Jb Chemicals & Pharmaceuticals Ltd. · NSE:JBCHEPHARM
Jb Chemicals & Pharmaceuticals — Q3 FY25 Earnings Presentation
42 slides from Jb Chemicals & Pharmaceuticals's earnings presentation, Feb 4, 2025
Slide 1: Company presentation cover letter to NSE
February 4, 2025 National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot No. C/1, G-Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400051. Stock Symbol: JBCHEPHARM Dear Sir, Sub: Company Presentation Enclosed is the Company’s presentation on financial results for the quarter and
Slide 2: JB Pharma Q3 FY25 & 9M FY25 Investor Presentation
JB Pharma – Q3 FY25 & 9M FY25 Investor Presentation Feb 4, 2025
Slide 3: Disclaimer
Disclaimer No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the d
Slide 4: Q3 FY25 Business Performance
Q3 FY25 Business Performance
Slide 5: CEO's Message
CEO’s Message “ “JB has delivered consistent growth over last few years even amidst a volatile macroeconomic environment. This has been enabled by our mix of businesses and markets, specifically our focus on India branded formulations, CDMO, and select international markets which play to our strengt
Slide 6: Results Overview: Q3 and 9M FY25
Results Overview: Q3 and 9M FY25 Revenues (INR crores) 13% ◼ JB Pharma registered revenue of INR 963 crores in Q3 2,969 FY25 (YoY growth of 14%) and INR 2969 crores in 9M 2,622 14% FY25 (YoY growth of 13%) ◼ Domestic formulations business recorded revenue of INR 845 963 566 crores vs INR 462 crores
Slide 7: EBITDA Analysis
EBITDA Analysis INR crores Q3 FY25 Q3 FY24 9M FY25 9M FY24 Revenue 963 845 2969 2622 Reported EBITDA 255 223 805 699 Included in Employee Non-Cash ESOP Charge 16 12 41 30 Benefits expense Operating EBITDA* 270 235 846 729 Operating EBITDA margins 28.1% 27.8% 28.5% 27.8% *Operating EBITDA is after ex
Slide 8: Financial Overview: Q3 and 9M FY25
Financial Overview: Q3 and 9M FY25 Operating EBITDA (INR crores) 28.5% 27.8% ◼ Operating EBITDA was INR 270 crores in Q3 FY25 (YoY growth of 28.1% 16% 15%) and INR 846 crores in 9M FY25 (YoY growth of 16%) 27.8% 846 – Operating EBITDA margin improved to 28.1% for Q3 FY25 YoY and 729 15% improved to
Slide 9: Domestic Business: Q3 and 9M FY25
Domestic Business : Q3 and 9M FY25 Domestic Formulations (INR crores) 22% ◼ JB Pharma continues as one of the fastest growing companies in the industry, as per IQVIA MAT Dec’24 data ◼ Domestic business continued its momentum and registered 1,749 YoY growth of 22% to INR 566 crores 22% ◼ Domestic bus
Slide 10: Ophthalmology portfolio from Novartis gaining momentum post smooth transition
Ophthalmology portfolio from Novartis gaining momentum post smooth transition After smooth integration in January’24, the ophthalmology portfolio sales is progressing well; 60 57 depicting consistent growth every quarter 46 48 Portfolio sales grew 30% to INR 60 crs in Q3 FY25 vs INR 46 crs in Q4 FY2
Slide 11: International Business: Q3 and 9M FY25
International Business: Q3 and 9M FY25 4% 383 397 265 254 ◼ International business revenue grew at 4% to INR 397 crores 33% vs. INR 383 crores 118 89 29 25 ◼ International formulations business declined by 4% to INR 254 crores for Q3 FY25 Total International CDMO API International Formulations – Whi
Slide 12: Q3 and 9M FY25 Financial Performance (Consolidated)
Q3 and 9M FY25 Financial Performance (Consolidated) Particulars Q3 FY25 Q3 FY24 YoY Growth 9M FY25 9M FY24 YoY Growth Revenue from Operations 963 845 14% 2969 2622 13% Cost of Goods Sold 317 274 16% 995 882 13% Gross Profit 647 571 13% 1974 1741 13% Gross Profit Margins 67.1% 67.6% 66.5% 66.4% Emplo
Slide 13: Investor Presentation
Investor Presentation
Slide 14: JB Pharma at a Glance
JB Pharma at a Glance INR3,484 Cr 5 Top 5 FY24 Revenue Brands in IPM Top 150 CDMO of Lozenges Globally Scale 54% #16 48% Domestic Revenue % Prescription Rank FY24 Chronic %(1) (FY24) (FY24) Domestic 1.5x 18% 26% Outperformance vs Revenue CAGR Operating EBITDA CAGR Growth IPM (MAT Dec’24) (FY20-24) (
Slide 15: One of the Most Attractive Domestic Formulations Business
One of the Most Attractive Domestic Formulations Business Consistently Outperforming the Indian Pharmaceuticals Market JB Pharma Consistently Outperforming IPM Growth 30% 28% 25% #22 20% 20% 18% 16% #23 MAT Dec ‘24 15% 12% 12% 10% 10% 7% 8% 7% #27 MAT Dec ‘22 5% MAT Dec ‘20 0% MAT Dec'21 MAT Dec'22
Slide 16: Majority of Portfolio in Fast-Growing Therapy Segments
Majority of Portfolio in Fast-Growing Therapy Segments Leading to Inherent Strong Growth Prospects % JB Pharma Revenue Segment CAGR JB Pharma CAGR Key Brands (MAT Dec’24) (MAT Dec’21-Dec’24) (MAT Dec’21-Dec’24) Hypertension 39% 10% 12% Lipid Management 4% 17%(1) 26%(1) (Rosuvastatin) Heart Failure 3
Slide 17: Focused Portfolio of Top 15 Pillar Brands
Focused Portfolio of Top 15 Pillar Brands Driving ~70% of the Domestic Revenue MAT Dec’20 MAT Dec’24 16 17% 24% 29% 26% 13% 1% each 8% 23% 2% 8% 9% 2% 8% 10% 3% 4% 7% 5 brands contributing to ~70% of the revenue 15 brands contributing to ~70% of the revenue Built a Strong, Diversified Portfolio of 6
Slide 18: Key Highlights of JB Pharma
Key Highlights of JB Pharma 1 2 3 4 One of the Fastest Growing Increasing Chronic Presence Track Record of Building Strong GTM Model with Pan Domestic Pharma Companies with ~2.2 Times Large Brands with Big India Presence and Outperformance to IPM Brands Getting Bigger Consistently Improving Producti
Slide 19: One of the Fastest Growing Domestic Pharma Companies
1 One of the Fastest Growing Domestic Pharma Companies 12% 9M’FY25 Growth 12% MAT Dec’24 Growth 12% MAT Dec’24 Growth One of the Fastest Growing Domestic Pharma Companies 1.5x 1.5x 1.3x vs 8% for IPM vs 8% for IPM vs 9% for CVM 48% 46% 41% 54% 56% 52% Increasing Share of Domestic Revenue 52% 54% 59%
Slide 20: Strong Prescription-Led Growth
1 Strong Prescription-Led Growth Prescription Volume Growth Outperforming IPM Strong Prescriber Connect across Specialities Prescriptions CAGR (MAT Dec’20 - MAT Dec’24) 135,000 General/ Consulting Physicians 18% 23,000 Gynaecologists 12% 30,000 Dentists 20,000 Ophthalmologists IPM 20,000 Pediatricia
Slide 21: Increasing Chronic Presence with ~2.2 Times Outperformance to IPM
2 Increasing Chronic Presence with ~2.2 Times Outperformance to IPM Consistently Increasing Chronic Mix… ...With Strong Outperformance to IPM… …Leading to Significant Rank Improvement MAT CAGR (Dec’20 – Dec’24) Gained 5 Ranks in the Last 4 Years 24% 53% 52% 57% 63% #20 #21 11% #25 47% 48% 43% 37% MA
Slide 22: Prescriber Coverage
2 #8 Position in Cardiac in IPM Anchored Around House of Mega Brands and Emerging Brands JB’s Cardiac Covered Market Portfolio of Mega Brands and Emerging Brands Consistently Gaining Market Share MAT Dec’24 Revenue Growth vs. Brand Market share(1) Rank 6 (INR cr) Category(1) Rank in AHT(3) 8 Mega Br
Slide 23: Track Record of Building Large Brands
3 Track Record of Building Large Brands… MAT Value Sales (INR cr) MAT Dec-24 Rank Market Share and Brand Growth Dec-24 CVM IPM Market Share(1) Brand CAGR(2) 449 #1 #24 55% 19% 5 brands in Top 150 of IPM 357 #2 #43 41% 8% Covering c.50%+ of Domestic 220 #1 #117 79% 16% Formulations Revenues… 210 #1 #
Slide 24: Big Brands Getting Bigger
3 …with Big Brands Getting Bigger Building Large Brand Families… …With Strong Capability to Build Brand Franchises through Lifecycle Management # of Brands by MAT Revenue Chart Title 20-50cr 50-100cr 100-300cr >300cr INR 414cr INR 752cr INR 335cr INR 428cr INR 207cr INR 311cr 2 MAT Dec’21 MAT Dec’24
Slide 25: Strong GTM Model with Pan India Presence
4 Strong GTM Model with Pan India Presence and Consistently Improving Productivity Pan India Presence Sustained Improvements in Field Force Productivity x% Sales contribution by zone (MAT Dec’24) Field Force Productivity – Per Capita Per Month (INR Lakhs)(1) JB Pharma CAGR (MAT Dec’22-24) 2,600+ IPM
Slide 26: Track Record of Synergistic Brand Acquisitions
5 Track Record of Synergistic Brand Acquisitions… New / Key Brands Acquired Rationale Existing TAs 1 ✓ ◼ Overlap in the prescriber base (more than 70% of prescribers are General Physicians / FY22 Probiotic and IVF Consulting Physicians who are key prescribers base for JB) ◼ Sporlac, Lobun, Gynogen,
Slide 27: Capability to Scale up Acquired Brands Rapidly
5 …With Capability to Scale up Acquired Brands Rapidly Brand Sales (INR Cr) Sporlac Franchise 7% 107 17% 100 INR 88cr INR 140cr 85 MAT Dec’22 MAT Dec’24 Another INR 100cr+ SPORLAC GG SPORLAC EVA Brand MAT Dec 22 MAT Dec 23 MAT Dec 24 SPORLAC PLUS Acquired Pediatrics Ophthalmology Brands Brands Franc
Slide 28: Diversified International Business Across CDMO, Formulations, and API
6 Diversified International Business Across CDMO, Formulations, and API CDMO International Formulations and API ◼ Direct front-end presence ◼ Distributor-led model Leading Global Position in $4.6b Lozenges Market Opportunity Direct Presence in Distributor Relationships in the US, Russia and South Af
Slide 29: Among the Top 5 CDMOs Globally for Lozenges
6 Among the Top 5 CDMOs Globally for Lozenges Key Highlights Key Enablers Top 5 global manufacturers of medicated and herbal lozenges Strong R&D Tenured State-of-the-art Best-in-class and Unique Customer Marquee Clientele and Brands across globally renowned consumer Manufacturing Equipment and Analy
Slide 30: World-Class Manufacturing Facilities
7 World-Class Manufacturing Facilities with Capabilities Across Multiple Dosage Forms 8 40+ 10 State of the Art Manufacturing Global Regulatory Dosage forms Plants in 5 Facilities Accreditations produced Tablets Vials Campus 1 (Panoli, Gujarat) Campus 2 (Panoli, Gujarat) Capsules Ointments Campus 3
Slide 31: Well Orchestrated Transformational Initiatives
8 Well Orchestrated Transformational Initiatives Resulting in Step Change in Quality of Business Multiple Strategic Initiatives Under the New Management… …has Led to Complete Transformation of the Business Parameters FY20 FY24 Revamped GTM strategy focused on lifecycle management of big brands – inc
Slide 32: Strategy Overview
Strategy Overview
Slide 33: Domestic Business – On Track Towards Strategic Priorities
Domestic Business – On Track Towards Achieving Strategic Priorities When We Started Current Position Mid to Long-term Objectives IPM Position Ranked #32 in IPM Ranking 22nd in IPM Ranked in IPM Top 15 Companies* Contribution from Chronic Therapies ~45% of Domestic sales ~50% of Domestic sales ~60% o
Slide 34: Multiple Levers for Sustainable Growth
Multiple Levers for Sustainable Growth Growth Objectives Supported by Lean Organization Structure and Strong Governance Framework Domestic Business to Consistently Outperform Market Growth Sustained Growth Momentum in International Business Driven by ◼ CDMO business to maintain growth momentum aided
Slide 35: Financials
Financials
Slide 36: Consistent Revenue / EBITDA Growth Over the Years
Consistent Revenue / EBITDA Growth Over the Years Total Revenues (INR Cr) FY20-24 9M FY25 Domestic Formulations International Business CAGR YoY 3,484 3,149 2,969 14% 2% 2,424 2,622 1,587 2,043 1,509 1,219 1,775 1,190 1,236 954 1,127 1,897 1,432 1,749 797 1,173 1,640 18% 22% 892 FY20 FY21 FY22 FY23 F
Slide 37: Improving Capital Efficiency and Free Cash Flow Profile
Improving Capital Efficiency and Free Cash Flow Profile Robust ROCE Metrics Reducing Net Working Capital Days Strong Cash Flow Conversion ROCE (%) Operating Cash Flow / Operating EBITDA (%) 42% 111 85% 82% 98 89 87 Impacted due to investments in 56% acquisition 27% 22% 21% 27% FY21 FY22 FY23 FY24 FY
Slide 38: JB's Sustainability Initiatives
JB’s Sustainability Initiatives
Slide 39: Sustainability Report FY 2023-2024
Sustainability Report – FY 2023 - 2024 Reporting Framework: Report prepared in accordance with the GRI 2021 Standards United Nations Sustainable Development Goals (UN SDGs) Reporting Period: This report covers the sustainability performance of the company for the period from 1st April 2023 to 31st M
Slide 40: Impact created in FY 2023-2024
Impact created in FY 2023 - 2024 Areas Description ESG Report JB Pharma published its third sustainability report aligned with the United Nations SDG Goals, GRI Framework, and SASB metrics. Det Norske Veritas (DNV) has provided Limited level assurance on the Sustainability Report 2024. The assurance
Slide 41: FY 2024 Sustainability Performance Highlights
FY 2024 Sustainability Performance Highlights Environment Social Governance • Emission (Scope1 & Scope2) intensity per rupee of turnover reduced • 10.9 % female representation • Zero cases pertaining to by 22.2% in workforce (Permanent). issues of conflict of interests in case of Directors. • 13.9%
Slide 42: Thank you
Thank you jbpharma/ www.jbpharma.com 41
JB Chemicals & Pharmaceuticals — Q3 FY25 Earnings Presentation on 6ix