Ajanta Pharma Limited · NSE:AJANTPHARM
Ajanta Pharma — Q2 FY2019 Earnings Presentation
32 slides from Ajanta Pharma's earnings presentation, Oct 31, 2018
Slide 1: Exchange filing cover letter: Presentation on Results
f@ aianta pharma liffiited Ajanta House, Charkop, Kandivli (West), T F +9t22 6505 1000 +9t22 6606 1200 Mumbai400 067 Einfo@ajantapharma.com lndia W www.ajantapharma.com 31't October,2018 BSE LIMITED National Stock Exchange of India, Phiroze Jeejeebhoy Towers Exchange Plaza,Sth Floor, Plot no. Dalal
Slide 2: Investor Presentation Q2 FY 2019
Investor Presentation Q2 FY 2019 31st October 2018 Excellence Quality Manufacturing R&D
Slide 3: Content
Content India Business Global Business Infrastructure Financial Highlights 31st October 2018 2 of 31
Slide 4: India Branded Generics
India Branded Generics 15 Divisions 3,000+ MRs 270+ 1st to Market for 4 segments Building efficiency Product Basket Products Continue to focus on 4 Therapeutic Segments Growth continues Maintaining 3rd position Growth becoming Growth momentum exceeding industry Growing faster than visible, expected
Slide 5: IPM - Ranking
IPM - Ranking Mar Sept. Sept. 2005 2017 2018 Ophthal 28 3 3 Derma 98 13 14 Cardio 38 17 16 Pain NA 42 41 Ajanta 88 33 32 Source: IMS MAT, Sept. 2018 31st October 2018 4 of 31
Slide 6: Industry Growth
Industry Growth 30% 26% 25% 23% 20% 16% 14% 15% 12% 12% 11% 9% 10% 6% 6% 5% 0% Mar-2015 Mar-2016 Mar-2017 Mar-2018 Sep-2018 IPM Ajanta Pharma IPM = Indian Pharmaceutical Market 31st October 2018 Source: IMS MAT September 2018 5 of 31
Slide 7: Segment Growth
Segment Growth 18% 17% 16% 15% 14% 14% 14% 12% 12% 11% 10% 10% 10% 8% 8% 6% 4% 4% 2% 0% Pharma Market Cardiology Ophthalmology Pain Mgt. Dermatology IPM Ajanta Pharma IPM = Indian Pharmaceutical Market 31st October 2018 Source: IMS MAT September 2018 6 of 31
Slide 8: India Sales
India Sales India Sales – Q2 IMS MAT Sept. 2018 India Sales – H1 (Rs. cr.) (Rs. cr.) Cardiology 178 179 Dermatology 41% 23% 180 400 357 Ophthalmology Pain 321 160 30% 6% 350 140 300 11% 120 250 100 IMS MAT Sept. 2017 200 80 Cardiology 150 60 Dermatology 41% 24% 100 40 Pain 20 Ophthalmology 6% 50 29%
Slide 9: Content
Content India Business Global Business Infrastructure Financial Highlights 31st October 2018 8 of 31
Slide 10: Global Presence
Global Presence CIS USA 4 WA SEA 3 3 AFRICA 19 INDIA CIS – Commonwealth of Independent States SEA – South East Asia Figures represent no. of countries we are present USA – United States of America WA – West Asia 31st October 2018 9 of 31
Slide 11: Branded Generic Business in Emerging Markets
Branded Generic Business in Emerging Markets Africa Asia Product Registration 1,000 + 380 + 8 New Products launched 3 4th Leading Position 17th in Franco in Philippines 31st October 2018 10 of 31
Slide 12: USA
USA Final Approvals Tentative Under Approval Filing Target Approvals 24 5 12 ~10-12 4 in Q2 FY 2019 2 in Q2 FY 2019 1 in Q2 FY 2019 5 in H1 FY 2019 4 in H1 FY 2019 2 in H1 FY 2019 18 Products on shelf Gaining market share in select products Continue to focus on execution for customer delight 3
Slide 13: Export Sales – Q2 (Consolidated)
Export Sales – Q2 (Consolidated) Regional Break-up (Rs. cr.) Total Exports Q2 FY18 Q2 FY19 (Rs. cr.) 135 130 140 120 104 350 353 91 400 89 100 80 350 80 29% 300 1% 60 3% 45 180% 250 203% 40 26 200 20 (65%) 150 1 2 0 100 Africa Branded Asia USA Africa Institution Others 50 0 Q2 FY18 Q2 FY19 Q2 FY19 Q
Slide 14: Total Consolidated Sales – Q2
Total Consolidated Sales – Q2 Regional Break-up (Rs. cr.) 600 528 532 Rs. cr. 500 Q2 Q2 % Gwth 350 353 FY 2018 FY 2019 400 35% 1% India 178 179 0% 300 9% 178 179 1% 200 Exports 350 353 1% 100 Total Revenue 528 532 1% 0 India Exports Total Revenue Q2 FY18 Q2 FY19 31st October 2018 13 of 31
Slide 15: Export Sales – H1 (Consolidated)
Export Sales – H1 (Consolidated) Regional Break-up (Rs. cr.) H1 FY18 H1 FY19 Total Exports (Rs. cr.) 300 264 677 227 671 250 200 700 168 200 600 159 141 32% 500 1% 150 5% 100 100 81 75% 41% 400 300 50 (56%) 3 5 200 0 Africa Branded Asia USA Africa Institution Others 100 0 H1 FY18 H1 FY19 H1 FY19 H1
Slide 16: Total Consolidated Sales – H1
Total Consolidated Sales – H1 Regional Break-up (Rs. cr.) 1,200 1,034 Rs. cr. 992 H1 H1 1,000 Gth FY 2018 FY 2019 677 800 671 35% 4% India 321 357 11% 600 9% 1% 321 357 Exports 671 677 1% 400 11% 200 Total Revenue 992 1,034 4% 0 India Exports Total Revenue H1 FY18 H1 FY19 31st October 2018 15 of 31
Slide 17: Content
Content India Business Global Business Infrastructure Financial Highlights 31st October 2018 16 of 31
Slide 18: Enabling Infrastructure
Enabling Infrastructure Formulation Manufacturing 3 facilities in Aurangabad, Maharashtra One facility at Dahej, Gujarat One facility at Guwahati, Assam One facility at Mauritius API Manufacturing One Facility at Waluj, Aurangabad, Maharashtra (Captive Consumption) 31st October 2018 17 of
Slide 19: R&D Thrust
R&D Thrust Revenue Expenses Q2 FY 2019 - Rs. 50 cr. (9%) H1 FY 2019 – Rs. 91 cr. (9%) Q2 FY 2018 – Rs. 53 cr. (10%), H1 FY 2018 – Rs. 95 cr. (9%) R&D spend (Rs. cr.) & % of Oper. Income (Excluding Capex) 9% Team of 200 8% 186 850+ Scientists 6% 153 150 5% 106 4% 100 70 50 50 0 FY 2014 FY 2015 FY 201
Slide 20: Content
Content India Business Global Business Infrastructure Financial Highlights 31st October 2018 19 of 31
Slide 21: P&L Synopsis – Q2 FY 2019 (Consolidated)
P&L Synopsis – Q2 FY 2019 (Consolidated) Q2 Q2 % Rs. cr. % % FY 2019 FY 2018 Growth Exports 353 65% 350 65% 1% Domestic 179 33% 178 33% 0% Other Op. Income 12 2% 12 2% 0% Income from Operations 544 540 1% EBITDA 166 31% 184 34% (10%) PBT 164 30% 178 33% (8%) PAT 125 23% 132 24% (5%) Total Comprehens
Slide 22: Detailed P&L – Q2 FY 2019 (Consolidated)
Detailed P&L – Q2 FY 2019 (Consolidated) Rs. cr. Q2 FY 2019 Q2 FY 2018 Income from Operations 544 540 Other Income 15 9 Total Income 559 550 Materials consumed 96 18% 109 20% Employee Benefit 106 19% 89 17% Finance Cost 0 0% 0 0% Depreciation 17 3% 15 3% Other Expenses 176 32% 158 29% Total expenses
Slide 23: P&L Synopsis – H1 FY 2019 (Consolidated)
P&L Synopsis – H1 FY 2019 (Consolidated) H1 H1 % Rs. cr. % % FY 2019 FY 2018 Growth Exports 677 64% 671 66% 1% Domestic 357 34% 321 32% 11% Other Op. Income 21 2% 21 2% 0% Income from Operations 1,055 1,014 4% EBITDA 324 31% 311 31% 4% PBT 312 30% 297 29% 5% PAT 231 22% 227 22% 2% Total Comprehensiv
Slide 24: Detailed P&L – H1 FY 2019 (Consolidated)
Detailed P&L – H1 FY 2019 (Consolidated) Rs. cr. H1 FY 2019 H1 FY 2018 Income from Operations 1,055 1,014 Other Income 23 11 Total Income 1,078 1,024 Materials consumed 180 17% 203 20% Employee Benefit 211 20% 176 17% Finance Cost 0 0% 0 0% Depreciation 35 3% 28 3% Other Expenses 341 32% 320 32% Tot
Slide 25: Balance Sheet (Consolidated)
Balance Sheet (Consolidated) Rs. cr. Statement of Assets & Liabilities H1 FY 2019 FY 2018 ASSETS Non-Current Assets Property, Plant and Equipment 1,076 1,045 Capital Work-in-Progress 152 61 Other Intangible Assets 6 7 Financial Assets Non-Current Investments 14 8 Other Non-current Financial Assets 1
Slide 26: Balance Sheet (Consolidated)
Balance Sheet (Consolidated) Rs. cr. Statement of Assets & Liabilities H1 FY 2019 FY 2018 EQUITY AND LIABILITIES Equity Equity Share Capital 18 18 Other Equity 2,252 2,024 Sub Total – Shareholders’ Funds 2,270 83% 2,042 83% Non-current Liabilities Financial Liabilities Non-current Borrowings 1 1 Oth
Slide 27: 5 Year Track Record (Consolidated)
5 Year Track Record (Consolidated) Consolidated Total Income (Rs. cr.) 2,500 15% CAGR 2,155 2,026 PAT (Rs. cr.) & PAT Margin (%) 1,771 2,000 1,502 19% 21% 24% 25% 22% 1,500 1,230 600 507 469 1,000 500 19% CAGR 416 400 310 500 234 300 0 2014 2015 2016 2017 2018 200 100 0 2014 2015 2016 2017 2018 31st
Slide 28: 5 Year Track Record (Consolidated)
5 Year Track Record (Consolidated) EBITDA Margin Net Margin (%) (%) 34% 34% 35% 24% 25% 31% 31% 22% 35% 25% 21% 19% 30% 20% 25% 20% 15% 15% 10% 10% 5% 5% 0% 0% 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 RONW ROCE (%) (%) 47% 50% 43% 45% 44% 50% 40% 50% 41% 37% 40% 40% 30% 26% 30% 30% 20% 20%
Slide 29: 5 Year Track Record (Consolidated)
5 Year Track Record (Consolidated) EPS Dividend per share (Rs.) (Rs.) (FV Rs. 2/-) 58 53 13 60 14 47 50 12 35 10 8 40 27 8 6 30 6 4 20 4 10 2 0 0 0 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Dividend Payout Book Value per share (%) (Rs.) 232 250 30% 25% 178 200 18% 19% 18% 135 20% 150 96 100
Slide 30: 5 Year Track Record (Consolidated)
5 Year Track Record (Consolidated) Total Debt / Equity Receivable Days (Ratio.) (Nos.) 0.22 87 0.25 100 79 0.20 80 63 65 61 0.15 60 0.09 0.07 0.10 40 0.05 20 0.00 0.00 0.00 0 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Inventory Days Payable Days (Nos.) (Nos.) 62 123 70 140 60 48 120 99 43 94
Slide 31: Thank You
For updates and company information please visit our website: www.ajantapharma.com For specific queries, contact: Rajeev Agarwal - 022-66061377 Thank You rajeev.agarwal@ajantapharma.com Abhineet Kumar – 022-66061814 abhineet.kumar@ajantapharma.com Ajanta Pharma Limited Ajanta House, Charkop, Kandivl
Slide 32: Disclaimer
Disclaimer This presentation may include certain ‘forward looking statements’, based on current expectations, forecasts and assumptions within the meaning of applicable laws and regulations. They are subject to risks and uncertainties which could cause actual outcomes and results to differ materiall