RTI Surgical — Investor Presentation (January 2018)
15 slides from RTI Surgical's investor presentation, Jan 5, 2018
Slide 1: RTIX Investor Presentation January 2018
RTIX Investor Presentation January 2018 Camille Farhat – President and CEO Jonathon Singer – CF&AO Exhibit 99.2
Slide 2: Forward Looking Statements
This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current expectations, estimates and projections about our industry, our management's beliefs and certain assum
Slide 3: RTI Surgical at a Glance
Leading global surgical implant company providing portfolio of biologic, metal and synthetic products used in spine, sports medicine, orthopedic, dental, and other surgical specialties Founded in February 1998 with solution to reduce risk of contamination from allograft in orthopedic procedures Expa
Slide 4: Investment Appeals
Investment Appeals Assembled world class management team Created focused strategy Delivering on commitments Investing in operational excellence Driving margin enhancement Building customer centric culture Producing organic growth Investing in growth of spine franchise with focused R&D and targeted M
Slide 5: 2017 – A Year of Significant Change
2017 – A year of Significant Change Upgraded key management positions Delivered on commitments for four consecutive quarters Completed initial cost reductions – $13M of $25M target Strengthened balance sheet through debt reduction Reoriented organization around key customer segments Set strategy and
Slide 6: Focused Strategy
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Slide 7: Reduce Complexity
Reduce Complexity 2018 Focus Further simplification of existing structure Strengthen OEM focus with core tissue and biologic technology Focused Strategy Divesting non-core assets Investing in core competencies 2017 Success Successfully divested CT business during 2Q17 Strengthened balance sheet thro
Slide 8: Drive Operational Excellence
Drive Operational Excellence Focused Strategy Optimize material cost Drive operational efficiency to reduce other direct costs by pursuing world class manufacturing 2017 Success Collaborated with OPO partners on tissue sourcing, yielding $5-7M in annual savings Implemented lean manufacturing concept
Slide 9: Accelerate Growth
Accelerate Growth Focused Strategy Invest in innovative, niche high growth product categories leveraging core competency in spine market Utilize core technologies to expand OEM relationships and drive organic growth Build relevant scale in spinal portfolio to improve importance to consolidating cust
Slide 10: Successful Acquisition of Zyga Technology
Successful Acquisition of Zyga Technology Spine focused medical device company— producing innovative minimally invasive devices Burgeoning therapy in under penetrated Sacroiliac Joint Fusion (SIJF) market with 20%+ CAGR in recent years Leverages our core competencies in spine franchise Opportunity t
Slide 11: 2018 – A Year of Focused Execution
v Deliver profitable growth Finalize remaining portfolio decisions Monetize Operational Excellence initiatives Integrate Zyga Technology acquisition Launch new products Rebuild innovation pipeline Remain opportunistic 2018 – A Year of Focused Execution Reduce complexity and deliver operational excel
Slide 12: Announcing 2018 Guidance
Announcing 2018 Guidance EXPECTED REVENUE in the range of $280–$290M PRODUCING EBITDA in the range of $32–38M Assumptions: Relatively stable market conditions and regulatory environment Positive revenue contribution from the acquisition of Zyga Technology – announced January 4th, 2018 Ongoing positi
Slide 13: Long-term Goals
Reduction of complexity and operational excellence initiatives produce improving margins and cash flow in tissue operations Long-term Goals WITHIN FIVE YEARS: Expand revenue to >$500M Double EBITDA margin to >20% Improved financial performance funds organic and acquisitive growth in high margin spin
Slide 14: Investment Appeals
Investment Appeals Assembled world class management team Created focused strategy Delivering on commitments Investing in operational excellence Driving margin enhancement Building customer centric culture Producing organic growth Investing in growth of spine franchise with focused R&D and targeted M
Slide 15: RTIX
RTIX Investor Presentation January 2018 Camille Farhat – President and CEO Jonathon Singer – CF&AO