Slide 1: Full Year Results Presentation
Full Year Results Presentation For the twelve months to 31 March 2017 24 May 2017
Slide 2: FY17 Milestones
FY17 MILESTONES Significant Progress Achieved Joint analysis of Kaiser Permanente study completed with positive and compelling results Approved provider to Official US launch of TRICARE Cxbladder Monitor APRIL MAY JUNE JULY AUG SEPT OCT NOV DEC JAN FEB MAR Cxbladder Monitor MTANZ Award Insurance cov
Slide 3: FY17 Highlights
FY17 HIGHLIGHTS Significant commercial progress being made; Continued sales growth expected in FY18 Significant progress Increasing adoption by Multiple clinical studies and Expanded suite of achieved with healthcare providers and papers validating the superior Cxbladder tests transformational large
Slide 4: FY17 Revenue
FY17 REVENUE 62% Uplift in Product Sales OPERATING REVENUE In the past four years, operating revenue has grown from Positive growth in product sales from new and existing customers, 10 $150,000 to $8.1 million particularly in North America. 8 62% increase 6 in operating FY17 excludes any revenue fro
Slide 5: FY16: FY17 Revenue Bridge
FY16: FY17 REVENUE BRIDGE REVENUE GROWTH Positive growth in product sales: No contribution yet +62% from new large scale customers – VA and TRICARE FX, Interest, Grant Other funding FY17 sales restrained by: • Timing of commercialisation of scale customers • Timing of launch of new products in the U
Slide 6: FY17 Investment into Growth
FY17 INVESTMENT INTO GROWTH FY17 FY16 % Change OPERATING EXPENSES $NZ’000 $NZ’000 TOTAL REVENUE 9,535 7,193 33% Continued investment into four strategic areas: • People – expanded sales team from 12 to 18 sales executives Laboratory Expenses 996 1,047 • Products – development and launch of Cxbladder
Slide 7: FY17 Cashflow
FY17 CASHFLOW NET OPERATING CASHFLOWS FY17 FY16 NET OPERATING CASHFLOW $NZ’000 $NZ’000 Receipts from customers and grant providers 7,864 3,648 Net operating cashflow at a similar level to the previous year Interest received 732 319 Payments to suppliers and employees 26,458 20,908 116% increase in r
Slide 8: FY17 Financial Position – Balance Sheet
FY17 FINANCIAL POSITION – BALANCE SHEET Debt free – Shareholder Capital the Main Source of Funding For Growth FY17 FY16 Cash and cash equivalents $14.6 million as at 31 $NZ’000 $NZ’000 March 2017 Cash, Cash Equivalents and Short 14,564 24,160 Term Deposits Debt free with funding from sales revenue,
Slide 9: Incidence ranking for the USA
Incidence ranking for the USA Pacific Edge 2017 Full Year Results Presentation
Slide 10: Cxbladder Now Dominates the Clinical Pathway
CXBLADDER NOW DOMINATES THE CLINICAL PATHWAY Pacific Edge is the only company in the world to offer a suite of proprietary molecular diagnostic tests for bladder cancer, from assessment and detection to management and monitoring for recurrence of the disease • Delivering innovative solutions for the
Slide 11: Target Markets
TARGET MARKETS Pacific Edge 2017 Full Year Results Presentation Slide 11
Slide 12: Markets: Growing Adoption of Cxbladder
MARKETS Growing adoption of Cxbladder Transformational clients National Provider Networks Private Insurance Providers Adoption by District Health (United States) (United States) (New Zealand) Boards (New Zealand) Veterans Administration – In Stratose Sovereign Insurance Bay of Plenty and Lakes contr
Slide 13: Markets: US Remains the Primary Focus
MARKETS US Remains the Primary Focus FY17 OBJECTIVES AND PROGRESS: US Remains the Primary Focus United States: The world’s largest healthcare market COMPLETED √ 18 sales executives focused on 19 targeted sales regions Over 11,000 urologists and millions of potential clinical opportunities for use CO
Slide 14: Veterans Administration (VA)
VETERANS ADMINISTRATION (VA) One of Pacific Edge’s Key Customers FY17 OBJECTIVES AND PROGRESS: Continue to target selected VA sites VETERANS ADMINISTRATION COMPLETED √ Signed Federal Supply Schedule Agreement (Feb 2016) • Federal funded healthcare for COMPLETED √ Negotiated contract price for tests
Slide 15: TRICARE
TRICARE One of Pacific Edge’s Key Customers TRICARE COMPLETED √ Approved as a provider (October 2016) COMPLETED √ Negotiated contract price for tests (October 2016) • Healthcare programme for US uniformed service members and In Progress The Pacific Edge US sales team are leveraging existing their fa
Slide 16: Kaiser Permanente
KAISER PERMANENTE Potentially Transformational For The Company FY17 OBJECTIVES AND PROGRESS: Complete Kaiser Permanente User Programme and progress to commercial relationship KAISER PERMANENTE COMPLETED √ Completion of large scale User Programme in first half FY17 • An integrated managed care COMPLE
Slide 17: Centers for Medicare and Medicaid/Other Customers
CENTERS FOR MEDICARE AND MEDICAID/OTHER CUSTOMERS FY17 OBJECTIVES AND PROGRESS: Progress discussions with CMS In Progress Regulatory process to gain a Local Coverage Decision with the CENTERS FOR MEDICARE AND CMS is well progressed MEDICAID • US federal agency which administers Medicare and Medicaid
Slide 18: Other Markets
OTHER MARKETS New Zealand, Australia, South East Asia AUSTRALIA Work with Tolmar Australia to build awareness and increase sales of Cxbladder tests in Australia • Tolmar Australia’s nine dedicated urology sales executives leveraging their existing networks; targeting large hospitals as well as indiv
Slide 19: Products
PRODUCTS Our Products Now Span The Entire Clinical Pathway - A World First FY17 OBJECTIVES AND PROGRESS CXBLADDER TRIAGE In-Market 2015/2016 Rollout of Cxbladder Monitor into the United States and Australia • Australia rollout completed • Full USA launch in December 2016 to coincide with CXBLADDER D
Slide 20: Growing Clinical Evidence in Support of Cxbladder
GROWING CLINICAL EVIDENCE IN SUPPORT OF CXBLADDER SUPERIOR SENSITIVITY OF CXBLADDER MONITOR IN CLINICAL STUDY SUPERIOR PERFORMANCE OF CXBLADDER MONITOR IN RULING OUT Lotan et al: Clinical comparison of non-invasive urine test for ruling out recurrent urothelial carcinoma. Urologic Oncology (2017) RE
Slide 21: Sales Channels
SALES CHANNELS Build Awareness, Encourage Adoption, Transition To Commercial Customer FY17 OBJECTIVES AND PROGRESS In Progress Continue to initiate new User Programmes and transition early adopters into commercial customers • Now starting to see traction as User Programmes transition to commercial c
Slide 22: Looking Forward: Priorities for FY18
LOOKING FORWARD Priorities For FY18 MARKETS CUSTOMERS • United States remains the primary focus • Bring Kaiser Permanente on board as commercial customer • New Zealand: Continue to encourage uptake by DHBs • Build commercial relationships with targeted large scale VA • Australia: Conversion of User
Slide 23: Question and Answer
QUESTION AND ANSWER Pacific Edge 2017 Full Year Results Presentation
Slide 24: www.pacificedge.co.nz www.cxbladder.com www.pacificedgedx.com
www.pacificedge.co.nz www.cxbladder.com www.pacificedgedx.com David Darling Chief Executive Officer Pacific Edge Limited Tel: +64 3 479 5802 Mobile: +64 21 797981 Email: dave.darling@pelnz.com Pacific Edge 2017 Full Year Results Presentation
Slide 25: Disclaimer
DISCLAIMER Information The information in this presentation is an overview and does not contain all information necessary to make an investment decision. It is intended to constitute a summary of certain information relating to the performance of Pacific Edge Limited . The information in this presen