Opsens — Investor Presentation (January 2023)
44 slides from Opsens's investor presentation, Jan 12, 2023
Slide 1: OpSens Inc. Investor Presentation 2023
OpSens Inc. (TSX:OPS) (OTCQX:OPSSF) Investor Presentation 2023 OPSSF
Slide 2: Forward-Looking Statements and Non-IFRS Financial Measure
Forward-Looking Statements and Non-IFRS Financial Measure Forward-Looking Statements This presentation contains forward-looking statements with respect to the Company. These forward-looking statements, by their nature, require the Company to make certain assumptions and necessarily involve known and
Slide 3: OpSens Overview
OpSens Overview Cardiovascular Business Based on Proprietary Optical Technology For Rapidly Growing Applications OpSens’ SavvyWire ▪ Transcatheter Aortic Valve Replacement guidewire Ventricular assist device ▪ U.S. FDA Clearance Sept 2022 Abiomed - Impella Heart Pump BUSINESS PARTNERSHIPS AORTIC VAL
Slide 4: OpSens - Investment Highlights
OpSens - Investment Highlights FY ends August 31st CA $ M Revenue Growth • SavvyWire “3-in-1” solution for TAVR - $4 billion1 Aortic Valve Stenosis market $40 $34.5 $35.3 $35 $32.8 $29.5 • U.S. FDA 510(k) Clearance received September 15, 2022 $30 $24.0 • Health Canada Approval received April 2022 $2
Slide 5: Aortic Valve Stenosis
Aortic Valve Stenosis OpSens Guidewire - SavvyWire for TAVR Procedure
Slide 6: Aortic Valve Stenosis: SavvyWire 3-in-1 solution
Aortic Valve Stenosis OpSens developed industry’s first “3-in-1” sensor-guided solution for TAVR Procedure SavvyWire - TRANSCATHETER AORTIC-VALVE REPLACEMENT GUIDEWIRE ▪ Best-in-Class guidewire performance ▪ CONTINUOUS Accurate Hemodynamic MEASUREMENTS ▪ Reliable Left-ventricular PACING ▪ No need fo
Slide 7: Aortic Valve Stenosis
Aortic Valve Stenosis Aortic Valve Left Ventricle Right Ventricle ’ OPSens
Slide 8: Aortic Valve Stenosis: TAVR Market
Aortic Valve Stenosis: Transcatheter Aortic Valve Replacement (TAVR) Market Aortic Valve Stenosis Market (US$ Billion)2 Disease Overview $8.2 Aortic valve stenosis occurs when the heart's The Aortic Valve Stenosis Market is aortic valve narrows. This narrowing prevents expected to reach US$8 billion
Slide 9: SavvyWire for the TAVR Procedure: EuroPCR
SavvyWire for the TAVR Procedure: EuroPCR EuroIntervention 2022;18-online publish-ahead-of-print May 2022 Dr Josep Rodès-Cabau Tamara Atkinson (Tami Atkinson, MD, FSCAI) Round table, EuroPCR, May 2022 JSCAI - Press, 100309 https://doi.org/10.1016/j.jscai.2022.100309 Dr Philippe Généreux 9
Slide 10: Key Factors in Evaluating TAVR Guidewire Options
Aortic Valve Stenosis: Key Factors in Evaluating TAVR Guidewire Options Pressure measurement guidewire in TAVR procedures will be key to confirm valve positioning Improve Cardiologist and Hospital Workflow World’s largest aortic valve manufacturer has no guidewire to deliver valve = significant oppo
Slide 11: Aortic Valve Stenosis: SavvyWire for TAVR
Aortic Valve Stenosis: SavvyWire for TAVR Unique Capabilities – Live Hemodynamic OptoMonitor™ – Live Comparison View Pre-and Post Procedure Streamlining Procedures Before implantation of the valve Yellow gap demonstrates pressure gradient After implantation of the valve with the SavvyWire - almost n
Slide 12: SavvyWire: Optimize Without Compromise in Clinical Use
SavvyWire: Optimize Without Compromise in Clinical Use Ventricular Valvepositioning crossing Ventricular Positioning Valve delivering Valve deployment Valve Support 12
Slide 13: SavvyWire: Optimize Without Compromise in Clinical Use
SavvyWire: Optimize Without Compromise in Clinical Use Valve Crossing crossing of the Stenosed Valve Valve Valvedeployment Deployment 13
Slide 14: SavvyWire First Commercial Cases
SavvyWire First Commercial Cases Quebec Heart and Lung Institute SEPTEMBER 23, 2022 Dr. Josep Rodés-Cabau FIRST SAVVYWIRE PROCEDURE IN THE UNITED STATES BY DR. PHILIPPE GENEREUX OF MORRISTOWN MEDICAL CENTER "I am extremely pleased with the performance of the SavvyWire," said Dr. Genereux. Montreal H
Slide 15: Aortic Valve Stenosis: SavvyWire Timeline
Aortic Valve Stenosis: SavvyWire Timeline* 2021 2022 2023 DEC. JAN. JUN. DEC. JAN. JUN. DEC. TCT - Featured by KOLs 2021: Drs Généreux, Gada, Ibrahim, The Future of TAVR Rodés-Cabau, Modine Hemodynamics Lifetime Patient Management: The 2022: Drs Leon, Généreux, Wood, Wagonner, Asgar, Van Mieghem Imp
Slide 16: Coronary Artery Disease
Coronary Artery Disease OpSens’ OptoWire for Physiological Measurement
Slide 17: Coronary Artery Disease: Market
Coronary Artery Disease: Market FFR/dPR Global Market (US$ Million) Coronary Artery Disease Overview Blockage or narrowing (stenosis) of the arteries The Global FFR Market is expected to $1B that supply blood to the heart muscle, often due reach US$1 billion by 2025, growing at a to a buildup of fat
Slide 18: Coronary Artery Disease: Procedure Flow
Coronary Artery Disease: Procedure Flow Measure Confirm Implantation FFR Scale Coronary Disease + + Restoration >0.80 may be treated without stent Cardiologist measures Cardiologist delivers Cardiologist measures 0.80 blood pressure stent to blockage over blood pressure before/after a the OptoWire.
Slide 19: Coronary Artery Disease: Example of Utilization
Coronary Artery Disease: Example of Utilization Watch video 19
Slide 20: OptoWire Competitive Advantages
Coronary Artery Disease: OptoWire Competitive Advantages Performance – Superior Guidability Improved Accuracy Freedom in Workflow Access complex anatomies with workhorse-like performance Repeat measurements Manipulate like your WH guidewire and with the same accuracy assess post-PCI and multi-vessel
Slide 21: OptoWire Competitive Advantages: Accuracy and Drift
Coronary Artery Disease: OptoWire Competitive Advantages ACCURACY (DRIFT) WORKHORSE/CONNECTIVITY Drift in pressure wires Electronic wires ▪ St Jude Medical < 7 mmHg / hour ▪ PhilipsVolcano < 30 mmHg / hour New fiber optic wires ▪ OpSens < ~0 mmHg / hour “Something about technical pitfalls: The most
Slide 22: OpSens' OptoWire Revenue and Market Share
Coronary Artery Disease: OpSens’ OptoWire FFR/dPR OptoWire Revenue Global Market Share Breakdown (CA$ M) $22.9 30% 6-Year CAGR* $21.8 OptoWire $20.0 (OpSens) $18.7 4% Others $14.2 6% $12.4 $5.2 Electrical Wires (Abbott/Phillips) 90% 2016 2017 2018 2019 2020 2021 2022 *Compound annual growth rate FY
Slide 23: OptoWire Sales Channels
Coronary Artery Disease: OptoWire Sales Channels Canada Japan ▪ Sales Channels: Direct ▪ Sales Channels: Distributor ▪ Market Size: US$20 M ▪ Market Size: US$90 M ▪ OptoWire Market Share: 15%* ▪ OptoWire Market Share: 15%* United States EMEA ▪ Sales Channels: Direct/GPO ▪ Sales Channels: Distributor
Slide 24: OpSens' Growth Drivers
Coronary Artery Disease: OpSens’ Growth Drivers OptoWire Continued Market Growth of more than 10% Annually GPO Relationships in the U.S. to drive adoption in 1,400 Cathlabs ▪ Recent GPO relationship lowering barrier to entry to drive adoption in 90% of U.S. cathlabs (approx. 700) ▪ Significant reven
Slide 25: OpSens - Partnership
OpSens - Partnership Ventricular assistance (heart pump) and other medical applications
Slide 26: Abiomed Partnership for Impella Heart Pump
Ventricular Assist Device: Abiomed Partnership for Impella® Heart Pump Abiomed Agreement Pre-2014: Strategic Partnership ▪ OpSens and Abiomed have an ongoing partnership to integrate OpSens’ sensor into Impella to provide blood pressure measurements that can be used to enhance Impella’s performance
Slide 27: Industrial Segment
Industrial Segment Innovative fiber optic measurement solutions for industrial applications OpSens' proprietary fiber optic sensing technology offers solutions for TEMPERATURE, PRESSURE, STRAIN/DEFORMATION, LINEAR DISPLACEMENT, FORCE AND LOAD for a variety of industries, including AERONAUTICS - fuel
Slide 28: Industrial Segment: Recent Highlights
Industrial Segment Recent Highlights OpSens Solution awarded a contract from RI Research Instruments GmbH for absolute and differential fiber optic pressure sensors for the International Experimental Thermonuclear Reactor (ITER). ITER: World's largest nuclear fusion and scientific experimentation pr
Slide 29: Key Accomplishments and 2023 Goals
Key Accomplishments and 2023 Goals Recent Accomplishments Near-Term Goals Original agreement with Abiomed to supply critical SavvyWire Full Commercial Launch in U.S. FY 2023 part within its heart pump extended to 2028 Capitalize on GPO Agreements to Accelerate U.S. FY 2023 GPO Agreements cover 90% o
Slide 30: Financials
Financials
Slide 31: Revenue Growth – 2016 to 2022
Revenue Growth – 2016 to 2022 Annual FY ends August 31st $40 $35.3 $34.5 $35 $32.8 $3.6 $3.4 $2.4 $29.5 $30 $2.5 $24.0 $25 $2.1 $20 $17.8 $1.5 30,4 $31.1 $31.7 $15 $27.0 $9.6 $21.9 $10 $3.2 $16.3 $5 $6.4 $0 2016 2017 2018 2019 2020 2021 2022 Medical Industrial Medical segment: in this segment, OpSen
Slide 32: EBITDAO and Net Earning (loss)
EBITDAO* and Net Earning (loss) FY ends August 31st, in millions of Canadian $ EBITDAO* Net Earnings (loss) $2 $1.7 $2 $0.1 $0 $0 ($0.4) ($1.2) ($2) ($2) ($2.0) ($2.6) ($2.5) ($4) ($4) ($4.6) ($4.7) ($6) ($6.5) ($6) ($8) ($8) ($7.4) ($9.3) ($8.0) ($10) ($10) ($12) -11.4 2016 2017 2018 2019 2020 2021
Slide 33: Gross Margins
Gross Margins* Annual 60% FY ends August 31st 50% 40% 30% 57% 53% 53% 54% 50% 20% 42% 10% 17% 0% 2016 2017 2018 2019 2020 2021 2022 Gross Margins *Comparative figures for 2016 to 2019 have not been adjusted to reflect the adoption of IFRS 16 - Lease agreements as set out in the Company’s accounting
Slide 34: Income Statement
Income Statement $CAD FY Ended August 31 Fiscal Year Ended August 31 Q1 Q2 Q3 Q4 FY 2021 Q1 2022 Q2 2022 Q3-2022 Q4-2022 FY 2022 Q1 2023 Revenues Sales 8 319 000 8 810 000 9 214 000 8 005 000 34 348 000 8 047 000 7 984 000 10 044 000 8 929 000 35 004 000 9 911 000 Others 17 000 19 000 19 000 61 000
Slide 35: Balance Sheet Highlights
Balance Sheet Highlights $CAD November 30, 2022 August 31, 2022 Cash and cash equivalents* 17,501,000 23,816,000 Accounts receivable, net 6,884,000 5,855,000 Inventory 8,227,000 6,672,000 Total current assets 34,907,000 39,016,000 Property, plant and equipment 3,252,000 2,683,000 Intangible assets 1
Slide 36: Appendix
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Slide 37: OpSens' Technology Live Hemodynamic in TAVR
Aortic Valve Stenosis: OpSens’ Technology Live Hemodynamic in TAVR Could Become New Standard of Care “Hemodynamic assessment derived from the OpSens OTW III wire and its new TAVR algorithm demonstrated excellent correlation with measurement derived by 2 pigtails, both before and after TAVR. Integrat
Slide 38: SavvyWire Adoption
SavvyWire Adoption “And this I think is one of the key places where SavvyWire could be helpful to us. You place this inside the ventricule, you can even pace on it – I am going to show you just some potential options if you are doing transeptal TMVR, you can use this wire to deliver your valve as we
Slide 39: SavvyWire Adoption
SavvyWire Adoption “So let’s go to the invasive hemodynamics, this very important and this is still a raid limiting step in our procedure. We insist on doing invasive hemodynamics before and after the valve implantation but it takes some time because you need fluid filled catheters you got to get ri
Slide 40: SavvyWire Adoption
SavvyWire Adoption “…I’ll show you some fun stuff we have been doing with the SavvyWire in Vancouver because I think the value proposition here is huge.” Dr David Wood Professor in the UBC Department of Medicine’s Division of Cardiology TCT September 2022 40
Slide 41: Facility overview
Facility overview Production Headquarter and R&D U.S. Office 750 Boulevard du Parc-Technologique 2680 Boulevard du Parc-Technologique Minneapolis, Minnesota Québec, QC G1P 4S3 Canada Québec, QC G1P 4S3 Canada Total square footage: 6,000 of clean room space Certification: FDA registered, ISO 13485, M
Slide 42: Executive Management Team
Executive Management Team Louis Laflamme Gaétan Duplain President & Chief Executive Officer President, OpSens Solutions CFO by interim Mr. Louis Laflamme is President, CEO and Director of the Corporation Gaétan Duplain has been President of OpSens Solutions since October since 2013. His primary mand
Slide 43: Board of Directors
Board of Directors Director / Denis Harrington Denis Harrington is the owner of Denis L. Harrington Consulting, LLC, a management and Executive Chairman of the Board / Alan Milinazzo Alan Milinazzo currently serves as the Americas’ Regional Managing Partner for the Healthcare and Life Science practi
Slide 44: Reconciliation of EBITDAO To Net Earnings (Loss)
Reconciliation of EBITDAO To Net Earnings (Loss) FY ends August 31st $CAD 2016* 2017* 2018* 2019* 2020* 2021 2022 Net Earnings (loss) (9,282,000) (6,537,000) (4,550,000) (1,952,000) (2,644,000) (1,150,000) (11,378,000) Financial Expenses (income) 61,000 11,000 (8,000) 146,000 684,000 637,000 312,000