Slide 1: Natera, Inc. Q1 2021 earnings call
Natera, Inc. Investor presentation May 2021 Q1 2021 earnings call
Slide 2: Safe harbor statement
Safe harbor statement This presentation contains forward-looking statements under the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained in this presentation, including statements regarding the market opportunity, produ
Slide 3: Recent highlights
Recent highlights ● Processed 348,000 tests in Q1,18% growth versus Q4 and 48% YoY unit growth vs Q1 2020 ● Total revenues of ~$152M, including $28.6M in Qiagen revenue recognition. Product revenues up 36% vs Q1 2020 ● Raising revenue guide by $50M given overall strong momentum ● Implemented first w
Slide 4: Record Q1 volume of ~350,000 units
Record Q1 volume of ~350,000 units Total processed units (in thousands) 348 • Strong market share gains in 295 Women’s Health 262 236 234 • Continued 209 200 194 200 momentum in Transplant 167 174 164 163 and Oncology Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2018 2018 2018 2018 2019 2019 2019 2019 202
Slide 5: Q1 revenues exceed expectations
Q1 revenues exceed expectations Total revenues Product revenues1 ($ in millions) ($ in millions) 36% $152 • Volume-out 36% $118 35% performance $112 combined with 24% $87 improving NIPT 24% $83 ASPs $67 $54 • New products gaining momentum Q4 Q4 Q4 Q4 Q1 Q1 Q1 2017 2018 2019 2020 2021 2020 2021 1. Ex
Slide 6: Panorama AI Phase implemented
Panorama AI Phase 1 implemented • Performance validated in SMART with >20,000 enrolled patients • PPV for 22q11.2 deletion syndrome improved from 24% to industry-leading 53%, complementing highest sensitivity • 50% reduction of no-call rate while maintaining best-in-class aneuploidy sensitivity • AI
Slide 7: Well positioned to serve >4.5 million pregnancies
Well positioned to serve >4.5 million pregnancies • 2M+ tests performed • 1.3M+ patients studied • 23 peer reviewed publications • 9 points of clinical differentiation Source: Natera internal company data 7 Not for reproduction or further distribution.
Slide 8: COVID-19 causes elevated background cf-DNA
COVID-19 causes elevated background cf-DNA • UCLA study highlights COVID-19 impact on background cf-DNA levels1 • Prospera is the only test that flags high levels of background cf-DNA revealing potentially masked rejection 1. Extremely High Cell-free DNA Levels Observed in Renal Allograft Patient Wi
Slide 9: Prospera pathway to multiple organs
Prospera pathway to multiple organs • LCD covers broad range of solid organ transplants for dd-DNA testing • Creates accelerated pathway to reimbursement for Prospera test beyond kidney transplants 9 Not for reproduction or further distribution.
Slide 10: Second Phase trial in bladder cancer launched
Second Phase 3 trial in bladder cancer launched Results from IMvigor 0101 Announcing IMvigor 0112 1.00 MRD-negative (63%) • Phase III trial, evaluating adjuvant HR, 1.31 immunotherapy with atezolizumab 0.75 P=0.32 Overall survival 0.50 MRD-positive: (37%) • Eligible patients to be screened with HR,
Slide 11: Circulate-IDEA Japan: largest prospective MRD study – interim readout
Circulate-IDEA Japan: largest prospective MRD study – interim readout1 Confirms market leading Signatera clinical metrics Longitudinal Pre-surgical Sensitivity TNP Rate2,4 Sensitivity2,3 to relapse2 >94% <3% >93% Enrollment above expectation with >1500 patients enrolled to date 1. Final results will
Slide 12: Signatera vs. Reveal performance comparison
Signatera vs. Reveal performance comparison Signatera Reveal Validation data published or presented (# patients analyzed) > 2,0001,2 < 1504,5 Pre-surgical sensitivity in CRC 89-94%1,3 47%*4 Failure rate in CRC – tissue and plasma combined < 3%3 12-14%4 Number of blood tubes required 2 4 Diagnostic l
Slide 13: Positive data in major new cancer indications
Positive data in major new cancer indications AACR – Ovarian cancer ASCO – Multiple myeloma Recurrence detected average 10 months earlier1 2 pubs soon to be published • Abstract # 8029 | Personalized, ctDNA analysis to detect minimal residual disease and identify patients at high risk of relapse wit
Slide 14: Oncology MRD market opportunity
Oncology MRD market opportunity Tests per year 700K 3.1M 150K 240K 100K 90K 800K 1M Total Source: internal estimates 14 Not for reproduction or further distribution.
Slide 15: Q1 Financial overview
Q1 Financial overview ($ in millions, except for per share data) P&L Q1’21 Q1’20 Change Product Revenues $118.4 $87.0 $31.4 Licensing and Other Revenues $33.9 $7.0 $26.9 Total Revenues $152.3 $94.0 $58.3 Gross Margin% 1 56% 52% 398 bps R&D $40.2 $18.2 $22.0 SG&A $108.3 $65.7 $42.6 Net Loss Per Dilut
Slide 16: Raising 2021 Annual guidance
Raising 2021 Annual guidance Guide $ (millions) Original Current Key drivers Qiagen benefit plus volume and ASP Revenue $500 – $525 $550 – $575 trends continue to accelerate Qiagen benefit plus improving COGS Gross margin % revenue 47% – 52% 52% – 55% per unit trends SG&A $430 – $450 $440 – $460 Add
Slide 17: Not for reproduction or further distribution. Natera, Inc. Inc.
©2020 Natera, Inc.Inc. All Rights Reserved. NotNot for reproduction or further distribution. 17 Not for reproduction or further distribution. ©2021 Natera, All Rights Reserved. for reproduction or further distribution.