![]() NASDAQ: STXS Exhibit 99.2 |
![]() Forward-Looking Statements During the course of this presentation, the Company may make projections and other forward- looking statements regarding future events or the future financial performance of the Company, including without limitation, statements regarding future operating results, growth opportunities and other statements that refer to Stereotaxis’ plans, prospects, expectations, strategies, intentions and beliefs. These statements are subject to many risks and uncertainties that could cause actual results to differ materially from expectations. For a detailed discussion of risk and uncertainties that affect the Company’s business and qualify the forward-looking statements made in this presentation, we refer you to the Company’s recent public filings filed with the SEC, specifically the Form 10-K for the fiscal year ended December 31, 2009. The Company’s projections and forward-looking statements are based on factors that are subject to change and therefore these statements speak only as of the date they are given. The Company assumes no obligation to update any projections or forward-looking statements. In addition, regarding orders and backlog, there can be no assurance that the Company will recognize revenue related to its purchase orders and other commitments in any particular period, or at all, because some of these purchase orders and other commitments are subject to contingencies that are outside of our control. These orders and commitments may be revised, modified, or canceled either by their express terms, as a result of negotiations, or by project changes or delays. 2 |
![]() Investment Considerations Addressing market opportunity through two distinct platforms: Magnetic Navigation (Niobe) Enterprise Solutions (Odyssey) Large, high growth (+20%) cardiology ablation market Commercial ramp began in mid 2008; leading peer group grower in 2009 through strong fundamentals Poised for continued growth in EP Long term platform expansion into new markets 3 |
![]() Stereotaxis – Magnetic Platform Stereotaxis steers the catheter’s distal tip through external magnetic fields thus giving the physician precise remote control of therapeutic devices. 4 |
![]() Stereotaxis Value – Magnetic Platform Precise control of the distal tip of the catheter results in: Exemplary safety Effective lesion creation through constant contact Exceptional mapping capability Proven in all chambers of the heart 5 |
![]() Before Stereotaxis After Stereotaxis Physician Efficacy Safety Efficiency In procedure room Physician: significant X-ray exposure Patient: major event rate ~2.8% Wide standard deviation based on patient and physician In control room Several applications clearly better than manual - VT, pediatrics, congenital heart diseases Other applications comparable to manual Almost no X-ray exposure Major event rate reduced to 0.1% Standardized process drives tighter distribution around procedure times High re-do rates Clinical Environment Overview Market 6 |
![]() Global EP Market Source: Millennium Research Group (2009); Stereotaxis internal analysis EP Procedures Routine AF VT Other Total Complex Prevalence Annual Procedures Annual Growth +20M +10M +3M +5M +18M 170k 100k 30k 40k 170k <10% 25% 15% 15% 20% Our Focus 7 |
![]() Strong Clinical Validation More than 150 Peer-Reviewed Publications Atrial Fibrillation 30 Publications Up to 100% acute success Improved chronic outcomes Pediatric Arrhythmia 5 publications 93% acute success Low fluoro, no complications Congenital Heart 6 publications 90% success rate “As easy as normal adults” Ventricular Tachycardia 13 publications Up to 100% acute success 85% freedom at 1 year Radiation Reduction Patients – 67% Physicians – 90% 1. Haghjoo, JCE 2009. 2. Latcu, Arch Cardiovasc Dis 2009. 3. Schwagten, PACE 2009. 4. DiBiase, JCE 2009. 5. Augello, Heart Rhythm 2009. 6. Schwagten, PACE 2009. 7. Haghjoo, JCE 2009. 8. Dibiase, Heart Rhythm 2009. 8 3 6 4 5 7 8 2 1 |
![]() VT Comparison Study Erasmus MC • 64 consecutive VT ablation patients – 37 Stereotaxis – 27 manual – Idiopathic & Scar-Related • No complications in Stereotaxis group • 1 tamponade/death in manual group • Conclusion: “Major clinical & cost advantages for VT ablation” 97% 14% 170 25 8 81% 50% 228 57 13 0 50 100 150 200 250 Acute Success (%) Recurrence (%) Case Time (min) Fluoro Time (min) RF Apps STXS Manual p = 0.03 p < 0.01 p < 0.01 p < 0.001 NS 9 Schwagten, et al. Eur Heart J 2010, 31(Supp):932. |
![]() Odyssey Enterprise TM Solutions Odyssey Vision 10 |
![]() The Odyssey Product Line CONNECT CINEMA VISION Efficiently integrate data and control during procedures Standardize all labs to increase staff effectiveness Drive world-class practices by capturing, compressing and recording data for storage and networking NIOBE Accelerate clinical education by playing back synchronized lab data Drive quality of patient care by connecting clinical experts Build market exposure through live web events showcasing clinical capabilities Enhance clinical capabilities with a robotic suite 15,000 Interventional Standard Labs 140 Niobe Labs $10K / Year $190K List $225K - $360K List 11 |
![]() Business Model Capital Revenue Recurring Revenue Niobe Odyssey Workstation Odyssey Cinema • 141 Niobe systems installed • 2,500 EP labs worldwide • 20+% growth; ~60% margin • 25% growth (YTD 2010 vs. 2009) • 80% margin Equipment service • Technical service • Software license • 1-year warranty Niobe Utilization • Stereotaxis disposables • Royalty from J&J BWI 27% growth (2009 vs. 2008); 65+% margin 12 |
![]() Market Adoption & Procedure Growth Growing Worldwide Penetration 141 Systems Installed 60% US - 40% OUS Canada - 3 United States - 77 Europe - 49 Saudi Arabia - 1 Russia - 1 China - 5 Korea - 1 Japan - 1 Singapore - 1 Taiwan - 1 Australia - 1 13 |
![]() $0.0 $4.0 $8.0 $12.0 $16.0 Q1 Q2 Q3 Q4 2008 2009 2010 $11.2 $8.8 $7.2 $7.3 $5.0 $10.2 $12.4 $6.3 $11.2 $7.7 New Orders to Backlog Revenue Momentum Recurring Revenue $ millions $ millions $0 $2 $4 $6 $8 $10 $12 $14 $16 Q1 Q2 Q3 Q4 2008 2009 2010 $7.0 $11.1 $10.6 $10.7 $12.6 $15.0 $10.6 $13.3 $12.1 $14.1 $ millions Stereotaxis Financial Update 14 |
![]() $0.0 $4.0 $8.0 $12.0 Q1 Q2 Q3 Q4 2008 2009 2010 Total Inventory -$20.0 -$15.0 -$10.0 -$5.0 $0.0 $5.0 Q1 Q2 Q3 Q4 Cash Flow (Burn) $0.0 $5.0 $10.0 $15.0 $20.0 $25.0 Q1 Q2 Q3 Q4 2008 2009 2010 Operating Expenses 55.0% 60.0% 65.0% 70.0% 75.0% Q1 Q2 Q3 Q4 2008 2009 2010 Gross Margin Percentage $ millions $ millions $ millions 65.5% 68.9% 72.5% 60.8% 63.1% 65.5% 67.8% 67.6% 67.3% $17.8 $14.8 $14.0 $18.7 $14.6 $16.1 $13.3 $14.6 $15.3 -$12.6 -$11.4 -$6.4 -$7.6 -$5.8 -$3.5 -$4.5 -$2.9 $10.5 $8.1 $4.9 $9.6 $7.5 $8.4 $7.0 $8.1 $4.4 67.2% $15.8 $4.3 Stereotaxis Financial Update 15 -$7.9 -$5.6 2008 2009 2010 |
![]() Liquidity $3.0 $1.3 $3.6 $0 $2 $4 $6 $8 $10 2010 Operating Cash Flow Ex A/R BWI Debt Accounts Receivable Q2 2010 Cash Burn Analysis $ Millions $7.9 $ Millions $26.3 $19.4 * Cash burn includes repayment of Biosense Webster advance. * 16 $6.6 $12.8 $4.3 $30.3 $23.8 $20.7 $22.0 $0 $5 $10 $15 $20 $25 $30 $35 Cash Burn Cash Credit Line Availabilty 2008 2009 TTM June 30, 2010 June 30, 2010 June 30, 2009 |
![]() 2010 Focus I. Drive Commercial Success Clinical training/process accelerates adoption Adoption creates stronger reference sites Reference sites accelerate capital pipeline & sales Niobe orders generate Odyssey opportunities Odyssey (robotic labs) placements generate standard lab interest II.Strengthen EP Product Offering Product extensions Odyssey link, Interface, Carto III New capabilities launched with VDrive™ * Year to Date 2010 17 Metrics 25% growth recurring revenue* 5 17 Q2 2010 orders doubled over 2009 Odyssey revenue up 164%* Standard lab sales 36% of total Odyssey* |
![]() Q & A 18 |