QIAGEN. Sample & Assay Technologies. Needham Life Sciences Conference New York, June 11, Peer M. Schatz Chief Executive Officer

Transcription

1 QIAGEN Needham Life Sciences Conference New York, June 11, 2009 Peer M. Schatz Chief Executive Officer -1-

2 Forward Looking Statements Safe Harbor Statement: Certain of the statements contained in this presentation may be considered forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. To the extent that any of the statements contained herein relating to QIAGEN's products and markets and operating results are forward-looking, such statements are based on current expectations that involve a number of uncertainties and risks. Such uncertainties and risks include, but are not limited to, risks associated with management of growth and international operations (including the effects of currency fluctuations), variability of operating results, the commercial development of the DNA sequencing, genomics and synthetic nucleic acid-related markets, as well as the nucleic acid-based molecular diagnostics, applied testing markets and genetic vaccination and gene therapy markets, competition, rapid or unexpected changes in technologies, fluctuations in demand for QIAGEN's products (including fluctuations from certain events including funding, budgets, and others), difficulties in successfully adapting QIAGEN s products to integrated solutions and producing such products, the ability of QIAGEN to identify and develop new products and to differentiate its products from competitors, the management of intellectual property, and the integration of acquisitions of technologies and businesses. In addition certain statements contained in this news release are based on company assumptions, including, but not limited, to revenue allocations based on business segments. For further information, refer to the discussion in reports that QIAGEN has filed with or furnished to the U.S. Securities and Exchange Commission (SEC). Regulation G: The following slides contain certain summary information about QIAGEN N.V. s sales, gross profit, operating income, net income, and earnings per share over a specific period and the comparable period, which information is presented on a non-gaap financial measures basis rather than in accordance with U.S. generally accepted accounting principles (GAAP). Please review QIAGEN s press releases for information on the company s operating income, net income, and earnings per share for these periods presented on a GAAP basis. Such GAAP-basis information will also be contained in the company s reports on Form 20-F or Form 6-K to be filed with or furnished to the U.S. Securities and Exchange Commission. -2-

3 Complex sample Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, DNA, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, DNA, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, DNA, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, DNA, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Talin,... Sample Technologies Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, DNA, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, DNA, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, DNA, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Megacaryocytes, Plasma, Clotting factors, Actin, Microfilaments, Serum, Fibrin, Lysosomes, Ezrin, DNA, Hemaglobins, Heptaglobins, Transferrin, Fibrinogen, Serum albumin, trna, Salts, Polymerases, Centrioles, Immunoglobulins, Carrier proteins, Cytokines, Angiotensins, Chemokines, Bradykines, Plasma membranes, Ribosomes, Actin, Vesicles, Complement components, Nuclei, Rough endoplasmatic reticulum, Nucleoli, Golgi apparatus, Glycoproteins, Microtubules, Mitochondria, Mitochondrial nucleic acids, Vacuoles, Talin, Nucleolus, Polymerases, Ceramides, Chromosomes, Chromatin, mrna, Cytoplasm, Leucocytes, Sugars, Lipids, Salts, Urea, Carbonic acids, Cofactors, Precursors, Hemoglobins, Erythrocytes, Monocytes, Smooth endoplasmatic reticulum, Macrophages, Thrombocytes, Platelets, Lymphocytes, Basophils, Eosinophils, Neutrophils, Talin,... Pure Analyte DNA Assay Technologies Target Detected Yes No Information -3-

4 QIAGEN at a Glance Revenues: 2008: $ 893 million CAGR: 31% Net income 1 : 2008: $ 163 million CAGR 33% EPS 1 : 2008: $ CAGR: 20% Product Range: >500 consumable products Sample technologies: to collect, separate, purify, isolate, stabilize and store samples Assay technologies: to make such isolated target information (DNA, RNA, proteins, etc.) visible Instrumentation for above consumables Customers (>400,000) Academic research Pharma/Biotech Applied Testing (veterinary, forensics etc.) Molecular Diagnostics IP (03/09): >2 000 patents (750+ issued, 780+ pending, 500+ licensed) Employees: >3 000 employees based > 30 subsidiaries 1 excluding acquisition, integration and relocation related charges as well as amortization of acquired IP and equity-based compensation (SFAS 123R) -4-

5 Leading Position Multiple Growth Drivers Molecular Diagnostics Applied Testing Pharmaceutical Industry Life Science Research ~46% of sales ~7% of sales ~20% of sales ~27% of sales Sample Tech Assay Tech: PCR etc. OEM Regulated assays Veterinary Forensics Bio defense Discovery Development Public Private SAMPLE Technologies ASSAY Technologies Product and Technology Continuum -5-

6 QIAGEN Customer Segments Multiple, Independent Growth Engines Molecular diagnostics (approx. 46% of total revenues) Solid end markets, significant growth potential Highlights: HPV, K-ras, HIV, landmark studies in HPV testing Platform breadth, expanding menu Applied testing (approx. 7% of total revenues) Market volume still very small but fast growing (+15%) Highlights: new BVDV assay, QIAsymphony Investigator Big synergies with MDx Pharma (approx. 20% of total revenues) Highlights: Pyrosequencing: K-ras, Braf, mergers in industry Development strong: personalized medicine Discovery arm still slow (~10% of revenues) Life Science Research (approx. 27% of total revenues) Improved outlook for long term funding Highlights: Stimuli Stimulus package: $10.4B approved for NIH research funds -6-

7 Leading in Molecular Diagnostics Sales in MDx: approx. 46% of sales #1 (excluding blood banking and viral load monitoring) Sample technologies: proven standard Assay technologies: unparalleled breadth (>120 assays) PCR and real-time PCR assays Multiplexing leader: QIAplex Leading in key assay areas (HPV) Broad platform base Regulated portfolio global and growing 5 FDA (PMA approved or 510k cleared) products 38 CE-marked assays, 6 CE-marked sample preparation products 9 SFDA approved assays 98 general purpose reagents -7-

8 QIAGEN Platforms: Today and Tomorrow Product Portfolio Sample Processing QIAsymphony QIAgility EZ1 Autopure QIAcube Decapper Detection QIAsymphony plus Fragment analysis RT-PCR and HRM Pyrosequencing QIAxcel RotorGene PyroMark CareHPV QIAensemble Example of QIAGEN s Dx content Today and Tomorrow (1) Encephalitis Influenza CMV, EBV Enterovirus Borrelia M. pneumoniae M. tuberculosis West Nile virus Parvo B19 Respiratory Influenza RSV Metapneumovirus Adenovirus SARS Bordetella M. pneumoniae C. pneumoniae Transplant CMV EBV HSV-1/2 VZV HHV-6 STD Panel CT Mycopl. genit Trichomonas NG HSV Bloodbourne HCV HIV HBV Parvo 19 Oncology K-ras B-raf EGFR HPV Screening Genotyping.Full Range of Instrument Platforms:.Different Technologies - All Through-Put Ranges - From Stand Alone to Fully Integrated -8-

9 Multiple Detection Capabilities Sample Preparation Assay Set Up Detection Low Throughput Modules ~400 Endpoint (qualitative) PCR QIAxcel Medium-High Throughput Modules Multiplexing LiquiChip Real time (quantitative) PCR Medium Throughput Fully integrated System RotorGene High resolution sequence detection and quantification PyroMark -9-

10 K-ras Test Emerging Blockbuster in Companion Diagnostics K-ras gene key element in normal cell growth pathway: Critical for EGFR inhibitor drugs First drugs for colon cancer >140 trials ongoing K-ras gene often mutated (can lead to resistance) Lung 15% - 20% Pancreas up to 90% Colon 35% - 45% Current market: Colon/rectum cancer: >1 million incidences, 50% mortality Some laboratory developed tests Some other tests in Europe using PCR Clinical study by Uppsala University Hospital, Sweden: QIAGEN s PyroMark test identifies High number of mutations in codons 12 and 13 (expected) High number of mutations in codon 61 (unexpected) New (!) mutation in codon 60 QIAGEN PyroMark - Best Suited for Companion Diagnostics -10-

11 Companion Diagnostics Selected Diagnostic Assays Assay Platform Potential Applications and Research PyroMark KRAS, RUO, CE Pyrosequencing Colon cancer PyroMark CpG p16, RUO Pyrosequencing Various cancers Complete platform PyroMark BRAF, RUO Pyrosequencing Colon cancer Melanoma Ovarian cancer Thyroid cancer PyroMark CpG MLH1, RUO Pyrosequencing Colon cancer (hereditary forms) PyroMark CpG MGMT, RUO Pyrosequencing Glioblastoma PyroMark CpG LINE-1; RUO Pyrosequencing Various cancers MDx instrument PyroMark Q24 Fungi ITS2 Primers for PCR, ASR Pyrosequencing/ Multiplex Antifungal treatment MOTT 16S Primers for PCR, ASR Pyrosequencing/ Multiplex Antibiotic resistance artus TPMT LC PCR Kit, RUO, CE real-time PCR Leukemia, Crohn s Disease artus MTHFR PCR Kit, RUO, CE real-time PCR Thrombosis, Atherosclerosis Complete toolbox Olerup SSP HLA-B*5701, RUO, CE real-time PCR AIDS CpG = positions of methylation -11-

12 HPV Screening Significant Untapped Potential for HPV Testing U.S. Current tests: ~ 11.4M Penetration: ~ 30% Adoption of existing guidelines Patient, physician communications Key focus: market penetration, conversion to Pap+HPV Europe Current tests: ~ 2.3M Penetration: ~ 7% Adoption into medical guidelines (>30 countries!) Advocacy, patient, physician communications Laboratory marketing (>20 players, QIAGEN with ~70%) Asia/Latin America: Current tests: 0.9M Penetration: ~ 3% Adoption into medical guidelines Significant cost/benefit advantages Emerging national (primary) screening programs Europe ~ $350M Asia/Latin America ~ $280M Total: >$1.1 billion Note: Represents market from existing Pap Smear Tests only Source: 4/24/07 Long Range Plan U.S. ~ $490M Substantial Market Diverse Marketing Profiles -12-

13 HPV Screening Significant Untapped Potential for HPV Testing U.S. Hologic Homebrew QIAGEN undisputed market leader in HPV screening Focus on market penetration: only ~30% penetrated Superior to commercial competition: automation, validation Europe Asia/ LatinAmerica Roche Abbott Greiner GenProbe Hologic... Homebrew Commercials (many) Homebrew QIAGEN undisputed market leader in HPV screening Only few guidelines, spotty reimbursement QIAGEN gaining share: test performance and validation Strong competitor companies Complete, integrated platforms and tests available QIAGEN undisputed market leader in HPV screening Only few guidelines Focus on adoption: including primary screening programs QIAGEN solutions for developing world -13-

14 Workflow Performance: The digene HPV Test Current solutions Semi-automated use Assay automation NextGen Evolution: Next-generation HC2 (starting 2009) Fully automated sample preparation from liquid cytology vials on QIAsymphonySP Fully automated assay Genotyping 16/18/45 reagents NextGen Revolution QIAensemble (2010, 2012 in US) Broad menu high throughput screening system Fully automated sample and assay technologies HPV testing on novel chemistry, leveraging HC2 Unprecedented throughput and utility -14-

15 Molecular Diagnostics Screening Solutions to Increase Safety of Blood Donations Brazilian national PCR-based HIV/HCV blood screening program Supply agreement with Bio-Manguinhos QIAGEN sample technologies QIAGEN assay technologies (HIV, HCV) Instrumentation Operational know-how Training Run-time: 5 years (program starts in 2010) Current market: Brazil: Largest country in South America 5 million blood donations per year 0.1% and 0.3% positive for HIV and HCV Significant step in expansion in emerging markets Latin and South America markets are focus Underscores QIAGEN s strength in blood screening Huge Potential for Blood Screening in Emerging Markets WW -15-

16 Key Investment Considerations Strong Growth at Low-Risk Strong Strategic Position Addressing high growth markets Focused, complete and technology-leading portfolio Critical mass, well functioning organization Innovation success acquisition success Innovation is key Proven innovation leadership in industry > 80 product launches in % of revenue growth from new introduced products Strong Financial Performance 2008 Revenue growth: 37% Organic adj. growth: 13% Operating cash flow up 98% to US$168 M in