Jubilant Pharmova Limited · NSE:JUBLPHARMA
Jubilant Pharmova — Jubilant Life Sciences — Q4 FY14 Earnings Presentation
26 slides from Jubilant Pharmova's earnings presentation, May 26, 2014
Slide 1: Financial Results Quarter Ended March 31, 2014
Financial Results Quarter Ended March 31, 2014
Slide 2: Disclaimer
Disclaimer Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential product characteristics and uses, product sales potential and target dates f
Slide 3: Conference Call Details
Conference Call Details Date : Monday, May 26, 2014 Time : 05:00 pm IST Primary Number: +91 22 3938 1071 Secondary Number: +91 22 6746 8354 6000 1221 Available in – Ahmedabad, Bengaluru, Chennai, Cochin, Delhi, Gurgaon, Hyderabad, Kolkata, Noida. Accessible from all major carriers except BSNL/MTNL.
Slide 4: Q4 FY14 Results Analysis
JUBHANT LIFESCIENCES Q4 FY14 Results Analysis
Slide 5: Key Business Segments – Q4'FY14
Key Business Segments – Q4’FY14 Jubilant Life Sciences Pharmaceuticals Life Science Ingredients (45%) (55%) Generics Active Pharmaceutical Ingredients Advanced Intermediates Solid Dosage Formulations and Specialty Ingredients Specialty Pharmaceuticals (Sterile Products) Radiopharmaceutical
Slide 6: Income Statement – Q4'FY14
Income Statement – Q4’FY14 Particulars Q4'FY13 Q3'FY14 Q4'FY14 YoY Growth QoQ Growth (Rs Crs) (%) Total Income from Operations 1,393 1,444 1,562 12% 8% Total Expenditure 1,161 1,193 1,317 Other Income 5 4 5 EBITDA including Other Income 237 255 251 6% -2% Depreciation 70 73 69 Finance Cost 59 69 65
Slide 7: Financial Highlights – Q4'FY14
Financial Highlights – Q4’FY14 • Income from Operations at Rs. 1,562 crs, up 12% YoY • International revenues grew 8% YoY at Rs. 1,160 crs; contribute 74% to total sales • Higher volumes in Life Science Ingredients segment. • Price uptick in Radiopharmaceutical products. • EBITDA at Rs. 251 crs • EB
Slide 8: Segmental Revenue Analysis – Q4'FY14
Segmental Revenue Analysis – Q4’FY14 Revenue (Rs. Crs.) Revenue YoY QoQ Segmental Revenue Analysis Q4'FY13 Q3'FY14 Q4'FY14 Mix (%) Growth % Growth % Pharmaceuticals 703 677 705 45% 0% 4% Life Science Ingredients 690 767 858 55% 24% 12% Income from Operations 1,393 1,444 1,562 100% 12% 8% Inter Divis
Slide 9: Business Highlights – Q4'FY14
Business Highlights – Q4’FY 14 Generics Active Pharmaceutical Ingredients • Higher margins due to continuous cost reduction through processes and yield improvement • 30 commercial APIs, including 19 in North America, 24 in Europe and 25 in ROW • Launched Esomeprazole Mg in Europe • 14 filings during
Slide 10: Business Highlights – Q4'FY14
Business Highlights – Q4’FY 14 Specialty Pharmaceuticals (Sterile products) Radiopharmaceuticals • Growth led by better price realisation • Expected launch of Ruby-fill in FY15 to augment growth CMO of Sterile Injectables • Successful resolution to the FDA Warning Letter for Montreal facility • Rece
Slide 11: Business Highlights – Q4'FY14
Business Highlights – Q4’FY 14 Advanced Intermediates and Specialty Ingredients • Better volume uptick due to higher capacity utilization and new order wins for key products in key markets Nutrition Products • Full capacity utilization for vitamin B3 • Price hike taken for Niacin feed-grade Life Sci
Slide 12: Revenue Analysis – Geography wise – Q4'FY14
Revenue Analysis – Geography wise- Q4’FY14 Geo-wise Revenue (Rs crs) Q4'FY13 Q3'FY14 Q4'FY14 Mix % YoY % ROW 6.2% India 318 350 403 26% 27% China 10.3% International 1,075 1,095 1,160 74% 8% India 25.8% USA & Canada 577 567 581 37% 1% Europe & Japan 304 324 320 21% 5% Europe & Japan China 116 113 16
Slide 13: Operating Expenditure Analysis – Q4'FY14
Operating Expenditure Analysis – Q4’FY14 % of % of YoY QoQ Expenses (Rs Crs) Q4 FY13 % of Sales Q3 FY14 Q4 FY14 Sales Sales Growth % Growth % Material Cost 599 43% 595 41% 695 44% 16% 17% Power & Fuel Cost 91 7% 99 7% 96 6% 6% -3% Employee Cost 249 18% 281 19% 284 18% 14% 1% Other Expenses 222 16% 2
Slide 14: EBITDA Analysis – Q4'FY14
EBITDA Analysis - Q4’FY14 EBITDA (Rs. Crs) Business Segments Q4'FY13 Q3'FY14 Q4'FY14 YoY Growth % QoQ Growth % Pharmaceuticals 164 151 132 -19% -12% Life Science Ingredients 102 118 131 29% 11% Less: Corp Expenses -28 -14 -13 Reported EBITDA 237 255 251 6% -2% Margins (%) YoY Variance (Bps) QoQ Vari
Slide 15: Exceptional Items – Q4'FY14
Exceptional Items - Q4’FY14 Total exceptional items for Q4’FY14 – Rs. 36 crs • Unrealized Mark to Market book gain - Rs. 40 crs mainly on account of • Currency movement of USD, from Rs. 61.81 as on December 31, 2013 to Rs. 59.91 as on March 31, 2014, with respect to Rupee Loan of Rs. 850 Crore swapp
Slide 16: Year End Results Analysis
Year End Results Analysis 15 15
Slide 17: Income Statement – FY14
Income Statement – FY14 Particulars 12M FY13 12M FY14 YoY Growth (Rs Crs) (%) Total Income from Operations 5,166 5,803 12% Total Expenditure 4,110 4,796 Other Income 30 19 EBITDA including Other Income 1,086 1,027 -5% Depreciation 254 281 Finance Cost 240 261 Forex Diff and Interest Swap Cost 59 62
Slide 18: Financial Highlights – FY14
Financial Highlights – FY14 • Income from Operations at Rs. 5,803 crs, rose 12% YoY • Revenue from International markets increases 13% YoY • Revenue growth led by 6% volume growth • Improvement in volumes and pricing in Life Science Ingredients segment • EBITDA at Rs. 1,027 crs • Margins at 17.7% fo
Slide 19: Segmental Revenue Analysis – FY14
Segmental Revenue Analysis – FY 14 Revenue YoY • Company reports strong 12% Revenue Segmental Revenue Analysis (Rs. Crs.) Mix (%) Growth YoY growth during the year FY13 FY14 % • Backed by 6% volume growth Pharmaceuticals 2,663 2,728 47% 2% • Prices remain flattish excluding Active Pharmaceutical Ing
Slide 20: Revenue Analysis – Geography wise – FY14
Revenue Analysis – Geography wise - FY14 Geo-wise Revenue (Rs crs) 12M'FY13 12M'FY14 Mix % YoY % China ROW 8.7% 6.3% India 1,333 1,477 25% 11% International 3,833 4,327 75% 13% India 25.4% USA & Canada 2,134 2,231 38% 5% Europe Europe & Japan 1,061 1,224 21% 15% & Japan China 387 507 9% 31% 20.6% US
Slide 21: Operating Expenditure Analysis – FY14
Operating Expenditure Analysis – FY14 Expenses (Rs Crs) 12M'FY13 % of Sales 12M'FY14 % of Sales YoY Growth % Material Cost 2061 40% 2442 42% 18% Power & Fuel Cost 357 7% 390 7% 9% Employee Cost 963 19% 1105 19% 15% Other Expenses 730 14% 859 15% 18% Total expenses 4110 80% 4796 83% 17% • Material Co
Slide 22: EBITDA Analysis – FY14
EBITDA Analysis - FY14 EBITDA (Rs. Crs) Business Segments 12M'FY13 12M'FY14 YoY Growth % Pharmaceuticals 739 610 -17% Life Science Ingredients 407 483 19% Less: Corp Expenses -60 -67 Reported EBITDA 1,086 1,027 -5% EBITDA Margins (%) YoY Variance (Bps) Pharmaceuticals 27.8% 22.4% -538 Life Science I
Slide 23: Exceptional Items – FY14
Exceptional Items - FY14 Total exceptional items for FY14 at Rs (214)crs • Unrealized Mark to Market book loss Rs (122) crs on account of • Currency movement of USD, from Rs 54.29 as on March 31, 2013 to Rs 59.91 as on March 31, 2014, with respect to Rupee Loan of Rs 850crs swapped into USD Loan • F
Slide 24: Debt Profile
Debt Profile Particulars 31-Mar-13 31-Dec-13 31-Mar-14 Foreign Currency Loans ($ Mn) ($ Mn) ($ Mn) Standalone 299 264 265 Swapped loan in Standalone 202 202 189 Subsidiaries 190 172 199 Total 692 638 652 Rupee Loans (Rs. Crs) (Rs. Crs) (Rs. Crs) Standalone 487 463 406 Total 487 463 406 Gross Debt 4,
Slide 25: Outlook
Outlook Robust Outlook going forward • Sales and EBITDA growth uptrend expected going forward • Pharmaceuticals • Resolution of Warning Letter in Montreal • Focussed attention to resolve US FDA issues in Spokane • Consolidation of global quality system for compliance • New product launches in Generi
Slide 26: For more information
For more information For Investors: Ravi Agrawal Siddharth Rangnekar Jubilant Life Sciences Limited CDR India Ph: +91-120-436 1002 Ph: +91-22-6645 1209 E-mail: ravi_agrawal@jubl.com E-mail: siddharth@cdr-india.com Anupam Jain Karl Kolah Jubilant Life Sciences Limited CDR India Ph: +91-120-436 1021 P
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