Gni Group Ltd. · TSE:2160
Gni — Q3 2022 Earnings Presentation
22 slides from Gni's earnings presentation, Nov 17, 2022
Slide 1: GNI Group Ltd. FY2022 Q3 Year to Date Financial Results
GNI Group Ltd. FY2022 Q3 Year to Date Financial Results Corporate Presentation Nov 17th, 2022 We Bring New Hope to Patients. Ying Luo (罗楹) President and Chief Executive Officer Joseph Francis Meyer (J. F. マイヤー） Chief Financial Officer Securities Code: 2160
Slide 2: Forward-looking Statements
We Bring New Hope to Patients Forward-looking Statements This presentation contains statements concerning the current plans, expectations and strategies of GNI Group Ltd. (GNI Group). Any statements contained herein that pertain to future operating performance and that are not historic facts are for
Slide 3: Contents
We Bring New Hope to Patients Contents 1 Multinational Operating Model 2 2022Q3 Financials 3 Pharmaceutical Growth Pillar 4 Biomaterial/Medical Device Pillar 5 2023 Strategy © 2022 GNI Group Ltd. All rights reserved 3
Slide 4: Unique Competitive Edge: GNI Platform
We Bring New Hope to Patients 1. Multinational Operating Model Unique Competitive Edge: GNI Platform ✓ Steady progress in clinical trials in China (F351, F573, TRK Degrader) ✓ Expanding ✓ Preparing for trials in US Biomaterial Business Productive ✓ Combined R&D investments up 28% YoY in Asia R&D Pla
Slide 5: Cost-Efficient Platform Leveraging on China Positioning
We Bring New Hope to Patients 1. Multinational Operating Model Cost-Efficient Platform Leveraging on China Positioning US, Japan, China China Global Clinical Global Development, Clinical Basic Proof-of- Concept, Development Research Fast-to-Market, and Profit Commercialization ✓ Efficiency ▪ Talent
Slide 6: 2022Q3YTD: Highly Volatile Macro Environment
We Bring New Hope to Patients 2. 2022Q3 Financials 2022Q3YTD: Highly Volatile Macro Environment Stock Price Trend Against Global Indices from 2021/12 – 2022/11 160% 140% 120% • Continued capital market 100% volatility 80% 60% 40% 20% 0% 12/31/21 2/07/22 3/15/22 4/20/22 5/25/22 7/01/22 8/08/22 9/13/2
Slide 7: FY2022Q3YTD Consolidated Financial Results
We Bring New Hope to Patients 2. 2022Q3 Financials FY2022Q3YTD Consolidated Financial Results Continue to grow while maintaining profitability and investments Consolidated P/L 2021Q3YTD 2022Q3YTD Change Revenue 9,536 12,761 33.8% Revenues: up both reported and underlying Gross profit 8,327 10,853 30
Slide 8: Financial Performance Snapshot
We Bring New Hope to Patients 2. 2022Q3 Financials Financial Performance Snapshot Revenue By Geography Revenue By Segment Cash Position 16 1755 1,714 3,008 5,112 10,990 11,046 4,552 Japan China USA Pharmaceutical Medical Device Japan China USA (Million JPY) (Million JPY) (Million JPY) © 2022 GNI Gro
Slide 9: Consolidated Revenue Growth: 58% 10-Year CAGR
We Bring New Hope to Patients 2. 2022Q3 Financials Consolidated Revenue Growth: 58% 10-Year CAGR (Million JPY) GNI Group: a Decade of Growth Revenue Operating income 18,000 Acquired 100% of BAB 13,000 Cullgen founded 8,000 Acquired 70% of BAB BC & 3,000 SG 2013 2014 2015 2016 2017 2018 2019 2020 202
Slide 10: GNI Group Updated Forecast for FY2022
We Bring New Hope to Patients 2. 2022Q3 Financials GNI Group Updated Forecast for FY2022 Profit Operating Profit before Profit for the Revenue attributable Basic EPS profit tax year to owners (JPY Million) (JPY Million) (JPY Million) (JPY Million) (JPY Million) (JPY) Previous Forecast (A) 16,334 1,8
Slide 11: Resilient Growth amid COVID-19 Headwinds
We Bring New Hope to Patients 3. Pharmaceutical Growth Pillar Resilient Growth amid COVID-19 Headwinds Pharmaceutical Segment Growth (Million JPY) from 2017 to Date 16,000 Segment Revenue Segment Profit 14,000 ✓ Resilience amid COVID-19 12,000 lockdown headwinds 10,000 ✓ Clinical trials progressing
Slide 12: Beijing Continent's Competitive Edge
We Bring New Hope to Patients 3. Pharmaceutical Growth Pillar Beijing Continent’s Competitive Edge Growth engine of pharmaceutical sector Cost-effective R&D and Manufacturing Platform • Internal clinical development team • Faster to market and profitability in China to sustain global product develop
Slide 13: R&D: Drug Development Pipeline (1/2)
We Bring New Hope to Patients 3. Pharmaceutical Growth Pillar R&D: Drug Development Pipeline (1/2) Steady progress on clinical trials in China by Beijing Continent Beijing Continent pharmaceutical co. ltd Upcoming Expecting Product Indication Pre-clinical Phase I Phase II Phase III NDA Marketed Comm
Slide 14: Cullgen's Competitive Edge
We Bring New Hope to Patients 3. Pharmaceutical Growth Pillar Cullgen’s Competitive Edge Front runner of targeted protein degradation (TPD) technology Revolutionary Drug Discovery Platform uSMITETM • Developed by TPD technology and IP pioneers • Productive in discovering novel E3 ligands Strong Team
Slide 15: R&D: Drug Development Pipeline (2/2)
We Bring New Hope to Patients 3. Pharmaceutical Growth Pillar R&D: Drug Development Pipeline (2/2) Multiple different promising new drug candidates in TPD under way Product/Indication Origin Pre-clinical Phase I Phase II Phase III Latest Status 2022.09 IND# for Phase 1 clinical trial approved Cancer
Slide 16: Medical Device Segment: Stable Cash Generation
We Bring New Hope to Patients 4. Biomaterial/Medical Device Pillar Medical Device Segment: Stable Cash Generation Medical Device Segment Growth from 2017 to Date Segment Revenue Segment Profit 2,500 (Million JPY) ✓Steady Econ value add in the US 2,000 ✓Expansion overseas using 1,500 proprietary comp
Slide 17: Berkeley Advanced Biomaterials' Competitive Edge
We Bring New Hope to Patients 4. Biomaterial/Medical Device Pillar Berkeley Advance Biomaterials’ (BAB) Competitive Edge Stable performance with new product potential Stable Industry • Least volatile product cycle in medical device industry • Lower regulatory risk hurdles than in drug development Gr
Slide 18: GNI Group 2023 Strategic Goals
We Bring New Hope to Patients 5. 2023 Strategy GNI Group 2023 Strategic Goals Finish enrollment of patients for F351 liver fibrosis clinical trials List Beijing Continent in a major stock exchange Expand biomaterial business into new growth area Build up Japan operation step by step Support Cullgen
Slide 19: GNI Group Organization
We Bring New Hope to Patients 5. 2023 Strategy GNI Group Organization GNI Group Ltd. 100％ 100％ 60％ 100％ BJContinent 1) GNI USA Shanghai Genomics Hong Kong Delaware Shanghai 56％ 36％2) 100％ 20％ 80％ 80％ Beijing Continent Berkeley Advanced Shanghai Ruixing JV with EPS Shanghai Genomics Shanghai Rui Fu C
Slide 20: New Area of Growth of Biomaterial Business: Aesthetics
We Bring New Hope to Patients 5. 2023 Strategy New Area of Growth of Biomaterial Business: Aesthetics CN Aesthetics Market (Billion RMB) Growth % © 2022 GNI Group Ltd. All rights reserved 20
Slide 21: Continuing Efforts in ESG
We Bring New Hope to Patients 5. 2023 Strategy Continuing Efforts in ESG • BC holds • BC’s donation of ETUARY • Targeting to further GB/T24001:2016* to NPO in China up 7.8% diversify GNI board Certificate YoY membership in 2023 • BC’s expenditure on • BAB holds ISO • GNI and BC adopt environmental 1
Slide 22: Contact Information
We Bring New Hope to Patients Contact Information infojapan@gnipharma.com © 2022 GNI Group Ltd. All rights reserved 22