Bio-Rad Laboratories, Inc. J.P. Morgan Healthcare Conference 2019 - - PowerPoint PPT Presentation

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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,


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SLIDE 1

Bio-Rad Laboratories, Inc.

J.P. Morgan Healthcare Conference 2019

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SLIDE 2

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.

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SLIDE 3

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.

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SLIDE 4

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.

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SLIDE 5

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.

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SLIDE 6

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

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SLIDE 7

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

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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.

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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.

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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.

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SLIDE 11

Digital Biology

Leadership Position

  • ddPCR technology
  • Broad IP portfolio
  • Broad application from

research to therapeutics

  • Rapid development of

new applications

Advance discovery. Improve lives.

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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.

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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.

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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.

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SLIDE 15

Portfolio Expansion

Near Term Focus

  • Core Market Enhancement
  • Microbiome
  • Point of Care
  • Non-Invasive Prenatal Testing

Advance discovery. Improve lives.

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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.

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Diabetes

Diabetes is an accelerating global problem.

Advance discovery. Improve lives.

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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.

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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.

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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.

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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

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SLIDE 22

Operational Transformation

Advance discovery. Improve lives.

Building a Scalable Model

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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.

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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

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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.

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Bio-Rad Laboratories, Inc.

J.P. Morgan Healthcare Conference 2019