Advanced Medical Solutions Group plc · LSE:AMS

Advanced Medical Solutions — FY2020 Earnings Presentation

21 slides from Advanced Medical Solutions's earnings presentation, Mar 17, 2021

  1. Slide 1: A world-leading company in surgical and woundcare innovation

    A world-leading company in surgical and woundcare innovation Preliminary results for the year ended 31 December 2020 17 March 2021

  2. Slide 2: Financial Highlights

    Financial Highlights – Full year revenue of £86.8 million (2019: £102.4 million) and adjusted profit before tax of £13.4 million (2019: £26.6 million) reflecting COVID-19 impacts across all products and regions – Strong net cash position of £53.8 million (2019: £64.8 million) after £22.0 million Ral

  3. Slide 3: Operational Highlights (incl. post period end)

    Operational Highlights (incl. post period end) – All manufacturing sites operated throughout the COVID-19 pandemic servicing customers and meeting order demand – Group sales and profitability in line with current consensus having been heavily impacted by COVID-19 – Approval and restricted launch of

  4. Slide 4: Product Progress: LiquiBand® Range

    Product Progress: LiquiBand® Range LiquiBand® Update LiquiBand® Rapid – FDA 510(k) approval received in March 2020 – Commercial launch planned in 2021 LiquiBand® XL – Successful completion of LiquiBand® XL clinical trials in 2020 – On track for 510(k) approval and launch towards the end of 2021, all

  5. Slide 5: Product Progress: Sealantis & Biomatlante

    Product Progress: Sealantis & Biomatlante Sealantis – Positive feedback from commercial research activity completed with EU KOLs in 2020 – Post period end, patient enrolment for the first human clinical study of Seal-G® and Seal-G® MIST began – CE mark approval for Seal-G® MIST, and an extension of

  6. Slide 6: Product Progress: Raleigh & Woundcare R&D

    Product Progress: Raleigh & Woundcare R&D Raleigh – Raleigh acquisition enhances the Group’s woundcare capabilities and growth – A good fit with acquisition strategy, with positive growth prospects, as well as potential for significant cross-selling and cost saving synergies Woundcare R&D – Addressa

  7. Slide 7: Licensing and Acquisitions Strategy

    Licensing and Acquisitions Strategy – Our selection criteria remains unchanged: – Products or technologies that enable AMS to leverage its Woundcare customer base or surgical routes to market – Surgically-focused companies with product synergies, strong R&D capability and proprietary products AMS co

  8. Slide 8: Financial Summary

    Financial Summary

  9. Slide 9: Financial Overview

    Financial Overview – COVID-19 restrictions disrupted the entire market and resulted in a significant slowdown in surgical and wound treatment volumes – Despite this, the Group remained profitable and generated strong operational cash flows, whilst continuing to invest in key projects 2020 financial

  10. Slide 10: FY 2020 Operating Margins

    FY 2020 Operating Margins Margins heavily impacted by lower volumes £M Surgical Business Unit – Much lower volumes caused by COVID-19 restrictions 28.4% 80.0 30.0% resulted in under-absorption of fixed costs and 25.0% 60.0 18.1% reduced gross and net margins 20.0% 40.0 15.0% – Fixed costs relating t

  11. Slide 11: FY 2020 Results: Surgical

    FY 2020 Results: Surgical Surgical Revenue 60000 Revenue down 11% to £50.2 million (2019: £56.5 million) Advanced Closure – LiquiBand® 50000 - Revenue down 24% to £22.8 million (2019: £30.1 million) Internal Fixation and Sealants 40000 - LiquiBandFix8®revenue down 20% to £2.1 million (2019: £2.6 mil

  12. Slide 12: FY 2020 Results: Woundcare

    FY 2020 Results: Woundcare Revenue down 20% to £36.6 million (2019: £45.8 million) Woundcare Revenue Infection Control 50000 - Revenue down 25% to £15.3 million (2019: £20.6 million) 45000 - To support our partners we did not enforce annual 40000 minimum volumes in a number of cases 35000 - Commerci

  13. Slide 13: Revenue by Product

    80.0 70.0 60.0 50.0 30.0 20.0 10.0 00 Revenue by Product Infection control Woundcare Exudate management Surgical RESORBA a ~~ Traditional closure FY 20 YoY GROWTH % (constant currency) -30.0% 20.0% 10.0% 13

  14. Slide 14: Cash Flow Summary

    Cash Flow Summary 2020 2019 £ million £ million Profit from operations 10.7 24.2 Depreciation and Amortisation 6.8 5.8 Working capital movements 4.9 (5.2) Share-based payments expense 1.6 1.9 Taxation (3.7) (5.9) Net cash inflow from operating activities 20.4 20.8 Capital expenditure and capitalised

  15. Slide 15: Foreign Exchange Hedging

    Foreign Exchange Hedging Currency Cash Flows - GBP 000 equivalent 60,000 GBP 50,000 USD GBP 40,000 EUR EUR USD GBP 30,000 GBP 20,000 USD 10,000 USD EUR USD EUR 0 GBP EUR (10,000) (20,000) (30,000) Sales Costs, capital spend Net cash flow Contracts in place for Cash flow after fx + dividends (pre fx

  16. Slide 16: Summary and Outlook

    Summary and Outlook

  17. Slide 17: Our Strategy for Growth

    Our Strategy for Growth Product Operational Commercial Leverage – Quality Innovation excellence Flexibility acquisitions outcomes • Developing or • Quality of • Continue global • Acquire for patients acquiring high manufacturing expansion complementary quality products and security of through direct

  18. Slide 18: Multiple Product Growth Drivers

    Multiple Product Growth Drivers Collagens LiquiBandFix8® Strong portfolio of high – Sutures Internal sealants margin surgical and advanced woundcare devices Track record of commercial – LiquiBand® Bone success substitutes Potential for further market – share growth in all key categories Fibres Activ

  19. Slide 19: 2021 Expected Newsflow

    2021 Expected Newsflow – US LiquiBand®: – Approval and launch of LiquiBand® XL – Completion of US LiquiBandFix8® PMA study – CE mark for Seal-G® MIST and extended approval for Seal-G® open device expected imminently – Full anti-microbial claim for Silver High Performance Dressing expected by the end

  20. Slide 20: Summary and Outlook

    Summary and Outlook – Despite ongoing COVID-19 related challenges, the Group has seen a continuing gradual recovery across the business – 2021 has started well with a healthy order book in both Business Units Building organic and – Group set for strong organic growth acquisitive growth; underpinned

  21. Slide 21: Contact Us

    Contact Us Advanced Medical Solutions Group plc Premier Park, 33, Road One Winsford Industrial Estate Winsford, Cheshire CW7 3RT, UK Chris Meredith Chief Executive Officer Eddie Johnson Chief Financial Officer corporate@admedsol.com +44 (0)1606 863 500 www.admedsol.com

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