Infusystems Holdings, Inc. · AMEX:INFU
Infusystems — InfuSystem Holdings — Investor Presentation (December 2014)
34 slides from Infusystems's investor presentation, Dec 2, 2014
Slide 1: Shareholder Presentation
InfuSystem Holdings, Inc. Shareholder Presentation December 1, 2014 Exhibit 99.1
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements contained in this presentation are forward-looking statements and are based on future expectations, plans and prospects for the business and operations of InfuSystem Holdings, Inc. (“InfuSystem” or “the Company”) that involve a number of risks and uncertainti
Slide 3: Summary
Summary InfuSystem is a growing healthcare company that provides infusion pumps and related products and services for patients in the home, in oncology clinics, ambulatory surgery centers, and other sites of care from five locations serving all 50 States and Canada. We deliver improved patient satis
Slide 4: InfuSystem - Infusion Made Easy Company Overview
InfuSystem - “Infusion Made Easy” 9 mos YTD September 30, 2014 Company Overview (1) Revenues $50.2M (Up 11%) AEBITDA $11.5M (Up 2%) Market Cap $64.0M @ $2.87 (as of 11/20/14) Provides infusion pumps and related products and services for patients in: The Patient’s Home Oncology Clinics Ambulatory Sur
Slide 5: Three revenue streams across manufacturer, clinic and payor
InfuSystem Manufacturer, Rental Companies Insurance Company InfuSystem Clinic Patient InfuSystem Clinic, Hospital, Home Infusion Sales & Sales & Rental Rental revenue revenue via 3 via 3 revenue revenue streams. streams. Patient Co-pay & Deductible
Slide 6: Revenue Diversification
Revenue Diversification 2009 Revenues $39M 2014 Revenues (Annualized 9m) 70% 26% 1% 1% 2% 48% 23% 12% 4% 12% Rentals - Colorectal Cancer Rentals - Other Cancers Rentals - Infectious Disease Rentals - Pain Management Rentals - Hospitals/Home Care Rentals - Service & Repair Sales - Equip, Consumables
Slide 7: InfuSystem Provider Niche – Therapy Started in Clinic
InfuSystem Provider Niche – Therapy Started in Clinic Total Home Infusion Market Chemotherapy at Home Nerve Block at Home Total Home Infusion Market InfuSystem is the market leader with over 1,600 practice sites served Estimated over $200 M market. Cancer rates growing 5.69M orthopedic surgeries ann
Slide 8: Electronic Connectivity through EMR Interface
Electronic Connectivity through Electronic Medical Record (EMR) Interface Electronic Data Exchange Interface Effects Fuels market share gains Efficiency advantage vs smaller players Greater revenue per employee Greater customer satisfaction
Slide 9: Lifecycle Management – Infusion Pumps
Lifecycle Management – Infusion Pumps Total Pump Fleet Management • Online, Anytime • Order New Pumps • Schedule Service & Repair • Access Recertification Docs
Slide 10: Lifecycle Management – Asset Tracking
Lifecycle Management – Asset Tracking Smart Metrics Loss Threat Count Loss Threat Percent 3% Assets Under Par 30 Day Average Daily Check-Outs
Slide 11: High Patient Satisfaction Scores
High Patient Satisfaction Scores
Slide 12: InfuSystem Distribution for Faster Turnaround and Improved Utilization
For Faster Turnaround and Improved Utilization InfuSystem Distribution Kansas City Service Center Madison Heights Service Center Future Northeast Service Center Future Southeast Service Center Los Angeles Area Service Center Houston Service Center Toronto Canada Service Center Reduced cost of air sh
Slide 13: New Products & Services
New Products & Services Pain Management Service Catheter care kits Pole-mounted pump sales and rentals in oncology Smart Pump Services Infusion disposals including IV administration sets & chemo safety
Slide 14: Financial Overview
Financial Overview Adjusted EBITDA (1) Revenues Free Cash Flow (1) Basic EPS (1) Free Cash Flow = Adjusted EBITDA less CapEx and Net Purchases of Medical Equipment $38,964 $47,229 $54,637 $58,828 $62,280 $67,404 $30m $40m $50m $60m $70m FY2009 FY2010 FY2011 FY2012 FY2013 LTM 3Q14 Revenues Growing $1
Slide 15: Uses of Free Cash Flow, Debt and Liquidity
Uses of Free Cash Flow Total Debt PP&E and Medical Equipment in Service (at cost) Unrestricted Liquidity Medical Equipment Turnover Ratio Every $1.00 invested in the rental fleet returns ~$1.50 in revenue every year for the life of the pump
Slide 16: Positioned For Growth
Positioned For Growth Market Trends Leadership Strategy • InfuSystem is uniquely positioned to take efficient advantage of growing market trends in… • Oncology • Orthopedic surgery • Growth of home infusion • Experienced Medical Industry Executives • Focused on improving patient satisfaction and out
Slide 17: Where Does This Take INFU?
Where Does This Take INFU? Aging Population and Cancer Growth More Patients Home IV , Commercial Pay Recognizing Value, CMS Competitive Bidding Peripheral Nerve Block and Smart Pump Growth Revenue Growth in High Single Digits Through 2015
Slide 18: Thank You for Your Interest!
Thank You for Your Interest! IR Contact Info: The Dilenschneider Group 212-922-0900 Rob Swadosh, rswadosh@dgi - nyc.com
Slide 19: Infusion Made Easy
CinfuSystem’ INFUSION MADE EASY.
Slide 20: Increasing Therapy Offerings to Payors
Increasing Therapy Offerings to Payors Payor Surgery Infectious Disease Oncology Special Disease States
Slide 21: Full Line Multi-Therapy & Multi-Point Offering
Full Line Multi-Therapy & Multi-Point Offering HOW we provide TPP/DP/Service Pumps Provider Payor Device & Pharma Manufacturer, Distributor, GPO, ACO Partners Patient
Slide 22: InfuSystem Niche – Extension of Clinic to Home
InfuSystem Niche – Extension of Clinic to Home Ambulatory Home Infusion TPP Payor Contracts 25-year old business model in DME billing At home, at work, at play, all while receiving the drug High satisfaction scores 24/7 on-call oncology nurses Proven outcomes with continuous home infusion Oncology,
Slide 23: Rentals, Sales & Service to Providers
Rentals, Sales & Service to Providers Pump Rentals, Sales and Asset Management Preventative Maint. Repair Pump Experts Direct sales, rental, and lease of device and supplies in US and Canada Pump Broker Expertise – ability to acquire and dispose of CAP EX in cost effective way Asset management, rent
Slide 24: Offering Infusion to All Points of Care
Offering Infusion to All Points of Care Provider Oncology Acute Care Emergency Services Long Term Care Home Infusion
Slide 25: Compelling Value Proposition
Compelling Value Proposition Complementary core competencies allow InfuSystem to offer superior selection, flexibility, pricing and services “ONE-STOP SHOP” SERVICE & REPAIRS CONVENIENCE & FLEXIBILITY PRE-OWNED EQUIPMENT EXPERTISE In-House Service & Repairs Convenience & Flexibility Pre-Owned Equipm
Slide 26: Payor & Customer Mix
Payor & Customer Mix Leading Cancer Institution Customers Revenue by Payor (FY2013) InfuSystem has strong relationships with the largest third-party payors and the leading cancer institutions 9 of 10 of the Top Ten Cancer Treatment Centers Medicare and Medicaid 38% BCBS 17% Commercial 39% High diver
Slide 27: Direct Payor Business Model
Direct Payor Business Model Service & Repair Products InfuSystem sells, rents and finances a wide variety of new and used large volume and ambulatory pumps InfuSystem services and repairs both its own fleet of pumps and many types of other movable medical equipment Infusion pumps Enteral pumps Syrin
Slide 28: Direct Payor Offerings
Direct Payor Offerings Pre-Owned & New Pumps from Top Manufacturers Full Spectrum of Ownership Options for Customers Sales Rental Asset Management Leading Provider of New and Pre-Owned Pumps InfuSystem offers new pumps from top brands Broker-dealer trading desk In addition, over 70 models and versio
Slide 29: Medical Equipment Service & Repair
Medical Equipment Service & Repair In addition to supporting and repairing InfuSystem’s in-house fleet, the Company certifies, recalibrates, repairs and services a variety of infusion pumps Pumps require scheduled maintenance and calibration in accordance with manufacturer’s specifications and regul
Slide 30: Competitive Bidding Overview
Competitive Bidding Overview Competitive Bidding Overview InfuSystem’s Response to Competitive Bidding CMS Competitive Bidding “Target” Timetable InfuSystem was not involved in Round 1 nor Round 2 of Competitive Bidding CMS announced a Recompete of Round 1 competitive bidding on April 17th External
Slide 31: Quarterly Financial History
Quarterly Financial History Basic EPS
Slide 32: Detailed Historical P&L
Detailed Historical P&L (000's) 12/31/09 12/31/10 12/31/11 12/31/12 12/31/13 9M 2013 9M 2014 Net revenues: Rentals 46,795 $ 53,471 $ 55,962 $ 41,556 44,150 Product sales 7,842 5,357 6,318 3,547 6,077 Net revenues: 38,964 47,229 54,637 58,828 62,280 45,103 50,227 Cost of Revenues: Product, service an
Slide 33: Detailed Historical BS
Detailed Historical BS (000's) 12/31/09 12/31/10 12/31/11 12/31/12 12/31/13 6/30/14 9/30/14 ASSETS Current Assets: Cash and cash equivalents 7,750 $ 5,014 $ $ 2,326 $ 1,138 $ 1,041 $ 1,902 $ Accounts receivable - total, net of allowance 5,517 6,679 7,448 8,511 10,697 10,768 11,505 Inventory 1,699 1,
Slide 34: Comparison to Other Infusion Companies
Comparison to Other Infusion Companies Stock Comparison Stock Comparison As of 11/20/14 BioScrip Infu Stock Price $ 5.99 2.85 52 Week hi $ 9.05 4.50 52 Week lo $ 5.44 1.70 Average Volume 1,000,850 174,194 In $ millions Market Cap $411.1m $63.3m P/E Ratio (trailing) N/A 20.29x P/E Ratio (forward) 75.
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