Eris Lifesciences Ltd · NSE:ERIS
Eris Lifesciences — Q4 FY25 Earnings Presentation
24 slides from Eris Lifesciences's earnings presentation, May 19, 2025
Slide 1: Exchange filing cover letter: Investor Presentation
Date: 19 May 2025 To To BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers Exchange Plaza Dalal Street Bandra Kurla Complex Mumbai- 400001 Bandra (E) Mumbai-400051 Security Code: 540596 Symbol: ERIS SUBJECT: INVESTOR PRESENTATION Dear Sir/Madam, Pursuant to the requiremen
Slide 2: Q4 FY25 and FY25 Investor Presentation
Q4 FY 25 and FY 25 INVESTOR PRESENTATION 19th May 2025 1
Slide 3: Summary of Consolidated Financials – Q4 FY25
SUMMARY OF CONSOLIDATED FINANCIALS – Q4 FY25 CONSOLIDATED FINANCIAL HIGHLIGHTS (Rs. Crore) Q4 FY25 Growth YoY Operating Revenue 705 28% Ebitda 252 70% PAT 102 28% • Q4 consolidated operating revenue up by 28% to Rs. 705 cr. • Q4 - Margin and Fixed Cost Synergies continue to accrue • Gross Margin dow
Slide 4: Domestic Branded Formulations Revenue – 10% Organic Growth in Q4 FY25
DOMESTIC BRANDED FORMULATIONS REVENUE – 10% ORGANIC GROWTH IN Q4 FY25 DBF SEGMENT WISE REVENUE (Rs. Crore) Segment Q4 FY25 Growth YoY FY25 Growth YoY Organic Base 529 10% 2,069* 9% Biocon-2 73 386 Total DBF 602 25% 2,513 32% • Delivered 97% of Revenue guidance and 98% EBIDTA guidance • Total revenue
Slide 5: Margin Expansion Across the Board in DBF Business
MARGIN EXPANSION ACROSS THE BOARD IN DBF BUSINESS DBF SEGMENT-WISE EBIDTA MARGIN Segment Q4 FY25 Q4 FY24 Expansion FY25 FY24 Expansion Base Business ex Biocon 39.5% 26.7% 1,278 bps yoy 39.6% 34.5% 512 bps yoy Biocon 25.3% 19%* 626 bps yoy 23.9% 19%* 492 bps yoy Total DBF 37.2% 27.1% 1,008 bps yoy 36
Slide 6: Biocon-2 Business – One Year Post Acquisition
BIOCON-2 BUSINESS – ONE YEAR POST ACQUISITION FINANCIAL PERFORMANCE WHAT WORKED WELL WHAT WE COULD HAVE DONE BETTER • Insulin Revenue • Our strategy to become a • Critical Care business – GM% has • Rs. 242 cr. dominant player in Insulins improved due to Swiss backward backed by the best supply • Sal
Slide 7: Launch Pipeline of Insulin Analogs, GLP-1 & Combinations
AN EXCITING LAUNCH PIPELINE OF INSULINS ANALOGS, GLP-1 & COMBINATIONS Candidate H1-F26 H2-F26 H1-F27 H2-F27 H1-F28 H2-F28 gSaxenda Insulin Analog #1 Insulin Analog #1 Premix Form. Dev. Ph-I trial GLP-1 Agonist Phase – III trial (Insulin Analog #2) Preclinical studies Ph-I trial Phase-III trial Insul
Slide 8: Our Diabesity Strategy Is Progressing in Line with Expectation
OUR DIABESITY STRATEGY IS PROGRESSING IN LINE WITH OUR EXPECTATION • Successfully launched and scaled up Liraglutide (our first GLP-1) for Diabetes in Sep-2024 Eris right to win in GLPs • gSaxenda – the first Generic launch in India for Obesity – we are • An Insulin company is a logical targeting a
Slide 9: Significant Upside from Disruption in the Human Insulin Market
SIGNIFICANT UPSIDE IN FY26-FY27 FROM DISRUPTION IN THE HUMAN INSULIN MARKET How Eris is positioned • Two large RHI brands with monthly revenue run-rate of Rs. 23 cr. (Apr ‘25) RHI cartridges market • Bulk supply commitment at the with revenue ~ Rs. 450 highest level from our strategic cr. p.a. being
Slide 10: Anti-Diabetes Remains a Core Focus; Targeting #3 Rank by FY28
ANTI-DIABETES REMAINS A CORE FOCUS FOR US; TARGETING #3 RANK BY FY28 Full Service Presence in Oral Anti-Diabetes Sulfonylureas • Market rank of #5 by revenue; market share doubled from 3% to 6% in the last 3 years • Market share of 10% in Insulins – second DPP4 largest Indian player in the therapy I
Slide 11: Several Investments Made to Recharge the Base Business
SEVERAL INVESTMENTS MADE TO RECHARGE THE BASE BUSINESS • Two new divisions – RISE and STRIDES – with ~ 260 Reps • Greater focus on VMN power brands (Renerve, Remylin and Tayo) through: • Greater penetration – deeper coverage of Consulting Physicians, Orthopedics and Gynecologists • First instance in
Slide 12: Rapid Progress in Insourcing Provides Margin Tailwinds
RAPID PROGRESS IN INSOURCING PROVIDES ADDITIONAL TAILWINDS TO MARGINS Breakdown of our DBF range between “In-house” and “Outsourced” production Sub • We expect to get 21% back to ~ 80% 20% 44% inhouse production 53% 48% by Q4 FY26 • This will result in three key benefits: Over 79% 80% • Higher margi
Slide 13: DBF Guidance for FY26 – Organic Revenue Growth of 15-21%
OUR DBF GUIDANCE FOR FY25-26 – ORGANIC REVENUE GROWTH OF 15-21% DBF Revenue and EBIDTA Guidance Key drivers of Organic Growth in FY26 • Total DBF revenue growth of 15% to 21%, • First-in-market launch pipeline of 10+ FY25 Actuals depending on gains in Human Insulin products with innovations in formu
Slide 14: Swiss Parenterals – Business Update at End of One Year
SWISS PARENTERALS – BUSINESS UPDATE AT THE END OF ONE YEAR • Financial performance largely in line - Revenue 99% and EBIDTA 95% of guidance • Started leveraging Swiss manufacturing for Eris portfolio – already manufacturing Critical Care range, validation ongoing for GLPs, etc. • Created new busines
Slide 15: Swiss Parenterals – Q4 and FY25 Financial Updates
SWISS PARENTERALS – Q4 AND FY25 FINANCIAL UPDATES Headline Financials for FY25 Business Highlights Revenue* - Rs. Crore • FY25 Financial Highlights 326 • Revenue Rs. 326 cr. (12% growth) • EBIDTA Rs. 109 cr. (40% growth) FY26 Guidance 73 83 76 93 • EBIDTA margin 33.5% • Revenue Rs. 375-390 cr. • ROC
Slide 16: Ahead of Guidance in Debt Reduction
WE CONTINUE TO REMAIN AHEAD OF GUIDANCE IN DEBT REDUCTION Plan shared at the start of FY25 Outlook at the end of FY25 Current Outlook Debt to EBIDTA < 2x by 30th Sep ‘25 1.5x Debt-to-EBIDTA by end of FY26 • Dividend of Rs. 100 cr. Outstanding Debt to Outstanding Debt to declared in Q3-FY25 As On Dat
Slide 17: Exponential EPS Growth Expected Over FY26-FY28
WE LOOK FORWARD TO AN EXPONENTIAL EPS GROWTH OVER FY26-FY28 Last 4 years’ Investment Cycle Outlook – FY26 and Beyond FY 22 FY 25 A • Inflection point in EPS growth starting FY26, Assets* 921 ~5,400 6x drive by multiple factors • Growth and margin improvement in EPS 29.9 ~ 28 19% acquired businesses
Slide 18: Return Metrics Expected to Improve in Tandem
WE EXPECT RETURN METRICS TO IMPROVE IN TANDEM Key Levers at Work Return On Capital Employed (ROCE) ▪ Value creation from acquired 22%* 20%* businesses driving a robust expansion in EBIT 19%* ▪ Base business growth 17% ▪ Margin Expansion 15% 11% ▪ Fixed Expenses Leverage ▪ Addition of new growth leve
Slide 19: Consolidated P&L Q4 FY25 and FY25
CONSOLIDATED P&L Q4 FY25 AND FY25 Consolidated Q4 FY 25 FY 25 Q4 FY 25 Q4 FY 24 FY 25 FY 24 • Q4 consolidated operating revenue up by 28% to Rs. 705 INR Crores yoy Gr % yoy Gr % cr. and FY 25 up by 44% to Rs. 2,894 cr. Revenue from 705 551 28% 2,894 2,009 44% Operations • Q4 Margin and Fixed Cost Sy
Slide 20: Key Business Priorities for FY26
KEY BUSINESS PRIORITIES FOR FY26 Business Segment Strategic priorities for FY26 1 Anti-Diabetes • Leverage the market opportunity in RHI Cartridges • Secure all building blocks to create value from the Diabesity play • Insulins/ Analogs/ GLP pipeline – achieve regulatory milestones • Complete Insuli
Slide 21: In Summary – Our Business Guidance for FY26
IN SUMMARY - OUR BUSINESS GUIDANCE FOR FY26 FY 26 – Business Guidance (Rs. Cr.) FY 26 – Key Considerations EBIDTA Segment Revenue Growth EBIDTA Margin ▪ Depreciation ~ Rs. 110 cr. DBF 2,900 – 3,050 15 - 21% 1,070 – 1,130 37% Swiss ▪ Amortisation ~ Rs. 225 cr. 375 - 390 15 - 20% 130 - 135 35% Parente
Slide 22: Shareholder Profile
SHAREHOLDER PROFILE Shareholding of Promoters and Top 15 Institutional Investors Shareholding Pattern 31-Mar-25 31-Dec-24 30-Sep-24 Name of Shareholder 1,417* 1,374* 1,330* Promoters 54.85% 54.86% 54.87% Others Chrys Capital (Lilac Investments Ltd) 8.79% 8.79% 7.26% 0.67% Public HDFC Mutual Fund 7.8
Slide 23: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements and information that involve risks, uncertainties and assumptions. Forward-looking statements are all statements that concern plans, objectives, goals, strategies, future events or performance and the underlying assumptions
Slide 24: Thank You
THANK YOU KRUTI RAVAL INVESTOR RELATIONS kruti@erislifesciences.com 23