Bio-Rad Laboratories, Inc. J.P. Morgan Healthcare Conference 2019 - - PowerPoint PPT Presentation
Bio-Rad Laboratories, Inc. J.P. Morgan Healthcare Conference 2019 - - PowerPoint PPT Presentation
Bio-Rad Laboratories, Inc. J.P. Morgan Healthcare Conference 2019 Forward-Looking Statements Some statements in this presentation may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995,
Forward-Looking Statements
Some statements in this presentation may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements regarding
- ur investment in high growth emerging markets and new products and technologies, our new focus on
lab to clinic solutions, improvements to our operational efficiency and our future financial performance. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, “anticipate,” “believe,” “expect,” “assume,” “continue,” “may,” “will,” “intend,” “estimate,” or similar expressions or the negative of those terms or expressions, although not all forward-looking statements contain these words. These statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from our expectations. Such factors include, but are not limited to, recent changes to our global organizational structure and executive management team, difficulties in implementing our global ERP system, our ability to develop and market new or improved products according to our business plan, currency fluctuations and other factors discussed in more detail in our recent filings with the Securities and Exchange Commission. The forward-looking statements contained in this presentation reflect our views and assumptions only as of the date of this presentation. We do not undertake any obligation to publicly update any forward-looking statements.
Advance discovery. Improve lives.
Bio-Rad Today
Continuous Innovation
A History of Contribution
8,300+
Employees Worldwide
65+
Years Strong Performance
$2.2B+
Annual Sales
Key Competencies
Fueling Ongoing Growth
Complementary Business Mix
Leveraging Across the Company
Advance discovery. Improve lives.
Bio-Rad Global Profile
BioPharma
11%
Reference Labs
13%
Transfusion Labs
12%
Academic
23%
Applied
3%
Hospital Labs
38%
Americas
44%
EMEA
35%
Asia
21%
Diversified Customer Base Worldwide Presence Broad Product Base Customers Geography Products
Advance discovery. Improve lives.
A History of Innovation
1972 Electrophoresis grade chemicals are introduced 2000 Launched the first 4- color real time PCR platform on the market 2017 Bio-Rad launches the first digital PCR CE-IVD test to monitor levels of BCR-ABL in cancer 2012 Bio-Rad launches the droplet digital PCR system 1967: Bio-Rad launches first T-4 by column test revolutionizing Thyroid testing 1982: First commercial test for Hemoglobin A1c 2006: Place first multiplex immunoassay system BioPlex 2200
Advance discovery. Improve lives.
Leadership Positions
DNA amplification Gel image Protein Assay Quality Control Blood Typing Bio-Chromatography Infectious Disease Diabetes Autoimmune Digital Biology Electrophoresis
Advance discovery. Improve lives.
Market Focus
7
Bio-Rad is Well-Positioned in New Focus on Lab to Clinic Solutions
Translational Research Continuum
Discovery Development Production Treatment & follow up
- Basic disease
mechanism research
- Pathway research
- Target
identification
- Target validation
- Lead development
- f a therapy and/or
diagnostics
- Pre-clinical studies
- Clinical studies
- Regulatory
- Drug and/or
diagnostics mfg. & commercialization
- Treatment
planning and monitoring
- Post-market
surveillance
- Bio-Rad Confidential -
Advance discovery. Improve lives.
Genomics, Cell Biology, Proteomic, Software & Informatics
8
Life Science Profile
Asia
26%
Americas
43%
EMEA
31%
Consumables
48%
Instruments/ Apparatus
52%
Applied Markets
7%
Research
63%
BioPharma
30%
Highlights
- Market Size: $45B–50B
- Market Growth 4% CAGR
- Addressable Market: $8–9B
Source: Bio-Rad Internal
Customer Segments Revenue Geography Products
Advance discovery. Improve lives.
9
Life Science Solutions
Genotyping & Gene Expression (PCR & qPCR) Protein Purification (chromatography) Gene Transfer & Modulation Protein Expression (multi-analyte detection) Cellular Imaging Protein Quantification (western blotting) Antibodies Cell Sorting & Analysis
Multi-omics Solutions
Digital Biology (Droplet Digital PCR, ddSeq) Advance discovery. Improve lives.
10
Cell Biology
New Entrant in Growing Market
- Flow Cytometry Cell Sorters
and Analyzers
- Cell Imagers and Counters
- Flow Cytometry Reagents & Assays
- Flow Cytometry Antibodies
ZOE Fluorescent Cell Imager ZE5 Cell Analyzer TC20 Automated Cell Counter S3e Cell Sorter Flow Cytometry Antibodies
Advance discovery. Improve lives.
Digital Biology
Leadership Position
- ddPCR technology
- Broad IP portfolio
- Broad application from
research to therapeutics
- Rapid development of
new applications
Advance discovery. Improve lives.
12
Clinical Diagnostics Profile
Highlights
- Market Size: $55-60B
- Addressable Market: $5.5B
- Market Growth ~ 5%
Transfusion Laboratory
18%
Customer Segments
Hospital Laboratory
61%
Source: Bio-Rad Internal
EMEA
39%
Americas
42%
Asia
19%
Revenue Geography
Instruments
25%
Reagents
75%
Products
Reference Laboratory
21%
Advance discovery. Improve lives.
13
Clinical Diagnostics
- Blood Typing
- Blood Virus Screening
- HIV Confirmation Testing
Protecting the Blood Supply Diagnostic Testing and Monitoring
- Diabetes
- Infectious Disease
- Autoimmune
- Transfusion Compatibility
- Quality Controls
- Quality Assessments
- Data Management
Quality Assurance
Advance discovery. Improve lives.
14
Highlights
- Bio-Rad #2 in Market
- 3,000+ Automated Systems Placed
- Unrivalled Results Management
- Broadest portfolio for safe transfusions
Geographic Expansion
- IH-1000 and Infinity FDA Approvals
- IH-Com and Manual Systems Approval
- Growing Demand in Emerging Markets
Blood Typing
IH-500 (Coming soon to the US) Tango infinity IH-1000 Gel Cards IH-Com & IH-Web Results Management Advance discovery. Improve lives.
Portfolio Expansion
Near Term Focus
- Core Market Enhancement
- Microbiome
- Point of Care
- Non-Invasive Prenatal Testing
Advance discovery. Improve lives.
16
The Importance Of Clinical Diagnostics In Healthcare
Earlier detection saves lives
- Lowers total costs
- Reduces risks
- Increases satisfaction
- Improves treatment efficiency
Targeted Disease Prevention Early Disease Detection Accelerated Diagnostics Targeted Therapy Improved Outcomes
Advance discovery. Improve lives.
17
Diabetes
Diabetes is an accelerating global problem.
Advance discovery. Improve lives.
18
Bio-Rad Pioneered HbA1c Testing
Bio-Rad provides HbA1c testing solutions for all segments, leading to better outcomes for patients with diabetes.
Small Labs / Clinics Medium Labs Large Labs
D-10 VARIANT II D-100
Advance discovery. Improve lives.
19
Cancer
The global cancer burden continues to rise, with 18 million new cases and over 9 million deaths in 2018.
Early Detection Is Key To Survival
* Cancer Research UK
Advance discovery. Improve lives.
20
Bio-Rad Is Pioneering Digital PCR In Liquid Biopsy
Systems Consumables Menu
For customers developing and validating tests Droplet digital PCR platforms Large portfolio of assays
Bio-Rad products enable monitoring of a patient’s response to targeted therapy.
Advance discovery. Improve lives.
Discovery Development Therapies
Translational Discovery to Diagnostics
Advance discovery. Improve lives.
- Target validation
- Lead development of a
therapy and/or diagnostics
- Pre-clinical studies
- Basic disease mechanism research
- Pathway research
- Target identification
- Treatment planning
and monitoring
- Post-market surveillance
- Clinical studies
- Regulatory
- Drug and/or diagnostics
manufacturing and commercialization
Production
Translational Medicine
Operational Transformation
Advance discovery. Improve lives.
Building a Scalable Model
23
The Opportunity
- Increase visibility
- Optimize inventory levels
- Improve service
- Reduce scrap
- Lower project overhead
Leverage ERP Investment Rationalize Global Footprint
- Consolidate distribution
centers
- Close redundant
commercial sites
- Increase Asia
manufacturing
Manage Procurement
- Centralized Procurement
- Global price concessions
- Targeted reduction in
direct and indirect purchases
Advance discovery. Improve lives.
24
Advance discovery. Improve lives.
Creating Shareholder Value Accelerating Free Cash Flow Driving Revenue Growth Expanding EBITDA Margins
The Path Forward
- Increased Cash Flow
- Disciplined Capital
Allocation
- Geographic Expansion
- New Products
- New Markets
- Higher Profitability
- Reduced CAPEX
- Tax Savings
- Optimized Supply Chain
- Reduced ERP Spend
- Shared Services
- Operating Leverage
Key Contributions to Value Creation
Summary – Closing Remarks
- Investments at an inflection point
- Building on our market and product leadership
- Increased focus on acquisition opportunities
- Leveraging our new organization, operating model and
systems to drive value
Advance discovery. Improve lives.