Laurus Labs Ltd. · NSE:LAURUSLABS
Laurus Labs — Q2 FY20 Earnings Presentation
30 slides from Laurus Labs's earnings presentation, Oct 31, 2019
Slide 1: Cover letter to stock exchanges
laurus labs limited Corporate Office 2nd Floor, Serene Chambers, Road No. 7 Banjara Hills, Hyderabad- 50003Lt, Telangana, India T +91 LtO 3980Lt333 I 23Lt2 0500 I 501 LAURUS Labs F +91 LtO 3980 Lt320 Knowledge . Innovation . Excellence October 31 , 2019 To To The Corporate Relations Department The L
Slide 2: Laurus Labs Q2 & H1 FY20 Investor Presentation
LAURUS LABS LIMITED Q2 & H1 FY20 INVESTOR PRESENTATION October 31, 2019 BSE: 540222 NSE : LAURUSLABS
Slide 3: Disclaimer
Disclaimer This presentation contains statements that constitute “forward looking statements” including and without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to our future business developments and economic performance. While these
Slide 4: Business Snapshot
Business Snapshot - API -FDF Overview • Development, manufacture and sale • Developing and manufacturing • Contract development and • Sale and manufacture of of APIs and Advanced Intermediates oral solid formulations for LMIC, manufacturing services for specialty ingredients for use in • Leadership
Slide 5: Growth Verticals – Diversified Pharma Company
Growth Verticals – Diversified Pharma Company • Leveraging API Synergies for Forward Integration • Targeting various high growth markets like LMIC, US, Canada, & Europe Formulations • Therapeutic Focus Areas remains on key segments of ARV, CVS, CNS, PPI & Anti Diabetic • Focus on supplies of key sta
Slide 6: Formulations Business
Formulations Business
Slide 7: Formulations Strategy – Emerging Markets
Formulations Strategy – Emerging Markets Growth Levers • ARV Tender business from LMIC remains the forefront of our Formulations Strategy. Overview • Formulation Filings are deeply backword Integrated giving further cost advantage compared to peers Participation via – Global Fund tenders, PEPFAR, WH
Slide 8: Formulations Strategy – Developed Markets
Formulations Strategy – Developed Markets Current Filings Status Current Approval Status Therapy US ANDA Europe Canada Therapy US ANDA Europe Canada ARV 11 4 4 Final Approval 5 4 4 Anti- Diabetic 3 1 1 Tentative CVS 2 - - Approval 3 - - CNS 1 1 1 Total 8 4 4 Others 4 - 1 Total 21 6 7 North America •
Slide 9: Synthesis Business
Synthesis Business
Slide 10: Synthesis (CDMO) Business Strategy
Synthesis (CDMO) Business Strategy 2552 1541 1075 1193 761 FY 16 FY 17 FY 18 FY19 H1 FY20 Synthesis Revenue (INR Mn) OVERVIEW • State-of-the-art cGMP facilities to manufacture NCEs • Integrated projects from Pre Clinical to Commercial stages • Working with Large Global Innovator Pharmaceutical Compa
Slide 11: Generic API Business
Generic API Business
Slide 12: Generic APIs Strategy
Generic APIs Strategy • Oncology - Growth in the segment will be led by new launches and increase in market share of existing products • Strengthening Global Leadership in current products • Other API - Huge growth opportunity on offer with global supply disruptions in the market • Focusing on key t
Slide 13: Infrastructure & R&D
Infrastructure & R&D
Slide 14: Manufacturing Facilities at Parawada, Vizag
Manufacturing Facilities at Parawada, Vizag Unit-I • Located at Jawaharlal Nehru Pharma City, Vishakhapatnam, India. • API manufacturing facility and includes capacity for ingredients, synthesis and contract manufacturing. • Commenced operations in 2007. • 324 reactors with 1,199 Kilo Liters capacit
Slide 15: Manufacturing Facilities at Achutapuram, Vizag
Manufacturing Facilities at Achutapuram, Vizag Unit-II • Located at APIIC, Achutapuram, Visakhapatnam, India. (SEZ) • FDF and API manufacturing facility • Commenced operations in 2017. • FDF - capacity of 5 bn tablets/capsules per year. • API block with 12 reactors with 83 Kilo Liters capacity. • Re
Slide 16: Strong R&D Capabilities
Strong R&D Capabilities R&D Centre - Hyd 1,659 1,338 1,135 853 802 7.4% 7.1% 5.6% 4.8% 6.4% FY16 FY17 FY18 FY 19 H1 FY 20 R&D Spend % of Revenue 50+ 58 247 21 750+ 54 Products Filed Patents ANDAs/ NDAs Scientists PhDs commercialized DMFs filed since inception 5&3 98 Patents Final & granted Tentative
Slide 17: Quality Focus & Regulatory Audits
Quality Focus & Regulatory Audits Laurus’ Philosophy “One Quality Standard for all markets” Regular Inspection at different manufacturing units 2019 USFDA, ANVISA, KFDA We maintain consistent quality, efficiency and product 2018 USFDA, JAZMP - Slovenia safety. 2017 WHO, USFDA, EU (Germany) We have a
Slide 18: Financial Performance
Financial Performance
Slide 19: Drivers of Revenue – Division-wise revenue breakup
Drivers of Revenue – Division-wise revenue breakup 2% 3% Total Revenues showed a robust growth of 21% for the quarter 9% 19% 10% (Y-o-Y) & 12% for H1 (Y-o-Y) 22% 23% 9% 7% Generic API 3% 4% 4% 8% 8% • ARV Segment revenue grew sequentially by 10%. Improved 11% 9% 5% 8% 6% growth was led by better
Slide 20: Performance Highlights - Abridged Profit & Loss statement
Performance Highlights - Abridged Profit & Loss statement Growth % Growth % Growth % Particulars (Rs. mn) Q2 FY20 Q2 FY 19 (Q2 FY20 Vs. Q1 FY 20 (Q2 FY20 Vs. H1 FY20 H1 FY19 (H1 FY20 Vs. Q2 FY 19) Q1 FY 20) H1 FY19) Total Revenues from Operations (Net) 7,124 5,883 21.1% 5,506 29.4% 12,630 11,273 12.
Slide 21: Abridged Balance Sheet
Abridged Balance Sheet As on As on Particulars (Rs. mn) 30.09.2019 31.03.2019 EQUITY AND LIABILITIES Shareholders' funds Share capital 1,069 1,064 Reserves and surplus 15,088 14,520 Non-current liabilities 3,294 3,489 Current liabilities 16,710 14,239 Total 36,161 33,312 ASSETS Non-current assets 1,
Slide 22: Snapshot of Return Ratios
Snapshot of Return Ratios Pre Tax Return on Capital Return on Equity(2) (%) Total Debt/Equity Ratio (x) Employed(1) (%) 16.5% 16.5% 17.0% 17.4% 1.2x 1.1x 14.5% 13.7% 12.7% 11.9% 10.1% 9.0% 0.7x 0.7x 0.7x 8.2% 0.6x 6.2% FY15 FY16 FY17 FY 18 FY 19 FY 20 FY15 FY16 FY17 FY 18 FY 19 FY 20 FY15 FY16 FY17
Slide 23: Key Milestones
Key Milestones • Investment of INR 3000 mn by • Investment of INR Warburg Pincus • Crossed INR 20 billion of revenue 600 mn by FIL • Incorporated First • Commenced commercial operations • Set up the R&D Capital Subsidiary in USA. • Successfully listed on BSE &NSE from Unit 4 Centre at IKP, Managemen
Slide 24: Management Team
Management Team Mr. Tom Versosky Mr. Chandrakanth Chereddi President FDF North America ED & Head, Generics FDF & Strategy Dr. Prafulla Kumar Nandi SVP, Global Regulatory Affairs Mr. Ravi kumar V V Mr. G Venkateshwar Reddy (Formulations) ED &CFO CS and Sr. GM – Legal & Secretarial Dr. Satyanarayana C
Slide 25: Corporate Governance
Corporate Governance Executive Directors Name Background Dr Satyanarayana Chava Whole-time Director, Founder and Chief Executive Officer Ravi Kumar V V Whole-time Director and CFO Chandrakanth Chereddi Whole-time Director and Head of Generic FDF and Strategy Dr Lakshmana Rao C V Whole-time D
Slide 26: Ownership Structure
Ownership Structure Corporate Structure Laurus Labs Limited India Laurus Synthesis Laurus Holdings All are 100% Sriam Labs Pvt Ltd. Inc. Ltd. Subsidiaries India USA UK Laurus Generics Laurus Generics Inc. GmbH. USA Germany Shareholding pattern * 32.7% 4.9% 12.5% 1.5% 0.4% 19.6% 5.8% 22.6% Promoter F
Slide 27: Awards 2019
Awards 2019 PORTER PRIZE 2019 NATIONAL SAFETY PHARMAEXCIL Laurus Labs won the prestigious Porter Prize 2019. The AWARD AWARD eponymous award was presented to Dr. Satyanarayana Chava, Founder & CEO, Laurus Labs, by Dr. Bibek Debroy, Laurus Labs, Unit 1 & Unit 3 won the Laurus Labs won the Pharmexcil
Slide 28: Results Conference Call
Results Conference Call Results conference call on Friday November 01, 2019 at 11:00 AM IST Details of the conference call are as follows: Timing 11:00 AM IST on Friday, November 01, 2019 Conference dial-in Universal Dial-In +91 22 6280 1214 India Local access Number +91 7045671221 Available all ove
Slide 29: Contact us
Contact us About Laurus Labs Ltd. Laurus Labs is a leading research driven Pharmaceutical manufacturing Company in India. We have grown to become one of the leading manufacturers of API for Anti-Retroviral (ARV), Oncology, Cardiovascular, Anti-Diabetics, Anti-Asthma and Gastroenterology .We are thri
Slide 30: Thank You
Thank You