Slide 1: World’s Leading Provider of Dental Laser Technology
World’s Leading Provider of Dental Laser Technology BIOLASE: Creating Value Through Transformational Innovation Elevating the Total Dental Experience NASDAQ: BIOL June 2015
Slide 2: BIOLASE Key Topics
BIOLASE KEY TOPICS: Leadership Team Transition Company Background Large Market Opportunity Financial Overview
Slide 3: BIOLASE Background
BIOLASE BACKGROUND Lasers will transform dentistry and other key medical specialties Similar to what happened in aesthetic dermatology World’s largest provider of dental lasers >28,300 lasers installed in >80 countries Focused on getting professionals and patients excited about clinically supported
Slide 4: Large, loyal customer base
Large, loyal customer base A vision and strategy for sustainable growth and success First Phase of transformation underway Focused 2015 on growth and improving financial performance in Major opportunities in other medical adjacencies Extensive IP portfolio > 300 issued and pending patents
Slide 5: How Our Lasers Work and What They Do
HOW OUR LASERS WORK AND WHAT THEY DO Proprietary Dental Lasers: Hard- & soft-tissue WaterLase® iPlus—World’s top-selling all-tissue dental laser Energy generated by WaterLase wavelength excites water molecules within target tissue Water molecules vaporized by laser energy, thereby cutting tissue Ato
Slide 6: Source of Revenue
SOURCE OF REVENUE Revenue by Category Revenue by Region 1% 14% International 17% 45% United States 65% 55% GE] Laser Systems Imaging Systems Consumables Services/Warranties Royalties
Slide 7: BIOLASE Leader in All-Tissue Dental Laser Market
BIOLASE LEADER IN ALL-TISSUE DENTAL LASER MARKET U.S. J. Morita Worldwide Millennium AdVeRl Periolase** 5% 11% Syneron Convergent LightTouch Solea* 11% 6% Millennium Periolase** 9% Fotona Convergent Biolase LightWalker Biolase Solea* 8% Waterlase Waterlase 5% 63% 75% Fotona LightWalker 7% *Mostly so
Slide 8: Market Size and Opportunity
MARKET SIZE AND OPPORTUNITY Significant Primary Laser Opportunity Adoptions Here To Date CHASM” Source: Crossing the Chasm “THE By Geoffrey Moore Innovators Early Early Late Laggards Adopters Majority Majority BIOLASE has 70% of the ~5% penetrated dental market for all-tissue lasers Dental target pr
Slide 9: Quality levels have dramatically improved
Quality levels have dramatically improved Significant improvement in Customer Satisfaction NPS = 3X Q3’14 Levels Core laser business returned to growth in Q1’15 after +2 year decline Introduced two major new products worldwide – EpicX & WaterLase iPlus 2.0 with Practice Growth Guarantee
Slide 10: Market Size and Opportunity
MARKET SIZE AND OPPORTUNITY Market size: ~1.5 million dentists worldwide 140,000 practicing dentists in North America1 Rapid growth in emerging economies2 A 50% penetration of available U.S. market =~70,000 dentists; at $50K per laser market = $3.5 billion International market at least 3X as big as
Slide 11: Comparative Financial Data
COMPARATIVE FINANCIAL DATA Income Statement Q1 2015 Q1 2014 Net revenue 10,855 11,518 Cost of revenue 7,645 7,577 Gross profit 3,210 3,941 Total operating expenses 8,469 8,576 Profit (loss) from operations(5,259)(4,635) Non-operating gain (loss), net(130)(228) Profit (loss) before income taxes(5,389
Slide 12: Primary Confidence Drivers and Risks
Primary Confidence Drivers: Improved quality International opportunity Customer satisfaction focus Increased financial resources—35 million equity financing Nov. 2014 Sales team strengthening Greater awareness and stronger demand creation New product introductions showing growth in laser demand afte
Slide 13: Safe Harbor Statement
SAFE HARBOR STATEMENT Statements contained in this presentation that refer to BIOLASE’s estimated or anticipated future results or other non-historical facts are forward-looking statements, as are any statements in this presentation concerning prospects related to BIOLASE’s strategic initiatives and
Slide 14: World’s Leading Provider of Dental Laser Technology
World’s Leading Provider of Dental Laser Technology BIOLASE: Creating Value Through Transformational Innovation Elevating the Total Dental Experience NASDAQ: BIOL June 2015