Staar Surgical Company · NASDAQ:STAA
Staar Surgical — Investor Presentation (January 2020)
27 slides from Staar Surgical's investor presentation, Jan 13, 2020
Slide 1: STAAR Surgical Investor Presentation
STAAR Surgical Investor Presentation NASDAQ: STAA | January 13, 2020 Exhibit 99.3
Slide 2: Forward Looking Statements
Forward Looking Statements All statements in this presentation that are not statements of historical fact are forward-looking statements, including any of the following: statements about the Ophthalmic industry, our business and financial results, any financial projections, including those relating
Slide 3: The Future of Refractive Surgery is Lens-Based... The Time for STAAR is Now
The Future of Refractive Surgery is Lens-Based... The Time for STAAR is Now “Intraocular refractive surgery is the next wave of growth in the eyecare space and STAAR is the clear leader in this technology. The success that STAAR has demonstrated in Asia is a leading indicator for what I expect to ha
Slide 4: The Future of Refractive Surgery is Lens-Based... The Time for STAAR is Now
The Future of Refractive Surgery is Lens-Based... The Time for STAAR is Now Large and Growing Addressable Market (TAM) Strong Financial Performance includes Expanding Margins and Cash Generation Proprietary Lens Technology and Business Model is Driving Industry-Leading Growth
Slide 5: STAAR is Targeting Two Large Markets
TAM STAAR is Targeting Two Large Markets Refractive Today: 4 Million Procedures Annually Refractive Future: Growth refueled by lens-based myopia and presbyopia solutions Myopia Presbyopia * Company estimates of Viable Market Opportunity. Adjustments to TAM based on Epidemiological Data; Distribution
Slide 6: Tailwinds Will Drive Future Market Growth
TAM Tailwinds Will Drive Future Market Growth …to dramatically increase STAAR’s Opportunity. Significant and Increasing Prevalence / Requires Correction Myopia Presbyopia 75-80% of 45-54 Year Olds are Using Correction for Presbyopia** $70 Billion Spend * BHVI, adapted from Holden et al. 2016 Ophthal
Slide 7: Proprietary Lens-Based Technology
Proprietary Lens-Based Technology Over 1 Million ICLs™ Implanted Globally Please Note: The ICL is not visible to other people after implantation. * EVO ICL Patient Registry data on file. 99.4% of Patients Would Elect STAAR’s EVO Implantable Collamer® Lens Again* An Evolution in Visual Freedom™
Slide 8: ICL Advantages
ICL Advantages Proprietary Lens-Based Technology Natural Crystalline Lens Iris Cornea ICL™ Retina Proprietary Collamer Material Quality of Vision Removeable Eco-Friendly Bio-Compatible No Dry Eye Syndrome Upgradeable No Capital Investment Excellent Night Vision Quiet in the Eye Additive UV Protectio
Slide 9: Industry Leading Growth
Industry Leading Growth 22% CAGR 2017-2019 *Preliminary revenue results as announced on January 13, 2020 for Q4 and fiscal year 2019 not adjusted for constant currency. Calendarization of quarterly revenue anticipated to be approximately 22% (Q1); 27% (Q2); 26% (Q3); 25% (Q4) for fiscal year 2020. R
Slide 10: Industry Leading Growth: ICL Unit Growth
Industry Leading Growth ICL Unit Growth Y/Y*… Nine Months YTD 2019 * Select markets for the Nine-Months Ended September 27, 2019 as compared to the Nine-Months Ended September 28, 2018.
Slide 11: Industry Leading Growth Drives Expanding Margins and EPS
Industry Leading Growth Drives… Gross Margin Operating Margin GAAP EPS * Nine-Months Ended September 27, 2019 and Nine-Months Ended September 28, 2018. Expanding Margins Expanding GAAP EPS Profitability
Slide 12: Industry Leading Growth Drives Cash Generation
Industry Leading Growth Drives… Cash from Operations ($ Millions) Balance Sheet Cash** ($ Millions) Cash Generation Strong Balance Sheet * Nine-Months Ended September 27, 2019 and Nine-Months Ended September 28, 2018. ** Cash, Cash Equivalents and Restricted Cash. The Company raised $78 million (gro
Slide 13: STAAR's Global Eyeprint
STAAR’s Global “Eyeprint” 75 Countries Globally STAAR operates with independent distribution in the remaining countries where the ICL is sold. Hybrid Markets: China | S. Korea | India Potential Future Hybrid Markets Direct Markets: United States | Canada | U.K. | Germany | Spain | Japan
Slide 14: ICL Global Market Share
ICL Global Market Share* * Company Estimates as of October 24, 2019. From < 2% to 6% Est. 2019 Japan 23%
Slide 15: China: What's Going On
China What’s Going On… EVO Has Captured 14% Market Share* Peak Summer Season = Thousands of ICLs Daily Hospital Waiting Room Surgeon WeChat Posting of EVO Patients * Company Estimates as of October 24, 2019.
Slide 16: China: EVO Only Clinics and Consumer Marketing
EVO Only Clinics Paradigm Change Consumer Marketing Propels EVO Growth China What’s Going On…
Slide 17: Japan: Surgeon Support, Consumer Marketing and Celebrity Awareness
Surgeon Support + Consumer Marketing + Celebrity-Driven Awareness + EVO ICL Only Clinic “When I woke up… I was so happy that I was about to cry… problems with dry eye and hyperemia have disappeared.” – Rino Sashihara on Twitter HKT48, Top Idol Japan What’s Going On… The Japanese Ophthalmological Soc
Slide 18: Germany and Spain: Surgeon Support and Strategic Partnerships
The German refractive society expanded recommended range for use of phakic refractive lenses, including EVO from -6.0D to -3.0D* in 2019. Strategic Partnerships Vista Oftalmólogos, 49 eye clinics spanning Spain, France, Portugal and Morocco Smile Eyes Group, 13 eye clinics in Germany and Austria A g
Slide 19: United States: What's Going On
United States What’s Going On… Visian Toric ICL approval returned U.S. to growth in Q4’18 EVO Visian ICL Clinical Trial Imminent Inaugural U.S. Surgeons Council Summit (Dallas) Bringing OUS business model of premium and primary ICL positioning to the U.S. Leading Ophthalmic Surgeons from top markets
Slide 20: United States: Global Media Campaign
United States What’s Going On… Award Winning Global Media Campaign Coming to the U.S. – Two Months Results for this Campaign in St. Louis is 200% Increase in Doc Finder Visits
Slide 21: STAAR's Execution: Promises Made. Promises Kept.
* 2019 YTD is Nine-Months ended September 27, 2019 as reported. **Total Cash at 9/27/19. $39.7M Total Cash deducting $72.6M Net Proceeds from August 2018 secondary also demonstrates significant operational execution above target. STAAR’s Execution Three-Year Financial Outlook Provided at November 20
Slide 22: STAAR's Vision 2020-2022 Strategic Imperatives
STAAR’s Vision 2020-2022 Strategic Imperatives Position EVO Implantable Lenses as a Special and Transformational Pathway to Visual Freedom… Promote Exceptional Desirability to Win Consumer Choice and Social Media Enthusiasm Support the Transformation of the Refractive Surgery Paradigm through Clinic
Slide 23: Financial Outlook
Financial Outlook *Published in Clinical Ophthalmology, Packer, December 2018. 2020-2022 REVENUE GROWTH 25% CAGR by YE 2022 ICL UNIT GROWTH 35% CAGR by YE 2022 PROFITABILITY IMPROVEMENT Profitability Improves balanced by Prudent Investment Consumer Awareness Commercialization Clinical Studies CASH F
Slide 24: Financial Outlook Assumptions: Revenue
Financial Outlook Assumptions 2020-2022 REVENUE EDOF Presbyopia ICL on market in Q2 2020 followed by phased rollout US growth accelerates, preparing key cities for future EVO launch Keep building China, aiming for 25%+ procedure share Continue modest trade-offs of price for volume in mid/low diopter
Slide 25: Financial Outlook Assumptions: Costs and Investments
2020-2022 UNIT COSTS Target $1.5M Reduction in Manufacturing Costs Annually in planning cycle OPERATING EXPENSES Overall Spending Growth Slows in Latter Part of Planning Period R&D Spend as a Percentage of Sales Settles into the Mid-Teens by the end of Planning Period CAPITAL AND OPERATING INVESTMEN
Slide 26: 2020-2022 Supplemental Use for EVO Family of Lenses
2020-2022 Supplemental Use for EVO Family of Lenses Announced CE Mark approval on January 13, 2020; aimed at post-cataract IOL market (28M+ global procedures annually*); adds surgeon option to use EVO family of lenses… As a touch-up for refractive surprise patients; To provide improved range of visi
Slide 27: The Future of Refractive Surgery is Lens-Based
www.staar.com www.discoverevo.com The Future of Refractive Surgery is Lens-Based... The Time for STAAR is Now
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