Slide 1: Stock exchange filing cover letter
Date: May 30, 2024 BSE Limited National Stock Exchange of India Limited Corporate Relation Department Listing Department Phiroze Jeejeeboi Towers, Exchange Plaza, C-1, 1, Block-G, Block Dalal Street, Bandra-Kurla Complex, Mumbai - 400001. Bandra (East), Mumbai - 400051. Scrip Code: 524404 Symbol: MA
Slide 2: Q4 and FY24 Earnings Presentation
Q4 and FY24 Earnings Presentation 30th May 2024
Slide 3: Safe Harbor
Safe Harbor Certain statements in this presentation concerning our future growth prospects are forward looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The company's results may b
Slide 4: Table of Contents
Marksans Pharma is India’s leading pharmaceutical company specializing in the research, manufacturing, and marketing of generic pharmaceutical formulations Q4 and FY24 Financial and Business Highlights Table of Contents About Marksans Pharma Roadmap for the future Corporate Social Responsibility (CS
Slide 5: Q4 and FY24 Business & Financial Highlights
Q4 and FY24 Business & Financial Highlights
Slide 6: Management Commentary
Management Commentary “We are delighted to report a strong performance in FY24 in terms of both revenue and profitability. Our operating revenue for the year grew year-on-year by 18% and EBITDA increased by 35%, supported by new product launches, increase in market share, reduction in raw material p
Slide 7: Financial Highlights FY24 – YoY Performance
Financial Highlights FY24 – YoY Performance YoY Growth ₹ Cr. FY24 FY23 % YoY Performance 17.6% Growth is driven by volume gains, new launches, addition Revenue 2,177.4 1,852.1 of new customers, and increase in our wallet share with existing customers Gross Profit 1,139.3 930.8 22.4% Mainly due to re
Slide 8: Other Highlights – FY24
Other Highlights – FY24 Revenue from operations at Rs.2,177.4 Cr.: US revenues at Rs.918.1 Cr. (42.2%), UK and Europe revenues at Rs.943.0 Cr. (43.3%), Australia and New Zealand revenues at Rs.218.8 Cr. (10.0%), and RoW & UAE revenues at Rs.97.4 Cr. (4.5%). Teva revenue contribution in FY24 was ~ Rs
Slide 9: FY24 Revenue Split by Region
FY24 Revenue spilt by Region USA UK and Australia RoW Regions Europe and New Zealand % of total Operating 42.2% 43.3% 10.0% 4.5% Revenues YoY Revenue -3.0% 18.5% 22.9% 4.4% Growth • Revenue at Rs. 918.1 Cr. – • Revenue at Rs. 943.0 Cr. – • Revenue at Rs. 218.8 Cr. – • Revenue at Rs. 97.4 Cr. grew by
Slide 10: FY24 Segmental Mix
FY24 Segmental Mix Segment Revenue Split 44.1% 51.0% 54.7% 58.6% 68.6% 74.4% 74.1% 55.9% 49.0% 45.3% 41.4% 31.4% 25.6% 25.9% Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 RX OTC 9
Slide 11: Financial Highlights Q4FY24 – YoY Performance
Financial Highlights Q4FY24 – YoY Performance YoY Growth ₹ Cr. Q4FY24 Q4FY23 % YoY Performance 15.2% Revenue growth is being driven by volume gains, new Revenue 560.0 486.0 launches, addition of new customers, and increase in our share with existing customers. Gross Profit 290.2 242.1 19.8% Gross Pr
Slide 12: Financial Highlights Q4FY24 – QoQ Performance
Financial Highlights Q4FY24 – QoQ Performance QoQ Growth ₹ Cr. Q4FY24 Q3FY24 % QoQ Performance We witnessed favorable market conditions and moderate Revenue 560.0 586.1 4.5% price erosion for Rx products in Q4FY24 , however seasonality of few orders, product mix and adverse foreign exchange impact l
Slide 13: Q4FY24 Financial Trends
Q4FY24 Financial Trends Operating Revenue (₹ Cr.) Gross Profit (₹ Cr.) & Gross Profit Margin (%) 700.0 53.5% 51.8% 52.4% 600.0 51.5% 50.1% 49.8% 500.0 400.0 313.3 290.2 300.0 586.1 257.3 278.5 500.0 531.2 560.0 240.3 242.1 200.0 479.8 486.0 100.0 0.0 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q3FY23
Slide 14: Q4FY24 Region wise Trends
Q4FY24 Region wise Trends US & North America (₹ Cr.) Europe and UK (₹ Cr.) 300.0 250.0 257.5 251.0 245.0 233.3 232.8 200.0 217.0 222.3 225.9 193.5 193.3 186.8 206.3 150.0 100.0 50.0 0.0 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Australia and New Zealand (₹ C
Slide 15: Consolidated Profit and Loss Statement
Consolidated Profit and Loss Statement Particulars (₹ cr.) Q4FY24 Q4FY23 Q3FY24 YoY QoQ FY24 FY23 YoY Operating Revenue 560.0 486.0 586.1 15.2% -4.5% 2,177.4 1,852.1 17.6% Gross Profit 290.2 242.1 313.3 19.8% -7.4% 1,139.3 930.8 22.4% Gross Margin % 51.8% 49.8% 53.5% 199 bps -164 bps 52.3% 50.3% 207
Slide 16: Consolidated Balance Sheet
Consolidated Balance Sheet Particulars (₹ Cr.) FY24 FY23 Particulars (₹ Cr.) FY24 FY23 EQUITY AND LIABILITIES ASSETS EQUITY NON-CURRENT ASSETS Share Capital 45.3 45.3 Property, Plant & Equipment 675.7 379.6 Reserves and Surplus 2,019.7 1,699.8 Capital work-in-progress 5.4 7.2 Non-Controlling interes
Slide 17: About Marksans Pharma
About Marksans Pharma
Slide 18: Marksans Pharma - At a Glance
Marksans Pharma - At a Glance Market Reach Accreditations Cash in hand Global footprint- Present in 50+ countries USFDA, UK MHRA, Australian Cash position of ₹674 cr. and a net debt- ~96% revenue generated from the regulated TGA, EU, Health Canada and free position as of 31st March 2024 markets of t
Slide 19: Manufacturing Capabilities
Manufacturing Capabilities Manufacturing Facility in Southport, UK • Manufactures non-sterile liquids, ointments and powder sachets UK • Supplies to UK, West Africa & Middle East • Spread across 7,300 sq. meters C A PAC I T Y AC C R E D I TAT I O N S 2 bn bottles per annum 1 bn tubes per annum 1 bn
Slide 20: Business Structure
Business Structure Supply and Distribution through a network of subsidiaries 100% 100% 60% 100% 100% 100% 100% Distribution of Engaged in the business quality generic of marketing of Manufactur 162+ pharma medicines in the UAE er of OTC product Manufacturer of range of OTC & Rx and neighboring Liqui
Slide 21: OTC Store Brand Retailers/Customers
OTC Store Brand Retailers/Customers • In the OTC Segment, Marksans manufactures store brands (private label manufacturing) for retailers/customers and manufactures OTC products through its own label as well. • The company has more than 1500+ SKUs and 300+ products • Marksans is a preferred store bra
Slide 22: High Growth Trajectory
High Growth Trajectory Operating Revenue (₹ Cr.) EBITDA (₹ Cr.) Net Profit (₹ Cr.) Segmental Revenue Mix (%) 2,177.4 458.6 314.9 58% 74% 767.2 42% 44.7 26% 11.3 FY17 FY24 FY17 FY24 FY17 FY24 FY17 FY24 Rx OTC ROE (%) ROCE (%) Net Debt to EBITDA (%) Fixed Asset Turnover Ratio (x) 16.4% 21.5% 1.9 2.9 2
Slide 23: Roadmap for the future
Roadmap for the future
Slide 24: Roadmap for the future
Roadmap for the future Consistent Growth in Topline and Profitability Strengthening the OTC Business Backward Integration for sustained Supplement growth through Continued product launches through • Aim to capture a significant part margin development acquisitions a healthy product pipeline of the m
Slide 25: The OTC Opportunity (1/2)
The OTC Opportunity (1/2) Global OTC Drugs Market ($ Bn) • In 2022, the OTC market grew by 10.4% YoY to achieve total 210 global sales of $176 billion. 176 • North America and Western Europe have the highest market shares • North America OTC holds around ~25% of total global sales 106 • Robust growt
Slide 26: The OTC Opportunity (2/2)
The OTC Opportunity (2/2) Category Value Share • According to IQVIA, Cough and cold and Respiratory, Pain Relief, Nutrition, Gastrointestinal, Dermatology, and Allergy are the Nutrition 22.1% largest OTC therapeutical segments globally according to total OTC Gastrointestinal 15.7% sales • Marksans i
Slide 27: Continued product launches through a healthy product pipeline
Continued product launches through a healthy product pipeline Strong product pipeline followed by successful launches led by continued focus on R&D • Planned 34 new filings over the next three years • In addition, 16 products are already filed and awaiting • 10 products are in the pipeline approval
Slide 28: Key Product Launches
Key Product Launches Brand Composition Therapy Segment Market LOSARTAN LOSARTAN 25 MG, 50 MG, 100 MG TABLETS Anti-Diabetic UK ONDANSETRON ONDANSETRON 4MG, 8 MG TABLETS Gastrointestinal UK CARVEDILOL CARVEDILOL 3.125 MG, 6.25 MG, 12.5 MG, 25 MG TABLETS Cardiovascular System(CVS) UK TRAMADOL TRAMADOL
Slide 29: R&D Capabilities
R&D Capabilities R&D Centers R&D (₹ Cr.) and R&D % to sales Expected to increase to ~4-5 % over the next few years 40.0 4.0% 1.5% 2.0% 1.6% 1.6% 35.0 1.4% Southport, United Kingdom 0.6% 0.6% 0.7% 2.0% 30.0 34.6 Farmingdale, United States 0.0% 30.2 29.5 25.0 -2.0% Navi Mumbai, India Goa, India 20.0 -
Slide 30: Investment Rationale
Investment Rationale Follows calibrated inorganic growth approach: Marksans Funding through strategic Pharma has a proven record of investors and promoters: Headroom for Significant successful and capital-efficient Orbimed and Promoters fund Multiple Expansion acquisitions and creating a unique infu
Slide 31: ESG
ESG
Slide 32: Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) Healthcare Infrastructure Construction of New Building for Government Aided Sai Nursing Institute Free Food To Needed Joined hands with NGO’s to serving meals, ration, grocery kits for migrant families in villages in Goa People Medical treatment to under privile
Slide 33: Thank you
Thank you For more information please contact: Jitendra Sharma Corporate Office (CFO) 11th Floor Grandeur, Off Veera Desai Road, Opp Gundecha Symphony, Andheri (W), Marksans Pharma Ltd Mumbai – 400 053, Maharashtra - India Tel: +91 022 40012000 jitendra@marksanspharma.com © 2020 Marksans Pharma Limi