P R E S E N T A T I O N O C T O B E R 2 0 1 8 WHO ARE WE? A - - PowerPoint PPT Presentation

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C O M P A N Y P R E S E N T A T I O N

O C T O B E R 2 0 1 8

SLIDE 2

WHO ARE WE?

• A MEDICAL IMAGING COMPANY WITH ULTRASOUND TECHNOLOGY

Unrivaled innovative technology

for ultrafast acquisitions and wholly software- based image formation

54 countries

Aixplorer product approved

172 employees

including 100 in France

23

patent families

Strategic focus

‒ Clinical: Breast and Liver ‒ Geographic: China, France, United States

64 209 352 541 773 1,000 1,300 1,600 1,900 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 5 000 10 000 15 000 20 000 25 000 30 000 500 1 000 1 500 2 000 Cumulative Installed Base Revenue

Revenue and Cumulative Installed Base

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SOURCE: COMPANY

SLIDE 3

OUR MISSION

To become the standard in non-invasive care pathways for breast and liver diseases

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SLIDE 4

INNOVATION IN RESPONSE TO A CLINICAL CHALLENGE

• A PROVEN TECHNOLOGICAL ADVANCE

UltraFast TM Doppler Significantly improved patient throughput (15 min vs. 50 min for vascular examination) Real time ShearWave Elastography (SWE™) Real-time, quantitative, any transducer and any organ Angio PL.U.S. – Planewave ultrasensitive Doppler Low flow rates in microvessels without contrast agents NEW! TriVu Real time B,SWE, Col+ simultaneous Real-time combination Anatomy and Function

SCREENING DIAGNOSIS THERAPY MONITORING

UltraFast™ Imaging Up to 20,000 images/sec

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• MEASUREMENT OF A NEW

PARAMETER

• Tissue stiffness (objective,

reproducible, quantit.)

• Replaces manual palpation
• NO IONIZING RADIATION
• NON-INVASIVE EXAMINATION
• IMPROVED PATIENT

THROUGHPUT

• ULTRAFAST ACQUISITION
• 3D ACQUISITION

SOURCE: COMPANY

SLIDE 5

HIGH CLINICAL ADDED VALUE FOR A GROWING USER BASE

• GROWING BASE OF CLINICAL DATA

(+500 PUBLICATIONS IN PEER-REVIEWED JOURNALS)

• EXCELLENT WORLDWIDE NETWORK OF KEY

OPINION LEADERS (KOL)

• SWE INCORPORATED IN CLINICAL GUIDE

LINES (BREAST AND LIVER)

• SWE REIMBURSED IN MANY COUNTRIES
• VERY POSITIVE FEEDBACK CONCERNING

EASE OF USE

• MULTIPLE AND REPEAT SALES AT SAME SITE

AFTER INITIAL PURCHASE

• HIGH CLINICAL VALUE OF THE TECHNOLOGY

RECOGNIZED BY THE FDA: 510K CLEARANCE FOR LIVER DISEASES, INCLUDING FIBROSIS AND STEATOSIS 5

100 200 300 400 500 600 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Transformation

Technological Innovation Clinical Innovation

Cumulative total of publications with Aixplorer

SOURCE: COMPANY

SLIDE 6

LOCATIONS AND PARTNERSHIP

• SWITZERLAND, ITALY AND ISRAEL

UNDERGOING GROW TH

• CREATION OF A W FOE

IN SHANGHAI

• CLINICAL

ASSESSMENT OF BREAST AND LIVER IN CHINA

• PRESENCE IN KOREA,

TAIW AN, HONG KONG

• CANADA AND

MEXICO SENT FROM THE US

20%

Americas

390 systems (o/w 280 in the US)

52%

EMEA

980 systems (o/w 380 in France)

28%

APAC

530 systems (o/w >390 in China)

Americas/ APAC

EMEA

• MORE THAN 2,000 AIXPLORER SYSTEMS INSTALLED WORLDWIDE AND

NUMEROUS PRESTIGIOUS PARTNERS

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SLIDE 7

FOCUS

(*): CLINICAL STUDY BE1

• CLINICAL APPLICATIONS ADDRESSING MAJOR PUBLIC HEALTH NEEDS

BROAD CLINICAL EXCELLENCE

• SPECIFICITY OF DIAGNOSIS: BENIGN/MALIGNANT
• OBJECTIVITY OF DIAGNOSIS: NOT OPERATOR DEPENDENT
• NO RADIATION
• MONITORING (EVOLUTION OF TUMORS)
• SCREENING OF DENSE BREASTS

(>35% WORLD POPULATION)

• SIGNIFICANT DECREASE IN UNNECESSARY BIOPSIES ( -47%)*

BREAST CANCER

• LEADING CAUSE OF CANCER IN

WOMEN: 1 IN 8 WOMEN

• INCREASE IN NUMBER OF CANCERS:
• contraception
• besity
• physical inactivity

LIVER DISEASES

• HEP. B & C – FIBROSIS
• 700 million people
• Increasing (diabetes, obesity)
• NAFLD – STEATOSIS
• 420 million people
• Increasing fast
• LIVER CANCER

Screening Diagnosis Monitoring

• SPECIFICITY OF DIAGNOSIS: STAGING OF FIBROSIS
• INTERVENTIONAL IMAGING FOR BIOPSIES
• CANCER SCREENING: BENIGN/MALIGNANT
• NON-INVASIVE FIBROSIS EVALUATION

(HEP B & C)

• STEATOSIS (NASH) DETECTION
• REDUCTION IN USE OF CONTRAST AGENTS (ANGIO PL.U.S)

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SLIDE 8

CONTINUUM OF LIVER DISEASES

Healthy liver Simple steatosis NASH (Steatohepatitis)

Inflammation, ballooning

Fibrosis Cirrhosis Transplantation Liver failure Portal hypertension Hepatocellular carcinoma

GENERALIST RADIOLOGY GASTROENTEROLOGY HEPATOLOGY

Attenuation Speed of sound Viscosity

SWE PUSH FROM PHARMA COMPANIES

CRITICAL CARE

 Imaging and treatment of hepatocellular carcinoma (HCC)  Detection and treatment of complications (ascites, PTH, etc.)  Selection of patients for transplantation  Management and monitoring of patients

ANTIVIRAL THERAPIES

 Diagnosis of liver fibrosis  Prediction of cirrhosis complications  Selection of patients for treatment  Management and monitoring of patients

NASH THERAPIES

 Evaluation of liver steatosis  Detection of inflammation & ballooning  Diagnosis and evaluation of NASH

PREVENTION

 Early detection of non- alcoholic fatty liver disease (NAFLD)

SWE SWE SWE SWE Angio PLUS Angio PLUS UFD

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SLIDE 9

A TEC H N OLOGY TH AT C AN BE R EPLIC ATED IN OTH ER C LIN IC AL APPLIC ATION S

New cutting-edge technological advances for targeted applications Principal clinical indications

Liver Perfusion  Beyond conventional Doppler without use

• f contrast agents

Vascular  Simultaneous imaging and quantification Prostate  Improved biopsy guidance Musculoskeletal  Improved diagnosis Breast

Perfusion  Visualization and evaluation of microvasculature  Diagnosis of hepatic lesions without use of a contrast agent Vascular  Measurement of pulse wave velocity indicating vascular elasticity  Improved work flow for quantifying blood flow rate for better evaluation

• f cardiovascular diseases

Prostate  Better analysis of nodules during early diagnosis  SWE helps to target prostate biopsies to reduce false negatives Musculoskeletal  Real-time visualization of anatomy and functional image of muscle and tendons

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F I N A N C I A L D A T A

SLIDE 11

SOLID GROWTH IN 2017

• +11% sales growth (+13% constant

currency)

• Strong product (+10%*) and service (+35%*)

performance

• Tremendous growth in china (+33%*) and

France (+16%)

• 18%* decline in the United States
• Asia and EMEA regions improved

respectively by +29%* and +13% over the year

• Direct sales, which include China, France

and the United States, represent 64% of sales revenues in 2017, against 64% in 2016

In thousands of euros 2017 2016 Change (%) Products 21,827 20,073 +9% Services 2,869 2,143 +34%

TOTAL SALES 24,695 22,217 +11% SALES GEOGRAPHIC DISTRIBUTION

(*) =% at constant rate

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5 104 3 199 7 487 8 905 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000 10 000 France United States China RoW 4 403 4 048 5 797 7 969 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000 France United States China RoW 10 816 3 569 10 310 2 000 4 000 6 000 8 000 10 000 12 000 EMEA Americas Asia 9 579 4 446 8 192 2 000 4 000 6 000 8 000 10 000 12 000 EMEA Americas Asia

2017 2016

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9 MON TH S 2018: STABLE SALES

 At constant exchange rates, sales grew by +3%

• ver 9M 2018

 Buoyant growth in China (the Group’s largest market) (+32%*) and in the United States (+16%*)  Services exceeded a million euros in Q3, giving growth of +31%  1st sales of the new Aixplorer MACH 30  Strong momentum expected in Q4 supported by sales of Aixplorer MACH 30 In thousands of euros 9M 2018 9M 2017

• Var. (%)

Products

13,862 14,709

• 6%

% of total revenue

84% 88%

Services

2,696 2,027 +33%

% of total revenue

16% 12%

TOTAL SALES 16,558 16,737

• 1%

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SALES GEOGRAPHIC DISTRIBUTION 9M 2018 9M 2017

1 897 2 218 7 017 5 426 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 France Etats-Unis Chine RdM 3 525 2 051 5 236 5 925 1 000 2 000 3 000 4 000 5 000 6 000 7 000 France Etats-Unis Chine RdM 7 442 2 325 6 969 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 EMEA Amériques Asie 5 805 2 419 8 334 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000 EMEA Amériques Asie

(*)= % at constant rate

SLIDE 13

 Continuation of the sales momentum: +9% sales growth  Gross margin rate on sales: 40.8%

• 5.2 pts vs. H1 2017
• 3.2 pts excluding change effect

 Good cost control of OPEX with operating expenses decreased by 6% to -€9.9 million (vs.

• €10.5 million in H1 2017)

 Net R&D expenses were down 18% at €1.6 million with the end of the development of the new platform  EBITDA improvement of +15%, +€0.7m  Improvement in the core operating result:

• €5.4m vs. -€5.8m

 Improvement in the financial result: +€0.7m  Slight improvement in net income: -€7.2m vs.

• €7.4m

*PRESENTATION RECLASSIFICATIONS HAVE BEEN MADE TO THE INCOME STATEMENT. AS A RESULT, THE INCOME STATEMENT PRESENTED ABOVE AS AT 30 JUNE 2017 AND THE ASSOCIATED NOTES ARE DIFFERENT FROM THOSE PUBLISHED AS AT 30 JUNE 2017.

THESE RECLASIFICATIONS ARE DETAILED IN NOTE 21 TO THE HALF-YEARLY NOTES TO THE HALF FINANCIAL REPORT

(1) GROSS MARGIN ON SALES = SALES - COST OF SALES (2) GROSS MARGIN ON SALES = SALES - GROSS MARGIN ON SALES/SALES

H1 2018: SIGNIFICANT EBITDA IMPROVEMENT

EBITDA & FINANCIAL RESULT IMPROVEMENTS

In thousands of euros

H1 2018 H1 2017* Change

Sales

11,180 10,292 +9%

Other revenue

• Total revenue

11,180 10,292 +9%

Cost of sales

• 6,619
• 5,556

+19%

Gross margin 1

4,561 4,736

• 4%

Gross margin as a % of sales 2

40.8% 46.0%

• 5.2pts

Research and development expenses

1,597 1,955

• 18%

Selling and marketing expenses

5,322 5,339

• General and administrative

expenses

2,408 2,530

• 5%

Operating expenses

700 762

• 8%

Other operating income/(expense)

• 91
• 69

+32%

Total OPEX

• 9,936
• 10,516
• 6%

EBITDA

• 3,735
• 4,399

+15%

Core operating result

• 5,374
• 5,780

+7%

Operating result

• 6,202
• 5,780
• 7%

Financial result

• 923
• 1,599
• Net profit/(loss)
• 7,179
• 7,391

+3%

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SLIDE 14

CASH POSITION OF €8.7 MILLION AT JUNE 30, 2018

 Cash at June 30, 2018 amounted to €8.7m vs. €19.0m, representing a negative net cash change of -€10.4m  Increase in operating cash flow to €(-6.6m) in H1 2018 essentially from the WCR  Decrease in investing cash flow to €(-3.5m) in H1 2018 essentially from the decrease in R&D investment 

• €0.2m cash burn associated with financing
• perations in H1 2018 (vs. €16.8m in H1 2017 with

the Company’s refinancing).  +€0.1m impact of currency fluctuations on the cash position  The company is currently in talks to obtain additional financing – thus far non-dilutive – in order to accompany the Company’s development and growth

In thousands of euros

30/06/2018 30/06/2017 Cash flow from operations before change in the WCR

• 4,429
• 4,717

Inventories

• 1,226
• 297

Trade receivables and related accounts

117 1,532

Other receivables

• 27
• 174

Research tax credit and operating subsidies

29

• 3

Trade payables and other liabilities

• 1,094

249

Income tax paid

• 19

Change in the WCR

• 2,200

1,289 Cash by operating activities

• 6,629
• 3,428

Cash by investing activities

• 3,517
• 3,962

Cash by financing activities

• 231

16,833

Change in cash during the year

(10,377) 9,443 Reclassification loan repayment

• 2 000

Change in exchange rates on cash 81

• 306

Cash and cash equivalents at end of year

8,720 22,387

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Maintien des dettes Fournisseurs en % des ventes :

• Between June 2017 and June 2018:
• Increase in trade payables to €0.8m
• Sales maintained at 39% of sales
• Between June 2017 and June 2018:
• Debt reduction of €1,6m
• Decrease of -13%

FOCUS ON WORKING CAPITAL REQUIREMENTS

Decrease in inventories as a % of sales:

• Between June 2017 and June 2018:
• Maintaining inventory levels at €5.1m
• 2% decrease
• Between June 2017 and June 2018:
• Inventory reduction of €0.6m
• 6% decrease

Stabilité des créances Clients en % des ventes :

• Between June 2017 and June 2018:
• Increase in trade receivables of €0.8m
• Sales maintained at 32%
• Between June 2017 and June 2018:
• Receivables maintained at €7.5m
• 5% decrease compared to sales

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SLIDE 16

BALANCE SHEET

In thousands of euros

30/06/2018 31/12/2017

Non-current assets

20,864 19,035

• /w intangible assets

14,976 14,158

• /w property, plant and equipment

4,876 4,443

• /w non-current financial assets

401 434

Current assets

28,728 37,148

• /w cash and cash equivalents

8,720 19,017 TOTAL ASSETS 49,592 56,183

Equity

18,758 25,591

Non-current liabilities

11,622 12,682

• /w long-term financial liabilities

9,960 11,294

• /w provisions and other non-current liabilities

920 907

Current liabilities

19,212 17,910

• /w short-term financial liabilities

9,279 7,034

• /w provisions and other current liabilities

4,272 5,650 TOTAL LIABILITIES 49,592 56,183

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SLIDE 17

SOLID STRENGTHS IN A FAST GROWING MARKET

SLIDE 18

AIXPLORER MACH 30: 3 PILLARS SUPPORTING THE ARCHITECTURE

Innovation

Unique Ergonomic

Next Generation

Engine New Ultrasound performance

 12x more computing efficiency compared to previous generation  Up to 5x speed increase in Ultrafast Doppler  Overall better penetration even at high frequency

New product Design

 Brand new UIF concept  Extreme ease of use with the new Intuitive Sonic Pad  Optimized workflow to speed exam time

New intelligent modes

 Higher frame rate elastography  Development of new Liver disease biomarkers  Platform ready for AI and deep learning

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AIXPLORER MACH 30

Unique design

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MACH 30 &BIG DATA: NEW BIOMARKERS

Stiffness Stiffening Viscosity

• Q. Vascularization

Blood Pressure US Speed of Sound US Attenuation US Multidiffusion US Non linearity Stiffness

Innovation

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A CLEAR STRATEGY FOR GAINING MARKET ACCESS

• EXPAND OUR SALES COVERAGE
• CONTINUE CLINICAL TRIALS TO

CONSOLIDATE OUR POSITIONING

• INVEST IN CLINICAL MARKETING TO STRENGTHEN THE BRAND
• GAIN ACCESS TO NEW SEGMENTS W ITH THE NEW PLATFORM

(SHARED SERVICE)

• GAIN MORE REFERENCE SITE OF OUR PRODUCT
• PENETRATE NATIONAL ACCOUNTS, HOSPITALS AND CLINICS

REFERENCING PRODUCTS, ETC.

• STRENGTHEN OUR RELATIONSHIP W ITH KEY OPINION LEADERS

THROUGH REGIONAL W ORKSHOPS

• INVEST IN CLINICAL MARKETING TO STRENGTHEN THE BRAND
• CONTINUE W ITH CLINICAL TRIALS
• EXPAND OUR DIRECT SALES PRESENCE
• INVEST IN CLINICAL MARKETING TO STRENGTHEN THE BRAND
• CLINICAL AND COST/BENEFIT RESEARCH
• STRENGTHEN OUR PRESENCE IN DEDICATED BREAST CENTERS
• ACCELERATE OUR PENETRATION IN HEPATOLOGY
• TRAINING CYCLES FOR HEPATOLOGY AND SENOLOGY

ULTRASOUND departments

China

RADIOLOGY departments

France

HEPATOLOGY & SENOLOGY

United-States

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SLIDE 22

ADDRESSABLE MARKET GENERAL IMAGING

CONFIDENTIEL - 18.10.18 SOURCES : IN-MEDICA

M$ 1,125 M$ 1,732 M$ 1,933 M$ 962

M$ 5,723 AixPlorer / Ultimate AixPlorer Mach 30

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2018, AN INFLEXION YEAR PAVING THE WAY FOR PROFITABLE GROWTH

2018 2016 2009 2005 Technology Sales Clinical and geographical strategic focus  Margin improvement

• Objective of positive EBITDA for FY 2019
• Gross margin target of 50% in the medium term

 Process optimization  Improvement in the WCR  Higher productivity Operational excellence  Range effects  Installed base effects  Market share gains  New clinical applications  Connectivity Profitable growth

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APPENDICES

SLIDE 25

SUPERSONIC IMAGINE’S STOCK MARKET PROFILE

Ownership structure (June. 30, 2018) Market data

• Ticker: SSI
• ISIN Code: FR0010526814
• Market: Euronext Paris
• Index: CAC All Shares
• Share price: €2.07 (September 4 th, 2018)
• Number of shares: 23,416,935
• Market capitalization: €48m (September 4 th, 2018)

Others 48% EPIC Bpifrance / Groupe CDC 26% Andera Partners 9% Auriga Partners 7% NBGI Private Equity 3% Omnes Capital 2% Mérieux 5%

Analyst coverage 2018 financial calendar

Events Date

2018 Third-Quarter Sales October 17, 2018

• Xavier Regnard
• Guillaume Cuvillier

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