Eris Lifesciences Ltd · NSE:ERIS
Eris Lifesciences — Investor Presentation (August 2023)
37 slides from Eris Lifesciences's investor presentation, Aug 17, 2023
Slide 1: Exchange filing cover letter
Date: 17th August, 2023 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: CORPORATE PRESENTATION Dear Sir/Madam, Pursuant to the req
Slide 2: Corporate Presentation August 2023
CORPORATE PRESENTATION AUGUST 2023
Slide 3: Business Highlights
Business Highlights ▪ Founded in 2007; profitable from the second year of Consolidated Revenue CAGR - 18% in last 2 years Million Indian Rupees operations; pure-play Indian domestic formulations co. 16,851 ▪ Youngest among India’s Top-25 domestic branded 13,470 12,119 formulation pharmacos ▪ Chronic
Slide 4: Financial Highlights
Financial Highlights FY 23 Headline Financials Q1 FY 24 Headline Financials (INR Mn) Op. Revenue EBIDTA ₹ mn ₹ mn 4,666 31% 1,697 17% 1,292 16,851 5,367 32% Margin 3,986 25% Op Revenue yoy growth EBITDA Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 EBIDTA Margin PAT ₹ mn 0.6% 936 3,742 22% Margin 32.4% ~400 bps 3
Slide 5: Strategic Investments of FY23 – Demonstrating Impact in FY24
Strategic Investments of FY23 – Demonstrating Impact in FY24 Key strategic investment made in FY23…. ….Demonstrating impact in FY24 1 • Strategic entry into Dermatology; acquired Oaknet, • Oaknet’s Q1 EBIDTA margin inching towards overall Branded Glenmark brands & Reddy’s brands; acquisition Formula
Slide 6: Strategic Investments of FY23 – Demonstrating Impact in FY24 (Contd..)
Strategic Investments of FY23 – Demonstrating Impact in FY24 (Contd..) Key strategic investment made in FY23…. ….Demonstrating impact in FY24 4 • Took calculated decisions to participate in • Sacubitril + Valsartan (Zayo): Relaunched in Jan ‘23; revenue ramped up to “at risk” opportunities in FY23 (
Slide 7: Significant Diversification of Therapy Mix in FY23
Significant Diversification of Therapy Mix in FY 23 Therapy-wise composition of revenue – FY22 Therapy-wise composition of revenue – MAT Jun’23 100% = INR 1,618 crore 100% = INR 2,365 crore Rest Rest WHC WHC 8% 8% Rank in CNS 4% Diabetes 6% Diabetes CNS 29% CVM - 6 8% 32% 7% Rank in Derma 15% 21% CV
Slide 8: Top-20 Power Brands Portfolio Contribute ~70% of Revenue
Top-20 Power Brands Portfolio Contribute ~ 70% of Revenue Our Top 20 Mother Brands contribute ~ 70% of our revenue Successful New Product Launches since Apr-22 MAT Jun’23 Sales (₹ mn) Market share ` 3,032 6% 1,779 4% • Combination of Vildagliptin & Dapaglifozin 1,545 8% • Launched in Apr’22 1,083 7%
Slide 9: Distinctive inorganic strategy focused on speedy value creation
Distinctive inorganic strategy focused on speedy value creation Salient Features of our Inorganic Strategy Key inorganic deals done ▪ Leapfrog our presence in attractive therapies (e.g., Strides - CNS, MJ Biopharm – Insulins, Oaknet/ Glenmark/ Reddy’s - Dermatology, etc.) ▪ Domestic business of ▪ “I
Slide 10: Oaknet business Turned Around in Less Than 12 Months of Acquisition
Oaknet business Turned Around in Less `Than 12 Months of Acquisition Oaknet EBIDTA Margin 35% 35% 24% Acquired 10% by Eris FY22 FY23 Q1 FY24 FY24E • Achieved growth of 28% in Oaknet after 3 flat years during FY20-FY22 Eris • Repositioned the business with a Derma + Gyne focus; strengthened senior ma
Slide 11: Eris Ranks among the Top-10 Fastest Growing Companies in MAT Jun'23
Eris Ranks among the Top-10 Fastest Growing ` Companies in MAT Jun’23 22.0 Eris has outperformed the IPM by 351 bps in MAT JUN’23 14.8 14.2 14.0 13.6 13.3 13.3 13.2 12.8 11.9 9.8 IPM LA RENON INTAS MACLEODS GLENMARK MANKIND TORRENT ERIS LS ABBOTT* FDC CIPLA Eris continues to rank among the Top-10 co
Slide 12: Our Anti-Diabetes Franchise – Healthy Growth in Mother Brands
Our Anti-Diabetes Franchise – Healthy Growth ` in Mother Brands Revenue from Diabetes Glimisave Mother Brand Zomelis Mother Brand (DPP4) 23.3% 686.1 303.2 108.3 9.3% 39.7% 556.6 77.5 277.5 MAT'22 MAT'23 MAT'22 MAT'23 MAT'22 MAT'23 Tendia Mother Brand (DPP4) Cyblex Mother Brand Gluxit Mother Brand (S
Slide 13: Our Cardiovascular Franchise – Continued Momentum in Established Brands
Our Cardiovascular Franchise – Continued `Momentum in Established Brands Revenue from CVD Therapy* Eritel Mother Brand LN Bloc Mother Brand 465.1 17.8% 177.9 15.2% 15.0% 76.6 403.6 151.0 66.6 MAT'22 MAT'23 MAT'22 MAT'23 MAT'22 MAT'23 Olmin Mother Brand Crevast Mother Brand Atorsave Mother Brand 68.3
Slide 14: Our Emerging Therapies – Acquired Critical Mass with Growth Momentum
Our Emerging Therapies – Acquired Critical` Mass with Growth Momentum Emerging Therapies Revenue* Cosvate Mother Brand Raricap Mother Brand Drolute Brand 640.9 32.4% 94.9 36.1% 25.5 14.3% 71.7 29.2 3x 21.4 560.5 7.6 MAT'22 MAT'23 MAT'22 MAT'23 MAT'22 MAT'23 MAT'22 MAT'23 • Revenue base of INR 600+ c
Slide 15: Strong Position in the ~INR 13,000 Crore Oral Anti-Diabetes Market
Strong Position in the ~ INR 13,000 Crore Oral Anti-Diabetes Market Eris ranks in Oral Anti-Diabetes therapy Eris has built a full-service presence in Oral Anti-Diabetes therapy with high market ranks in latest generation molecules (DPP4 and By Revenue* Total # Rx** SGLT2 inhibitors) Sulfonylurea 6
Slide 16: High Prescription Ranks among Focus Doctor Specialties
High Prescription Ranks among Focus Doctor Specialties Eris Prescription Ranking* among Doctor Specialties 5 5 4 DIABETOLOGISTS # CARDIOLOGISTS DERMATOLOGISTS 4 7 7 CONSULTING NEUROLOGISTS GYNECOLOGISTS PHYSICIANS 15 Source: SMSRC MAT Apr 2023│* Rank in Represented Market including Oaknet│# Diabetol
Slide 17: Two Key Pillars of Our Market Engagement
Two Key Pillars of Our Market Engagement The core focus of our market engagement is to enable clinicians to improve clinical outcomes in patients through timely and precision diagnosis and treatment 1 2 Generation of Patient Care initiatives actionable scientific for precision diagnosis evidence thr
Slide 18: 1a. India-Centric Studies – The India Diabetes Study
1a. India-Centric Studies – The India Diabetes Study First of its kind nation-wide study Cardiovascular risk in newly diagnosed type 2 diabetes patients in India 5080 Patients │ 1932 Physicians │ 928 Medical centres │ 121 Cities across 27 Indian states 49% 82.5% patients had patients had at least on
Slide 19: 1b. India-Centric – The India Heart Study
1b. India-Centric – The India Heart Study IHS Methodology IHS Revealed Expert Speak The investigators examined the blood 42% of the participants were White-coat hypertensives get pressure of 18,918 participants with misdiagnosed and were unaware of their misdiagnosed as hypertensive and put the help
Slide 20: 1c. Facilitating Evidence-based Scientific Research and Publications
1c. Facilitating Evidence-based Scientific Research and Publications Scientific Research and Publications facilitated by Eris in reputed International and Indian Journals Self-blood pressure measurement as compared to Clinical relevance of double-arm blood pressure office blood pressure measurement
Slide 21: 2. Patient Care – Driving Precision Diagnosis and Better Disease Management
2. Patient Care – Driving Precision Diagnosis and Better Disease Management ▪ Objective - Bring cutting-edge 24,197 1,30,527 healthcare solutions to patients through the involvement of Key Opinion Leaders ▪ State-of-the-art diagnosis at home, followed by treatment options Number of ▪ Helped tens of
Slide 22: Our Manufacturing Infrastructure
Our Manufacturing Infrastructure Guwahati Site Gujarat Site WHO-GMP manufacturing facility in 70% of revenue (in FY 23) came Guwahati, Assam ▪ Commissioned Greenfield Manufacturing Unit in March 2023 from products manufactured at 100,000 Built-up area (sq. ft) the Guwahati facility ▪ Physical Footpr
Slide 23: Pan-India Sales Presence and Distribution Network
Pan-India Sales Presence and Distribution Network Stockists Region-wise sales distribution (FY 23) 8 Super Stockists 1 5 74 23 1 45 16% 57 114 44 1 197 53 2 4 39% 28 3 16% 88 131 120 1 34 95 1 249 70 29% 4 97 103 7 2 Central Warehouses 239 1 22 Sales Depots 137 South West North East 2,035 Stockists
Slide 24: Board of Directors
Board of Directors • Eight-member Board of Directors, comprising of four Amit Bakshi Krishnakumar V Inderjeet Singh Negi Kaushal Shah Executive Directors and four Independent Directors Chairman and Executive Director & Executive Director Executive Director Managing Director Chief Operating Officer •
Slide 25: We will continue our focus on Lifestyle Diseases
We will continue our focus on Lifestyle Diseases, which will require significant attention and care in the years to come Lifestyle Diseases Prevalence in India Trends in Lifestyle Diseases Abdominal ▪ Significant increase in prevalence of non- Obesity 351 mn communicable diseases (NCDs) in India; Me
Slide 26: Our Key Growth Drivers For FY24 to FY26
Our Key Growth Drivers For FY 24 to FY 26 • Our Top-20 power brands account for 70% of our revenues and have grown at 17% in FY23. 1 Growth in Base 15 out of these brands are ranked among the Top-5 in their respective segments. We have Business • 4 brands with revenues of Rs. 100+ crore each • 6 bra
Slide 27: Our Key Growth Drivers For FY24 to FY26 (Contd..)
Our Key Growth Drivers For FY 24 to FY 26 (Contd..) Expansion of • We continue to make good progress in expanding our coverage of Specialists and Consulting 3 physician Physicians in line with our expectations coverage • We added ~ 200 Reps to the Eris field-force in FY23 Therapeutic • Strong moment
Slide 28: Safe Harbour Statement
Safe Harbour 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 29: Eris Lifesciences Ltd.
Eris Lifesciences Ltd. CORPORATE OFFICE: Shivarth Ambit, Plot No. 142/2, Ramdas Road, Off SBR, Near Swati Bungalows, Bodakdev, Ahmedabad, Gujarat 380054 CIN: L24232GJ2007PLC049867 Website : www.eris.co.in IR Contact Kruti Raval kruti@erislifesciences.com 28
Slide 30: Appendix
APPENDIX 29
Slide 31: Business Structure and Holdings
Business Structure and Holdings Eris Lifesciences Limited Promoters 10.74% Aprica Healthcare Limited Earlier known as UTH Healthcare Limited Public 13.78% Eris M. J. Biopharm Private Limited FPI 52.86% Earlier known as Kinedex Healthcare Private Limited DIIs 22.07% Eris Therapeutics Limited Others E
Slide 32: Financial Summary (1/2)
Financial Summary (1/2) P&L Summary FY17 FY18 FY19 FY20 FY21 FY22 FY23 Revenue 7,495 8,556 9,822 10,741 12,119 13,470 16,851 Gross Profit 6,449 7,215 8,285 9,025 9,736 10,885 13,328 Gross Profit Margin (%) 86.0% 84.3% 84.4% 84.0% 80.3% 80.8% 79.1% Operating EBITDA 2,691 3,220 3,449 3,684 4,306 4,850
Slide 33: Financial Summary (2/2)
Financial Summary (2/2) FY17 FY18 FY19 FY20 FY21 FY22 FY23 BS Summary Mar'17 Mar'18 Mar'19 Mar'20 Mar'21 Mar’22 Mar’23 Margin (%) Share Capital 138 138 138 136 136 136 136 Gross Margin 86.0% 84.3% 84.4% 84.0% 80.3% 80.8% 79.1% Reserves 5,534 8,476 11,368 12,828 15,628 18,947 21,819 EBITDA Margin 35.
Slide 34: Key Brands in Oral Diabetes Care
Key Brands in Oral Diabetes Care Therapy wide presence in Oral Diabetes Care with power brands holding high ranks in Newer-generation fast-growing molecules (DPP4 and SGLT2 inhibitors) Sulfonylurea rank 5 in the ~5,100 cr Glimepiride and combinations market Glimisave MV rank 2 in Glimeperide + Vogli
Slide 35: Key Brands in Cardiovascular and VMN Therapies
Key Brands in Cardiovascular and VMN Therapies Strong presence in Anti-Hypertensives: the largest segment of Cardiac Care rank 5 in the ~4,400 cr Telmisartan and combinations market Eritel CH rank 5 in Telmisartan + Chlorthalidone market Eritel LN rank 2 in Telmisartan + Cilnidipine market rank 3 in
Slide 36: Key Brands in Derma, CNS and Women's Healthcare Therapies
Key Brands in Derma, CNS and Women’s Healthcare Therapies Leading brands in Medical Dermatology rank 3 in the ≈850 cr Clobetasol and combinations market 11% market share Cosvate-GM rank 1 Clobetasol + Gentamicin + Miconazole market rank 4 in Melasma market Onabet rank 1 in Sertaconazole and combinat
Slide 37: Thank You
THANK YOU Eris Lifesciences 36
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