Iridex Corporation · NASDAQ:IRIX
Iridex — Investor Presentation (November 2017)
33 slides from Iridex's investor presentation, Nov 8, 2017
Slide 1: Investor Presentation November 2017
Investor Presentation November 2017 Exhibit 99.1
Slide 2: Forward Looking Statements
Forward Looking Statements Participation in this presentation requires that you be aware of the Federal legislation regarding forward-looking statements. Accordingly, during the course of this presentation we may make forward-looking statements regarding future events or the future performance of th
Slide 3: Investment Highlights
Investment Highlights 80M people with Glaucoma; 25M diagnosed Estimated 100M people with diabetes-related eye disease MicroPulse® Patented and Trademarked Significant data supports clinical and economic benefit Entering rapidly growing Glaucoma market Expanding focus on captive disposables business
Slide 4: Our Focus: Sight-Threatening Eye Diseases
Our Focus: Sight-Threatening Eye Diseases Retinal Disease Current focus on diabetic macular edema (DME), which is a common complication of diabetes and can lead to blindness Glaucoma Glaucoma is associated with high intra-ocular pressure (IOP) High IOP damages the optic nerve and is the leading caus
Slide 5: Shortcomings in the Treatment of Glaucoma and Retinal Disease
Shortcomings in the Treatment of Glaucoma and Retinal Disease IRIDEX’s MicroPulse® Laser Therapy delivers a differentiated laser treatment that provides safe, effective, and proven treatment for targeted sight-threatening eye disease PHARMACEUTICALS Requires continuous lifetime treatment High cost S
Slide 6: Our Proprietary MicroPulse Laser Therapy
Our Proprietary MicroPulse® Laser Therapy Differentiated algorithm Clinically effective Allows tissue to cool between laser pulses, minimizing damage
Slide 7: Glaucoma Business Overview
Glaucoma Business Overview
Slide 8: Glaucoma Macro Trends
Glaucoma Macro Trends 80M Estimated 80 million patients worldwide, 25M diagnosed 70+ Aging population; 50% of glaucoma patients are over age 70 $5B Approx. $5B spent annually on pharmaceutical (~90%) and device treatments (~10%) 50% Dire compliance issue - 50% of patients are not compliant at 1 year
Slide 9: Shortcomings of Alternate Glaucoma Treatment Options
Shortcomings of Alternate Glaucoma Treatment Options Prescription Eye Drops High non-compliance rates Complex dosing regimens Adverse side effects High, recurring costs Legacy Lasers – SLT, ALT, MLT Effects dissipate over time Repeat procedures less effective MIGS devices Limited to use in cataract
Slide 10: Cyclo G6 Addresses Significant Unmet Need
Cyclo G6™ Addresses Significant Unmet Need Safe Non-incisional Easy to perform Titratable Repeatable Durable Treats full range of disease Cost effective
Slide 11: New Solutions Across the Continuum of Glaucoma Care
New Solutions Across the Continuum of Glaucoma Care EARLY STAGE MODERATE STAGE LATE STAGE REFRACTORY EYE DROPS TRADITIONAL LASER MIGS INVASIVE SURGERY Cyclo G6TM System and associated probes Technology capability resides in the probe Low system cost Captive disposable probe business model MicroPulse
Slide 12: MP3 Probe: Significant and Compelling Clinical Evidence
MP3 Probe: Significant and Compelling Clinical Evidence Consistent outcomes across broad group of independent physicians Short-term Results 6 peer-reviewed publications 220+ eyes treated Patient follow up: 30 days to 18 months IOP reduction: 20-50% Reduction in eye drops Limited adverse events 18 st
Slide 13: Growing Leadership and Validation in the Field
Growing Leadership and Validation in the Field Reimbursement with permanent U.S. CPT code Growing list of relationships with prestigious institutions Increasing customers purchasing multiple systems Expanding probe utilization Increasing KOL support around the world
Slide 14: Business Evolution to Drive Long-Term Growth
Expand sales team globally Align sales team to glaucoma and disposable driven business model New and expanded marketing team on-boarded Substantial clinical studies underway TECHNOLOGY & BUSINESS TRANSFORMATION EARLY ADOPTERS ACCELERATED GROWTH Business Evolution to Drive Long-Term Growth Historical
Slide 15: Target G6 Installed Base Opportunity
Target G6 Installed Base Opportunity 5,000 ASCs 19,000 ophthalmologists 4.3M glaucoma patients Total Global Installed Base Opportunity: 10,000 190,000 ophthalmologists 75.7M glaucoma patients O.U.S. Installed Base Opportunity: 5,000 U.S. Installed Base Opportunity: 5,000 Source: Company estimates
Slide 16: Target G6 Probe Market Opportunity
Target G6 Probe Market Opportunity Strongest G6 candidates Compliance issue Desire non-invasive, durable, and cost-effective solution 80 million glaucoma patients globally Growth driver: Aging demographics 25 million patients diagnosed Growth driver: Improved diagnostic technology and increased awar
Slide 17: Expanding Worldwide G6 Commercialization
Expanding Worldwide G6 Commercialization *as of 3Q17
Slide 18: Retinal Disease Business Overview
Retinal Disease Business Overview
Slide 19: Shortcomings of Alternate Treatment Options for DME
Shortcomings of Alternate Treatment Options for DME PHARMACEUTICALS (current standard of care) Only provides short term vision stability Requires repeated eye injections (every ~six weeks) Painful Complications High cost High financial cost to payers High time burden to patients and physicians LEGAC
Slide 20: MicroPulse Retina Laser Therapy Provides Significant Clinical and Economical Value
MicroPulse® Retina Laser Therapy Provides Significant Clinical and Economical Value Proposition Scarring clearly visible using legacy laser technology Scarring non-existent using MicroPulse Legacy Laser Pre-treatment 1 Year Post-treatment MicroPulse Laser Therapy Pre-treatment 1 Year Post-treatment
Slide 21: Established Customer Base and Broad Global Support
Established Customer Base and Broad Global Support Substantial Clinical Evidence supports MicroPulse® for treatment of DME Safety 10-year follow-up data proved no detectable retina damage Efficacy Randomized controlled trials showed improved vision and improved retinal sensitivity Over 135 published
Slide 22: Financial Snapshot as of Q3 2017
Financial Snapshot as of Q3 2017 * 2015 revenue impacted by supply chain issues **Revenue guidance as of November 2, 2017 Revenue ($ in millions) 9 Month YTD Revenue Mix Balance Sheet ($ in millions) Cash $22.8 Debt $0.0 43.0 – 46.0 Projected**
Slide 23: Long-Term Financial Goals
Long-Term Financial Goals $100+M in revenues 65% recurring, 35% systems 55+% gross margin 15+% operating margin
Slide 24: Focused Execution to Achieve Goals
NEAR AND MID-TERM GOALS Expand US and International presence Improve design and processes to increase outsource production capacity Product enhancements to introduce new features and benefits Focused Execution to Achieve Goals Lower cost and improved reliability laser technologies New delivery modal
Slide 25: Thank You
Thank You
Slide 26: Supporting Material
Supporting Material
Slide 27: Video Resources
Video Resources Video 1: Summary of MicroPulse: Dr. Myers at AAO 2017 Video 2: Cyclo G6 Laser System Technology Video 3: Transscleral Cyclophotocoagulation with Cyclo G6 Video 4: Interview with Dr. Jacky Lee at ESCRS 2015 Video 5: Media Release on New Treatments for Glaucoma (Chinese with English su
Slide 28: Compelling Clinical Evidence: MP3 Outcomes at 18 Months
Compelling Clinical Evidence MP3 Clinical Outcomes Summary at 18 Months 33% mean IOP reduction at 18 months Reduction in eye drops from mean of 2.1 to 1.3 On average 1.3 treatments per patient with MP3 probe Procedure can be add-on therapy as well as monotherapy No adverse events NUHS Study – 33% IO
Slide 29: Compelling Clinical Evidence: MP3 Outcomes at 78 Months
Compelling Clinical Evidence MP3 Clinical Outcomes Summary at 78 Months 43% mean IOP reduction at 78 months Reduction in eye drops from mean of 1.8 to 1.1 On average 3.6 treatments per patient with MP3 probe NUHS Follow-up Study – 43% IOP reduction at 78 months NUHS Clinical Study Mean IOP (n=14)
Slide 30: Additional Studies Provide Consistent Outcomes
Compelling Clinical Evidence: Additional Studies Provide Consistent Outcomes Dr. Thomas John Patient Case Series Mean IOP (n=20) 30% reduction in IOP IOP (mmHg) Wills Eye Hospital MP3 Peer Reviewed Study Mean IOP (n=19) 30% reduction in IOP @ 6-12 months; reduction in eye drops: 3.3 to 1.8 IOP (mmHg
Slide 31: Additional Studies Provide Consistent Outcomes
Compelling Clinical Evidence: Additional Studies Provide Consistent Outcomes Drs. Thomas Samuelson and Mark Hansen, Minnesota Eye Consultants Reviewed 119 procedures and concluded that “MicroPulse is an effective, non-invasive treatment to lower IOP and is a viable option for all types of glaucoma a
Slide 32: Clinical Data References
Clinical Data References Clin Experiment Ophthalmol 2010;38(3):266-72 EGS abstract, Prague, Czech Republic, June 19-22, 2016 ARVO Abstract, Baltimore, Maryland, May 7-11, 2016 Lasers Medical Science (2016)31:393-396, DOI 10.1007/s10103-015-1856-9 Journal of Clinical & Experimental Ophthalmology, Dec
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