Slide 1: Financial Results Quarter Ended September 30, 2013
Financial Results Quarter Ended September 30, 2013
Slide 2: Disclaimer
Disclaimer Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential product characteristics and uses, product sales potential and target dates f
Slide 3: Conference Call Details
Conference Call Details Date : Tuesday, October 29, 2013 Time : 5:30 pm IST Primary Number: +91 22 3065 0122 Secondary Number: +91 22 6629 0301 6000 1221 Available in – Ahmedabad, Bengaluru, Chennai, Cochin, Delhi, Gurgaon, Hyderabad, Kolkata, Noida. Accessible from all major carriers except BSNL/MT
Slide 4: Q2'14 Results Analysis
JUBHANT LIFESCIENCES Q2’14 Results Analysis
Slide 5: Key Business Segments
Key Business Segments Jubilant Life Sciences Pharmaceuticals Life Science Ingredients (48%) (52%) Generics Active Pharmaceutical Ingredients Proprietary Products & Solid Dosage Formulations Exclusive Synthesis Specialty Pharmaceuticals Radiopharmaceuticals Allergy Therapy Products Nutrit
Slide 6: Income Statement – Q2'FY14
Income Statement – Q2’FY14 Particulars Q2'FY13 Q1'FY14 Q2'FY14 YoY Growth QoQ Growth (Rs Crs) (%) Total Income from Operations 1,222 1,358 1,436 17% 6% Total Expenditure 947 1,121 1,165 Other Income 3 6 5 EBITDA including Other Income 279 242 276 -1% 14% Depreciation 62 68 71 14% Finance Cost 57 63
Slide 7: Financial Highlights – Q2'FY14
Financial Highlights – Q2’FY14 • Income from Operations at Rs. 1,436 Crore, up 17% YoY • Volume growth at 11%, with adverse price impact of 2% and exchange gain of 9% • Witnessed 21% improvement in International markets at Rs. 1,070 Crore • EBITDA at Rs. 276 Crore • EBITDA contribution from Pharmace
Slide 8: Segmental Revenue Analysis
Segmental Revenue Analysis Revenue (Rs. Crs.) Revenue YoY QoQ Growth Segmental Revenue Analysis Q2'FY13 Q1'FY14 Q2'FY14 Mix (%) Growth % % Pharmaceuticals 650 651 691 48% 6% 6% Life Science Ingredients 573 706 744 52% 30% 5% Income from Operations 1,222 1,358 1,436 100% 17% 6% Inter Divisional Sales
Slide 9: Business Highlights – Generics: Active Pharmaceutical Ingredients
Business Highlights – Q2’FY 14 Generics Active Pharmaceutical Ingredients Business • Strong volumes growth in key products such as Sartans • Decline in Sartan prices due to increased competition post patent expiry – Prices have stabilized and are expected to remain at current levels • Continuous cos
Slide 10: Business Highlights – Solid Dosage Formulations
Business Highlights – Q2’FY 14 Generics Solid Dosage Formulations Business • Maintained leadership in Methylprednisolone, Terazosin, Lamotrigine and Cyclobenzaprine • Methylprednisolone price declined due to entry of new player in Q1’14, however prices have now stabilized Product Profile • 40 commer
Slide 11: Business Highlights – Specialty Pharmaceuticals
Business Highlights – Q2’FY 14 Specialty Pharmaceuticals Radiopharmaceuticals • Flat sales due to production delays in some of the products. This has now been resolved in September’13 • Ruby-fill filed under 505 b(2). Successful in accelerating the pre-approval evaluation for Ruby-fill • Expect to l
Slide 12: Business Highlights – PPES
Business Highlights – Q2’FY 14 PPES Business • Witnessed very good volume growth and also better price realization in Pyridine and derivatives • Increase in end-product prices has started to have positive impact on the prices of Beta & 3 CP • The Ministry of Commerce, Republic of China had imposed 2
Slide 13: Business Highlights – Nutrition Ingredients
Business Highlights – Q2’FY 14 Nutrition Ingredients • Full capacity utilization for Vitamin B3 expected by Year end • Improved Vitamin B3 price realization during the quarter • Launched Toxin Binder for Animal Nutrition in India Life Science Chemicals • Ethyl Acetate saw higher sales in export mark
Slide 14: Revenue Analysis – Geography wise – Q2'FY14
Revenue Analysis – Geography wise- Q2’FY14 Geo-wise Revenue (Rs crs) Q2'FY13 Q1'FY14 Q2'FY14 Mix % YoY % ROW China 6.6% India 336 359 366 25% 9% 7.7% International 886 999 1,070 75% 21% India 25.5% USA & Canada 513 520 559 39% 9% Europe & Europe & Japan 239 273 306 21% 28% Japan China 74 123 110 8%
Slide 15: Operating Expenditure Analysis – Q2'FY14
Operating Expenditure Analysis – Q2’FY14 % of % of YoY QoQ Expenses (Rs Crs) Q2 FY13 % of Sales Q1 FY14 Q2 FY14 Sales Sales Growth % Growth % Material Cost 456 37% 582 43% 570 40% 25% -2% Power & Fuel 85 7% 92 7% 103 7% 20% 12% Cost Employee Cost 244 20% 256 19% 284 20% 17% 11% Other Expenses 161 13
Slide 16: EBITDA Analysis Q2'FY14
EBITDA Analysis Q2’FY14 EBITDA (Rs. Crs) Business Segments Q2'FY13 Q1'FY14 Q2'FY14 YoY Growth % QoQ Growth % Pharmaceuticals 195 149 175 -10% 18% Life Science Ingredients 98 109 125 28% 15% Less: Corp Expenses -14 -15 -24 Reported EBITDA 279 242 276 -1% 14% Margins (%) YoY Variance (Bps) QoQ Varianc
Slide 17: Exceptional Items for Q2'FY14
Exceptional Items for Q2’FY14 Total exceptional items for Q2’FY14 – Rs. (150) Crore • Unrealized Mark to Market book loss - Rs. (87) Crore mainly on account of • Currency movement of USD, from Rs. 59.39 as on June 30, 2013 to Rs. 62.60 as on September 30, 2013, with respect to Rupee Loan of Rs. 910
Slide 18: Half Yearly Results Analysis
Half Yearly Results Analysis 17 17
Slide 19: Income Statement – H1'FY14
Income Statement – H1’FY13 Particulars H1 FY13 H1 FY14 YoY Growth (Rs Crs) (%) Total Income from Operations 2,463 2,793 13% Total Expenditure 1,907 2,286 Other Income 7 11 EBITDA including Other Income 562 518 -8% Depreciation 121 139 Finance Cost 117 129 Interest Swap Cost 31 32 Profit after Intere
Slide 20: Financial Highlights – H1'FY14
Financial Highlights – H1’FY14 • Income from Operations at Rs. 2,793 crs, grew 13% YoY • Revenue from International markets grows 15% YoY • Expanded geographic reach drive growth momentum • Higher volumes from new capacities in Life Science Ingredients segment aid revenue growth • EBITDA at Rs. 518
Slide 21: Segmental Revenue Analysis – H1'FY14
Segmental Revenue Analysis – H1’FY 13 Revenue (Rs. Crs.) Revenue Mix YoY Growth Segmental Revenue Analysis H11'FY13 H1'FY14 (%) % Pharmaceuticals 1,291 1,343 48% 4% Life Science Ingredients 1,172 1,451 52% 24% Income from Operations 2,463 2,793 100% 13% Inter Divisional Sales (IDTs) 281 283 1% IDT a
Slide 22: Revenue Analysis – Geography wise – H1'FY14
Revenue Analysis – Geography wise- H1’FY13 Geo-wise Revenue (Rs crs) H1'FY13 H1'FY14 Mix % YoY % ROW 6.4% India 671 724 26% 8% China 8.3% India International 1,791 2,069 74% 15% 25.9% USA & Canada 1,015 1,079 39% 6% Europe & Japan Europe & Japan 491 579 21% 18% 20.6% USA & China 173 233 8% 35% Canad
Slide 23: Operating Expenditure Analysis – H1'FY14
Operating Expenditure Analysis – H1’FY13 Expenses (Rs Crs) H1'FY13 % of Sales H1'FY14 % of Sales YoY Growth % Material Cost 927 38% 1152 41% 24% Power & Fuel Cost 174 7% 194 7% 12% Employee Cost 475 19% 540 19% 14% Other Expenses 331 13% 400 14% 21% Total expenses 1907 77% 2286 82% 20% • Material Co
Slide 24: EBITDA Analysis H1'FY14
EBITDA Analysis H1’FY13 EBITDA (Rs. Crs) Business Segments H1'FY13 H1'FY14 YoY Growth % Pharmaceuticals 382 323 -15% Life Science Ingredients 208 234 12% Less: Corp Expenses -29 Reported EBITDA 562 518 -8% EBITDA Margins (%) YoY Variance (Bps) Pharmaceuticals 29.6% 24.1% -555 Life Science Ingredient
Slide 25: Exceptional Items
Exceptional Items Total exceptional items for H1’FY14 at Rs (261)crs • Unrealized Mark to Market book loss Rs (182) crs on account of • Currency movement of USD, from Rs 54.29 as on March 31, 2013 to Rs 62.60 as on September 30, 2013, with respect to Rupee Loan of Rs 910crs swapped into USD Loan • F
Slide 26: Debt Profile
Debt Profile Particulars 30-Sep-12 30-Jun-13 30-Sep-13 Foreign Currency Loans ($ Mn) ($ Mn) ($ Mn) Standalone 266 217 236 Swapped loan in Standalone 202 202 202 Subsidiaries 165 182 145 Total 633 601 582 Rupee Loans (Rs. Crs) (Rs. Crs) (Rs. Crs) Standalone 718 663 761 Total 718 663 761 Gross Debt 3,
Slide 27: Corporate Actions
Corporate Actions With the objective of consolidating the Pharmaceuticals business under one entity and raise money to reduce the overall debt of the company, the board has resolved to transfer the following to its wholly-owned subsidiary in Singapore: • The API and Dosage Form businesses of the Com
Slide 28: Outlook
Outlook Robust Outlook going forward • H2 expected to be better than H1 • Higher utilisation of capacities in Sterile Injectables and OCL, Nutrition Ingredients, Symtet and 3CP • Price uptrend in Pyridine and Nutrition Ingredients to continue • Strong pipeline in APIs and Solid Dosage Formulations b
Slide 29: For more information
For more information For Investors: Ravi Agrawal Siddharth Rangnekar Jubilant Life Sciences Limited CDR India Ph: +91-120-436 1002 Ph: +91-22-6645 1209 E-mail: ravi_agrawal@jubl.com E-mail: siddharth@cdr-india.com Anupam Jain Karl Kolah Jubilant Life Sciences Limited CDR India Ph: +91-120-436 1021 P