Redcare Pharmacy N.v. · XETR:RDC
Redcare Pharmacy — Berenberg Conference USA 2022
19 slides from Redcare Pharmacy's conference presentation, May 2022
Slide 1: Berenberg Conference USA 2022
BERENBERG CONFERENCE USA 2022. 23 & 24 MAY
Slide 2: Presenting Europe's leading customer-centric e-pharmacy platform
2 PRESENTING EUROPE‘S LEADING CUSTOMER-CENTRIC E-PHARMACY PLATFORM. JASPER EENHORST, CFO. STEFAN FELTENS, CEO.
Slide 3: A first-mover and leader in Europe
3 A FIRST-MOVER AND LEADER IN EUROPE. 2022 2021 2021 2016 2014 2001 2010 Acquisition of FIRST A. Acquisition of New, world class SMARTPATIENT Now have well IPO Frankfurt established logistics centre and MEDAPP. Founded. Spin-off from a Start of Stock (Venlo). presence in: local pharmacy, European Ex
Slide 4: Shop Apotheke Europe at a glance
4 SHOP APOTHEKE EUROPE AT A GLANCE. COMBINING OTC, BPC & RX OFFERINGS. SERVING ALL AGE GROUPS. LEADERSHIP POSITION IN EUROPE. 7 COUNTRIES. 8,3 MILLION CUSTOMERS. > 1,800 EMPLOYEES. > 1 B € SALES 2021. OFFICE HUBS IN SEVENUM, COLOGNE. BERLIN, MUNICH, WARSAW AND MILAN.
Slide 5: Our goal
5 OUR GOAL. APPAREL ELECTRONICS PHARMA LEADING ONLINE BRAND No significant LEADING offline brand in Continental OFFLINE BRAND Europe
Slide 6: Significant opportunity
6 SIGNIFICANT OPPORTUNITY. EUROPE‘S ONLINE PHARMACY MARKET OTC: WAS VALUED AT $19,3BN IN 20211. • No fixed prices • Cheaper HIGHER GROWTH IN EUROPE WILL COME FROM: • Convenient • INTERNET PENETRATION GROWTH OTC 20% • HIGHER ECONOMIC GROWTH & HEALTHCARE EXPENDITURE • INCREASE IN SELF-MEDICATION PHARM
Slide 7: The gold standard for customer experience
7 THE GOLD STANDARD FOR CUSTOMER EXPERIENCE. CONTINUOUSLY GROWING CUSTOMER BASE (M) STRONG SALES GROWTH (M) 1200 8.3 EUR 1060 7.9 7.3 1000 7.1 6.8 6.3 5.9 800 5.5 5.0 4.7 600 4.5 4.2 4.0 400 200 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 0 Q1 Q2 Q3 Q4 2019 Q1 Q2 Q3 Q4 2020 Q1 Q2 Q3 Q4 2021 Q1 2022 2010
Slide 8: Our offering
8 OUR OFFERING. SAME-DAY DELIVERY. MEDICATION MANAGE- MARKETPLACE. MENT. ONLINE DOCTOR. E-PHARMACY PLATFORM APPs CLP. SUBSCRIP- OWN TION BRANDS. FUNCTION.
Slide 9: Running relevant digital technology in-house
9 7 Improving customer experience based on our state-of-the-art technology platform is a key OUR COMPETITIVE ADVANTAGE. competitive advantage of our business model. RUNNING RELEVANT DIGITAL TECHNOLOGY IN-HOUSE. IT & ONLINE • Possibility to quickly respond to latest 2014 EXPERTS: ~50 developments in
Slide 10: Intact long-term growth prospects
10 A GOOD FOUNDATION FOR: INTACT LONG-TERM GROWTH PROSPECTS. OTC FUNCTIONAL FOOD AND NUTRITION Rx BEAUTY AND OFFERING A WORLD PERSONAL CARE OF HEALTH TO EVERYONE. OWN BRANDS
Slide 11: The e-Rx opportunity in Germany
11 THE E-RX OPPORTUNITY IN GERMANY. ~1% ONLINE 20 – 25 % ONLINE
Slide 12: E-prescription progress & outlook
12 E-PRESCRIPTION PROGRESS & OUTLOOK. • 30,000 e-prescriptions have to be processed during the test phase before broader rollout; half-way mark passed in May. • Details of rollout to be decided and announced following Gematik shareholders’ meeting at the end of May 2022. 30000 30000 • Shop Apotheke
Slide 13: Adj. EBITDA target longer-term: in excess of 8%
13 ADJ. EBITDA TARGET LONGER-TERM: IN EXCESS OF 8%. > 8% MARKETPLACE / PLATFORM. ELECTRONIC PRESCRIPTIONS (E-RX). OPERATIONAL & OVERHEAD EFFICIENCIES. LOWER MARKETING AS % OF SALES. SCALE (INTERNATIONAL). GROSS PROFIT MARGINS. MEDIA INCOME.
Slide 14: Latest news from MSCI
14 LATEST NEWS FROM MSCI. • IMPROVEMENT IN THESE SCORES: • PRODUCT CARBON FOOTPRINT, • PRIVACY & DATA SECURITY, • PRODUCT SAFETY & QUALITY, • GOVERNANCE, • LABOR MANAGEMENT. • INCREASED FROM 5.0 POINTS TO 8.1 POINTS. . UPGRADED TO AA RATING.
Slide 15: Appendix
APPENDIX.
Slide 16: Highlights Q1 2022
16 HIGHLIGHTS. • DOUBLE-DIGIT GROWTH IN EVERYTHING-BUT-RX CONTINUES. UP 15%, ON TRACK FOR FULL-YEAR GUIDANCE WITH SIGNIFICANT MARKET SHARE GAINS. RX SALES STABLE QUARTER-OVER-QUARTER. • ADJ. EBITDA EUR -4M. MARGIN AT -1.4%, 2.1PP BETTER THAN PRIOR Q4. ON TRACK FOR FULL YEAR GUIDANCE – OFFSETTING IMP
Slide 17: Key financials: DACH / International sales
17 KEY FINANCIALS. DACH / EVERYTHING-BUT-RX +10%, INTERNATIONAL UP +30%. 3M TOTAL SHOP APOTHEKE EUROPE 3M DACH 3M INTERNATIONAL sales | vs. prior year sales | vs. prior year sales | vs. prior year in EUR million in EUR million in EUR million +1.9% +7.3% Non-Rx: +10.1% +30.9% Rx: -32.6% 304.8 235.0 2
Slide 18: Key financials: 2021 sales and adj. EBITDA
18 KEY FINANCIALS. 2021: EUR 1,060M SALES AND EUR -5M (-0.5%) ADJ. EBITDA. Adjusted numbers in million of euros Q1YTD 2022 Full Q3 Year 2021 Better/ Better/ Q1 2021 Q1 2022 2020 2021 (Worse) (Worse) Sales 284 305 7.3% 968 1,060 9.5% - Everything-but-Rx (Non-Rx) 239 275 15% 749 917 22.5% - Rx 45.1 30
Slide 19: Key financials: robust cash position
19 KEY FINANCIALS. ROBUST CASH POSITION. OPERATING CASH: EUR +24 MILLION. Favourable working capital change thanks to continued improvement actions, and seasonality. (12) (3) 291 30 282 (6) INVESTMENTS: EUR -12 MILLION. Mainly IT. FINANCING: EUR -3 MILLION. CASH AND Interest and lease payments. CASH