Ajanta Pharma Limited · NSE:AJANTPHARM
Ajanta Pharma — Q3 FY2023 Earnings Presentation
22 slides from Ajanta Pharma's earnings presentation, Feb 1, 2023
Slide 1: Investor Presentation
Investor Presentation 1st February 2023 Strictly Private and Confidential 1 February 2023 1 of 44 Important Disclosure Except for the historical information contained herein, statements in this presentation and any subsequent discussions, which include words or phrases such as 'will', 'aim', 'will l
Slide 2: Contents
1 Overview PAGE 4 2 Branded Generic Business PAGE 9 3 Africa Institution Business PAGE 19 4 US Generic Business PAGE 21 Contents 5 Manufacturing and R&D PAGE 23 6 Strategy Initiatives and Levers for Growth PAGE 26 7 Sustainability Initiatives PAGE 28 8 1st February 2023 PAGE Financial 30 3 of 44 Aja
Slide 3: Who Are We Today? Diversified Branded Generics Company
Who Are We Today? - Diversified Branded Generics Company Led by a Strong India Business Company Overview Well-diversified branded business spread across India, Africa and Asia Strong Product Portfolio with track record of out-growing the Market led by first-to-market strategy Chronic focused p
Slide 4: Diversified Revenue Streams with Focus on Branded Generics
Diversified Revenue Streams with Focus on Branded Generics 9M FY 2023 9M FY 2022 Branded Generics - 73% Branded Generics - 72% US US Generics Generics 22% India 22% India 31% 30% Africa Instn. INR Africa Instn. INR 2,837 Cr 2,423 Cr 5% 6% Africa Africa 16% Asia Asia 19% 26% 23% 1st February 2023 7 o
Slide 5: India - Scaled Franchise with Consistent Organic Growth
Branded Generic Business - India 1st February 2023 9 of 44 India - Scaled Franchise with Track Record of Consistent Organic Growth 27th 4th 65% 12% 2,800+ 250,000+ Rank in IPM Rank in Covered Market Chronic Sales DPCO Exposure MRs Doctors Covered Focused Presence with Rank Improvement Across Therapi
Slide 6: Focused Presence in Key Therapy Areas
Focused Presence in Key Therapy Areas Cardiac Ophthal Derma Pain #9 9 #2 2 #2 2 #10 #1 10 CVM rank(1) 40% 31% 21% 8% Contribution to India revenue (9M FY 2023) Top Brands 515 571 402 163 356 297 268 238 116 341 185 MAT Sales 72 (INR Cr)(1) Mar-20 Mar-22 Dec-22 Mar-20 Mar-22 Dec-22 Mar-20 Mar-22 Dec-
Slide 7: Distinctive Strategy of Launching Novel First-to-Market Products
Distinctive Strategy of Launching Novel First-to-Market Products… 50% 150+ 6 First to launch products in portfolio 1st to Market Products 1st to Market launches in 9M FY23 MAT Growth from New Launches (%) # of new launches in the domestic market # 9.2% 32 28 25 21 21 5.4% 5.3% 5.4% 18 4.7% 16 3.8% 4
Slide 8: Asia Business - Front-End Presence in All the Markets
Branded Generic Business - Asia 1st February 2023 15 of 41 Asia Business – Front-End Presence in All the Markets Provides Additional Edge Front-End Presence in 10 Asian Markets Kazakhstan Kyrgyzstan Uzbekistan Turkmenistan Jordan Philippines Sri Lanka Overview Revenue (INR Cr.) Branded generics pr
Slide 9: Africa Business - Branded Business Growing at Double-Digit Rate
Branded Generic Business - Africa 1st February 2023 17 of 44 Africa Business – Branded business Growing at Healthy Double-Digit Rate Over the Last Three Years Front-end Presence in 20 African Countries Overview Senegal Spread over 20 countries across Franco Africa and Anglo Africa Therapy presen
Slide 10: Africa Institutional Business - Tender-Driven Business
Africa Institutional Business 1st February 2023 19 of 44 Africa Institutional Business – Tender-Driven Business with Supplies to Key Funding Agencies Overview Key Customers 1st Generic Company to obtain WHO Pre-Qualification for difficult anti-malarial product Artemether + Lumefantrine Tabs Treated
Slide 11: US - Gradually Scaling Generics Business Driven by New Launches
US Generic Business 1st February 2023 21 of 44 US – Gradually Scaling Generics Business Driven by New Launches Overview Revenue (INR Cr) 9 39 products on Shelf 637 696 631 516 9 Strategy of selective play in the market with the launch of limited competition products FY20 FY21 FY22 9M FY23 New Produc
Slide 12: Expansive Manufacturing Footprint with 7 World Class Facilities
Manufacturing and R&D 1st February 2023 23 of 44 Expansive Manufacturing Footprint with 7 World Class Facilities… Dahej, Gujarat Paithan, Aurangabad 9 Tablets, capsules & 9 Tablets, capsules powder & dry powder Pithampur, Madhya Pradesh Guwahati, Assam 9 Tablets and 9 Tablets, sterile eye drops, Cap
Slide 13: State-of-the-Art R&D Centre in Mumbai, India
…Supported by a State-of-the-Art R&D Centre in Mumbai, India Ajanta Research Centre, Mumbai Strong Capabilities 9 Formulation Development 9 Analytical Development 9 API Development 9 Bio-Analytical Testing Lab 9 Drug Regulatory Affairs 9 IPR & QA R&D Spend in FY2023 - Q3 Rs. 61 cr., 9M Rs. 174 cr. W
Slide 14: Strategy Initiatives and Levers for Growth
Strategy Initiatives and Levers for Growth 9 Enhance our capital allocation to Branded Generic business of India, Asia & Africa. 9 Productivity Enhancement of Field Force to Improve Profitability. 9 Aggressive product registrations across the Branded Generic markets. 9 Addressable branded generic ma
Slide 15: Sustainability Initiatives: Effective Business Practices
Effective Business Practices with Key Principles in Place 9 Environment friendly process 9 Ensures resource efficiency and low-carbon processes 9 50% from Green (Solar) Energy by FY23 & technologies deployment 9 Zero liquid discharge 9 Recycle and reuse of wastewater 9 Promoting Green across all man
Slide 16: Consolidated Sales - Q3
Consolidated Branded Generic Sales – Q3 Total Branded Generic (Rs. cr.) India Branded Asia Branded Africa Branded (Rs. cr.) (Rs. cr.) (Rs. cr.) 8% (13%) 667 13% 17% 620 166 228 294 145 260 194 Q3 FY22 Q3 FY23 Q3 FY22 Q3 FY23 Q3 FY22 Q3 FY23 Q3 FY22 Q3 FY23 1st February 2023 31 of 44 Consolidated Sal
Slide 17: Consolidated Sales - 9M
Consolidated Branded Generic Sales – 9M Total Branded Generic (Rs. cr.) India Branded Asia Branded Africa Branded (Rs. cr.) (Rs. cr.) (Rs. cr.) 19% 2% 2,065 20% 31% 451 458 1,739 888 719 737 551 9M FY22 9M FY23 9M FY22 9M FY23 9M FY22 9M FY23 Q3 FY22 Q3 FY23 1st February 2023 33 of 44 Consolidated S
Slide 18: Consolidated P&L - Q3 and 9M FY2023
Consolidated P&L – Q3 FY 2023 (INR Cr) Q3 FY 2022 % to RO Q3 FY 2023 % to RO % Growth Revenue from Operations (RO) 838 972 16% COGS (189) 23% (269) 28% Gross Profit 649 77% 703 72% Employee Benefit (162) 19% (192) 20% Other Expenses (247) 29% (340) 35% EBITDA 240 29% 170 17% (29%) EBITDA after adjus
Slide 19: Track Record of Rapid Growth and High Profitability
Track Record of Rapid Growth and High Profitability Revenue EBITDA and Margin % PAT and Margin % (INR Cr.) (INR Cr.) (INR Cr.) 14% 26.4% 34.6% 27.8% 22.1% 18.1% 22.6% 21.3% 16.3% CAGR 3,341 2,890 Adjusted 2,861 999 EBITDA 2,588 929 removing forex derivative loss of Rs. 43 cr. 713 683 654 631 468 466
Slide 20: Healthy Earnings and Pay Out Track Record
Healthy Earnings & Pay Out Track Record EPS Payout (Dividend & Buyback) & Margin% Book Value per share (INR) (INR Cr.) (INR) 82 378 25% 38% 61% 19% 76 346 436 298 54 251 116 90 FY20 FY21 FY22 FY20 FY21 FY22 FY20 FY21 FY22 9M-FY23 1st February 2023 39 of 44 Healthy Working Capital Cycle Receivable Da
Slide 21: Overview of Capex Cycle
Overview of Capex Cycle Aggressive Capex Cycle Over FY17-21 (INR Cr.) 343 299 263 239 172 149 114 FY17 FY18 FY19 FY20 FY21 FY22 9M FY23 Invested close to ~INR 13b in capex over FY17-21, in its Guwahati / Dahej / Pithampur facilities These facilities are now operating at utilization levels of 50-60%
Slide 22: Thank You - Earnings Conference Call Details
Q3 FY23 Earnings Conference Call Date and Time February 01, 2023 at 1600 – 1700 hrs IST 1830 – 1930 hrs SST/HKT 1130 – 1230 hrs BST 0530 – 0630 hrs US ET Dial-in Numbers Universal Primary Access: +91 22 6280 1542 Earnings Conference Call Dial-in Access +91 22 7115 8372 Information International Toll