Mayne Pharma Group Ltd. · ASX:MYX
Mayne Pharma — Shareholder Meeting (November 2023)
41 slides from Mayne Pharma's shareholder meeting presentation, Nov 30, 2023
Slide 1: Mayne Pharma Group Limited Annual General Meeting
Mayne Pharma Group Limited Annual General Meeting 10.00am (Melbourne time) 30 November 2023
Slide 2: Disclaimer
Disclaimer The information provided is general in nature and is in summary form only. It is not complete and should be read in conjunction with the company’s audited Financial Statements and market disclosures. This material is not intended to be relied upon as advice to investors or potential inves
Slide 3: How to ask a question
How to ask a question ● To ask a written question select the Q & A icon ● Select the topic your question relates to from the drop-down list ● Type your question in the text box and press the send button ● To ask a verbal question follow the instructions below the broadcast window 3
Slide 4: How to vote
How to vote ● When the poll is open, select the vote icon at the top of the screen ● To vote, select either For, Against or Abstain ● You will see a vote confirmation ● To change or cancel your vote “click here to change your vote” at any time until the poll is closed 4
Slide 5: Introduction
Introduction Frank Condella Prof Bruce Robinson David Petrie Shawn Patrick O’Brien Chair Non-Executive Director Non-Executive Director CEO & Managing Director Dr Katie Macfarlane Ann Custin Patrick Blake Aaron Gray Non-Executive Director Non-Executive Director Non-Executive Director CFO 5
Slide 6: Agenda
Agenda 1 Chair’s Address 2 Business Update 3 Formal Business 4 Closing 6
Slide 7: Chair's Address
Chair’s Address Frank Condella
Slide 8: Business Update
Business Update Shawn Patrick O’Brien
Slide 9: Agenda
Agenda ● FY23 Performance and Financial Key Highlights ● YTD Oct-FY24 Unaudited Update ● Women’s health segment ● Dermatology segment ● International segment ● Strategy, Outlook and Capital Management 9
Slide 10: Mayne Pharma at a Glance
Mayne Pharma at a Glance Capitalising on commercial opportunities across three attractive business units Putting the right people, products, and processes in place to address the needs of patients and drive long-term sustainable growth in each of our three segments Branded Products (Women’s Health)
Slide 11: FY23 Performance Highlights
FY23 Performance Highlights REFOCUSED ON CORE BUSINESS • Completed sale of Metrics Contract Services and US Retail Generics for a combined sale price of US$565m GREW ALL THREE SEGMENTS • Expanded US Women’s Health portfolio • BPD/Women’s Health – strong revenue via license of exclusive rights to gro
Slide 12: FY23 Financial Overview
FY23 Financial Overview • Results are presented from continuing operations to exclude Metrics Contract Services (MCS) which was divested on 4 October 2022 and to exclude the US Retail Generics business (previously included in the Portfolio Products (PPD) segment) which was divested on 7 April 2023.
Slide 13: YTD Oct-FY2024 Update
YTD Oct-FY2024 Update1 GROUP in A$ m Jul-Oct FY23 Mar-Jun FY23 Jul-Oct FY24 Total Net Sales 33.0 97.8 124.8 Total Gross Margin 13.5 47.8 71.7 Total Gross Margin % of Net Sales 41% 49% 57% Pivoting to growth Direct OPEX 38.6 43.1 45.3 Indirect OPEX 22.6 23.1 25.7 Underlying EBITDA -47.3 -17.9 1.0 Rec
Slide 14: BPD (Women's Health)
rand pharma BPD (Women’s Health)
Slide 15: Women's Health / Branded Products Division (BPD)
Women’s Health / Branded Products Division (BPD) Leader in US Women’s Health ● A leading position in strong and growing market with four novel women’s healthcare products ● Licensing rights acquisition added a complementary portfolio of stable products with long patent lives to the Company’s flags
Slide 16: BPD YTD October FY24 results
Women’s Health / Branded Products Division (BPD) YTD October FY24 results1 ● YTD-FY24 net sales +45.3% for BPD on prior 4-month period FY24 Women’s Health ● Segment performance reflects growth in expansion portfolio as well Outlook as improved performance of NEXTSTELLIS® following access improvement
Slide 17: Dermatology
rand pharma Dermatology
Slide 18: Dermatology / Portfolio Products Division YTD October FY24 results
Dermatology / Portfolio Products Division (PPD) YTD October FY24 results1 ● YTD-FY24 Net Sales +640% vs PCP, +55.5% vs prior 4-month period FY24 Dermatology ● YTD-FY24 Gross Margin +999+% vs PCP, +174% vs prior 4-month period Outlook ● Net revenues growing steadily, benefitting from improved GTN and
Slide 19: Dermatology: Building market leadership and scale
Dermatology / Portfolio Products Division (PPD) Building market leadership and scale ● Five proprietary brands and 20 generic dermatologics ● Recent acquisition of RHOFADE®, an FDA-approved topical cream used to treat rosacea (launched 10/2/2023) ● Mayne Pharma portfolio can fill 1 in 3 US Dermatolo
Slide 20: International
rand pharma International
Slide 21: International YTD October FY24 results
International YTD October FY24 results1 ● YTD-FY24 net sales and margin down FY24 International on prior 4-month period, driven Outlook primarily by timing ● Costs continue to be managed and our Mayne International Pharma Product CDMO ongoing productivity initiatives are Australia Sales • Pursue tar
Slide 22: Strategy, Outlook and Capital Management
Strategy, Outlook and Capital Management
Slide 23: Strategy for 2024 Growth
Strategy for 2024 Growth Continuing positive momentum into FY24 – solid Q1 momentum continuing into Q2 Women’s Health Dermatology International ✓ Deliver positive contribution • Complete integration of • Positive profit and • Pursue targeted margins in all three segments licensed portfolio with a co
Slide 24: Capital Management
Capital Management Jul-Oct FY 2024 FY24 Capital Management Priorities Current company cash balance A$163.9m Oct 31, 2023 ● Maintain conservative balance sheet and solid liquidity position through transition phase with planned capital Cash uses first 4 months FY24 (A$) 61.5m structure review ongoing
Slide 25: Formal Business
Formal Business Frank Condella
Slide 26: General business – item 1
General business – item 1 ● To receive and consider the Director’s Report, Financial Statements and the Independent Auditors Report for the financial year ended 30 June 2023 26
Slide 27: Resolution 1: Re-election of Mr Frank Condella
Resolution 1 Re-election of Mr Frank Condella
Slide 28: Proxy results: Re-Election of Mr Frank Condella
General business – Resolution 1 Proxy results: Re-Election of Mr Frank Condella 43,168,545 shares 98.33% Shares to be voted in favour 432,465 shares 0.99% Shares to be voted against 54,419 shares N/A Shares to abstain from voting 297,539 shares 0.68% Shares open to proxy holders 28
Slide 29: Resolutions 2 and 3
Resolutions 2 and 3 Re-election of Mr Patrick Blake Election of Ms Anne Lockwood
Slide 30: Proxy results: Re-Election of Mr Patrick Blake
General business – Resolution 2 Proxy results: Re-Election of Mr Patrick Blake 43,166,063 shares 98.34% Shares to be voted in favour 433,201 shares 0.98% Shares to be voted against 57,919 shares N/A Shares to abstain from voting 295,785 shares 0.68% Shares open to proxy holders 30
Slide 31: Proxy results: Election of Ms Anne Lockwood
General business – Resolution 3 Proxy results: Election of Ms Anne Lockwood 43,051,073 shares 98.20% Shares to be voted in favour 493,338 shares 1.12% Shares to be voted against 114,272 shares N/A Shares to abstain from voting 295,785 shares 0.68% Shares open to proxy holders 31
Slide 32: Resolution 4: Adoption of Remuneration Report
Resolution 4 Adoption of Remuneration Report
Slide 33: Changes to remuneration
Changes to remuneration ● Short term incentive introduced in FY23 to better align with market practice ● KPIs set for FY24 for CEO and CFO: - EBITDA target (25% weighting) - Operating cash flow target (25% weighting) Short Term - Achievement of target NEXTSTELLIS® business results (20% weighting) In
Slide 34: Proxy results: Adoption of Remuneration Report
General business – Resolution 4 Proxy results: Adoption of Remuneration Report 28,062,065 shares 65.23% Shares to be voted in favour 14,658,927 shares 34.08% Shares to be voted against 152,430 shares N/A Shares to abstain from voting 293,916 shares 0.69% Shares open to proxy holders 34
Slide 35: Resolution 5: Incentive grants to CEO and Managing Director
Resolution 5 Issue of Short-Term Incentive grant of Restricted Stock Unit Performance Rights and Long-Term Incentive grant of Performance Rights under the Employee Performance Rights and Option Plan (PROP) to the CEO and Managing Director
Slide 36: Proxy results: Incentive grants to CEO and MD
General business – Resolution 5 Proxy results: Issue of Short-Term Incentive grant of Restricted Stock Unit Performance Rights and Long-Term Incentive grant of Performance Rights under the Employee Performance Rights and Option Plan (PROP) to the CEO and MD 29,652,463 shares 67.76% Shares to be vote
Slide 37: Resolution 6: Appointment of BDO Audit Pty Ltd as Auditor
Resolution 6 Appointment of BDO Audit Pty Ltd as Auditor
Slide 38: Proxy results: Appointment of BDO Audit Pty Ltd
General business – Resolution 6 Proxy results: Appointment of BDO Audit Pty Ltd as Auditor 43,306,492 shares 98.82% Shares to be voted in favour 218,539 shares 0.50% Shares to be voted against 132,202 shares N/A Shares to abstain from voting 297,235 shares 0.68% Shares open to proxy holders 38
Slide 39: Resolution 7: Extension of On-Market Share Buy Back
Resolution 7 Extension of On-Market Share Buy Back
Slide 40: Proxy results: Extension of On-Market Share Buy Back
General business – Resolution 7 Proxy results: Extension of On-Market Share Buy Back 43,447,374 shares 99.00% Shares to be voted in favour 140,780 shares 0.32% Shares to be voted against 70,679 shares N/A Shares to abstain from voting 295,635 shares 0.68% Shares open to proxy holders 40
Slide 41: Mayne Pharma Group Limited Annual General Meeting
Mayne Pharma Group Limited Annual General Meeting 10.00am (Melbourne time) 30 November 2023
Mayne Pharma Group — Shareholder Meeting (November 2023) on 6ix