Medipal Holdings Corporation · TSE:7459
Medipal — FY2023 Earnings Presentation
27 slides from Medipal's earnings presentation, May 14, 2024
Slide 1: Financial Results for the Fiscal Year Ended March 31, 2024
Financial Results for the Fiscal Year Ended March 31, 2024 Expand, Support, and Connect “Pharmaceuticals, Health, and Beauty” The MEDIPAL Group aims to realize a society in which everyone can live with physical and mental well-being and to enhance its corporate value. May. 14, 2024 Forward-Looking S
Slide 2: Key Messages
Key Messages Growing through business portfolio prioritizations and collaboration with partners Financial Results for the FY Ended March 31, 2024 YoY Change Net Sales ¥3,558.7 billion ¥198.7 billion (+5.9%) Operating Profit ¥47.3 billion -¥1.6 billion (-3.4%) Operating Profit excluding growth invest
Slide 3: Contents
Contents １．Financial Results for the FY Ended March 31, 2024 ２．Initiatives for the FY Ending March 31, 2025 ３．Aappendix Regarding the description of the business period FY Ended March 31,2023 (April 1, 2022 to March 31, 2023) ⇒ FY2022 FY Ended March 31,2024 (April 1, 2023 to March 31, 2024) ⇒ FY2023
Slide 4: Consolidated Statements of Income
Consolidated Statements of Income (\ billion) FY2022 FY2023 Results Plan Results YoY Change % of Change Change from Plan % of Change (% of Net Sales) (% of Net Sales) (% of Net Sales) Net Sales 3,360.0 3,510.0 3,558.7 +198.7 +5.9% +48.7 +1.4% Gross Profit 224.3 247.2 246.6 +22.3 +10.0% -0.5 -0.2% （6
Slide 5: Consolidated Statements of Income [Change Factors from FY2022]
Consolidated Statements of Income [Change Factors from FY2022] Net Sales increased by ¥198.7 billion year on year in all business segments. Operating Profit decreased due to an increase in growth investment expenses and the impact of amortization of goodwill and intangible assets. However, excluding
Slide 6: Prescription Pharmaceutical Wholesale Business (MEDICEO Business)
Prescription Pharmaceutical Wholesale Business (MEDICEO Business) (\ billion) FY2022 FY2023 Results Plan Results Change YoY Change % of Change % of Change (% of Net Sales) (% of Net Sales) (% of Net Sales) from Plan 2,189.6 2,256.0 2,295.7 +106.1 +4.8% +39.7 +1.8% Net Sales 132.2 144.1 144.1 +11.8 +
Slide 7: MEDICEO Business [Change Factors from FY2022]
MEDICEO Business [Change Factors from FY2022] Operating Profit decreased ¥4.4 billion. The factors were the decrease in the transient profits related Covid 19 vaccine recorded in FY2022 and the impact of business investment expenses. Amount YoY Change Change factors from FY2022 • Due to the impact o
Slide 8: Cosmetics, Daily Necessities and OTC Pharmaceutical Wholesale Business (PALTAC Business)
Cosmetics, Daily Necessities and OTC Pharmaceutical Wholesale Business (PALTAC Business) (\ billion) FY2022 FY2023 Results Plan Results Change from YoY Change % of Change % of Change Plan (% of Net Sales) (% of Net Sales) (% of Net Sales) 1104.1 1142.0 1151.9 +47.8 +4.3% +9.9 +0.9% Net Sales 82.3 86
Slide 9: PALTAC Business [Change Factors from FY2022]
PALTAC Business [Change Factors from FY2022] Record-high Sales and Operating Profit Increased demand for going-out related products (cosmetics and pharmaceuticals) due to increased in Outings. Gross Profit increased due to increased Sales, and SG&A expense ratio improved because of productivity
Slide 10: Animal Health Products and Food Processing Raw Materials Wholesale (AGRO・FOOD Business)
Animal Health Products and Food Processing Raw Materials Wholesale and Related Business (AGRO・ FOOD Business) (\ billion) FY2022 FY2023 Results Plan Results Change from YoY Change % of Change % of Change (% of Net Sales) (% of Net Sales) (% of Net Sales) Plan 73.9 116.0 114.0 +40.0 +54.2％ -1.9 -1.7％
Slide 11: AGRO・FOOD Business [Change Factors from FY2022]
AGRO・ FOOD Business [Change Factors from FY2022] Sales increased significantly due to MP Gokyo F&C becoming a consolidated subsidiary. Operating Profit increased slightly due to the impact of an increase in SG&A expenses due to the amortization of goodwill and intangible assets. Operating Profit inc
Slide 12: Shareholder Returns
Shareholder Returns Increased dividends and acquired treasury stock in accordance with the return policy established during the medium-term vision period Shareholder return This ratio is applied to earnings before amortization policy during the medium-term vision Total shareholder return ratio 40％ o
Slide 13: Contents
Contents １．Financial Results for the FY Ended March 31, 2024 ２．Initiatives for the FY Ending March 31, 2025 ３．Appendix Copyright © 2024 MEDIPAL HOLDINGS CORPORATION, All rights reserved. 13
Slide 14: Forecast of Consolidated Results for the FY2024
Forecast of Consolidated Results for the FY2024 Expected to achieve increased sales and operating income in each business segment while promoting transformation （\ billion） Consolidated MEDICEO Bisiness PALTAC Business AGRO･FOOD Business YoY YoY YoY YoY （% of Net （% of Net （% of Net （% of Net Sales）
Slide 15: Expansion of Overseas Business: Ultra-Rare Disease Drugs
2027 MEDIPAL Medium-Term Vision Growth Strategies Expansion of Overseas Business Promoting the development and commercialization of drugs for ultra-rare diseases created by JCR Pharma ■ JR-446 ⇒ Phase I/II clinical trial is scheduled to begin in the first half of FY2024 ■ JR-471 ⇒ Acquisition of non
Slide 16: Obtaining Early Approval and Supplying Patients Worldwide: JR-446
2027 MEDIPAL Medium-Term Vision Growth Strategies Expansion of Overseas Business Obtaining the early approval and supplying to patients around the world Contributing to the treatment of patients suffering from diseases for which there is no cure Expecting a higher operating profit margin than ex
Slide 17: Acquiring all shares of PreMedica Inc.
2027 MEDIPAL Medium-Term Vision Growth Strategies Expansion of Preventive and Pre-Disease Business Acquiring all shares of PreMedica Inc. ■ Responding to the shift in medical care from “treatment” to “preventive and pre-disease” ■ Expecting synergistic effects since MEDIPAL's growth strategy and Pri
Slide 18: Value Co-creation in Community Healthcare
2027 MEDIPAL Medium-Term Vision Growth Strategies Value Co-creation in Community Healthcare Utilizing MEDIPAL’s unique strengths (Two "A"s), creating value in distribution for a new era ＡＬＣ(Area Logistics Center) ＡR(Assist Representatives) A state-of-art distribution center Those who passed the MR q
Slide 19: Initiatives for PALTAC CORPORATION Business
Initiatives for PALTAC CORPORATION Business PALTAC CORPORATION has established the new three-years medium-term management plan, which concludes in fiscal year ending March 31, 2027 “PALTAC VISION 2027” ～ Constructing the foundation for transformation through structural reform～ This new three-years m
Slide 20: MEDIPAL Group's Decarbonization efforts
MEDIPAL Group’s Decarbonization efforts Endorsed the TCFD*1 recommendations in October 2022. Promoting efforts to realize a sustainable society by building a distribution system that is more environmentally friendly Greenhouse gas emissions Reduction target FY2023 FY2030 FY2050 （Scope1・２） 16％ reduct
Slide 21: Shareholder returns for the FY2024
Shareholder returns for the FY2024 Shareholder return This ratio is applied to earnings before amortization policy during the medium-term vision Total shareholder return ratio 40％ of goodwill and intangible assets arising from the growth investments set forth in the Medium-Term period Vision. Divide
Slide 22: Change the 卸 Forever ~Constant Innovation~
Change the 卸 Forever ～Constant Innovation～ Oroshi Growing through business portfolio prioritizations FY2026 and collaboration with partners Challenge to further FY2024 improve corporate value Accelerating transformation by strengthening growth investment Being a proactive leader Realizing “Sharing
Slide 23: Contributing to people's health and the advancement of society
Contributing to people’s health and the advancement of society through creation of value in distribution
Slide 24: Contents
Contents １．Financial Results for the FY Ended March 31, 2024 ２．Initiatives for the FY Ending March 31, 2025 ３．Appendix Copyright © 2024 MEDIPAL HOLDINGS CORPORATION, All rights reserved. 24
Slide 25: Appendix① New Businesses (Included in MEDICEO Business)
Appendix① New Businesses (Included in MEDICEO Business) (\ billion) FY2020 FY2021 FY2022 FY2023 AR 1.7 1.6 1.5 1.0 PFM® 4.8 7.8 7.8 8.0 PMS 0.3 0.1 0.5 0.3 Digital business, others -0.4 -0.4 -0.5 -0.6 Total* (Gross Profit) 6.4 9.1 9.2 8.7 * Gross profit from new businesses we are undertaking using t
Slide 26: Appendix② Investment in MNES Inc.
Appendix② Investment in MNES Inc. (through MEDIPAL Innovation Fund) Both companies will create synergies in anticipation of an era when medical information will be fully cloud-based. ■ Undertakes third-party allotment capital increase of MNES Inc. which develops medical support cloud services, etc.
Slide 27: Contributing to people's health and the advancement of society
Contributing to people’s health and the advancement of society through creation of value in distribution