Slide 1: Orion Interim Report 1−3/2018
Orion Interim Report 1−3/2018
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements which involve risks and uncertainty factors. These statements are not based on historical facts but relate to the Company’s future activities and performance. They include statements about future strategies and anticipated benefits of
Slide 3: A good start for the year
A good start for the year ● Strong cash flow and good profitability, 28% operating profit margin exceeded financial objectives. ● Net sales and profit affected by tightening generic and price 1−3/2017 1−3/2018 competition, smaller milestone payments and exchange rate 265 changes. Comparative period
Slide 4: Development of net sales and operating profit
Development of net sales and operating profit Net sales, EUR million Operating profit, EUR million 265 7 88 7 5 5 3 6 6 3 247 2 2 70 16 10 10 10 1) Product sales without change in margins 2) Change in margin of product sales 1-2) Exchange rates generate about EUR 5 million of the overall decline (ME
Slide 5: Geographical breakdown of net sales
Geographical breakdown of net sales 1−3/2018 Orion’s own sales network 15% 6% 32% 30% 17 % 17% Finland Scandinavia Other Europe North America Other markets Interim Report 1-3/2018 © Orion Corporation 24 April 2018 5
Slide 6: Net sales by business division
Net sales by business division 5% 2% 1−3/ 1−3/ 8% Net sales, EUR million 2018 2017 Change 37% Specialty Products 118 122 -3% Proprietary Products 93 98 -6% 48% Animal Health 20 19 +5% Proprietary Products Fermion 12 16 -20% Specialty Products Animal Health Contract manufacturing Fermion & other 4 11
Slide 7: Pharmaceuticals business
Pharmaceuticals business RION Building well-being
Slide 8: Best-selling pharmaceuticals 1−3/2018
Best-selling pharmaceuticals 1−3/2018 Net sales Change vs .Product Indication (EUR million) 1−3/2017 1. Parkinson’s disease 28 -8% 2. Asthma, COPD 22 +20% 3. Intensive care sedative 18 +5% 4. Acute heart failure 14 -7% Rheumatoid arthritis, inflammatory 5. Biosimilars bowel diseases, lymphoma 11 -4%
Slide 9: Proprietary Products
Proprietary Products Breakdown of net sales ● As expected, sales of Stalevo, Comtess and 7% Comtan continued to decline. 6% ● The Easyhaler product family continued to grow. Positive conclusions received for the 30% 15% salmeterol-flucatisone formulation under the decentralised EU marketing authoris
Slide 10: As expected, sales of Parkinson's drugs continued to decline
As expected, sales of Parkinson’s drugs continued to decline Sales, EUR million Sales of Orion’s branded 60 Parkinson’s drugs by 50 market area MAT12/2017 40 3% 30 38% 20 29% 10 0 Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1 2013 2014 2015 2016 2017 2018 Europe 30% Deliveries of Parkinson’s drugs (Stale
Slide 11: Easyhaler product family is growing
Easyhaler product family is growing Sales, EUR million ● The product family sales grew by 25 20%, driven by budesonide-formoterol Easyhaler, which grew by 36%. 20 ● Budesonide-formoterol Easyhaler is now launched in all key European markets: 15 – Menarini launched the product in France 10 in Q1/2018
Slide 12: Dexdor intensive care sedative sales continued to grow in most European markets
Dexdor intensive care sedative sales continued to grow in most European markets Total value of the European Sales, EUR million sedatives market 20 MAT12/2017: 18 EUR 542 million (+4%) 16 14 12% 12 10 12% 8 64% 6 4 12% 2 0 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Propofol EUR 349 m
Slide 13: Specialty Products
Specialty Products Net sales in key vs Net sales Net sales markets, EUR million 1−3/18 1−3/17 by market area by product Finland 68 -6% 11% 9% Scandinavia 21 +6% 58% Eastern Europe and 15 +11% 13% 24% 67% Russia ● The net sales of Specialty Products declined by 3%. 18% ● Sales grew in Scandinavia and
Slide 14: The market of generic and self-care products
Orion is a significant player in the Nordic generic drugs market Generic and self-care product sales 2017 ● Orion's market position in 2017: Orion vs market trend, (figure in brackets includes also biosimilars) Finland #1, Sweden #2, Denmark #2, Norway #3 Sweden Orion ● Biosimilars drive market grow
Slide 15: Tightening price competition
Orion remains strong in home market Finland Human pharmaceuticals market Leading pharmaceutical companies in Finland 1−3/2018 in Finland 1–3/2018 (medicinal and non-medicinal products) Orion's ● Total sales of medicinal and non- 90 market share 12% medicinal products EUR 652 million EUR million 79 S
Slide 16: Research and development
Research and development
Slide 17: Key clinical pharmaceutical development projects
Key clinical pharmaceutical development projects Project Indication PHASE Registration Bioequivalence Easyhaler® salmeterol-fluticasone Asthma, COPD Registration study Bioequivalence Easyhaler® tiotropium COPD study Darolutamide (ODM-201) 1) Prostate cancer (nmCRPC) I II III Darolutamide (ODM-201) 1
Slide 18: Darolutamide: An androgen receptor targeted therapy for prostate cancer
Darolutamide: An androgen receptor targeted therapy for prostate cancer Darolutamide (ODM-201) is an androgen receptor antagonist that ● Binds to the androgen receptor with high affinity ● Prevents efficiently androgen receptor signaling ● Low blood–brain barrier (BBB) penetration, potentially resul
Slide 19: Darolutamide: Two trials in phase III proceeding
Darolutamide: Two trials in phase III proceeding ● Patients with non-metastatic, castration- ● Patients with metastatic, hormone-sensitive resistant prostate cancer at high risk for prostate cancer developing metastatic disease ● Treatment: Darolutamide with androgen ● Endpoints: deprivation therapy
Slide 20: ODM-109: Oral levosimendan for ALS
ODM-109: Oral levosimendan for ALS ● ALS (Amyotrophic lateral sclerosis) is a fast progressing and fatal neurodegenerative disease: − Leads to diaphragm and skeletal muscle weakness and eventually paralysis and death typically due to respiratory failure. − An orphan disease with incidence of 1-2 /10
Slide 21: ODM-109: REFALS phase III trial
ODM-109: REFALS phase III trial Levosimendan 1-2mg/day (300 patients) 80-100 450 clinical sites patients in US, Canada, Costs of the trial: Placebo (150 patients) Western Europe, ~ EUR 60 million Australia approximately over three years Primary 12 weeks 48 weeks endpoints: SVC% ALSFRS-R + Survival =
Slide 22: ODM-208: Pan-steroid hormone synthesis inhibitor for castration-resistant prostate cancer
ODM-208: Pan-steroid hormone synthesis inhibitor (CYP11A1 inhibitor) for castration-resistant prostate cancer ● Steroid hormones stimulate the growth of hormonally regulated cancers, such as most prostate and breast cancers. ● Hormonal treatments are highly effective, but Steroid producton drug resi
Slide 23: Discontinued operation: Diagnostics business
Discontinued operation: Diagnostics business
Slide 24: Orion to sell Orion Diagnostica to an investment fund managed by Axcel Management A/S
Orion to sell Orion Diagnostica to an investment fund managed by Axcel Management A/S ● Signed on 21 April 2018, estimated closing in Q2/2018 1−3/2017 1−3/2018 ● Fixed purchase price ~EUR 163 million 14 14 ● In addition, possible variable component of max. EUR 60 million, based on ROI at exit. ● Ori
Slide 25: Orion's outlook
Orion’s outlook
Slide 26: Outlook for 2018 (updated on 21 April 2018)
Outlook for 2018 (updated on 21 April 2018) Due to generic and price competition Orion estimates that in 2018 the net sales excluding Orion Diagnostica will be at the same level or slightly lower than in 2017 Net sales (net sales were EUR 1,034 million excluding Orion Diagnostica in 2017). Orion con
Slide 27: Orion Calendar 2018
Orion Calendar 2018 Half-Year Financial Report 18 July 2018 Interim Report 1−9/2018 24 October 2018
Slide 28: Building well-being
Building well-being GRION Building well-being