Digitalhealthcareforrespiratorydisease
TonyKea)ngChiefExecu)veOfficerandManagingDirector
CanaryBiotech&HealthcareInvestorRoadshow25November2015,Melbourne26November2015,Sydney
ASX:RAPFor
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DisclaimerThispresenta)onhasbeenpreparedbyResAppHealthLimited(“ResApp”).Theinforma)oncontainedinthispresenta)onisaprofessionalopiniononlyandisgiveningoodfaith.Certaininforma)oninthisdocumenthasbeenderivedfromthirdpar)esandthoughResApphasnoreasontobelievethatitisnotaccurate,reliableorcomplete,ithasnotbeenindependentlyauditedorverifiedbyResApp.Anyforward-lookingstatementsincludedinthisdocumentinvolvesubjec)vejudgmentandanalysisandaresubjecttouncertain)es,risksandcon)ngencies,manyofwhichareoutsidethecontrolof,andmaybeunknownto,ResApp.Inpar)cular,theyspeakonlyasofthedateofthisdocument,theyassumethesuccessofResApp’sstrategies,andtheyaresubjecttosignificantregulatory,business,compe))veandeconomicuncertain)esandrisks.Actualfutureeventsmayvarymateriallyfromtheforward-lookingstatementsandtheassump)onsonwhichtheforward-lookingstatementsarebased.Recipientsofthisdocument(Recipients)arecau)onedtonotplaceunduerelianceonsuchforward-lookingstatements.ResAppmakesnorepresenta)onorwarrantyastotheaccuracy,reliabilityorcompletenessofinforma)oninthisdocumentanddoesnottakeresponsibilityforupda)nganyinforma)onorcorrec)nganyerrororomissionwhichmaybecomeapparenta^erthisdocumenthasbeenissued.
Totheextentpermi_edbylaw,ResAppanditsofficers,employees,relatedbodiescorporateandagents(Agents)disclaimallliability,direct,indirectorconsequen)al(andwhetherornotarisingoutofthenegligence,defaultorlackofcareofResAppand/oranyofitsAgents)foranylossordamagesufferedbyaRecipientorotherpersonsarisingoutof,orinconnec)onwith,anyuseorrelianceonthispresenta)onorinforma)on.
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AllamountsinAustraliandollarsunlessstatedotherwise.
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Digitalhealthcareforrespiratorydisease
§ Developingtheworld’sfirstclinically-tested,regulatory-approvedrespiratorydiseasediagnos)ctestforsmartphones- Noaddi'onalhardwareneeded- Uniqueopportunitytointegrateintotelehealthproviders’exis)ngpladorms- Appstoprovideclinical-quality(‘GoldStandard’)diagnos)ctestsandchronicdiseasemanagement
toolsdirectlytoconsumersandhealthcareproviders
§ Hugeglobalmarket,700M+doctorvisitsannuallyforrespiratorydisease1§ Highlevelsofaccuracydemonstratedinclinicalproofofconceptstudyandinmul)-site
clinicalstudyunderwayinPerth,Australia§ Fully-fundedtobringproducttomarketinlate2016
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1.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)
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Companyoverview
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CapitalStructure(ASX:RAP)Sharesonissue1 561M
Sharepriceasof24November2015
$0.092
MarketCap $51.6M
PerformanceShares2 93.75M
Op)ons3 33.75M
Incen)veOp)ons4 25M
CashBalanceasof30September2015
$3.4M
1. Includes121Mescrowedshares2. Issuedonachieving$20Mofannualrevenueoronanacquisi)on3. Exercisepriceof2.6c,expire31December20164. IssuedtoMD,5Mop)onsatexercisepriceof2.5c,5Mat5cand10M
at10c,5yearexpiry;IssuedtoDrAbeyratne,3Mat5cand2Mat10c
BoardofDirectorsDrRogerAston Non-Execu)veChairman(ChairmanofOncosil,formerCEOofMaynePharma,CambridgeAn)body,cofounderofpSividaCorp)
DrTonyKea)ng ManagingDirectorandCEO(formerDirector,CommercialEngagementofUniQuest,engineeringmanagementroleswithExaCorpora)on)
MrAdamSierakowski Non-Execu)veDirector
MrChrisNtoumenopoulos Non-Execu)veDirector
Substan)alShareholdersUniQuestPtyLtd:7.51%BrianLeedman:5.45%FreemanRoad:5.34%Top20Shareholders:44.7%F
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Diagnosisofrespiratorydiseaseisthemostcommonoutcomefromavisittothedoctor
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Acutecondi'onsURTIs,influenza,bronchi)s,bronchioli)s,pneumonia,pertussis,croupChronicCondi'onsAsthma,COPD,cys)cfibrosis,bronchiectasis
§ 125Mdoctorvisits1intheUSforrespiratorydisease(10%ofallvisits)
§ 6-8Mdoctorvisits2inAustraliaforrespiratorydisease
§ Est.700M+doctorvisitsglobally3forrespiratorydisease
§ HighprevalenceandgrowthinAsia
1.Ambulatorycasevisits,Na)onalAmbulatoryMedicalCareSurvey20102.AustralianLungFounda)on3.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)
Currentlydiagnosedusingstethoscope,imaging(x-ray,CT),bloodand/orsputumtests
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Revolu)onarytoolbasedonsoundsignatures
§ ExclusiveworldwidelicensetomachinelearningtechnologydevelopedbyA/Prof.AbeyratneatTheUniversityofQueensland
§ Usessignaturesincoughingandbreathingsoundstodiagnosedisease
§ Patentapplica)onfiledinUS,Australia,Europe,China,JapanandSouthKorea
§ Canbedeliveredusingtoday’ssmartphones,noaddi)onalhardwarerequired
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Strongclinicalevidence
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2013Study Sensi'vity Specificity Accuracy
Pneumoniavs.allrespiratory 94% 100% 96%
Asthmavs.pneumonia 100% 80% 90%
1. Abeyratneetal.,AnnalsofBiomedicalEngineering,20132. Kosashietal.,IEEETransac)onsinBiomedicalEngineering,2015
Currentstudy(startedMarch2015)- FundedbyResApp- ManagedbyTheUniversityofQueensland- Sites:JoondalupHealthCampusandPrincess
MargaretHospital,Perth,Australia- 430+pediatricpa)entsenrolledtodate
(con)nuing)
Proofofconceptstudy(2013)- FundedbyTheBillandMelindaGates
Founda)onandTheUniversityofQueensland- Site:SardjitoHospital,Indonesia- 91pa)ents,majorityundertheageof5- Resultspublishedinpeer-reviewedjournals1,2
2015StudyPreliminaryResults Sensi'vity Specificity Accuracy
Pneumoniavs.norespiratory 100% 95% 97%
Asthmavs.norespiratory 97% 92% 95%
Bronchioli'svs.norespiratory 100% 100% 100%
Croupvs.norespiratory 94% 100% 99%
URTIvs.norespiratory 100% 95% 96%
Pneumonia,crouporbronchioli'svs.URTI 89-100% 90-95% 89-98%
Differen'aldiagnosisofpneumonia,croup,URTIandbronchioli's
92-100% 85-97% 91-99%
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Deliveryofhealthcareviatelehealthisoneofthebiggesttrendsinhealthcare
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§ TwolargestUSpharmacychainshaverecentlyannouncedpartnershipswithtelehealthproviders
§ TeladocandAmericanWell:10M+customerseach§ InsurerssuchasCigna,Aetna,UnitedHealthcare§ EmployerssuchasBankofAmerica,Volvo,Yahoo!§ HospitalsystemssuchasMountSinai
75MUStelehealthconsults
(‘evisits’)in2014(Deloi_e)
56%annualgrowthrate
(IHS)
$12-$16BTotalUSmarketopportunity
(GoldmanSachs,Deloi_e,Teladoc)
$50BTotalglobalmarket
opportunity(Deloi_e)
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ResAppdirectlyaddressesthemostcommondiseaseencounteredbytelehealthproviders
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1.Uscher-PinesandMehrotra(HealthAffairs,2014)2.IHS3.BasedonOECDdoctorvisitspercapitadataandassuming10%ofvisitsareforrespiratorydisease(basedonUSdata)
§ 30%oftelehealthconsultsforacuterespiratorydisease1
§ 22.5Mtelehealthconsultsperyeartodayforacuterespiratorydisease
§ Numberoftelehealthconsulta)onsgrowingat56%peryear2
§ 700M+globaldoctorvisitseachyearforrespiratorydisease3
- Accessthroughgrowthintelehealthplusin-persontests(in-clinic,in-hospital)
ThemarketsegmentaddressedbyResAppisenormous
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Marketsegmentsandbusinessmodel
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Telehealth Clinicaluse Developingworld Directtoconsumer
Commercialstrategy
Partnerwithtelehealthproviderstoreach10sofmillionsofpa)ents
Ini)aluseinemergencydepartments(ED),extendingtoregularclinics
Partnerwithleadinginterna)onalaidagenciestoequipfieldpersonnel
Directtoconsumerviaappstorestotargetgrowthinconsumer-ledhealth
Valueproposi'on
✓ Theonlyremoteclinically-accuratediagnos)ctoolavailable
✓ Easilyintegratedintoexis)ngpladorms
✓ Reducecosts(<$10vs>$200forx-ray)
✓ Reduce)me(x-rayadds~30mins)
✓ Lowcost,accurate&fast✓ Usablebynon-medical
personnel✓ IntegratesintoIMCI
framework
✓ Convenience✓ Lowcost✓ Consumer
empowerment
Revenuemodel B2Bpertestfee(<$10)fromtelehealthproviders
B2Bpertestfee(<$10)fromhealthcarepayors
B2Blowcostannualsubscrip)onfromaidagencies
B2Cdownloadandpertestfeedirectfromconsumers
Marketsize • 22.5Mrespiratory-relatedUStelehealthconsultsp.a.• 56%growthrate• Majortelehealthprovidershave10sofmillionsofcustomerseach
• 13.4MUSEDvisitsforrespiratorydiseasep.a.1(~4.6Mforchildren)• 700M+ambulatoryrespiratoryconsulta)onsp.a.2
• 1Mchilddeathsduetopneumoniap.a.3• 151Mcasesofpneumoniaindevelopingcountriesp.a.3
• 400MiPhoneusers4• 1.6BAndroidusers4• mHealthappmarketexpectedtogrowto$25Bbyendof20175
1. NHAMCS(2011)2. ResAppes)matebasedonOECDpercapitadata3. WHOes)mate4. Sta)sta(2014es)mates)5. Research2guidancemHealthAppDeveloperEconomics(2014)
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SuccessfullyachievingkeymilestonesinCY2015
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¨ Australianpediatricclinicalstudyprogressingwell- Pa)ents0-7yearsofagewithsignsorsymptomsofrespiratorydisease- Comparisontofinalclinicaldiagnosisaspertrea)ngteam(a^erlaboratoryworkandimaging)- 430+pa'entsenrolledtodate- Enrollmentcon'nuing
¨ Posi)vepreliminaryresultsfrompediatricclinicalstudyreported- >95%accuracyforpneumonia,asthma,bronchioli's,croupandURTIclassifica'on- 89-99%accuracyfordifferen'aldiagnosisofthemostcommonrespiratorycondi'onsinchildren- Successfullydemonstratedthatvoluntarycoughscanachievehighlevelsofaccuracy
¨ AU$4Mcapitalraisingandlis)ngontheASX¨ Appointbest-in-classFDAregulatoryconsultant–ExperienGroup(Sunnyvale,CA)¨ FDAPre-SubmissionbyendofCY2015¨ BeginenrolmentforAustralianadultclinicalstudy
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CY2015 CY2016
Q3 Q4 Q1 Q2 Q3 Q4
Adultsitediscussions
ClinicalandregulatoryplantobringproducttomarketinlateCY2016
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FDAPre-Subdra_ing
FDAPre-Submee)ng
Australianadultclinicalstudy
USpivotalclinicalstudy
FDAsubmissiondra_ing FDAreviewperiod
Poten)alFDAmarke)ngapproval
FDA510(k)ordenovosubmission
Reportresults
USsitediscussions
ReportresultsAdultsiteiden)fiedand1stpa)ent
Reportresults
400+pa)entsenrolledInterimresults
USsiteiden)fiedand1stpa)ent
Australianpediatricclinicalstudy
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Summary
§ Revolu)onarytechnology–diagnosisandmanagementofrespiratorydiseasewithouttheneedforaddi)onalhardware
§ Targe)ngahugemarket,coughisthemostcommonreasonforvisi)ngadoctor§ SuccessfulclinicalproofofconceptfundedbytheGatesFounda)onshowedhighaccuracy
forpneumoniaandasthmadiagnosis§ Mul)-siteclinicalstudyprogressingwellwithposi'vepreliminaryresultsdemonstra'ng
≥95%accuracyforpneumonia,asthma,bronchioli's,croupandURTIversussubjectswithnodiscerniblerespiratorydiseaseand89-99%accuracyfordifferen'aldiagnosis
§ FDAPre-SubmissionplannedforQ4CY2015§ Fully-fundedtobringproducttomarketinlate2016,launchviatelehealthpartnertoreach
millionsofpa)entsquickly
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