Documente Academic
Documente Profesional
Documente Cultură
CONFERENCE - 2017
DOW R. WILSON
President and Chief Executive Officer
THIS PRESENTATION IS INTENDED EXCLUSIVELY FOR INVESTORS. IT IS NOT INTENDED FOR USE IN SALES OR MARKETING.
$2.6B*
$1.25B*
FY16
REVENUES
SOFTWARE &
SERVICE BUSINESS
6,400+
EMPLOYEES
7,500
4,000+
50+
MEDICAL LINEAR
ACCELERATORS
SOFTWARE
INSTALLS
PROTON THERAPY
ROOMS
2.8M
patients
treated
annually
A majority of the
leading
global cancer
centers use Varian
hardware, software,
and/or services
Spending
~8%
100k+
software users;
largest oncology
installed base
of annual
revenues on
R&Dt
OIS
Cancer
Treatment
Channel Partners
OncoLog,
Aria Business Office
Connectivity
Epic, Cerner, ARIAConnect
Velocity
Oncology Image
Informatics
Eclipse
Treatment Planning System
Partnering
Proton
Therapy
Image
Management
Radiosurgery
ProBeam
Proton Therapy
Systems
Edge System
Dedicated Full-Body
Radiosurgery Platform
Calypso
Real Time
Tracking Technology
Treatment
Planning
Brachy
Therapy
Analytics
InSightive
Oncology
Analytics
6 | FOR INVESTOR USE ONLY
TrueBeam/VitalBeam
Trilogy/Clinac/UNIQUE
Treatment Procedures with
Ease, Speed and Accuracy
Radiation
Therapy
Varian Brachytherapy
Product Suite for
Planning and Delivery
24.6
$2T
global economic
burden in 2010
56%
50-60%
of cancers diagnosed in
high income countries
10%
of patients have
access to RT in low
income countries
*8,700 new machines plus 13,100 replacements = 21,800 additional machines needed
Expanding global access to radiotherapy. Lancet Oncol. Vol 16, Sept.2015
7 | FOR INVESTOR USE ONLY
>20,000*
Linacs needed by 2035, with greatest
need in low and mid-income countries
WHAT IS NEEDED
2015
GAP
2035
7,700
3,200
10,900
Linear Accelerators
13,100
21,800*
21,800
Radiation Oncologists
23,200
22,300
45,500
Medical Physicists
1,000
Radiation Technologists
33,300
*8,700 new machines plus 13,100 replacements = 21,800 additional machines needed
Expanding global access to radiotherapy. Lancet Oncol. Vol 16, Sept.2015
8 | FOR INVESTOR USE ONLY
29,300
96,900
AUTOMATION
SIMPLIFICATION
39,300
130,200
PRODUCTIVITY
EQUIP, EMPOWER EACH
CLINICIAN TO TREAT
MORE PATIENTS
COST-EFFECTIVE
HIGH-QUALITY
SIMPLIFIED,
AUTOMATED,
FAST
GLOBALLY
ACCESSIBLE
KNOWLEDGE-GUIDED
ONCOLOGY
INTELLIGENT
TREATMENT DELIVERY
ADVANCED DATA
ANALYTICS
RapidPlan
HyperArc HDRT
360 ONCOLOGY
600
licenses ordered to date;
broad acceptance
10%
market penetration;
moving into mainstream
Aiming to
change cancer care
by simplifying, automating
and compacting
dose distribution
*HyperArc High Definition Radiotherapy is 510(k) pending. Not available for sale.
12 | FOR INVESTOR USE ONLY
Brain Stem
vs.
50% Rx Dose
50% Rx Dose
Non-coplanar HyperArc RT
HIGH-DEFINITION RADIOTHERAPY
New product options:
HDRT Treatment Mode*
HDRT Planning Module**
HDRT Virtual Dry Run**
HDRT Patient Immobilization*
Product pre-requisites:
TrueBeam or EDGE
PerfectPitch Couch
Eclipse IMRT
Aiming for
>$500M
in orders
in 5 years
*HyperArc High Definition Radiotherapy is 510(k) pending. Not available for sale.
**Eclipse planning for HyperArc HD Radiotherapy is works-in-progress. Not available for sale.
14 | FOR INVESTOR USE ONLY
RADIOSURGERY GROWING
INCREASE
in SRS utilization
for brain cancer treatment
SRS/SBRT
LEADS
GROWTH
INCREASE
in extracranial treatment
over the next decade*
2016
2030
1.6M
2.5M
1M
1.5M
21%
39%
20%
33%
59%
28%
Total Fractions
19.6M
20.1M
Total Time
303.4M
330.7M
FRACTION NUMBER
CHANGE
Tx TIME CHANGE
PATIENT
IMAGING
SURGERY
CHEMOTHERAPY
RADIATION
IMAGING
Key Customers
~$100M
market opportunity
by 2020
ENHANCING CYBER-SECURITY
Security Services
Keeping software systems current
Contracts, paid upgrades
~$80M
market opportunity
by 2020
42% of
revenue
Drivers
Expanding installed base
34% of
revenue
TrueBeam conversions
Software support agreements
2013
2014
2015
2016
10,000
machines by 2022
Service
Software
Accessories
Upgrades
2010
313
2015
2020
BRIC
OTHER
319
NA
65
EU DEVELOPED
75
+ 97%
+ 81%
+ 58%
+ 37%
2025
2030
618
579
103
103
7%
combined 5yr CAGR
12%
of total sales
$300+
combined revenue
$ in millions
2020
TARGET BY 2020:
80%
of countries should
have cancer plans that
include radiotherapy.
POPULATION BASED
CANCER CONTROL PLANS
2025
2020
TARGET:
25%
increase in RT
capacity from
2015 to 2025
EXPANSION OF ACCESS
TO RADIOTHERAPY
2025
2020
TARGET BY 2025 :
23,000
33,300 10,000
radiation oncologists
RTTs
HUMAN RESOURCES
FOR RADIOTHERAPY
medical physicists
2025
2020
TARGET BY 2025:
$46B
of investment to establish
radiotherapy infrastructure
and training in LMIC
SUSTAINABLE FINANCING
TO EXPAND ACCESS TO
RADIOTHERAPY
Expanding global access to radiotherapy. Lancet Oncol. Vol 16, Sept.2015
28 | FOR INVESTOR USE ONLY
2025
2020
TARGET BY 2020:
80%
of LMIC to include
RT services as part of
universal health coverage
ALIGN RADIOTHERAPY
ACCESS WITH UNIVERSAL
HEALTH COVERAGE
Expanding global access to radiotherapy. Lancet Oncol. Vol 16, Sept.2015
29 | FOR INVESTOR USE ONLY
2025
Governments
Financiers
Clinicians
Patient advocacy groups
PROMOTING AWARENESS
Lancet Oncology Commission
PR/Government Affairs
UNIVERSITY OF MARYLAND
2 treatment rooms plus 3 completed rooms
HOLLAND PTC
3 treatment rooms
3 TREATMENT ROOMS
2 treatment rooms
55 rooms (36 in backlog, 13 completed, and 6 under contract but not booked)
31 | FOR INVESTOR USE ONLY
4-6%
SALES GROWTH
22%
OPERATING MARGIN
Service momentum
Strong financial performance
RE-INVENTING
CANCER CARE
THANK YOU