Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - ENDO HEALTH SOLUTIONS INC. | d237361d8k.htm |
 grow.
collaborate. innovate. thrive.
ENDO PHARMACEUTICALS
Credit Suisse 2011 Healthcare Conference
November 10, 2011 |
 grow.
collaborate. innovate. thrive. 2
FORWARD LOOKING STATEMENTS
This presentation contains forward-looking statements within the meaning of the Private
Securities Litigation
Reform
Act
of
1995.
Statements
including
words
such
as
“believes,”
“expects,”
“anticipates,”
“intends,”
“estimates,”
“plan,”
“will,”
“may,”
“look forward,”
“intend,”
“guidance,”
“future”
or similar
expressions are forward-looking statements. Because these statements reflect our
current views, expectations and beliefs concerning future events, these
forward-looking statements involve risks and uncertainties. Investors should note
that many factors, as more fully described under the caption “Risk
Factors”
in our Form 10-K, Form 10-Q and Form 8-K filings with the Securities and Exchange
Commission and as otherwise enumerated herein or therein, could affect our future
financial results and could cause our actual results to differ materially from those
expressed in forward-looking statements contained in our Annual Report on Form
10-K. The forward-looking statements in this presentation are qualified by
these risk factors. These are factors that, individually or in the aggregate, could cause our
actual results to differ materially from expected and historical results. We assume no
obligation to publicly update any forward-looking statements, whether as a result
of new information, future developments or otherwise. ©2011 Endo
Pharmaceuticals |
 ENDO
PHARMACEUTICALS I.
Our Diversified Business
II.
Pharmaceuticals
III.
American Medical Systems
IV.Innovation
V.
Financial Outlook
grow. collaborate. innovate. thrive. |
 grow.
collaborate. innovate. thrive. STRONG OPERATING PERFORMANCE
16%
3
-
YEAR
CAGR
FOR
REVENUE*
* Revenue CAGR 2007-2010.
$mm
4
Revenue
Cash Flow from Operations
Sustaining our Growth
$399
$596
$615
$820
$910
$1,086
$1,261
$1,461
$1,716
2.72B -
2.80B
$110
$217
$171
$285
$345
$366
$356
$295
$454
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011E
©2011 Endo Pharmaceuticals
$
$ |
 grow.
collaborate. innovate. thrive. 5
DIVERSIFIED HEALTHCARE SOLUTIONS COMPANY
Generic
Men’s
Health
TTM 9/30/11: $2.34B
TTM 9/30/11: $0.54B
TTM 9/30/11: $2.88B
(3)
Revenue mix
Endo
AMS
Pro Forma
1.
Represents TTM of pro forma 2010 acquisitions (Qualitest, HealthTronics and Penwest,
excluding AMS) 2.
Includes $0.3MM of revenue from the uterine health business, which was divested during the
first quarter 2010. 3.
Includes full year of AMS acquisition
Branded
Pharmaceuticals
Devices &
Services
Women’s
Health
BPH
Generic
Branded
Pharmaceuticals
Devices &
Services
Revenue mix
Revenue mix
International
US
©2011 Endo Pharmaceuticals
(1)
(2) |
 grow.
collaborate. innovate. thrive. 6
ENDO’S INTEGRATED BUSINESS MODEL
Devices
& Services
Generics
Branded
Pharmaceuticals
Pain
Urology
Oncology
Endocrinology
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. STRONG CORE BUSINESS SUPPORTING GROWTH
7
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. ©2011 Endo Pharmaceuticals Inc.
40% of Sales from Controlled Substances
Manufacturing Flexibility
Distribution Capability
Product Line Optimization
GENERICS OVERVIEW
•
•
17% pro forma sales growth
versus same quarter last year.
•
•
Expect net sales CAGR of more
than 15% for 2010 through 2012
•
•
Cost of Goods improvement
through insourcing of product
manufacturing
•
API procurement
8
Strong Q3 2011 Top-line
Growth
Strong Growth Expectations
Outperforming Deal Synergies |
 grow.
collaborate. innovate. thrive. SO WHAT HAPPENS NEXT?
AMERICAN MEDICAL SYSTEMS
9
©2011 Endo Pharmaceuticals Inc. |
 grow.
collaborate. innovate. thrive. 10
Leading Provider of Devices to Pelvic Health Space
•
Men’s Health: Solutions for male incontinence and erectile
dysfunction prostheses
•
Women’s Health: Solutions for female incontinence and pelvic
floor repair
•
Benign Prostatic Hyperplasia (BPH) Therapy: Laser treatments
Strong Product Portfolio Supported by Robust Future
Product Cadence
•
Solid market share in several categories that have historically
grown in the mid-to-high single digit range over the long-term
•
Near-term growth driven by new product launches and
increased utilization of recent products such as MoXy Fiber
Seasoned Management Team and High Quality Assets
•
Team has significant experience running a growing devices
business
•
Four global facilities –
two in the US (Minnetonka, MN and San
Jose, CA) and two in Europe (Breukelen, Netherlands and
Athlone, Ireland)
10
AMS COMPANY PROFILE
Revenue by Business
(1)
TTM as of 9/30/2011
Revenue by Geography
(1)
TTM as of 9/30/2011
(1) Includes $0.3MM of revenue from the
uterine health business, which was divested
during the first quarter of 2010
Men's Health
45%
Women's
Health
33%
BPH
22%
United States
71%
International
29%
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. 11
AMS –
PRODUCT PORTFOLIO
Men’s Health
BPH
Women’s Health
Product
Description
AMS 800®
Artificial Urinary
Sphincter
InVance®
Less invasive treatment
for moderate
incontinence
AdVance®
Less invasive treatment
for mild to moderate
incontinence
UroLume®
Endoprosthesis for non-
surgical candidates
AMS 700®
Semi-rigid malleable
prostheses/inflatable
prostheses for treatment
of Erectile Dysfunction
Product
Description
Monarc®
Self-fixating, subfascial
hammock for treatment of
stress incontinence
MiniArc®
Single-Incision Sling for
stress incontinence
Elevate®
Transvaginal pelvic floor
repair system (requires no
external incisions)
Product
Description
GreenLight™
Photo Vaporization / laser
therapy designed to
remove prostatic tissue
StoneLight®
Laser treatment of urinary
stones
SureFlex™
Fiber optic line designed
for holmium laser
lithotripsy
TherMatrx®
Less invasive tissue
ablation technique for
men not yet to the point
of urethral obstruction
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. 12
PRACTICE OVERLAP OPPORTUNITY
VALSTAR®/VANTAS®
(Urology practices
currently prescribing)
AMS
(Urology practices
with at least one MD using
AMS products in a top-200
AMS account)
HealthTronics
(Urology practices currently
in a partnership)
911
325
65
63
72
593
959
More than 2,400 practices
have a relationship with one business,
but could represent opportunity for the others
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. ENDO HEALTHCARE SOLUTIONS IN ACTION
PAIN & UROLOGY
Branded
Pharmaceuticals
Generics
Devices
and Services
13
©2011 Endo Pharmaceuticals |
 grow.
collaborate. innovate. thrive. COMMITMENT TO INNOVATION
14
Branded Pharmaceuticals
Medical Devices
Generic Pharmaceuticals
Generic Development
Supplements strong
commercial base growth
•
Continually enhancing
existing products
•
Recent advances:
GreenLight™
XPS Laser
Console
MoXy™
Laser Fiber
AdVance™
XP (OUS)
•
Developing treatments in
new areas
Topas™
sling
•
Exploring new emerging
technologies
•
Key Therapeutic Areas
•
Pain
•
Oncology
•
Endocrinology
•
Semi-Virtual R&D Model
•
Global Partnerships
•
Discovery
•
Early Development
•
Development Pipeline
ANDA
Filings
~50 Current
ANDA Reviews
ANDA
Approvals
©2011 Endo Pharmaceuticals Inc.
OPANA®
ER
(NDA)
Formulation designed to be crush-resistant
AVEED™
(NDA)
Long Acting Injectable
Testosterone
Urocidin™
(Ph. III)
Bladder Cancer
Androgen Receptor Agonist
(Ph. I)
Castration Resistant Prostate Cancer |
 grow.
collaborate. innovate. thrive. 15
2011 ENDO GUIDANCE
Guidance
Revenue range
$2.72B -
$2.80B
Adjusted diluted EPS range
$4.55 -
$4.65
Reported (GAAP) diluted EPS range
$1.87 -
$1.97
©2011 Endo Pharmaceuticals |
 ENDO
PHARMACEUTICALS grow. collaborate. innovate. thrive. |
 grow.
collaborate. innovate. thrive. 17
17
RECONCILIATION OF NON-GAAP MEASURES
17
For an explanation of Endo’s reasons for using non-GAAP measures, see Endo’s
Current Report on Form 8-K filed today with the Securities and Exchange Commission
Reconciliation of Projected GAAP Diluted Earnings Per Share to Adjusted Diluted Earnings Per
Share Guidance for the Year Ending December 31, 2011 Lower End of Range
Upper End of Range
Projected GAAP diluted income per common share
$1.87
$1.97
Upfront and milestone-related payments to partners
$0.25
$0.25
Amortization of commercial intangible assets and inventory step-up
$2.10
$2.10
Acquisition and integration costs related to recent acquisitions.
$0.48
$0.48
Impairment of long-lived assets through September 30, 2011
$0.19
$0.19
Interest expense adjustment for ASC 470-20
$0.16
$0.16
Tax effect of pre-tax adjustments at the applicable tax rates and
certain other expected cash tax savings as a result of recent
acquisitions
($0.50)
($0.50)
Diluted adjusted income per common share guidance
$4.55
$4.65
The company's guidance is being issued based on certain assumptions including:
•Certain of the above amounts are based on estimates and there
can be no assurance that Endo will achieve these results
•Includes all completed business development transactions as of
November 10, 2011 ©2011 Endo
Pharmaceuticals |
 ENDO
PHARMACEUTICALS Credit Suisse 2011 Healthcare Conference
November 10, 2011
grow. collaborate. innovate.
thrive. |