millions)

    Our Intended Served Markets are Large (in millions). S. Pneumo $5 B. Pertussis Lyme Disease GBS $20 $30 $10 Legionella $20 $100 RSV hCG $40 Influenza $190 Vitamin D $160 TSH Strep A $750 $130 Respiratory Women’s Health HSV 1+2 $50 $130 CT/NG C. difficile Trichomonas MRSA $230 $160 $230 STDs HAIs 6 E

  7. Slide 7: Since 2011, Quidel has submitted over 25 510(k) packages resulting in 20 FDA clearances

    Since 2011, Quidel has submitted over 25 510(k) packages resulting in 20 FDA clearances, 4 CLIA-waiver designations and numerous product introductions. Quidel Recent Product Introductions: FDA- cleared Products since 2011 Sofia® Instrumented AmpliVue® HDA Solana® HDA Lyra® Real-Time Immunoassay Isot

  8. Slide 8: Different testing locations have different workflow requirements and needs

    Different testing locations have different workflow requirements and needs, which inform the PDR for each platform. Locations Workflow Needs Products Physician Offices Patient- 5-10 minutes Sofia Retail Clinics Driven Performance Sofia 2 EDs (non-lab) Ease of Use Virena Urgent Care Sites Connectivit

  9. Slide 9: Our current pipeline

    Our current pipeline Sofia • Vitamin D • Lyme Sofia 2 • Influenza A+B, • C. difficile • RSV • hCG for pregnancy • Group A Strep Solana • Trichomonas vaginalis • HSV 1+2/VZV • Group A Strep + C/G • C. difficile • Influenza A+B Savanna (menu to be announced) 9

  10. Slide 10: We are on a path to our longer term financial objectives

    We are on a path to our longer term financial objectives 1. Achieve low- to mid-teens in annual revenue growth through new product introductions. 2. Invest in the development and commercialization of new products driving gross margins to exceed 65%. 3. Leverage operational efficiency driving EBITDA

  11. Slide 11: Quidel financial overview

    Quidel financial overview Revenue Adjusted EBITDA (1) (in $ million, percent gross margin in white) (adjusted, in $ million) $50.0 $250 120% $45.0 $40.9 $40.6 $38.9 $196.1 100% $40.0 $200 $182.6 $175.4 $35.0 $33.0 $158.6 $155.7 80% $30.0 $27.9 $150 $25.0 60% $100 62% 63% $20.0 60% 61% 59% 40% $15.0

  12. Slide 12: 2016 expected operating cost structure

    2016 expected operating cost structure Annual Investment: R&D Annual Investment: S&M (in $ million; percentage of sales in white) (in $ million; percentage of sales in white) $45.0 65% $60.0 65% Range Range $39M- $41M $51M - $53M $40.0 $37.9 55% 55% $35.5 $50.0 $47.9 $35.0 $34.2 $41.5 45% 45% $30.0

  13. Slide 13: Growth objectives and near-term milestones

    Growth objectives and near-term milestones • Grow Sofia installed base with Sofia, Sofia 2 and gain market share. • Increase the number of Virena accounts that are transmitting data. • Expand non-respiratory opportunities through the development of Vitamin D, Lyme. • Convert Strep A culture testing

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