Qiagen N.V. · NYSE:QGEN
Qiagen — FY2017 Earnings Presentation
34 slides from Qiagen's earnings presentation, Feb 1, 2018
Slide 1: Fourth quarter and full-year 2017 results
Fourth quarter and full-year 2017 results February 1, 2018 Sample to Insight Fourth quarter and full-year 2017 results 1
Slide 2: Forward looking and intended use statements
Forward looking and intended use statements Safe Harbor Statement: This presentation contains both historical and forward-looking statements. All statements other than statements of historical fact are, or may be deemed to be forward looking statements within the meaning of Section 27A of the U.S. S
Slide 3: Agenda
Agenda John Gilardi Introduction VP Corp Communications and IR Peer Schatz Chief Executive Officer Business and financial update Roland Sackers Chief Financial Officer Q&A session Sample to Insight Fourth quarter and full-year 2017 results 3
Slide 4: Full-year 2017: Overview
Full-year 2017: Overview 1 Achieved full-year 2017 targets with solid Q4 results Key results +7% CER adj. net sales growth excl. business portfolio change In $ millions (Except EPS) FY 2017 FY 2016 Change $ / (CER) vs. ~+7% CER outlook Net sales 1,417.5 1,338.0 +6% (+6%) $1.27 adjusted EPS ($1.2
Slide 5: Q4 and FY 2017: Financial review
Q4 and FY 2017: Financial review Fourth quarter Full-year (In $ millions, unless indicated) (Diluted EPS in $ per share) 2017 2016 Change 2017 2016 Change Net sales 396.9 366.5 8% (5% CER) 1,417.5 1,338.0 6% (6% CER) Adjusted net sales(1) 397.1 366.5 8% (6% CER) 1,419.4 1,338.0 6% (6% CER) Adj. net
Slide 6: Q4 and FY 2017: Product type and customer class
Q4 and FY 2017: Product type and customer class Q4 2017 net sales: $396.9 million FY 2017 net sales: $1.418 billion Q4 2017 adj. net sales: $397.1 million FY 2017 adj. net sales: $1.419 billion Adj. Sales (In $ m) % CER change % of sales Adj. Sales (In $ m) % CER change % of sales Consumables and re
Slide 7: Q4 and FY 2017: Geographic regions
Q4 and FY 2017: Geographic regions Q4 2017 net sales: $396.9 million FY 2017 net sales: $1.418 billion Q4 2017 adj. net sales: $397.1 million FY 2017 adj. net sales: $1.419 billion Adj. Sales (In $ m) % CER change % of Adj. Sales (In $ m) % CER change % of sales sales Americas(1) $176 +7% 44% $655 +
Slide 8: FY 2017: Balance sheet and cash flow
FY 2017: Balance sheet and cash flow Balance sheet data (As of December 31) 2017 2016 Leverage ratio(1) Group liquidity (In $ millions) 1,017 532 Net debt (In $ millions) 743 537 3.3 Shareholder equity ratio 50% 61% Leverage ratio(1) 1.5x 1.2x 2.2 1.6 1.5 1.3 1.2 0.9 1.1 Cash flow 0.9 (In $ millions
Slide 9: Sample to Insight portfolio
Sample to Insight portfolio Q4 2017 developments Successful launch of QuantiFERON-TB Gold Plus in the U.S. QuantiFERON New partnership with DiaSorin for LIAISON automation solution Universal NGS portfolio with high double-digit CER annual growth rate Next-generation sequencing GeneReader gai
Slide 10: QuantiFERON
QuantiFERON 2017 highlights 24% full-year sales growth U.S. launch of 4th-gen QuantiFERON-TB Gold Plus New clinical data confirm patient stratification value of new CD8+ technology Won tenders in South Korea and Middle East Resolved U.S. patent litigation 2018 catalysts QIAGEN-DiaSorin p
Slide 11: Next-generation sequencing
Next-generation sequencing 2017 highlights Exceeded $115 million CER in annual sales Rapid expansion of “digital NGS” QIAseq multiplex gene panel portfolio for use on any NGS sequencer GeneReader NGS System: Expanding global reach with China MAQGEN joint venture, new customized panels 2018 cat
Slide 12: Personalized Healthcare
Personalized Healthcare 2017 highlights Exceeded 25 master collaboration agreements with leading pharma and biotech companies First-ever NGS-based immuno-oncology CDx consortium with Bristol-Myers Squibb First FDA-cleared JAK2 test for blood disorders Ongoing growth of PCR-based CDx tests 20
Slide 13: QIAsymphony
QIAsymphony 2017 highlights Significantly exceeded 2,000 cumulative placements Successful regionalization strategy (22 CE-IVD tests, 5 FDA-cleared assays) Very positive customer response to new liquid biopsy automation protocols New front-end solution for GeneReader NGS System 2018 catalysts
Slide 14: Differentiated Technologies
Differentiated Technologies 2017 highlights Strengthening No. 1 leadership position in liquid biopsy sample processing ~75% market share in microbiome sample processing, full integrated POWER kits Absolute leadership in Epigenetics Exiqon long-read RNA applications New microRNA application
Slide 15: STAT-Dx acquisition and QIAstat-Dx
STAT-Dx acquisition and QIAstat-Dx Access to novel multiplex platform Next generation of molecular multiplex syndromic testing technology Drive dissemination of molecular testing QIAstat-Dx: Preparing for CE-IVD launch in H2 2018, U.S. in 2019 Two initial panels: respiratory and gastrointe
Slide 16: STAT-Dx acquisition and QIAstat-Dx
STAT-Dx acquisition and QIAstat-Dx Access to novel multiplex platform QIAstat-Dx Sample to Insight One-step diagnostic solution Broad menu Two syndromic assays at launch, other tests in development Ease of use 1-minute hands-on time Versatility Sample input flexibility to process swabs and com
Slide 17: Q1 and Full-year 2018: Outlook
Q1 and Full-year 2018: Outlook As of January 31, 2018 2018: Adjusted net sales outlook Full-year 2017 results Full-year 2018 assumptions Sales in $ millions Organic growth in net sales(1) +5% CER +~6-7% CER + Divestment: Business portfolio changes $25 ~$7 + 2017 acquisition contributions: Exiqon and
Slide 18: Q1 and FY 2018: Outlook and assumptions
Q1 and FY 2018: Outlook and assumptions As of January 31, 2018 Q1 2018 outlook Full-year 2018 outlook Adjusted net sales(1) ~+5% CER ~+6-7% CER ~$0.23-0.24 CER ~$1.31-1.33 CER Adjusted EPS(2) (Prior year: $0.22) (Prior year: $1.27) Adjustments to operating income (in $ millions): Purchased intangibl
Slide 19: Summary
Summary Achieved 2017 full-year ambitions with solid Q4 performance Building momentum and confirming 2020 mid-term targets QIAstat-Dx: Plan for H2 2018 launch with STAT-Dx closing New $200 million buyback enhances value creation 2018 outlook for growth in adjusted net sales and adjusted EPS Sample t
Slide 20: Appendix
Appendix Sample to Insight Fourth quarter and full-year 2017 results 20
Slide 21: Q4 2017: Consolidated Statements of Income (unaudited)
Q4 2017: Consolidated Statements of Income (unaudited) Three months ended Three months ended (In $ thousands, except share data) December 31, 2017 December 31, 2016 Net sales 396,863 366,515 Adjusted net sales 397,141 366,515 Cost of sales 135,584 138,507 Gross profit 261,279 228,008 Adjusted gross
Slide 22: FY 2017: Consolidated Statements of Income (unaudited)
FY 2017: Consolidated Statements of Income (unaudited) Twelve months ended Twelve months ended (In $ thousands, except share data) December 31, 2017 December 31, 2016 Net sales 1,417,536 1,337,991 Adjusted net sales 1,419,413 1,337,991 Cost of sales 494,975 493,338 Gross profit 922,561 844,653 Adjus
Slide 23: 2017: Adjusted net sales growth considerations and historical data
2017: Adjusted net sales growth considerations and historical data Q1-Q4 and FY 2017 sales trends considerations Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017 (In $ millions) Organic growth in adjusted net sales (CER) 3% 4% 6% 5% 4% + Business portfolio changes (removing 2017 and 2016 sales) ~1 p.p. ~1 p.
Slide 24: Q4 2017 and FY 2017: Reconciliation adjusted results
Q4 2017 and FY 2017: Reconciliation adjusted results In $ millions (Except EPS) Net Gross Operating Pretax Income Tax Net Diluted (unaudited) sales profit income income tax rate income EPS(1) Fourth quarter 2017 Reported results 396.9 261.3 43.4 33.8 -73.5 NM -39.7 -0.18 Adjustments Business integra
Slide 25: Q4 and FY 2017: Currency impact
Q4 and FY 2017: Currency impact Adj. net sales Adj. net sales Currency exposure Change (In $ millions) (CER) (As % of CER sales) (In $ millions) Fourth quarter 2017 U.S. dollar 143.6 143.6 37% 0.0 Euro 100.7 93.4 24% 7.3 British pound 32.4 31.5 8% 0.9 Japanese yen 13.6 13.9 4% -0.3 Other currencies
Slide 26: 2017: Quarterly and full-year income statement summary
2017: Quarterly and full-year income statement summary (In $ millions, unless indicated) (Diluted EPS in $ per share) Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017 Net sales 307.7 349.0 364.0 396.9 1,417.5 Net sales (CER) 314.5 355.9 362.0 386.5 1,418.9 Adjusted net sales 308.3 349.6 364.4 397.1 1,419.4 A
Slide 27: 2016: Quarterly and full-year income statement summary
2016: Quarterly and full-year income statement summary (In $ millions, unless indicated) (Diluted EPS in $ per share) Q1 2016 Q2 2016 Q3 2016 Q4 2016 FY 2016 Net sales 298.4 334.4 338.7 366.5 1,338.0 Gross profit 184.8 210.8 221.1 228.0 844.7 Gross profit margin 62% 63% 65% 62% 63% Adjusted gross pr
Slide 28: 2017: Total adjusted net sales overview
2017: Total adjusted net sales overview Adjusted net sales by customer class (In $ millions at actual rates / Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017 change in actual, CER rates) Sales Act. CER Sales Act. CER Sales Act. CER Sales Act. CER Sales Act. CER Molecular Diagnostics 142 0% 3% 168 4% 6% 180
Slide 29: Consolidated Balance Sheets
Consolidated Balance Sheets (In $ thousands, except par value) Dec 31, 2017 Dec 31, 2016 (In $ thousands, except par value) Dec 31, 2017 Dec 31, 2016 Assets (unaudited) Liabilities and Equity (unaudited) Current assets: Current liabilities: Cash and cash equivalents 657,714 439,180 Accounts payable
Slide 30: Consolidated Statements of Cash Flows
Consolidated Statements of Cash Flows Twelve months ended Twelve months ended Dec. 31, 2017 Dec. 31, Dec. 31, Dec. 31, (In $ thousands) (unaudited) 2016 (In $ thousands) 2017 2016 Cash flows from operating activities: Cash flows from financing activities: Net income 40,394 80,303 Proceeds from long-
Slide 31: Employees as of December 31, 2017
Employees as of December 31, 2017 Europe / Asia Pacific / Total Total Americas Change Middle East / Africa Japan / ROW Q4 2017 Q4 2016 Production 279 679 123 1,081 996 9% (1) R&D 218 691 44 953 995 -4% Sales 592 718 575 1,885 1,909 -1% Marketing 66 154 58 278 308 -10% (2) Administration 90 325 76 49
Slide 32: New appointments to Executive Committee
New appointments to Executive Committee Dr. Annette Koch Senior Vice President, Chief Human Resources Officer and member of the Executive Committee Joining QIAGEN as of February 1, 2018 Previously Vice President, Human Resources at Eppendorf AG Prior roles at Boehringer Ingelheim and The Bosto
Slide 33: Abbreviations
Abbreviations Adj Adjusted EU European Union MN1 Meningioma 1 AIV Avian influenza virus ESBL Extended Spectrum Beta MP Mycoplasma Pneumonia ALK Anaplastic Lymphoma Kinase EUR Euro MRSA Methicillin-Resistant Staphylococcus Aureus AML1 Acute Lymphoblastic Leukemia FDA Food and Drug Administration MTB
Slide 34: Your contacts
Your contacts Download the QIAGEN IR App John Gilardi Dr. Sarah Fakih Alexandra Koenig Vice President Corporate Associate Director Coordinator Communications and IR Investor Relations Investor Relations Phone: +49 2103 29 11711 Phone: +49 2103 29 11457 Phone: +49 2103 29 11709 Mobile: +49 152 018 11