Investor Presentaiton
Asset-light Business Model
Hub, Spokes and Spikes
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Mega Lab: “Hub”
The Mega Lab, the largest automated lab in Egypt, serves as IDH's diagnostic
"Hub," equipped with the latest technology to provide a full suite of diagnostic
tests.
The majority of equipment is provided at no upfront cash cost in return for which
IDH agrees to purchase a minimum volume of kits from the equipment supplier.
Significant cost synergies are realized on kits, logistics and quality control.
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B Labs: "Spokes"
The B Labs serve as "Spokes" that reduce traffic to the Mega Lab by processing
routine test on site including chemistry, parasitology and hematology.
B Labs are both large in size and higher in capacity than the C Labs.
At 30 June 2018, there were seven B Labs in Egypt and four in Jordan.
C Labs: "Spikes"
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The C Labs are collection centers, conducting the most basic of tests.
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Because they require low capital to open, they enable IDH to expand its reach in
highly-fragmented markets.
Typical C Labs take 1-2 months to set up and 4-6 months to break even.
At 30 June 2018, there were 354 operational C Labs compared with 348 at the
end of 2017.
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INTEGRATED DIAGNOSTICS HOLDINGS
In February 2018, the Mega Lab
became the only CAP
accredited laboratory in Egypt
cap
ACCREDITED™
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MEGA LAB
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