Csl Limited · ASX:CSL
Csl — H1 FY2020 Earnings Presentation
22 slides from Csl's earnings presentation, Feb 12, 2020
Slide 1: Results Presentation for the Half Year Ended 31 December 2019
For personal use only For immediate release 12 February 2020 RESULTS PRESENTATION FOR THE HALF YEAR ENDED 31 DECEMBER 2019 Melbourne, Australia – CSL (ASX:CSL; USOTC:CSLLY) Please find attached the slides for the presentation on the half year results that will be given by the Chief Executive Officer
Slide 2: CSL Limited 2020 Half Year Results
For personal use only CSL Limited Paul Perreault, CEO and MD 2020 Half Year Results David Lamont, CFO 12 February 2020
Slide 3: Legal Notice: Forward looking statements
LEGAL NOTICE Forward looking statements The materials in this presentation speak only as of the date of these materials, and include forward looking statements about CSL Limited and its related bodies corporate (CSL) financial results and estimates, business prospects and products in research, all o
Slide 4: 1H20 Performance
1H20 Performance For personal use only A strong half year for CSL with revenue up 11%1 and net profit after tax up 11%1 reflecting: • Strong growth in CSL BEHRING SEQIRUS immunoglobulin portfolio • PRIVIGEN® +28%1 • Seasonal influenza +16%1 • Transition to own distribution model in China progressing
Slide 5: CSL Behring Sales 1H20
CSL Behring Sales 1H20 For personal use only Therapy Sales Change1 REGION1 $m % Immunoglobulins 1,985 26% 26% - IVIG 1,361 21% - SCIG 624 37% ROW Albumin 278 (33%) 32% Haemophilia 550 4% (incl. GSP) Asia Pac 17% - Recombinants 314 13% North - Plasma 236 (5%) US$3.8b America 10% Specialty 851 7% - Pe
Slide 6: Immunoglobulins
Immunoglobulins Sales up 26%1 For personal use only Industry • Global Ig demand exceeding supply • 28% growth1 • 37% growth1 Demand drivers • Growth drivers • Growth drivers • Increased disease • CIDP indication • New patient starts in PID awareness & improved • Competitor supply • CIDP indication d
Slide 7: Albumin
Albumin Transition to Sales down 33%1 Good Supply For personal use only Practices (GSP) • Double digit sales growth in Europe & Emerging Markets license in • US sales up 5%1 China • China sales impacted by one-off transition to new distribution model Benefits • Transition progressing well with sales
Slide 8: Haemophilia
Haemophilia Sales up 4%1 For personal use only Plasma Coagulation Factors • 21% growth1 • 30% growth1 • Modest growth in VWF in US • Strong growth in US • Strong growth in US • Tender variability • Highest rates of • Patient retention and switches globally ongoing switches • Competitive pressures dr
Slide 9: Specialty Products
Specialty Products • Continued patient Sales up 7%1 growth For personal use only • Capacity improvement in place • New launches planned 3% Peri- • Modest growth 11% Other Operative US$851m Specialty Bleeding Wound • Return of competitor Healing • Sales normalised • 31% growth • Supply normalised 1.
Slide 10: Seqirus Revenue 1H20
Seqirus Revenue 1H20 Revenue up 9%1 For personal use only Sales % REGION1 $m Change1 60% QIV 507 21% Seasonal TIV 30 (50%) Influenza ROW vaccines 5% Adjuvanted 325 21% +16%1 Asia Pac Other / In-licence 80 (31%) Total Product Sales 941 9% US$1,018m North America 10% Pandemic 72 14% 25% Europe 9% Othe
Slide 11: Seqirus – Operating Highlights
Seqirus – Operating Highlights For personal use only FLUCELVAX® FLUCELVAX® • All strains manufactured using cell-specific seed • To launch in Australia for NH 2019/20 season SH21 • Launched in EU (9 years+) aQIV • To launch in Australia FLUAD® SH20 • Retention of preferred recommendations in UK • US
Slide 12: Seqirus – Operating Highlights
Seqirus – Operating Highlights For personal use only • US FDA approval of AUDENZTM - world’s first adjuvanted, cell-based influenza A (H5N1) pandemic vaccine • Real world evidence continues to demonstrate the potential for improved effectiveness of FLUCELVAX® & FLUAD® • US Executive Order, calling f
Slide 13: R&D Highlights
R&D Highlights For personal use only Immunology • HIZENTRA® granted Orphan Drug Exclusivity for CIDP • HIZENTRA® Dermatomyositis (DM) Phase III Study initiated and Neurology • Garadacimab (Anti-FXIIa) in Hereditary Angioedema (HAE) Phase II double blind period complete Haematology • CSL200 (CAL-H) i
Slide 14: Financials
Financials David Lamont, CFO For personal use only 13 | Driven by Our Promise™
Slide 15: Financial Highlights: Net Profit After Tax
Financial Highlights Net Profit After Tax For personal use only GSP transition in China +11% $1,292m @CC1 @CC1 • Financial impact split FX $44m evenly 1H v 2H $1,248m $1,161m $1,161m Other income • One-off benefit $30m 1H19 New Lease Standard • Balance sheet gross up • P&L impact immaterial 1H19 1H2
Slide 16: Financial Highlights: CSL Group
Financial Highlights CSL Group For personal use only Half year ended Dec 1H19 1H20 1H20 Change US$ Millions Reported Reported at CC1 % Total Revenue 4,505 4,911 4,980 11%1 Gross Profit 2,623 2,842 2,891 10%1 GP margin 58.2% 57.9% 58.0% EBIT 1,553 1,632 1,679 8%1 NPAT 1,161 1,248 1,292 11%1 Cashflow
Slide 17: Financial Highlights: Segments
Financial Highlights Segments For personal use only CSL BEHRING SEQIRUS 1H19 1H20 Change 1H19 1H20 Change US$ Millions US$ Millions Reported Reported % at CC1 Reported Reported % at CC1 Sales 3,468 3,768 10% Sales 874 941 9% Other Other 88 125 42% 75 77 4% Revenue Revenue Total Total 3,556 3,893 11%
Slide 18: Financial Highlights: Reported Expenses
Financial Highlights Reported Expenses For personal use only 1H20 Change at CC1 $m $m % Research & Development 446 61 16 CSL 112 Sales & Marketing 435 18 4 Down 1%1 on trailing period General & Admin 329 63 24 Facilities expansion & new technology Staff up 10% on pcp FX unfavourable $35m pcp Finance
Slide 19: Guidance Upgraded – FY20 growth 10-13%
Guidance Upgraded – FY20 growth 10-13%1,2 For personal use only Strong growth in 2H20 compared to pcp Business expectations 2H20 Guidance2 • Continued strong demand for CSL’s therapies ~8-16% ~$2,110m - @CC2 $2,170m • One-off effect on albumin sales arising from 2H 2H transition to new distributor m
Slide 20: Strategy
Strategy For personal use only • Technology • Process Improvement • Operational Excellence • Products Growth Platforms: • Capital Project • Delivery • Plasma Execution • Services • Recombinants • Technology • Cell & Gene Therapy • Influenza Vaccines • Immunology & Neurology • Haematology & Thrombosi
Slide 21: Contact
CSL Limited Contact For personal use only Mark Dehring VP Investor Relations +61 3 9389 3407 mark.dehring@csl.com.au Bernard Ronchi Senior Manager, Investor Relations +61 3 9389 3470 bernard.ronchi@csl.com.au
Slide 22: Notes: Constant currency
Notes (#) Constant currency removes the impact of exchange rate movements to facilitate comparability of operational performance for the Group. This is done in three parts: a) by converting the current year net profit of entities in the group that have reporting currencies other than US Dollars, at