Life Healthcare Group Holdings (LHC) CMD 2024 summary

Overview of LMI and strategic growth pathways

• LMI is a leading radiopharmaceutical company with a global presence, focusing on diagnostics and therapeutics for diseases like Alzheimer's and prostate cancer.

• Achieved 167% increase in doses sold and 178% revenue growth in FY23, with projections for 160%-190% YoY revenue growth in FY24.

• Growth strategy is built on three pathways: expanding NeuraCeq® sales, advancing a diversified product pipeline, and sustaining R&D services.

• Targeting a $2.5 billion addressable market with 20%-40% market share and >$900 million potential peak annual sales from the pipeline.

• R&D services provide a stable $20 million annual revenue stream, supporting long-term sustainability.

NeuraCeq®: Market opportunity and expansion

• NeuraCeq® is approved for Alzheimer's diagnosis, with demand driven by rising disease prevalence and new disease-modifying drugs.

• Recent US reimbursement changes and new therapeutic approvals (Leqembi®, Kisunla®) have accelerated market growth.

• LMI is expanding US and European manufacturing and sales teams, focusing on high-prevalence regions and strategic partnerships.

• Targeting 250,000–500,000 NeuraCeq® doses by 2029, up from 20,000 in FY24, aiming for 20%-40% market share.

• Profitability is expected to increase through stable pricing, operational leverage, and declining costs as a percentage of revenue.

Product pipeline and diversification

• Late-stage products PI-2620 (tau imaging for Alzheimer's/PSP) and CardioCeq (cardiac amyloidosis) target approvals by 2027, with combined peak annual sales potential of $500M–$1B.

• Early-stage pipeline includes GP1 (thrombus detection), DED (neuroinflammation), and RM2 (theranostic for prostate cancer, out-licensed to Lantheus).

• RM2 out-licensing generated a $36M upfront payment in FY24, with further milestone and royalty payments expected over the next decade.

• LMI leverages established manufacturing, reimbursement, and commercial networks to accelerate new product launches.