Balaxi Pharmaceuticals Limited · NSE:BALAXI
Balaxi Pharmaceuticals — Q2 FY2023 Earnings Presentation
23 slides from Balaxi Pharmaceuticals's earnings presentation, Nov 5, 2022
Slide 1: NSE filing cover letter for Investor Presentation Q2 FY2023
November 05, 2022 To, Listing Department, National Stock Exchange of India Limited Exchange Plaza, Plot No C-1, Block G, Bandra Kurla Complex, Bandra (E), Mumbai – 400051 NSE Symbol: BALAXI Dear Sir/Madam, Subject: Investor Presentation Q2 FY 2023 In compliance with Regulation 30 of SEBI (Listing Ob
Slide 2: Balaxi Pharmaceuticals Limited Q2 FY23 Financial Results
Balax i Pharmaceuticals Limited Branded IPR-driven Pharma Player in Frontier Markets Q2 FY23 Financial Results
Slide 3: Disclaimer
_j_ _ _ __ I • • • Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, technological risks, and many other factors that coul
Slide 4: Contents
_j_ _ _ __ I Contents I I I I I I 04 Corporate Snapshot 15 Financial Highlights 21 Strategic Roadmap • • • • • • • • • • • • • • • • Balaxi 3
Slide 5: Bridging the Supply Gap in Frontier Markets
Bridging the Supply Gap in Frontier Markets • • • • • • • • • • ~ ~[] Branded IPR-based pharma company Presence in OTC segments including strong branded generics portfolio €1 • • • • • • • • • • ~~ ~ Frontier markets leadership in Targeting top-2 position in each Latin America and Africa geography B
Slide 6: Successful Produce, Stock, Sell Business Model
_j_ _ _ __ I Successful Produce, Stock, Sell Business Model I I I I I I Established operations: Expansion initiated: Markets Guatemala (Latin America), Dominican Republic Nicaragua, Ecuador, Chile (Latin America) (Caribbean) and Angola (Africa) Central African Republic, Zambia (Africa) New operation
Slide 7: Key Success Factors
__j_ _ _ __ I I • • • • Key Success Factors • • • • I I I I I • • • • • • • • Market Selection Methodology • • • • • • Focus on countries with high-potential economic growth framework • • Identify non-English speaking countries with similar characteristics Low competitive intensity and potenti
Slide 8: Transition from Asset Light to Asset Right
• • • • Transition from “Asset Light” to “Asset Right” • • • • • • • • • • • • • • • • • • Marketing and Market Research Product Identification Product Registration Manufacturing Distribution Existing Operations New Manufacturing Unit As a part of its corporate evolution, Balaxi is moving its busine
Slide 9: Investment in Manufacturing Facilities
_j_ _ _ __ I • • • • • • • • Investment in Manufacturing Facilities I I I I I I • • • • • • • • • • • • • • Setting up EU GMP compliant pharma manufacturing unit • • General Oral Solid Dosage (OSD) and Liquid Injection formulations Targeting demand for high quality products in Latin American markets
Slide 10: Global Footprint
_j_ _ _ __ I Global Footprint I I I I I I Dominican ~Republic Cuatemala. Q-.Q- Honduras ~ _......, El Salvador Nicaragua Ecuador ~ Chile e Existing Markets • Targeted Expansion •Product Sourcing Regions Existing/targeted markets have aggregate GDP of $ 400 billion and pharma imports of $ 6 billion B
Slide 11: Key Milestones
_j_ _ _ _ I • • • • Key Milestones I I I • • • • • • I I I • • • • • • • • • • • • • • • • • • • • Started business supplying • • • • white labelled products to customers in Africa Diversified supply chain by Products were sourced from sourcing pharma products Set-up central distribution WHO GMP cer
Slide 12: Corporate Structure
_j_ _ _ __ I Corporate Structure I I I I I I Balaxi Pharmaceuticals Limited Balaxi Global DMCC, Dubai (WOS) I I I r----------------T _________________ i _____________ _.__,_________________ i---------------.---------------- I 1 I I I I I I I I I I I + ~ + ½ + ½ Balaxi Balaxi Balaxi Balaxi Balaxi Bal
Slide 13: Experienced Board of Directors
_j_ _ _ __ I Experienced Board of Directors I I I I I I Ashish Maheshwari Minoshi Maheshwari Kunal Bhakta Chairman & Managing Director Non-Executive Director Independent Director Founder of the company, first Co-founder, 20 years of rich Chartered Accountant with 15 years’ generation entrepreneur, q
Slide 14: Strong Leadership Team
_j_ _ _ __ I I • • • • • • Strong Leadership Team • • • • • • I I I I I Ashish Maheshwari Amol Mantri Chairman & Managing Director CFO Founder of the company, first generation Qualified Chartered Accountant and Certified Public entrepreneur, qualified Chartered Accountant Accountant from USA Commenc
Slide 15: Financial Highlights
_j_ _ _ __ • • • • • • • • • • • • • • • • • • • • FINANCIAL HIGHLIGHTS Balaxi 14
Slide 16: Management's Comments
_j_ _ _ __ I I • • • • • • .·····--------------~ .. Management’s Comments I I ~ I • • • • • “Q2 was another strong growth quarter for Balaxi and the momentum of expansion is maintained. Going forward, we see several levers that will potentially add value to the operations over the next several years
Slide 17: Quarterly Financial Performance
_j_ _ _ __ I • • Quarterly Financial Performance I I I I I I • • • • • • • • • • • • • • • • • • Particulars (INR Crore) Q2FY23 Q2FY22 YoY .. Revenue 86.38 70.23 +23.0% Gross Profit 36.05 19.16 +88.1% Gross Margin % 41.7% 27.3% 1,440 bps EBITDA 14.75 14.03 +5.2% EBITDA Margin % 17.1% 20.0% (290) Bps
Slide 18: Pharma Product Mix – Q2 FY23
_j_ _ _ _ _ • • Pharma Product Mix – Q2 FY23 • • • • I I I I I I • • • • • • • • Geographies Products • • • • 0.30 0.32% ■ Angola • • Shareholders’ 23% Guatemala ■ Debt Fixed Assets Working Capital Funds 35% ■ Branded ■ Dominican Republic ■ Generics 16% 61% ■ Honduras 65% ■ El Salvador Dosage Forms
Slide 19: Quarterly Performance Commentary
__j_ _ _ __ I I • • • • Quarterly Performance Commentary • • • • I I I I I • • • • • • • • Revenue • • • • Robust revenue growth of 23.0% YoY during Q2FY23 period was led by the Pharmaceuticals • • business. In this segment, Latin America contributed significantly with 29% growth. Previously • • l
Slide 20: Historical Financial Performance
_j_ _ _ __ I • • Historical Financial Performance I I I I I I • • • • • • • • • • • • • • • • • • Particulars (INR Crore) FY22 FY21 YoY .. Revenue 279.39 231.33 +20.8% Gross Profit 83.79 59.19 +41.6% Gross Margin % 30.0% 25.6% +440 bps EBITDA 55.18 44.64 +23.6% EBITDA Margin % 19.7% 19.3% +45 bps Pr
Slide 21: Pharma Product Mix – FY22
_j_ _ _ _ _ • • Pharma Product Mix – FY22 • • • • I I I I I I • • • • • • • • Geographies Products • • • • • • Shareholders’ Angola ■ 28% Debt Fixed Assets Working Capital Funds 30% ■ Guatemala ■ Branded ■ Generics 59% 13% ■ Dominican Republic 70% Dosage Forms Therapeutic Areas 12% ■ Tablets ■ Antib
Slide 22: Core Strategy: Enter, Expand & Excel
_j_ _ _ __ I • • • • • • • • Core Strategy: Enter, Expand & Excel I I I I I I • • • • • • • • • • • • Balaxi in 2020: Business Consolidation • • Presence across Angola, Guatemala and Dominican Republic • • Effective and efficient supply chain model consisting of 38 warehouses and a fleet of owne
Slide 23: Thank You
Balaxi Pharmaceuticals Limited Plot No. 409, H.No. 8-2-293, 2nd Floor Maps Towers, Jubilee Hills, Road No:81,Hyderabad. Telangana CIN: L25191TG1942PLC121598 Company Investor Relations contact ® Mr. Sunny Purohit • • ~ +91-40-2355-5300 • • • • • • • • B sunny@balaxi.com • • • • @ www.balaxipharma.in
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