Zim Laboratories Ltd. · NSE:ZIMLAB
Zim Laboratories — Investor Presentation (June 2022)
34 slides from Zim Laboratories's investor presentation, June 2022
Slide 1: Zim Laboratories Limited Corporate Presentation June 2022
Z I M L A B O R ATO R I E S L I M I T E D CORPORATE PRESENTATION JUNE 2022
Slide 2: Contents
CONTENTS CORPORATE OVERVIEW FINANCIAL OVERVIEW CORPORATE INFORMATION 05 EXECUTIVE SUMMARY 15 EXECUTIVE SUMMARY : FINANCIALS 26 GROWTH STRATEGY 06 OUR BUSINESS 16 BUSINESS HIGHLIGHTS : FY 2022 27 FOCUS : FY2023 08 EXPORTS BUSINESS 17 TOTAL OPERATING INCOME 28 HISTORY AND PROGRESS 09 PRE-FORMULATION I
Slide 3: Safe Harbour
SAFE HARBOUR The presentation has been prepared by ZIM Laboratories Limited (“ZIM” or the “Company”) solely for information purposes and does not constitute an offer to sell or recommendation or solicitation of an offer to subscribe for or purchase any securities and nothing contained herein shall f
Slide 4: Corporate Overview
zm Zeal & Innovation in Medicine CORPORATE OVERVIEW
Slide 5: Executive Summary
EXECUTIVE SUMMARY For the Financial Year 2022 (FY22), our Total Operating 87% of our business was from Pharmaceutical products and the Income grew 8.5% YoY to Rs3,334Mn, (from Rs3,073Mn in balance 13% from Nutraceuticals; both segments grew in FY22 F21); CAGR of 9.6% over last 2 years (FY20- FY22) 8
Slide 6: Our Business
OUR BUSINESS Zim develops and supplies differentiated generic pharmaceutical For the PFI business - we partner pharmaceutical and products in Finished Formulations (FF) and Pre- Formulation distribution companies who seek solutions for development, Intermediaries (PFI) in certain key therapeutic seg
Slide 7: Our Business
OUR BUSINESS Pharmaceuticals FY 2020 Nutraceuticals 286 10% During FY22, our Pharmaceuticals business was During FY22, our Nutraceutical business – Rs 2,890Mn – or 87% of the Total Operating comprising of Vitamins, Healthcare and Income Dietary Supplements was Rs445Mn – or around 13% of the Total Op
Slide 8: Exports Business
EXPORTS BUSINESS Our exports business in FY22 was Rs2,701Mn, up 17% from Rs.2312 Mn for FY21 and CAGR of 21% over the last 2 years (FY20-FY22) FY 2014 Mix of exports is now 81% of our Total Operating Income (up from 66% in FY20 20% 40% and 75% in FY21) Key regions for exports during the year were ME
Slide 9: PFI Exports
PFI EXPORTS Our Pre-Formulation Intermediaries (PFI) business grew 21% in FY22 vs FY21 and has grown @ 20% CAGR over the last 2 years (FY20-FY22). Exports of PFI comprise of 57% of our Total Operating Income 57% Mix of PFI Business to The PFI exports are on a non-exclusive basis and the arrangements
Slide 10: Finished Formulation (FF) Exports
FINISHED FORMULATION (FF) EXPORTS Our Finished Formulations Exports business has grown at 16% YoY and at a CAGR of 35% over the last 2 years (FY20-FY22) 35% Exports of FF comprise of 23% of our Total Operating Income CAGR over 2 Years Within Finished Formulations, we have 154 products commercialized
Slide 11: Domestic Business
DOMESTIC BUSINESS FY2020 (RS. 932 MN) For FY22, our domestic business was Rs633Mn and comprised 19% of our Total 42 Operating Income 87 5% 9% The domestic business includes sale to Central/ State Government, agencies 141 owned by the Government and sale through deemed exports (products billed 15% in
Slide 12: Oral Thin Films (OTF)
ORAL THIN FILMS (OTF) The global OTF market is estimated at 2.55BN USD (‘19) and estimated to grow at CAGR 9% to over 6.5BN USD by 2030, with growth projected in 103 some Therapeutic segment. We have developed several OTF products using our patented Thinoral® technology in these segments During FY 2
Slide 13: Value Proposition
VALUE PROPOSITION Product Pipeline : For Developed Markets Product Registrations and Marketing Authorizations : 6 270 R&D team has completed the Products We have 270 Finished Formulation products Total FF products registered with MA development and most of the BE targeted for (80 molecules), registe
Slide 14: Financial Overview
zm Zeal & Innovation in Medicine FINANCIAL OVERVIEW
Slide 15: Executive Summary: Financials
EXECUTIVE SUMMARY : FINANCIALS Financials FY22 Financials Q4FY22 Our Total Income for FY22 (including EBITDA margins for FY22 was at Total Operating Income for Q4FY22 was Other Income) was at Rs3,378Mn, up 9.1% 13.6% (Vs 13.7% in FY21 and 9.8% in Rs1,050Mn, up 21.1% QoQ and 42.1% YoY (from Rs3,096Mn
Slide 16: Business Highlights: FY 2022
BUSINESS HIGHLIGHTS : FY 2022 We created a separate business line for Rs158Mn was added to our Gross Block The OTF division received its first product our Nutraceutical and Healthcare during the year; primarily for upgrading registration of Rizatriptan Benzoate Films. supplement products; we propose
Slide 17: Total Operating Income
TOTAL OPERATING INCOME 52 Total Operating Income grew to Rs3,334Mn from 153 Rs2,777Mn in FY20; CAGR of 9.6% over last 2 years (FY20-FY22) 165 3334 Business related ”Other Operating Income” dropped 3073 to Rs52Mn in FY22 Vs Rs153Mn in FY21, out of which 2777 Rs 46Mn was primarily due to drop in Expor
Slide 18: Total Operating Income
TOTAL OPERATING INCOME FY 2020 457 While growth in our Total Operating Income has been a modest 17% 9.6% CAGR over last 2 years, we have focussed on changing our business mix towards higher margin businesses thereby attempting to improve our contribution and EBITDA margins 475 Exports growth over th
Slide 19: EBITDA
EBITDA In Rs. Mn and as % of Total Operating Income Our Net Contribution from business (Total Operating 454 421 Income less all direct variable costs – material, logistics and commission) has been growing, mainly on account of the change in mix in the products and better 271 13.6% realisations from
Slide 20: Profit After Tax
PROFIT AFTER TAX In Rs. Mn and as % of Total Operating Income 146 On back of higher EBITDA and lower Finance costs, our “Profit Before Tax and Exceptional Items” grew to Rs210Mn in FY22 (from Rs154Mn in FY21) 73 Profit Before Tax (PBT) for the year was Rs210Mn, 33 4.4% compared to PBT of Rs102Mn in
Slide 21: Research & Development
RESEARCH & DEVELOPMENT R&D Expense (In Rs. Mn and as % of Total Operating Income) 11 Our R&D expenses for FY22 was 7.1% of our Total Operating Income 57 Around 70% of the expenses were incurred on salary, materials, BE and other study etc. 29 13 for the R&D team and the balance was on 7.1% 7 9 capit
Slide 22: Income Statement: Consolidated
INCOME STATEMENT : CONSOLIDATED Key Financial Highlights: Income Statement (Rs. Mn) Particulars Q4 FY22 Q4 FY21 Change % (YoY) FY 22 FY 21 Change % (YoY) Total Operating Income 1,050 739 42% 3,334 3,073 9% Other Income 17 8 113% 44 23 88% Total Income 1,067 747 43% 3,378 3,096 9% EBITDA 164 98 67% 4
Slide 23: Income Statement: Standalone
INCOME STATEMENT : STANDALONE Key Financial Highlights: Income Statement (Rs. Mn) Particulars Q4 FY22 Q4 FY21 Change % (YoY) FY 22 FY 21 Change % (YoY) Total Operating Income 1,041 732 42% 3,295 3,036 9% Other Income 16 8 94% 45 24 84% Total Income 1,058 740 43% 3,340 3,061 9% EBITDA 153 94 63% 425
Slide 24: Balance Sheet: Consolidated
BALANCE SHEET : CONSOLIDATED Statement of Financial Positions (Rs. Mn) Particulars FY2020 FY2021 FY2022 Gross Block: Property, plant and equipment & Intangible Assets including WIP 1689 1762 1920 Net Block: Property, plant and equipment including Capital work-in-progress 1122 1052 1069 Intangible as
Slide 25: Corporate Information
zm Zeal & Innovation in Medicine CORPORATE INFORMATION
Slide 26: Growth Strategy
GROWTH STRATEGY Pharmaceuticals Nutraceuticals Scaling up our product portfolio with development of new Developing a product basket of Nutraceuticals which differentiated generic products targeted for EU and some of the complement our pharmaceutical products thus providing a high value Developed Mar
Slide 27: Focus: FY2023
FOCUS : FY2023 We will continue to focus on the development of innovative, differentiated, generic products across various dosage forms for Pharmaceutical and Nutraceuticals: In R&D : Ideation for new product development, investment in BE studies and other tests for development of innovative product
Slide 28: History and Progress
HISTORY AND PROGRESS 1989-2000 2001-2012 2012-2017 2018- Present Cemented our positioning Developed Pellets, Granules Funding from Private Equity Investor Listed on BSE Limited in the market as a fast and Taste Masking growing company Technology Platforms to Focused on growth through higher-margin F
Slide 29: Subsidiaries
SUBSIDIARIES ZIM Laboratories Limited, India SIA ZIM Laboratories ZIM Laboratories FZE, Listed on BSE ZIM Health Technologies ZIM Thinorals Private Limited, Latvia Sharjah , UAE Limited, India Limited, India 100% Subsidiary 100% Subsidiary 100% Subsidiary 100% Subsidiary For Advisory and Support For
Slide 30: Board of Directors: ZIM
BOARD OF DIRECTORS : ZIM Dr. Anwar S. Daud Mr. Zulfiquar Kamal Mr. Niraj Dhadiwal Mr. Prakash Sapkal Chairman and Managing Director Director - Finance Director - Business Development Director - Operations Dr. Kamlesh Shende Mr. Padmakar S. Joshi Mrs. Kavita Loya Dr. Kakasaheb Mahadik Independent Dir
Slide 31: Board of Directors: ZHTL
BOARD OF DIRECTORS : ZHTL Zim Health Technologies Ltd., (ZHTL) enhances R&D and Co-Development functions of Zim in areas of product development, manufacturing and marketing of complex generic and high end pharmaceutical and healthcare products – particularly for the Developed and Pharmerging markets
Slide 32: Ownership
OWNERSHIP Promoter Group shareholding is free Overall shareholding % Public Shareholding % of any encumbrance During the Financial Year 2021-22, 5% our private equity investor - AA 5% Development Capital Fund 1, LLC (PE Investor) exited the company through secondary sale of its shares 35% to an HNI.
Slide 33: Share Price Movement
SHARE PRICE MOVEMENT ZIM Share price vs S&P Healthcare Index 180 26570 164 26500 160 153 159 26000 140 120 25500 100 25000 80 81 24304 24500 60 24000 40 23500 20 23531 23356 0 23000 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sept-21 Oct-21 Nov-21 Dec-21 Jan-22 Feb-22 Mar-22 Zim Labs Share price S&P BSE Heal
Slide 34: Thank You
2.mn 1 THANK YOU