Zydus Lifesciences Limited · NSE:ZYDUSLIFE
Zydus Lifesciences — Investor Presentation (September 2023)
39 slides from Zydus Lifesciences's investor presentation, Sep 17, 2023
Slide 1: Exchange cover letter for investor presentation
September 17, 2023 BSE Limited Code: 532321 1st Floor, P J Towers, Dalal Street, Mumbai-400001 National Stock Exchange of India Limited Code: Zyduslife Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra-Kurla Complex, Bandra (East), Mumbai-400051 Re.: Investor Presentation for Investor Confere
Slide 2: Zydus Lifesciences Limited Investor Presentation
Zydus Lifesciences Limited Investor Presentation September, 2023 1
Slide 3: Disclaimer and Safe Harbor Statement
Disclaimer and Safe Harbor Statement • THIS PRESENTATION (PRESENTATION) IS NOT AN OFFER TO SELL ANY SECURITIES OR A SOLICITATION TO BUY ANY SECURITIES OF ZYDUS LIFESCIENCES LIMITED OR ITS SUBSIDIARIES OR JOINT VENTURES (TOGETHER, THE “COMPANY”). The material that follows is a Presentation of general
Slide 4: Zydus at a Glance
Zydus at a Glance A Leading Lifesciences Player With a Global Footprint Aptly Supported by API Alliances EM & EU US$ 2.15 bn 9% 3% 1% Revenues1 in India 36 Geography FY23 41% Manufacturing facilities FY23 Sales Formulations 26% US$ 480 mn Rs. 48,525 Consumer Wellness 15% mn EBITDA1 in FY23 (22.4% ma
Slide 5: Innovation Updates
Innovation Updates
Slide 6: Innovation at the Core: Moving up the value curve
Innovation at the Core: Moving up the value curve Biosimilars Orphan Disease & Specialty Portfolio through 505(b)(2) NCEs Indian pioneers in Biosimilars with A portfolio of 9 R&D Saroglitazar - World’s first Portfolio of 12 approved biosimilars programs at various approved therapy for NASH incl. the
Slide 7: US Generics Pipeline: Evolving with differentiation
US Generics Pipeline: Evolving with differentiation Transforming the portfolio towards next phase of growth Leveraging the licensing strategy for technically complex products with large opportunity size From To Market Focus • Volume-centric • Value centric, differentiated products NCE-1, First-to-fi
Slide 8: India Portfolio: Multi-pronged approach to fuel growth
India Portfolio: Multi-pronged approach to fuel growth Pipeline of First-in-India, Day-1 launches and next generation Multiple initiatives being undertaken towards ensuring access Drug Delivery platforms will be one of the key growth drivers and affordability to patients and meet their healthcare ne
Slide 9: NCEs and NBEs: Highlights and Focus Therapy Areas
NCEs and NBEs: Highlights and Focus Therapy Areas Novel Approved Products • World’s First novel cocktail RmAbs • Novel rabies mAb First NCE Approved/Launched In India cocktail containing Bilypsa® for treating NAFLD and NASH docaravimab and OxemiaTM first oral alternative to injectable Lipaglyn® for
Slide 10: NCE – Saroglitazar: Targeting unmet medical needs in PBC and NASH
NCE – Saroglitazar: Targeting to address unmet medical needs in PBC and NASH indications globally Primary Biliary Cholangitis (PBC) Saroglitazar Magnesium • The molecule holds an Orphan Drug Designation (ODD) from both the USFDA and the EMA and Fast-Track Designation from the USFDA PBC / NASH Global
Slide 11: NCE – Desidustat: First novel oral alternative to injectable ESAs
NCE – Desidustat: First novel oral alternative to injectable ESAs approved in India for anemia in CKD patients ~US$ 6.6 bn ~17% ~132 Mn CKD anemia market expected to increase Prevalence of CKD patients in People are estimated to be living with CKD in by 2029 INDIA CHINA • Completed Phase I(b) clinic
Slide 12: Biosimilars: Among largest players in India
Biosimilars: Among largest players in India; targeting increased reach in Emerging markets Ranked no. 1 in India INDIA World’s first biosimilar Antibody Drug In Breast cancer In Nephrology Conjugate of Trastuzumab Emtansine In Oncology space, franchise, with the space, driven by driven by strong lar
Slide 13: Vaccines: An emerging player with end-to-end development expertise
Vaccines: An emerging player with end-to-end development expertise 20+ Vaccine innovation comes from two R&D centers focused on developing newer vaccines… Vaccine products in portfolio Multiple types Of offerings Vaccine Technology Centre (VTC) Etna Biotech Ahmedabad, India Catania, Italy • Vaccine
Slide 14: Vaccines: Comprehensive portfolio with platform diversity
Vaccines: Comprehensive portfolio with platform diversity Indian company to Indian company to Company globally ✓ WHO PQ-ed In the world to have indigenously indigenously with an approved 1st developed H1N1 2nd develop Typhoid 2nd develop and launch 1st pDNA vaccine for Rabies vaccine conjugate vacci
Slide 15: Zydus' innovation engine is fueled by centers of excellence
Zydus’ innovation engine is fueled by centers of excellence Steady Investment in R&D US$ mn R&D Cost % of Revenues 7.7 7.2 155 7.8 6.9 10 7.2 NCE / NBE Research 135 8 Formulation Development 6 155 154 151 115 140 4 135 95 2 75 0 FY19 FY20 FY21 FY22 FY23 1400+ Scientific Pool Biotech Research Etna Bi
Slide 16: Business Updates
Business Updates
Slide 17: India Formulations: Poised to scale up in progressive therapies
India Formulations: Poised to scale up in progressive therapies Sustained growth over the years Strong presence in progressive therapy areas India Formulations Sales (Rs. mn) Therapy-wise Break-up of Zydus’ revenues1 9% CAGR 48125 49111 Cardio- (FY19-FY23) Others Diabeto 40429 16% 35390 37141 18% Pr
Slide 18: India Formulations: Rich brand portfolio to drive growth
India Formulations: Rich brand portfolio to drive growth Increasing contribution of innovation portfolio Growth Strategies • Largest brand of Zydus, 47th largest in IPM1 • Consistent increase in ranking over the years • 37% increase in patient base in FY23 Focus on various brand building initiatives
Slide 19: Zydus Wellness: Leverage brand strength & distribution to scale up
Zydus Wellness: Leverage brand strength & distribution to scale up Leveraging the brand equity to grow despite challenges A Leader getting stronger Consumer Wellness Sales (Rs. mn) • Market leading brand with heritage of over 65 years 29% CAGR • Strengthening leadership with volume market share from
Slide 20: Zydus Wellness: Strategic initiatives to drive growth
Zydus Wellness: Strategic initiatives to drive growth Accelerate growth of core brands through volume expansion, recruitment of new customers and differentiated offerings through innovation Enhance distribution infrastructure and direct coverage; invest in capabilities to converge on- line and off l
Slide 21: US formulations: Deep and differentiated pipeline
US formulations: Deep and differentiated pipeline with strong quality focus backed by robust execution to sustain growth Strong platform with robust growth potential Continued investment to build value-centric portfolio US Formulations Sales (Rs. mn) ANDA filings and approvals (FY19 to FY23) 4% CAGR
Slide 22: US formulations: Generics coupled with specialty franchise
US formulations: Continued execution in the generics space coupled with specialty franchise to drive the growth An evolving player in the US specialty space Growth Strategies In-housed developed portfolio Continue to file 30-35 ANDAs annually and 9 Molecules in pipeline incl. 1 in orphan disease spa
Slide 23: EM & Europe formulations: Expanding across key geographies
EM & Europe formulations: Expanding the presence across key geographies Well-diversified growth through the years Growth Strategies EM & Europe Formulations Sales (Rs. mn) Expand the presence in select emerging market countries 11% CAGR through local partnerships 15794 (FY19-FY23) 14444 12442 10580
Slide 24: JVs and Alliances: Value creation through win-win alliances
JVs and Alliances: Value creation through win-win alliances Zydus • A 50:50 JV with capabilities to manufacture a range of APIs and intermediates Takeda • Regulatory compliant manufacturing site confirming to the GMP standards Healthcare • Strategic site for Takeda; the JV supplies exclusively to Ta
Slide 25: Manufacturing, Supply Chain and Digitalization Initiatives
Manufacturing, Supply Chain and Digitalization Initiatives
Slide 26: Wide network of regulatory compliant manufacturing facilities
Well supported by a wide network of regulatory compliant manufacturing facilities Ahmedabad Human Formulations Multiple dosages (Moraiya) Oral Solids (SEZ I) India Brazil Myanmar Oral Solids (SEZ II) Sikkim Transdermal (SEZ) Formulations Injectables (SEZ) Topicals (Changodar) Oral Solids (Unit I) Ly
Slide 27: Agile and integrated supply chain
Agile and integrated supply chain aptly supported by strong execution capabilities continues to serve different markets globally 50+ 4500+ 2500+ 140+ Countries we SKUs being FG (Finished new launches 10+ supplied across Goods) batches Dosage Forms cater to per year markets demand/ month Key Strength
Slide 28: Digitalization: Leveraging technology to unlock efficiency (1/2)
Digitalization: Leveraging the technological advancements to unlock the efficiency and deliver greater value to all the stakeholders (1/2) Field Force Management: • Improved engagement with the prescribers and create better brand visibility and re-call through the use of analytics tools • Better und
Slide 29: Digitalization: Leveraging technology to unlock efficiency (2/2)
Digitalization: Leveraging the technological advancements to unlock the efficiency and deliver greater value to all the stakeholders (2/2) • Real-time performance monitoring of projects through dashboards and digitization of process workflows Generic This will enable data driven decision making and
Slide 30: Financials
Financials
Slide 31: Key Financial Metrics (1/2)
Key Financial Metrics (1/2) Total Revenues (Rs. mn) GC (Rs. mn) and Gross Margin % 64.2% 65.5% 66.7% 63.3% 63.4% 1,72,374 1,09,273 1,44,035 1,51,099 96,014 95,647 1,42,531 93,331 1,31,656 84,492 4 Year 4 Year CAGR: CAGR: 7.0% 6.6% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 EBITDA (Rs. mn) and
Slide 32: Key Financial Metrics (2/2)
Key Financial Metrics (2/2) Adjusted Net Profit (Rs. mn) Organic Capex (Rs. mn) 26,608 11,218 22,988 9,371 9,579 20,581 18,569 7,998 7,634 4 Year 14,028 CAGR: 9.4% FY19 FY20 FY21 FY22 FY23 FY19 FY20 FY21 FY22 FY23 Net Debt/ EBITDA Return on Invested Capital (ROIC) * 2.36 2.42 16.5% 15.2% 14.7% 14.0%
Slide 33: ESG and CSR Updates
ESG and CSR Updates
Slide 34: ESG Initiatives: Following a holistic philosophy of sustainability
ESG Initiatives: Following a holistic philosophy of sustainability Overview of initiative undertaken in FY23 to turn ESG principles into actions • 12% reduction in GHG emissions over FY22 • Creation of an inclusive work place which promotes • Renewable energy consumption up 53% over FY22 gender dive
Slide 35: CSR Initiatives: Making meaningful difference to local communities
CSR Initiatives: Making meaningful difference to the local communities Zydus Medical College and Hospital Health infrastructure improvement by (ZMCH), Dahod - Overview ZMCH, Dahod As per Audit Report Sr. No. Facilities Current Situation • Dahod, one of the most backward districts with inadequate hea
Slide 36: Awards and Accolades
ESG and CSR Awards Updates and Accolades
Slide 37: Notable Achievements
Notable Achievements IHW Council Award for Patient Economic Times Award for Excellence in Centricity in Non Communicable AWACS Pharmarack Best Brand Marketing for the marketing campaign - diseases for “NASH24*7” initiative of the Year Award for Lipaglyn® “NASHhhhh – The Voice of Liver Health” Pharma
Slide 38: Well diversified Board at the helm
Well diversified Board at the helm Pankaj R. Patel Dr. Sharvil P. Patel Ganesh N. Nayak Mukesh M. Patel Managing Director Executive Director Chairman Non-Executive Director Over 2 decades of experience Associated with the group Over 45 years of experience in An advocate and International in Pharma i
Slide 39: Thank you
Thank you For any queries, please contact Arvind Bothra Arvind.Bothra@zyduslife.com +91-22-62711905 For more information, please visit: www.zyduslife.com Registered Office: www.linkedin.com/company/zyduslife Zydus Corporate Park, Scheme No. 63, Survey No. 536, Khoraj (Gandhinagar), Nr. Vaishnodevi C
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