Slide 1: Orion Interim Report January─September 2013
Orion Interim Report January─September 2013 22 October 2013 Timo Lappalainen President & CEO
Slide 2: Forward-looking statements
This presentation contains forward-looking statements which involve risks and uncertainty factors. These statements are not based on historical facts but relate to the Company’s future activities and performance. They include statements about future strategies and anticipated benefits of these strat
Slide 3: Year progressed as anticipated
Year progressed as anticipated • Net sales at similar level to comparative period of previous year • Operating profit slightly lower than in previous year as expected • Orion and Hospira have extended their licensing agreement concerning Precedex® in the markets outside the Europe • Orion and Endo h
Slide 4: Net sales and operating profit
Net sales and operating profit Group key figures Q1─Q3/2013 Q1─Q3/2012* Change % 2012* Net sales, EUR million 734 726 +1% 980 Operating profit, EUR million 202 220 -8% 278 Basic earnings per share, EUR 1.07 1.17 -9% 1.47 Cash flow per share before financial items, EUR 0.56 0.92 -39% 1.23 • Net sales
Slide 5: Breakdown of net sales
Breakdown of net sales By business divisions By market area Proprietary Products Specialty Products Finland Scandinavia Other Europe Animal Health Fermion North America Other Countries Contract manufacturing & Other Orion Diagnostica 13% 6% 4% 28% 6% 39% 14% 7% 13% 38% 32% 5 22 October 2013 Orion In
Slide 6: Business Reviews
Business Reviews
Slide 7: Pharmaceuticals business
Pharmaceuticals business Key figures for Pharmaceuticals business Q1─Q3/2013 Q1─Q3/2012* Change % 2012* Net sales of Pharmaceuticals, EUR million 693 687 +1% 929 Proprietary Products 285 300 -5% 404 Specialty Products 279 270 +4% 367 Animal Health 53 52 +2% 69 Fermion 46 36 +27% 48 Contract manufact
Slide 8: Best-selling pharmaceuticals
Best-selling pharmaceuticals Orion’s best-selling pharmaceuticals, Business EUR million Division Q1─Q3/2013 Q1─Q3/2012 Change % 2012 1. Stalevo®, Comtess® and Comtan® (Parkinson’s disease) PP 156 192 -19% 250 2. Precedex® (intensive care sedative) PP 41 28 +43% 45 3. Simdax® (acute decompensated hea
Slide 9: Orion clear market leader in Finland
Orion clear market leader in Finland Finnish human pharmaceuticals Finland’s biggest pharmaceutical market in Q1─Q3/2013 companies in Q1─Q3/2013 • Wholesale EUR 1,520 million (+2%) EUR million 200 180 172 Orion in Finnish human 160 pharmaceuticals market 140 • Sales growth 7% 120 • Orion clear marke
Slide 10: Review of Parkinson's drugs markets
Review of Parkinson’s drugs markets Overall markets for Parkinson’s drugs Market shares of Orion’s MAT6 MAT6 July 2012 ─ June 2013 branded Parkinson’s drugs 2013 2012 • United States 3) USD 791 million (+8%) Finland 2) 23% 25% Sweden 2) 15% 14% • Five largest European markets 1) 3) EUR 969 million (
Slide 11: Precedex and dexdor growing strongly
Precedex® and dexdor® growing strongly Markets for Precedex® intensive Breakdown of Precedex care sedative July 2012 ─ June 2013 markets USD million 300 • Total USD 321 million (+39%) 250 • United States USD 262 million 200 (+46%) 150 Sales of dexdor® intensive care 100 sedative July 2012 ─ June 201
Slide 12: Key clinical pharmaceutical development projects
Key clinical pharmaceutical development projects Clinical phases Project Indication Registration I II III Easyhaler® budesonide-formoterol Asthma, COPD Stalevo® for Japanese markets 1) Parkinson’s disease Easyhaler® salmeterol-fluticasone Asthma, COPD ODM-101 (more effective levodopa product) Parkin
Slide 13: Diagnostics business
Diagnostics business Key figures for Diagnostics business Q1─Q3/2013 Q1─Q3/2012* Change % 2012* Net sales, EUR million 43 41 +6% 54 Operating profit, EUR million 3.9 2.9 +33% 2.3 • Good growth in sales increased profit which includes EUR 1.6 million of expenses recorded in June due to contraction of
Slide 14: Outlook for 2013 (unchanged)
Outlook for 2013 (unchanged) • Net sales will be at similar level to 2012 (net sales in 2012 were EUR 980 million) • Operating profit will be slightly lower than in 2012 (operating profit in 2012 was EUR 278 million*) • Group’s capital expenditure will be about EUR 80 million excluding substantial c
Slide 15: Orion Calendar 2013─2014
Orion Calendar 2013─2014 • Capital Markets Day in Helsinki 20 November 2013 • Financial Statement Release for 2013 4 February 2014 • Annual General Meeting 25 March 2014 • Interim Report January─March 2014 29 April 2014 • Interim Report January─June 2014 29 July 2014 • Interim Report January─Septemb
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Slide 17: Orion's financial objectives
Orion’s financial objectives Orion’s financial objectives are: • Ensuring financial stability • Profitable growth The objectives are achieved through: • Increasing net sales. Achievement of this objective requires continuous investment in development of the product portfolio. • Maintaining profitabi
Slide 18: Key figures by quarter
Key figures by quarter* EUR million Net sales EUR million Operating profit 1200 300 283 278 980 254 1000 918 250 60 59 850 207 53 254 734 202 800 772 236 200 Q4 Q4 44 65 215 76 193 71 67 600 246 237 Q3 150 Q3 211 56 213 65 192 Q2 65 Q2 400 100 60 61 227 233 248 50 196 207 Q1 Q1 200 50 93 71 79 74 19
Slide 19: Key figures for 2009─Q3/2013
Key figures for 2009─Q3/2013 Orion’s key figures 2009 2010 2011 2012* Q1─Q3/2013 Q1─Q3/2012* Change % Net sales, EUR million 771.5 849.9 917.9 980.4 734.3 726.0 +1.1% Operating profit, EUR million 207.0 254.2 282.9 278.3 201.8 219.5 -8.1% Profit before taxes, EUR million 203.7 252.6 282.0 276.6 199.
Slide 20: Income Statement 2009─Q3/2013
Income Statement 2009─Q3/2013 Formation of profits, EUR million 2009 2010 2011 2012* Q1─Q3/2013 Q1─Q3/2012* Change % Net sales 771.5 849.9 917.9 980.4 734.3 726.0 +1.1% Cost of goods sold -265.2 -283.2 -305.1 -350.8 -286.9 -254.4 +12.8% Gross profit 506.3 566.8 612.8 629.6 447.4 471.6 -5.1% Other op
Slide 21: Product protection situation of key products
Product protection situation of key products Key patents or data protection expire Molecule Product Indication Europe USA Japan Stalevo®, November 2012 January Entacapone Parkinson’s disease October 2013 2) Comtess® and Comtan® October 2013 1) 2015 3) Acute Levosimendan Simdax® decompensated Septemb
Slide 22: Dividend distribution policy
Dividend distribution policy Dividend distribution history Dividend distribution policy EUR 1.40 140% 1.20 120% Orion’s dividend distribution takes into account distributable funds and capital 1.00 100% expenditure and other financial 0.80 80% requirements in medium and long term to achieve the fina
Slide 23: Orion Building well-being
S RION ing well-being Buildi