Biotage Group Presentation...Swiss, German and Austrian distributor for many Biotage products •...
Transcript of Biotage Group Presentation...Swiss, German and Austrian distributor for many Biotage products •...
2006-11-01
Biotage Group Presentation
Author: Torben Jörgensen
Disclaimer
This presentation may contain certain forward lookingstatements which, by nature, involve risk and uncertaintybecause they relate to events and depend on circumstancesthat will occur in the future. There are a number of factorsthat could cause actual results and developments to differmaterially from those expressed or implied by these forward looking statements. Accordingly, investors and shareholdersare urged not to place reliance on these statements.
About Biotage
• 430 MSEK turnover 2005
• 330 employees worldwide
• Headquartered in Uppsala, Sweden
• Two business areas– Discovery Chemistry head office in Charlottesville, Virginia,
USA– Biosystems (genetic analysis) head office in Uppsala, Sweden
Worldwide Offices
Uppsala
Tokyo
Charlottesville
Hertford, UK
GrenzachCardiff
Sales Office
Production & R&D
Discovery Chemistry
• A global leader in synthetic organic chemistry knowledge and solutions.
• Largest range of innovative and integrated discovery chemistry tools for synthesis, work-up, purification, evaporation andanalysis.
• Solutions for research and development through clinical trials and manufacturing
• Product synergies work together to improve drug discovery and remove process bottlenecks. Accelerate Synthesis, Accelerate Purification (ASAP)
About Discovery Chemistry
• Turnover of 351 MSEK in 2005, 280 employees
• A large active, installed base– 853 Microwave Synthesis systems using
– 450,000 Biotage vials per year– 2,300 Automated Flash Chromatography Systems
– Using 10,000 cartridge holders– Consuming 420,000 Biotage cartridges per year
– Strong analytical chemistry base to HPLC system users– > 12 million SPE columns/wells shipped per year
• Strong Intellectual Property– 50+ Patents and 35+ Patents Pending
Major events in Discovery Chemistry 2005/2006
• June 2005. Acquisition of the reagents and process instruments business from Argonaut Technologies Inc.
• October 2005. Acquisition of Separtis Holding AG, the Swiss, German and Austrian distributor for many Biotage products
• January 2006. Acquisition of the exclusive distribution, production and further development rights to Vapourtec’ssolvent evaporation system, known as the V-10
The Global Market Position
• Pioneer and leading innovator of Microwave Synthesis– #1 Market share (>50%) in MW revenue and reactions run
• Pioneer and innovator of cartridge-based Flash Chromatography– #1 Market Share (>40%) of Flash systems and disposable
cartridges
• Recognized High Quality Supplier of Sample Prep– #1/#2 SPE supplier in Europe, #3 or #4 globally
• Established supplier of Process Development Automation– #2 Globally in Synthesis Process Development
Global Infrastructure
• 40 Sales and 34 Service Engineers worldwide today
• Sell and service direct in USA, Canada, UK, France, Benelux, Italy, Germany, Switzerland, Austria, Denmark, Sweden and Japan
• Our largest accounts include:– Merck– GSK– Pfizer– Novartis– Astra Zeneca
• Biotage DCG sales are– 50% USA, 40% Europe, 10% Asia – 80% Pharmaceutical, 10% University, and 10% non-pharma– We ship products to over 1,400 accounts world wide
The Available Market Space
• There are 30,000-40,000 Medicinal Chemists, 5000-7000 High throughput chemists and 7000-10,000 process chemists worldwide
• 90% of all Medicinal Chemists utilize Solution-Phase Synthesis and Flash Silica for Purification
• Each Medicinal Chemist is a potential Biotage Flash and MAOS system user
• While 90% of all synthetic chemists utilize solution-phase synthesis <10% utilize solid-supported reagents and scavengers
• Each Process Chemist has the potential for 1 system, many however, will use multiple instruments per project
Biosystems
Biosystems head office in Uppsala SwedenPioneered Genetic Analysis technology that is used today by clinical research researchers for the analysis of genetic mutations andpolymorphisms.
About Biosystems
• Turnover of 80 MSEK in 2005, 30 employees
• Installed base of over 430 instruments
• Full ownership of technology with strong patent portfolio covering design and use of Pyrosequencing
• License Agreement with 454 Life Science for “Whole Genome Sequencing” ($1.25M/yr license for 10 years)
Application areas
• Molecular microbiology– Microbiological identification
– Antibiotic resistance studies
• Oncology– DNA methylation analysis– Cancer mutation analysis
Current product line
• Instruments– PyroMark ID– PyroMark MD
• Software products– PyroMark analysis SW– Assay Design SW– IdentiFire SW– Pyro Q-CpG SW
• Chemistry– Pyro Gold general purpose reagents– PyroMark gene specific tests
2006-11-01
Financials
Q3 2006 Financial Highlights
Sales in Q3, 2006• 133,9 MSEK vs 127,2 MSEK in Budget / 120,4 MSEK in Forecast
and 126,6 MSEK last year• + 6% versus last year• +11% vs proforma last year
Gross Margin• 63,5% versus 58,7% in Budget / Forecast 59,4 % and 45,0% last
year
Q3 2006 Financial Highlights
Operating costs• 73,6 MSEK versus 76,5 MSEK in Budget / Forecast 69,1 MSEK and
77,5 MSEK last year
Operating result • +11,4 MSEK versus -1,8 MSEK in Budget / Forecast +2,4 MSEK
and -20,6 MSEK last year
Net result • +8,6 MSEK versus –3,8 MSEK in Budget / Forecast
-1,2 MSEK and -27,6 MSEK last year
Operating Cash Flow • +17,4 MSEK versus +7,3 MSEK in Budget/Forecast +13,7 MSEK
and 0,9 MSEK last year
Sales per business areaQ3
22 MSEK
111 MSEK
DiscoveryChemistryBiosystems
Sales per business areaJanuary – September
64 MSEK
319 MSEK
DiscoveryChemistry
Biosystems
Sales per geographic market
44%
42%
14%
USAEuropaRest of the world
DCG Sales per Productgroup Jan - SeptMSEK
78
152
63
24
2
SynthesisPurificationSample PrepChem DevEvaporation
DCG Sales per Productgroup Jan - Sept
1%
8%
47%
20%24% Synthesis
PurificationSample PrepChem DevEvaporation
Mission for Biotage 2006
Strategic concentration on continued integration of acquired units and optimization of the product portfolio in order to focus on organic growth
Going forward
• RevenueGrow top line organically by 10%
• Gross MarginsIncrease the gross margin by at last 1% pr year in the coming years
• Operating costLooking in to fine tune the infra structure of the company and thereby controlling the cost at the level of today
• Bringing us to an EBIT of 10% or more in the coming strategic period
Going forward, continued
New Developments- DCG
- Increase focus on consumables- V-10 (evaporation) very good market response- New instrument developments
- Biosystems- New instrument development started- New assay development