Infusystems Holdings, Inc. · AMEX:INFU
Infusystems — InfuSystem Holdings — Investor Presentation (June 2019)
21 slides from Infusystems's investor presentation, Jun 11, 2019
Slide 1: Corporate Presentation June 2019
Slide 2: Forward-Looking Statement / Non-GAAP Measures
Forward-Looking Statement / Non-GAAP Measures Forward Looking Statement Corin statements contained inthis presentation are forard-looking statements within the meaing of Section 27A ofthe Securities Act of 1933, as amended, and Section 2E ofthe Secures Exchange ‘ctof 1834, as amended suchas statamen
Slide 3: ~80,000 pumps rented in U.S. and Canada
~80,000pumps rented inU.S. and Canada Dominant market player in DME oncology (“Oncology”) 1,800 outpatient oncology practices; ~98% retention rate InfuSystem pumps enable patients to leave the clinic and continue their infusion at home Outpatient, at-home treatment substantially lowers cost of patie
Slide 4: We Focus on High-Return Niche Sectors
We Focus on High-Return Niche Sectors Infusion Pump Economics + Average Cost: ~$1,200 per pump + Pump eet of >78,000 units + Depreciated over 7 years + Average Lite Span of pump: >10 years ‘Third Party Payor (TPP) Oncology Model DirectPayor (DP) Oncology Model + Average Monthly Rental Fee: >$200 + A
Slide 5: Competitive Advantages - SAFE...SMART...TRUSTED
Competitive Advantages - SAFE...SMART...TRUSTED ‘+ Highest-evel ofservice available + Best and safest pumps on market ‘itn inusystem Mobile, everything you need [sight inthe polm of your hana + 24/7/8365 access to oncology nurses a + Infusystem Mobile - Only patient safety app 5 T- rrsesanay Resouce
Slide 6: Market changes creating oncology growth opportunity
+ November 2018 - Elastomeric + #f1elastomericprovider subject to FDA recall + Spanish manufacturing - not allowed to import U.S. + Sixmonths later, no news of change + March 2019 - Largest Market Competitor Phasing out TPP offering 30% growth opportunity for INFU oncology ‘Switchoverstarting in2Q19
Slide 7: Opportunistic niche-market growth
* Opportunistic niche-marketwil + Home health care + Enteral feeding pumps + Canada * Pump Sales, Disposables and Service ‘+ VAR sales and broker-trader desk + High-tum consumables - often drop-shipped Leverage expertise to sell biomed services i Fy2016 Fv2017- ‘esse note that PO revenues are etofin
Slide 8: InfuBLOCK Business Opportunity
t Business Opportunit 7 Benefits of InfuBLOCK: Market Opportunity + Convenient + 30,000 orthopedists in the U.S. performing an average of 30, + Cost Savings N procedures per month, + 10.8 million orthopedic surgeries annually (per AOS) 47,000 Americans died of opioid overdose (per HHS) + Ultra High
Slide 9: Adjusted EBITDA Margins and Cash Flow
Adjusted EBITDA Margins* Si + 2016 SE 1609: CMS eliminated reimbursement ‘+ Couldn'thaltservices -tookbighit to P&L $Milions ‘+ Created ditficulties with bank covenants + New CEO and CFO; shareholdertedboard Hadto reengineer business; improve processes Cash Flow from Operating Activities ‘New value-
Slide 10: Delivering Shareholder Value
Delivering Shareholder Value INFUStockPerformance ‘+ Performance from May 2017 ~138% - Annualized ~69% Performance since July 2018, 14% S/O stock repurchase ~68%- Annualized ~90% + YiDstock performance pt 1/3 49% - Annualized ~ 117% rion ort £P PIS ELD PIPE ESP EPEC OP LP CLE Fy
Slide 11: Go Forward Strategy
Go Forward Strategy + Smart growthleveraging competitive advantages { + Oncology: converton current market share gain opportunities ey e + IPD: higher-margin niche opportunities; high-turn consumables i + Always seekingtoimprove operatingefficiencies and reduce costs + Maximize pump fleet utilizatio
Slide 12: Strong operating cash flow
‘Strong operating cash flow + $11.4 Cash Flow by Operations, up 47% YOY + $14M AEBITDA in 2018 + **Est. $16M AEBITDA in 2019; Est. $20M in 2020 ‘Strong, growing and recurring revenues ‘+ Essential medical procedures - non cyclical + Ongoing material market share gains + Growing high-tumn consumables
Slide 13: Richard Dilorio - President, Chief Executive Officer, and Director
Richard Dilorio- President, Chief Executive Officer, and Director {nga sot otte Pres srstarng hay 017 whchonsteaeete opr upen he sppemmarta,andae Cen ara or Oncor ‘ee rade Staten Developme tom agit 23040 lly 2044 Mr. Deine nfuystemin over 2004 andaeved oer Manag iui 2010, During Ooi ear true wth aya
Slide 14: Management Team - continued
Management Team - continued Carrie Lachance, BSN, RN, CRNI- Senior Vice President, Clinical and Customer Service xe ‘rs. tachance ae saredaete vie Pressetof the lnc andCustner Service dpartent ince December 2017 ror ther current poetonshe served 36 ‘he Deets! lneslnersrces tam iny203St December 201)
Slide 15: Questions
Slide 16: Appendix
Slide 17: InfuSystem Holdings Inc
nfusystem Holdings Ine © aedgunten Maclon Hag Founded: 1998 + Speclaization: Healtheare / Medical Instruments & Supplies + Management: ich Dilorio, President & Chief Executive Officer, rag Schulte, EvPaCrO, + Est. Number of Employees: 262 + 2018 Revenue: $67-1M (as of 12/31/2018) + 2018 AEBITDA: $13
Slide 18: GAAP to Non-GAAP Reconciliation (unaudited)
GAAP to Non-GAAP Reconciliation (unaudited) {in thousands) ati2017_a2i2017 qai2017_aw2017| 2017 _| avz018 ax2018 avzo18 aw2018| 2018 ‘GAAP net loss ($1A78) ($4,108) ($128) ($17,994) ($20,707) | $204 — 505) — (S519) — (8275) | 1.085) Adjustments: Interest expense soe $333 sas sai7_| 1.302 | sais 206
Slide 19: Detailed Historical Income Statement
Detailed Historical Income Statement Stamition) pfs use B/SYAOS IAPOE USN HAO S S552 $ saris $ e2ssz $ e2z10 $ si0H 5 sesse sas6 oss 7200 ase (3512) 01s Gen any G7) 38) aaa) (aD) ‘00 000 (893) co aoe = a00 osm oois ois aang fos) 1oa37 (aise) Gay (328) (1388) (as) 1.457) 2700 ©6210 3909 (0368) (5257)
Slide 20: Detailed Historical Balance Sheet
Detailed Historical Balance Sheet
Slide 21: SAFE...SMART...TRUSTED
‘SAFE...SMART...TRUSTED System (ud tata Ws MADE eaty Load rican: INFU)
InfuSystem Holdings — Investor Presentation (June 2019) on 6ix