jefferies 2019 healthcare conference€¦ · new entrant in growing market flow cytometry cell...

Bio-Rad Laboratories, Inc. Jefferies 2019 Healthcare Conference

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

our investment in high growth emerging markets and development of new products, applications and

technologies, our new focus on lab to clinic solutions, improvements to our operational efficiency, growth

of markets and demand for products, 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


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


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


Leadership Positions

DNA amplification

Gel image

Protein Assay Quality Control

Blood Typing

Bio-Chromatography

Infectious Disease

Diabetes

Autoimmune

Digital Biology

Electrophoresis


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

of 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


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)


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


Digital Biology

Leadership Position

• ddPCR technology

• Broad IP portfolio

• Broad application from

research to therapeutics

• Rapid development of

new applications


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%


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


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 IH-500 FDA Approvals

IH-Com and Manual Systems Approval

Growing Demand in Emerging Markets

Blood Typing

IH-500

Tango infinity

IH-1000

Gel Cards

IH-Com & IH-Web

Results Management


Portfolio Expansion

Near Term Focus

• Core Market Enhancement

• Microbiome

• Point of Care

• Non-Invasive Prenatal Testing


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


17

Diabetes

Diabetes is an accelerating global problem.


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


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.


Discovery

Development Therapies

Translational Discovery to Diagnostics


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


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


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


Bio-Rad Laboratories, Inc. Jefferies 2019 Healthcare Conference

jefferies 2019 healthcare conference€¦ · new entrant in growing market flow cytometry cell...

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