Aft Pharmaceuticals Ltd. · NZX:AFT
Aft Pharmaceuticals — Shareholder Meeting (September 2020)
35 slides from Aft Pharmaceuticals's shareholder meeting presentation, Sep 8, 2020
Slide 1: Maxigesic around the world
Maxigesic around the world For personal use only Belgium/Luxembourg – RX New Zealand – OTC Australia – OTC Italy – RX Launch pending 20 Launched Oct 09 Launched Feb 14 Launched April 15 CACM- OTC UAE – OTC Ireland – OTC Singapore/Malaysia Launched July 18 Launched Jan 15 Launched July 18 OTC launche
Slide 2: Annual Shareholders Meeting 8 September 2020
For personal use only Working to improve your health Annual Shareholders Meeting 8 September 2020
Slide 3: Important Notice
Important Notice For personal use only This presentation has been prepared by AFT Pharmaceuticals Limited (“AFT”), to provide a general overview of the performance of AFT for the financial year ended 31 March 2020. It is not prepared for any other purpose and must not be provided to any person other
Slide 4: Chairman's Introduction
CHAIRMAN’S INTRODUCTION For personal use only ASM SEP 2020 David Flacks 4
Slide 5: Directors and Executives Introductions
For personal use only DIRECTORS AND EXECUTIVES INTRODUCTIONS ASM SEP 2020 5
Slide 6: Online Attendees – Question Process
ONLINE ATTENDEES – QUESTION PROCESS For personal use only • When the Question function is available, the Q&A icon will appear at the top of the app. • To send in a question, simply click in the ‘Ask a question’ box, type your question and the press the send arrow • Your question will be sent immedia
Slide 7: Online Attendees – Voting Process
ONLINE ATTENDEES – VOTING PROCESS For personal use only • When the poll is open, the vote will be accessible by selecting the voting icon at the top of the screen • To vote simply select the direction in which you would like to cast your vote, the selected option will change colour. • There is no su
Slide 8: Agenda
AGENDA For personal use only Chairman’s address Chief Executive Officer’s Presentation Shareholder Questions Ordinary Resolutions ASM SEP 2020 8
Slide 9: Highlights, Capital Structure and Funding, Governance
For personal use only Highlights Capital Structure and funding Governance ASM SEP 2020 9
Slide 10: FY 2020 Highlights
FY 2020 Highlights For personal use only 40% Increase in no. countries Maxigesic sold in to 28 24% Increase in operating revenue to NZ$105.6m 87% Increase in normalised operating profit1 to NZ$11.4m 229% Increase in normalized net profit after tax to NZ$5.3m $13.8m Increase in operating cashflow to
Slide 11: AFT's success founded on 130+ OTC and Rx products
AFT’s success founded on 130+ OTC and Rx products AFT’s product portfolio is strong in the pain, eyecare, vitamins and For personal use only supplements, allergy, gastrointestinal health, dermatology and hospital categories. ASM SEP 2020
Slide 12: Maxigesic is gaining traction globally
Maxigesic is gaining traction globally For personal use only US$440m* 125+ 28 Territories in which ASM SEP 2020 Sales potential of Territories in which Maxigesic IV in Maxigesic in Maxigesic tablets were Western Europe, various dose sold in FY2020, up from Japan and the US forms is licensed 20 a yea
Slide 13: Capital restructure increases AFT's investor appeal
Capital restructure increases AFT’s investor appeal For personal use only Free float pre share issue Free float post share issue 11% 31% CRG 16% Atkinson Family Free Float 73% 69% • Bank debt refinanced at New Zealand commercial rates • Capital raising to reduce debt and increase free cash flow and
Slide 14: AFT's governance continues to evolve
AFT’s governance continues to evolve For personal use only • CRG share sale precipitated the departure of Nate Hukill as director of the company • AFT is grateful to CRG and Nate’s longstanding support for the company • A search is underway for a replacement Director with complementary skills • AFT
Slide 15: AFT has started the year well
AFT has started the year well For personal use only • AFT is well supported by a strong board, management team and a committed crew • We have faced significant challenges in the last year but the whole team has worked well together and deserve thanks from shareholders • AFT is now in a stronger posi
Slide 16: CEO's Presentation
CEO’s PRESENTATION For personal use only ASM SEP 2020 Hartley Atkinson 16
Slide 17: AFT financials at a glance
AFT financials at a glance 10 year operating revenue CAGR of 14% 120 For personal use only Operating revenue (NZ$m) 100 106 80 85 80 60 69 64 56 40 49 40 33 34 20 26 28 23 17 8 12 0 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 Financial year ended 31 March Operating cash flow Oper
Slide 18: Revenue Growth in Home and International Markets
Revenue Growth in Home and International Markets • Continued growth in established markets of Australia and NZ For personal use only • Significant growth in Southeast Asia and Rest of World starting to come through post registration and distribution agreements FY2019 FY2020 FY2019 FY2020 50.3 61.4 5
Slide 19: Abbreviated Consolidated Income Statement
Abbreviated Consolidated Income Statement • Operating leverage starting to show as revenue continues to grow. Expenses largely falling as a % of revenue. For personal use only NZ$'000's year ended 31 March 2020 % of 2019 % of revenue revenue Revenue 105,597 85,127 Gross Profit 48,265 45.7% 40,730 47
Slide 20: Abbreviated Balance Sheet
Abbreviated Balance Sheet • Replaced short term debt with longer term debt at more commercial rates • Significant increase in shareholders equity For personal use only NZ$'000's year ended 31 March 2020 2019 Current assets 49,217 44,345 Cash 6,119 6,916 Non-current assets 31,716 12,334 Total assets
Slide 21: Abbreviated Cashflow
Abbreviated Cashflow For personal use only • Significant increase in operating cashflow NZ$'000's year ended 31 March 2020 2019 Net cash from operating activities 14,878 1,067 Net cash used in investing activities (6,562) (4,884) Net cash (used) / generated from financing activities (9,117) 3,723 Ne
Slide 22: Growth drivers - Australasia
Growth drivers - Australasia AU: Volume growth of existing products NZ: Vitamins For personal use only ― Capitalise on Maxigesic #1 market ― Vitamin C Liposachets – new flavour plus position (Leads nearest competitor by a children’s variant 11.2%1) ― Vitamin D Liposachets launched ― Hylo-Forte -
Slide 23: Growth drivers – Rest of World
Growth drivers – Rest of World Rest of World and South East Asia represented only 13.3% of FY20 revenue but For personal use only delivered rapid growth of 55% and 130% respectively over FY19 revenue ROW activities contribute to bottom line profit due to licensing model avoiding in market costs
Slide 24: New Products build Revenue Pipeline
New Products build Revenue Pipeline For personal use only Maxigesic IV registrations successfully completed – 21 countries (18 European, Australia, New Zealand, UAE) Maxigesic Oral Liquid registration underway in Europe, Australia and New Zealand Maxigesic Hot Drink Sachets registration underway Dec
Slide 25: R&D pipeline
R&D pipeline Pascomer: Treatment of facial angiofibromas For personal use only Stabilised formulation using proprietary AFT technology Licensed for North America to Timber Pharmaceuticals LLC Granted Orphan Drug designation US IND opened Global Phase II study expected to be completed durin
Slide 26: Maxigesic Countries sold and ordered
Maxigesic Countries sold and ordered • Expecting a more than tripling of the number of countries Maxigesic is sold in over the For personal use only next 2 years 140 120 100 80 60 125 40 20 66 ASM SEP 2020 2 43 0 3 4 7 20 FY14 9 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 26
Slide 27: Maxigesic Global Update
MAXIGESIC GLOBAL UPDATE [primarily oral dose forms] L i c e n s e d in R u s s i a I r el and – l a u n c h e d S i n g a p o r e & Br unei – l aunc hed i nc l udi ng O T C Uni ted K i n g d o m – l a u n c h e d C h i n a - l i c e n s i ng n e g o t i a t i o n s u n d e r w a y For personal use o
Slide 28: Outlook
Outlook Further drive International Sales For personal use only Keep accelerating number of new countries launched Launching new line extensions (e.g. Maxigesic IV) Extend International Licensing Finalise licensing agreement discussions in China, Japan, LATAM and USA Additional 6 EU nations
Slide 29: Questions and Answers
For personal use only ASM SEP 2020 29 ANSWERS QUESTIONS AND
Slide 30: Resolutions
For personal use only ASM SEP 2020 30 Resolutions
Slide 31: Ordinary Resolution 1
For personal use only Ordinary Resolution 1 1. That the directors are authorised to fix the fees and expenses of Deloitte as auditor for the 2021 financial year. ASM SEP 2020 31
Slide 32: Ordinary Resolution 2
Ordinary Resolution 2 For personal use only 2. That Marree Atkinson be re- elected as a director of AFT Pharmaceuticals Limited. ASM SEP 2020 32
Slide 33: Voting
Voting For personal use only • select the voting icon at the top of the screen • To vote simply select the direction in which you would like to cast your vote, the selected option will change colour. • There is no submit or send button, your selection is automatically ASM SEP 2020 recorded. 33
Slide 34: General Business
For personal use only ASM SEP 2020 35 General Business
Slide 35: Close of Meeting
For personal use only Close of Meeting Thanks for attending ASM SEP 2020 36
AFT Pharmaceuticals — Shareholder Meeting (September 2020) on 6ix