Laboratorio Reig Jofre, S.a. · BME:RJF
Laboratorio Reig Jofre — Reig Jofre — FY2019 Earnings Presentation
41 slides from Laboratorio Reig Jofre's earnings presentation, Mar 5, 2020
Slide 1: Results 2019
~ —— REIG (QI JOFRE Aa ~“ 8 RESULTS 2019 PHARMA SECTOR yy.
Slide 2: Disclosure
DISCLO SURE This presentation may contain forward looking statements including statements regarding Reig Jofre’s intent, belief or current expectations with respect to the businesses and operations, market conditions, results of operation and financial condition, capital adequacy, specific provision
Slide 3: Table of Contents
01. REIG JOFRE TODAY TABLE OF 02. EVOLUTION OF THE BUSINESS UNITS CONTENTS 03. INTERNATIONAL PROGRESS 04. PROFIT AND LOSS ACCOUNT 05. BALANCE SHEET 06. CYCLE CHANGE 07. SHAREHOLDER BASE 08. LINKS TO ADDITIONAL INFORMATION PAGE 3
Slide 4: Reig Jofre Today
01. LET’S TALK ABOUT REIG JOFRE TODAY 4
Slide 5: Reig Jofre Today
REIG JOFRE TODAY PHARMACEUTICAL COMPANY FOCUSED ON THE RESEARCH, DEVELOPMENT, MANUFACTURE AND MARKETING OF PHARMACEUTICAL PRODUCTS AND NUTRITIONAL SUPPLEMENTS 3 G E N E R A T I O N S A T T H E H E A D O F T H E B U S I N E S S Y E A R S S I N C E T E A M T I C K E R F O U N D I N G 1929 Ramon Reig J
Slide 6: Evolution of the Business Units
02. LET’S TALK ABOUT EVOLUTION OF THE BUSINESS UNITS 6
Slide 7: Business Units: Pharmaceutical Technologies, Specialty Pharmacare, Consumer Healthcare
2019 SALES BUSINESS UNITS 200 M€ +11% PHARMACEUTICAL SPECIALTY CONSUMER TECHNOLOGIES PHARMACARE HEALTHCARE Antibiotics Skin, hair and nails health Weight control Injectables / lyophilized Joint health & pain Energy Women’s health Stress & sleep disorders Beauty 99.5 M€ 51.7 M€ 49.0 M€ 50% +2% 26% +4
Slide 8: Evolution of the Business Units
EVOLUTION OF THE BUSINESS UNITS PHARMACEUTICAL SPECIALTY CONSUMER TECHNOLOGIES PHARMACARE HEALTHCARE 1. Key player Joint health & pain Caring vs healing • 30% worldwide of remifentanil vials New therapeutic area integration in S2-19 Growth + 9% French market • 25% beta-lactam antibiotics consumed in
Slide 9: International Progress
03. LET’S TALK ABOUT INTERNATIONAL PROGRESS 9
Slide 10: International Progress
INTERNATIONAL PROGRESS SALES 2019 BELGIUM SWEDEN 200 M€ UNITED KINGDOM DIRECT SALE TOTAL FRANCE COUNTRIES COUNTRIES 7 PORTUGAL 72 120 130 SPAIN BUSINESS M€ PARTNERS E M P L O Y E E G E O G R A P H I C A L D I S T R I B U T I O N SINGAPORE 80 M€ 9,5% F R A N C E Benelux 3% Portugal United Kingdom Sin
Slide 11: Profit & Loss Account
04. LET’S TALK ABOUT PROFIT & LOSS ACCOUNT PAGE 11
Slide 12: Profit and Loss Account
200 milion € Sales P&L Profit and Loss Account 2019 2018 Sales + 11% Gross Margin 63% on Sales EBITDA + 20% 19,7 P&L 2019 expressed with IFRS 16 application, treatment of leases as asset amortization milion € EBITDA PAGE 12
Slide 13: EBITDA and Profit Before Taxes
P&L 19,7 milion € EBITDA Profit and Loss Account 2019 2018 EBITDA 10% on Sales Depreciation 6,5% on Sales Financial Result 0,6% on Sales 5,3 milion € Other results include PROFIT Allocation of Grants Impairment and gains or losses on disposals of non-current assets BEFORE TAXES PAGE 13 Results from
Slide 14: Acquisition of Joint Health and Pain Portfolio
Acquisition of Joint Health and Pain Portfolio Impacts on Profit and Loss Account | 2nd half of 2019 01 Sales 02 Amortization of 03 Non recurrent Intangibles Transaction Costs + 13,3 n milion € [1 semester] - 2,4 milion € [1 semester] - 2,3 milion € Total of 51 people join RJF, P&L impacts in Person
Slide 15: Adjusted P&L 2019
Adjusted P&L 2019 Adjusted Adjusted Profit and Loss Account 2019 2018 22,0 milion € ADJUSTED EBITDA * 7,6 milion € NIIF 16 Adjustment ADJUSTED PROFIT Transactional Costs Adjustment BEFORE TAX * INTANGIBLE DEPRECIATION FOR THE NEW PORTFOLIO 2,4 M€ Depreciation Expenses in 2019 include a 2,4 milion €
Slide 16: Balance Sheet
05. LET’S TALK ABOUT BALANCE SHEET PAGE 16
Slide 17: Balance Sheet 2019
Balance Sheet 2019 A SSETS LIABILITIES TOTAL BALANCE SHEET Intangible 116 M Equity 178 M 314 Assets milion € 220 84 milion € Property, Plant 19 and Equipment M Other non-current 18 liabilities M 2019 2018 63 Other Non-Current Assets M M 96 Financial Debt +94 54 Current VARIATION Assets M Other curre
Slide 18: Balance Sheet 2019: Net Financial Debt and Working Capital
Balance Sheet 2019 A SSETS LIABILITIES 217 M 178 M EQUITY NON-CURRENT ASSETS NON FINANCIAL LIABILITIES 34 M 47 M NET FINANCIAL DEBT 53 M WORKING CAPITAL PAGE 18
Slide 19: Assets Variation 2019-2018
A SSETS VAR 2019-2018 INVESTMENTS 2019 Investments 2019 71M +79 71M 217 M + Investment in Financial Assets net variation CAPEX M 1,2 M New technologies and increase in capacity 2019 R+D 22,2 M CAPITALISED New + 5,6M Injectable Plant (17,1M) NIIF 16 IMPACT Joint Health and 13M 48,1 M Pain portfolio N
Slide 20: Liabilities Variation 2019-2018
L IABILITIES V AR 2019-2018 Balance Sheet 2019 178 M +28 EQUITY M 24,5 M - 0,8 M 4,1 M CAPITAL INCR. DIVIDEND EQUITY CORP.OPERATION [-359 K€]+ + CAP.INCREASE TREASURY STOCK 2019 RESULTS + SCRIP [0,5M] [-238 k€] OTHER NON FINANCIAL LIABILITIES 34 M +28 M NON FINANCIAL LIABILITIES 2M GRANTS 26 M OTHER
Slide 21: Debt/EBITDA and Financial Debt
DEBT/EBITDA FINANCIAL DEBT 13 LEASE DEBT APPLICATION OF NIIF 16 NET FINANCIAL DEBT M GROSS FINANCIAL DEBT 53 milion € 63 M BANK DEBTS 50 M 24 milion € Loans 24% Financial Leases 57% AVERAGE 2019 2018 MATURITY 3 years Credit facilities 8% DEBT / EBITDA COST OF DEBT Public Organizations 2,67 1,49 Debt
Slide 22: Building Up Reig Jofre 2025
06. LET’S TALK ABOUT BUILDING UP REIG JOFRE 2025 PAGE 22
Slide 23: Strategic Plan Reig Jofre 2020
Strategic plan REIG JOFRE 2020 Strategic plan Strategic plan 2020 2025 2020 2015 PAGE 23
Slide 24: Reig Jofre 2013-2019
REIG JOFRE 2013 - 2019 Sales evolution EBITDA evolution milion € milion € 200 19,7 180 168 17,1 161 15,8 16,4 153 157 15,0 14,3 13,5 118 2013 2014 2015 2016 2017 2018 2019 2013 2014 2015 2016 2017 2018 2019 Expenditure evolution + R+D Investment INVESTMENT evolution 71,5 milion € milion € 11,8 10,6
Slide 25: Investments 2015-2019
INVESTMENTS 2015-2019 INORGANIC GROWTH | NEW TECHNOLOGIES AND R&D PROJECTS [EXPENSE + BRANDS EXTENSION CAPACITY INVESTMENT] 52M 40M profitability horizon 48M profitability horizon profitability horizon 2020 2020-2023 2021-2025 PAGE 25
Slide 26: Building Up Reig Jofre 2025
Building up REIG JOFRE 2025 STRATEGIC PLAN STRATEGIC PLAN 2020 2025 2020 2015 PAGE 26
Slide 27: Investments 2015-2019
INVESTMENTS 2015-2019 NEW TECHNOLOGIES AND PROJECTS [EXPENSE + INVESTMENT] INORGANIC GROWTH BRANDS | EXTENSION CAPACITY R&D JV 1 2 3 2014 NEW ANTIBIOTICS LINE 2017-2019 TOLEDO 6% FORTE PHARMA sales NEW INJECTABLE PLANT 2016 2018-2020 BARCELONA 6 Pharmaceutical RJ UK Technologies Consumer M 17,2 Heal
Slide 28: Non-Organic Growth: Joint Health and Pain Acquisition
Non-Organic Growth 1 Acquisition Business Health and Joint Pain Acquisition July 2019 Opportunity Strategic fit. Growing market ✓ Aging ► New Business Integration Experience ► € 26M Annual Sales ✓ Overweight ► Know How in Marketing Product of ✓ Exercise wear Medical Visit (professional) ► Medication
Slide 29: New Technologies and Capacity Expansion
2 New Technologies and Capacity Expansion Plant Extension New Plant Lyophilized Toledo antibiotics Injectables Barcelona Demand Demand • Access to new markets, new innovative products and non-patent biological or Capacity chemical base • 33% capacity increase • 25 M annual vials Demand Capacity Capa
Slide 30: New Plant Lyophilized Injectables Barcelona
2 New Technologies and Capacity Expansion New Plant Lyophilized Injectables Barcelona PAGE 30
Slide 31: Strategy and Pipeline R&D
3 Strategy and Pipeline R&D RJF +University 100% RJF In-house - COLLABORATION + +Start-up PHARMACEUTICALS PHARMACEUTICALS/MEDICAL DEVICE (time to market) /FOOD SUPPLEMENT (time to market) • UNDER DEVELOPMENT (>2 years) • UNDER DEVELOPMENT (>2 years) • 3 Injectable/lyophilised • Biosimilar • 2 β-lact
Slide 32: Reig Jofre 2020-2025
REIG JOFRE 2020 - 2025 STABILITY PROFITABILITY CAPEX INVESTMENT Investment effort in Industrial Capacity focused on recurring Generation Business CAPEX Investments made 2016-2020 PAGE 32
Slide 33: Shareholder Base
07. LET’S TALK ABOUT SHAREHOLDER BASE PAGE 33
Slide 34: Shareholders Base
SHAREHOLDERS BASE 31/12/2019 Free Float evolution Scrip Dividend Remuneration of 0,045€/share with cash option payment or subscription of new shares. 87,3% of shareholders subscribed the May 2019 Capital increase. Issued 1M new shares [1,5% Capital] 2017 13,5% Capital Bookbuilding process to Main In
Slide 35: RJF Share Performance in 2019
RJF share performance in 2019 2,85 Analysts Coverage Closing Price 2,70 Solventis 2,52€ 2,55 Bankinter 2,40 Estrategias de Inversión 2,25 2,10 1,95 31/12 31/01 28/02 31/03 30/04 31/05 30/06 31/07 31/08 30/09 31/10 30/11 31/12 Share Profitability 10,5% Target Value Estimated by analysts 3,80 3,66 Hig
Slide 36: Additional Information
08. LET’S TALK ABOUT ADDITIONAL INFORMATION 36
Slide 37: Assets
A SSETS thousand euros 31/12/2019 31/12/2018 ASSETS Goodwill 29.730 27.598 Other intangible assets 85.879 39.121 Property, plant and equipment 83.917 54.728 Investments in equity-accounted investees 1.220 307 Non-current financial assets measured at fair value 1.204 1.167 Other non-current financial
Slide 38: Liabilities
L IABILITIES thousand euros EQUITY AND LIABILITIES 31/12/2019 31/12/2018 Share capital 38.031 32.525 Share Premium 19.000 0 Reserves 118.559 110.183 Treasury shares -1.138 -900 Own equity instruments 62 34 Profit attributable to the parent company 4.942 9.266 Exchange differences -1.146 -1.193 Other
Slide 39: Profit & Loss
P ROFIT & thousand euros 31/12/2019 31/12/2018 L OSS Turnover 200.207 180.468 Procurements -75.426 -70.267 Changes in inventories 1.515 2.648 Gross margin 126.296 112.848 Work carried out for fixed assets 5.625 4.824 Other operating income 94 839 Personnel expenses -57.132 -52.140 Other operating ex
Slide 40: Links to Additional Information
LINKS TO ADDITIONAL INFORMATION LAST NEWS www.reigjofre.com/en/news WEBCAST OF RESULTS http://www.reigjofre.com/en/investors/webcasts SUBSCRIPTION CENTER http://www.reigjofre.com/en/news/subscription-center PAGE 40
Slide 41: Contact and Investor Relations
Tabla de Av. de les Flors 08970 Sant Joan Despi Barcelona, Spain T. +34 93 480 67 10 www.reigjofre.com Investor Relations investors@reigjofre.com 41