Quanterix Corporation · NASDAQ:QTRX
Quanterix — Q3 2019 Earnings Presentation
27 slides from Quanterix's earnings presentation, Nov 6, 2019
Slide 1: Earnings Call Q3 2019
Earnings Call Q3 2019 November 6, 2019
Slide 2: Forward-Looking Statements & Non-GAAP Financial Measures
Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains “forward-looking” statements that are based on our beliefs and assumptions and on information available to us as of the date of this presentation. Forward-looking statements include all statements that are not histor
Slide 3: Today's Agenda
Today’s Agenda I. Strategic and Financial Progress – Kevin Hrusovsky – Chairman, CEO i. Q3 Highlights, Direction & 2019 Goals ii. Neurology Momentum & PPH II. Financial Report – Amol Chaubal – CFO III. Q&A Quanterix Earnings Call | Q3 2019 | November 6, 2019 | 3
Slide 4: Q3 Highlights
Disruptive Market, Technology and Growth Q3 Highlights Total Quanterix Revenue Growth Q3 2019 Q3 2018 Revenue ($million) Q1 Q2 Q3 Q4 Adjusted* $14.9 $9.2 % Reported GAAP Growth +64% % Non-GAAP Growth GAAP $14.9 $10.6 (if different from GAAP) +59% 40.8 37.6 Gross Margin (%) Adjusted* 51.8% 46.2% 14.9
Slide 5: Q3 2019 Growth Led by Consumables and Services
Q3 2019 Growth Led by Consumables and Services Growth Mix% % Q3 2019 Q3 2018 YoY $m Revenue Q3 2018 Q3 2019 (GAAP) Revenue Growth 2.3 82% 28% ($million) Instruments 4.1 Adjusted* $14.9 $9.2 +62% Consumables 3.7 79% 44% 6.6 Lab. & 3.0 Gross Margin Other Services 4.2 39% 28% (%) Collaboration(1) 0.0 1
Slide 6: Convergence of Technology and Healthcare
Convergence of Technology and Healthcare Digital Biomarkers Late; Invasive analog digital Early; Non-Invasive 6
Slide 7: Neuro Beachhead, Penetrate Oncology, Clinical Diagnostics
1. Neuro Beachhead 2. Penetrate Onco – Inflammation Onco LSR Prds and PS Neuro LSR Prds and PS ~$760MM ~$350MM Neuro ~$36B Disruption Diagnostics Bridge ~$5B ~$1.1B ~$350MM Neuro LSR Prds ~$90MM Clinical Diagnostics Neuro LSR Prds Neuro PS Onco PS ~$520MM $30B+ ~$90MM ~$260MM Onco LSR Prds Neuro PS
Slide 8: Q3 YTD 2019 Growth Stratification
Q3 YTD 2019 Growth Stratification 2% 12% 2% Geography 36% Diseases 53% 50%Customer 50% 35% 60% Growth Growth Growth 96% NA +63% Pharma/Biotech CRO +70% Neurology +123% Europe +105% Academia Oncology +68% +98% Asia +129% Quanterix Earnings Call | Q3 2019 | November 6, 2019 | 8
Slide 9: Scientific Research is Driving Brand Awareness, Performance and Utilization
Scientific Research is Driving Brand Awareness, Performance and Utilization PUBLICATIONS* MARKERS* ACCELERATOR INSTRUMENTS CONSUMABLES * Cumulative $m Revenue # of units placed Consumables Revenue Other Number of Drug Trial Projects Instument Revenue Growth vs. PYR Quarterly Revenue (excl. Study Rev
Slide 10: Quanterix Product Offerings
Quanterix Product Offerings Instruments Assay kits Services HD-X SR-X SP-X Plate Bead Accelerator Floor-standing integrated Benchtop semi- Simoa planar assay 300+ assays Contract research & testing automated assay prep Assay prep and detection Benchtop semi- Homebrew kits Custom assay development &
Slide 11: Simoa HD-X Analyzer ahead of schedule
Simoa HD-X Analyzer ahead of schedule Delivering disruption that you can count on Unparalleled ultra-sensitivity, leveraging years of experience Productivity improvements, greater flexibility and temperature control Best-in-class assay performance across a broad assay menu Regulatory Compliance – En
Slide 12: Competitive Landscape
Competitive Landscape Bead-Based Planar SP-X Bead-based Erenna Electrochemi- Technology ELLA Simoa Simoa Immunoassay Immunoassay luminescence Sensitivity Dynamic Range Automation & Ease of Use Precision Multiplexing Menu Cost Quanterix Earnings Call | Q3 2019 | November 6, 2019 | 12
Slide 13: 2019 Goals
2019 Goals Large strides in Q3 towards securing our 2019 objectives Neurology <10% Oncology Strategy Financials Technology Penetrated 3x Neuro Dx via Biopharma LDT/IVD partnerships LT Growth: 40% High double digit growth Penetrate 100x sensitivity increase with high utilization 50 phase I, II, III t
Slide 14: We are Addressing a Significant Unmet Need in Drug Development
We are Addressing a Significant Unmet Need in Drug Development DRUG PERFORMANCE PROBABILITY OF DRUG APPROVAL VALIDATION OF SIMOA IMPACT TOXICITY 300% Simoa’S at CROs Trials at Adverse drug events are a substantial 38 32 cause of Death in USA increase if biomarkers are used EFFICACY Hematology 26.1%
Slide 15: FDA Supporting Biomarker Development
FDA Supporting Biomarker Development 1 FDA issuing guidance to enable use of biomarkers in drug trials for early stage disease cohorts Neuro health has become Biopharma industry national Health Priority due discouraged by lack of 2 to veteran PTSD, opioid returns and use of Biopharma deploying addic
Slide 16: Strategic Roadmap
Strategic Roadmap Analytical Validity to Clinical Validity HIGH Analytical Validity Traditional Clinical Validity Late Detection via biopsy and Technology Troponin lumbar puncture PSA ? Biomarker ? Abundance Nf-L ? Early Detection in blood, saliva & urine $ Tau $ ABeta ? ? $ ? Research Trials Diagno
Slide 17: Nf-L Rapidly Expanding as Best In Class Neuro Biomarker
Nf-L Rapidly Expanding as Best In Class Neuro Biomarker PEER-REVIEWED PUBLICATIONS ON Nf-L Simoa NfL NFL PUBLICATIONS 46 active 160 Key meeting Abstracts and presentations clinical trials 60 25 2015 140 Our Focus using Nf-L 50 2016 20 2017 40 PubMed Citations 120 2018 30 15 49 100 20 40 10 10 21 10
Slide 18: Serum Nf-L Powering Major Drug Trials
. Serum Nf-L Powering Major Drug Trials Advancing toward the Clinic Powering • Phase III ASCLEPIOS I and II trials: Relapsing MS patients had reduced disease Drug Trials progression • Nf-L measurements used as secondary endpoint, reduction after 3 months Comparative • Retrospective data from Phase I
Slide 19: Uman Nf-L Antibody is Unparalleled
Uman Nf-L Antibody is Unparalleled Publications (CSF & Blood) Not based on Based on Uman Nf-L Uman Nf-L 23% 112 77% 382 Based on Uman Nf-L 77% 100% 382 172 100% Publications on Blood 172 Quanterix Earnings Call | Q3 2019 | November 6, 2019 | 19
Slide 20: Quanterix to Offer Nf-L IVD Assay in Partnership with Siemens
Quanterix to Offer Nf-L IVD Assay in Partnership with Siemens • Non-exclusive license to Siemens to develop NF-L IVD assay on Siemens platform • Siemens Nf-L assay combined with Quanterix/Uman’s Nf-L antibody specificity provides clinically relevant sensitivity in blood/serum for Multiple Sclerosis
Slide 21: Digital Biomarkers Disruption Paradigm
Digital Biomarkers Disruption Paradigm Alzheimer’s Disease Opportunity – Biogen Resurrects Aducanumab TODAY Alzheimer’s disease not Imaging expensive and often Therapies for later stage diagnosed until symptoms not covered disease have limited effectiveness TOMORROW Detect or screen in Follow on Ima
Slide 22: Powering Precision Health - Summit 2019
Powering Precision Health - Summit 2019 2019 Spons Confirmed Spons Barcelona, November, 19 2018 2019 Speakers 18 42 Total Attendees <100 Expecting 250 Neuro & Onco Focus Neuro Only concurrent tracks 10 Member Leadership Quanterix Only External PPH Advisory Board Quanterix Earnings Call | Q3 2019 | N
Slide 23: Q3 2019 & YTD Sept. 2019 Financials
Q3 2019 & YTD Sept. 2019 Financials $m Q3 Revenue in $m GAAP Non-GAAP * Q3 2018 Q3 2019 Q3 Q3 YTD Sept. YTD Sept. Q3 Q3 YTD Sept. YTD Sept. +79% 2019 2018 2019 2018 2019 2018 2019 2018 Total Revenue 14.9 10.6 40.8 26.8 14.9 9.2 40.8 25.4 +82% 6.6 +39% Growth vs. PYR 41% 53% 62% 61% 4.1 4.2 Gross Pro
Slide 24: Poised to Disrupt Healthcare and Create Significant Value
Poised to Disrupt Healthcare and Create Significant Value Differentiator Value Best in 1 Category-defining; Unrivaled Sensitivity / Technology Disrupt Class 2 $3B to New Methodical market penetration strategy to reward investors $40B Answers market 3 DNA – RNA - Protein; Better linked to Disease / H
Slide 25: Appendix
Quanterix APPENDIX
Slide 26: Q3 2019/8 and YTD 2019/8 GAAP Results
Q3 2019/8 and YTD 2019/8 GAAP RESULTS ($million) Q3 2019 Q3 2018 YonY Change Revenue $14.9 $10.6 41% Gross Profit $7.0 $5.6 Gross Margin (%) 47.1% 52.8% - 570 bps Operating Expenses $17.3 13.3 Loss from -$10.2 -$7.7 Operations ($million) Q3 2019 YTD Q3 2018 YTD YonY Change Revenue $40.8 $26.8 53% Gr
Slide 27: Reconciliation of non-GAAP Financials
Reconciliation of non-GAAP Financials in thousands (unaudited) Quanterix Earnings Call | Q3 2019 | November 6, 2019 | 27