Slide 1: Windlas Biotech Limited - Results Presentation Filing Letter
Windlas Biotech Limited Reg. Off.: 40/1, Mohabewala Industrial Area Dehradun, Uttarakhand 248 110, India Tel.:+91-135-6608000-30, Fax:+91-135-6608199 Corp. Off.: 705-706, Vatika Professional Point, Sector-66, Golf Course Ext. Road, Gurgaon, Haryana 122 001, India Tel.:+91-124-2821030 CIN-U74899UR200
Slide 2: Investor Presentation – November 2021
Windlas Biotech Limited Investor Presentation – November 2021
Slide 3: Safe Harbour
Safe Harbour This presentation and the accompanying slides (the “Presentation”), which have been prepared by Windlas Biotech Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any secu
Slide 4: Managing Director's Message
Managing Director’s Message “The company registered a revenue growth of 14% YoY in Q2FY22, driven by volume growth in the chronic and covid-19 related therapies in the CDMO vertical. Domestic Trade Generics and OTC vertical revenue stood at Rs. 16.9 crores for the quarter. This vertical contributed
Slide 5: Financial Performance Highlights
Financial Performance Highlights 4
Slide 6: Quarterly Performance Highlights
Quarterly Performance Highlights Rs. Crores Revenue EBITDA & EBITDA Margin (%) +14% 13.4% 12.2% 11.2% 11.9% 115 +11% Consolidated 101 14 12 Q2 FY21 Q2 FY22 Q2 FY21 Q2 FY22 CDMO Trade Generics & OTC Exports Vertical Revenue +6% +52% +65% 91 17 6 86 11 3 Q2 FY21 Q2 FY22 Q2 FY21 Q2 FY22 Q2 FY21 Q2 FY22
Slide 7: Half-Yearly Performance Highlights
Half-Yearly Performance Highlights Rs. Crores Revenue EBITDA & EBITDA Margin (%) +15% 13.4% 12.8% 10.4% 11.2% 11.2% 11.7% 226 +2% Consolidated 197 26 26 H1 FY21 H1 FY22 H1 FY21 H1 FY22 CDMO Trade Generics & OTC Exports Vertical Revenue +8% +45% -10% 187 29 9 174 8 20 H1 FY21 H1 FY22 H1 FY21 H1 FY22
Slide 8: Vertical Break-up
Vertical Break-up Q1FY22 Q2FY21 Q2FY22 15% 86% 85% 11% 11% 79% 2% 3% 5% CDMO CDMO CDMO Trade Generics & OTC Trade Generics & OTC Trade Generics & OTC Exports Exports Exports H1FY21 H1FY22 85% 10% 13% 83% 4% 3% CDMO Trade Generics & OTC Exports CDMO Trade Generics & OTC Exports 7
Slide 9: Consolidated Profit & Loss Statement – H1 & Q2FY22
Consolidated Profit & Loss Statement – H1 & Q2FY22 Particulars (Rs. Crores) Q2FY22 Q2FY21 YoY% H1FY22 H1FY21 YoY% Net Revenue from Operations 115.3 101.3 13.7% 226.2 203.6 11.1% Net Revenue from Operations (Adjusted)# 115.3 101.3 13.7% 226.2 196.6 15.1% COGS 75.0 64.2 146.4 130.2 Gross Profit 40.2 3
Slide 10: Adjustments for H1FY21
Adjustments for H1FY21 Revenue Adjustment (Rs. Crores) 204 7 197 H1 FY21 - Reported Rev. shift from previous period H1 FY21 - Adjusted EBITDA Adjustment (Rs. Crores) 26.4 1.7 7.2 3.0 26.0 3.0 0.9 H1 FY21 - Reported EBIDTA shift from Higher Sales Impact Gross Margin Improvement Employee Benefit Expen
Slide 11: Consolidated Balance Sheet
Consolidated Balance Sheet Consolidated Equities & Liabilities (Rs. Crores) Sept-21 Mar-21 Assets (Rs. Crores) Sept-21 Mar-21 Equity Non Current assets Equity Share capital 10.9 6.4 Property, Plant and Equipment 90.1 92.5 Capital work in progress 0.0 0.0 Other Equity 360.1 192.7 Intangible assets 0.
Slide 12: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Particulars (Rs. crores) H1FY22 H1FY21 Operating profit before working capital changes 27.4 27.0 Changes in working capital 4.7 0.3 Cash generated from Operations 32.0 27.3 Direct taxes paid (net of refund) -6.9 -2.5 Net Cash from Operating Activities 25.2 24.8 Net C
Slide 13: Company Overview
Company Overview 12
Slide 14: Windlas Biotech at Glance
Windlas Biotech at Glance Scalability Durability Profitability ▪ Top 5 Domestic Formulations CDMO in terms ▪ Well aligned workforce with ESOPs ▪ Consistently maintained Material Margins of Revenue (CRISIL Report) above 35% since FY19 ▪ Digitalized Planning and Quality ▪ License to manufacture 3,279*
Slide 15: Windlas Biotech's Presence in Pharma Value Chain
Windlas Biotech’s Presence in Pharma Value Chain * * * * Drug API Formulation Research Packaging Development Manufacturing Manufacturing Value Chain CRO Vertical CDMO Vertical * Signifies Presence of Windlas Biotech in the Respective Verticals 14
Slide 16: Journey So Far…
Journey So Far… ▪ Commenced operations at ▪ Commenced operations at ▪ Received first USFDA inspection ▪ Investment of ₹75 Crores from Tano Dehradun Plant – I and initiated Dehradun Plant – IV clearance for the WHC Plant India Private Equity Fund II commercial production Revenues crossed INR 100 Cror
Slide 17: Strong Board of Directors…
Strong Board of Directors… ▪ 20+ years of experience in the ▪ Chairman of Confederation of Indian pharmaceutical industry, he has a Industries , Uttarakhand State Council, Bachelor’s degree in Law from the ▪ Established Windlas Biotech in 2001. Hemwati ▪ Led Windlas Biotech as MD till 2020 ▪ Nandan
Slide 18: …Coupled with Proficient Management Team
…Coupled with Proficient Management Team Mr. Ashok Kumar Windlass , Mr. Shailesh Gokhale , Whole Time Director Chief Operating Officer Founded Windlass Biotech in 2001 Previously worked with Cadila Pharmaceuticals Limited and 20+ Years of Experience in the industry, he has led Windlas Pfizer Product
Slide 19: Vertical Overview
Vertical Overview CDMO Trade Generics Exports & OTC ▪ CDMO vertical focused on providing ▪ This vertical consists of Trade Generic ▪ Export vertical is engaged in identifying products & services across- a diverse Products & OTC Brands which include high growth opportunities in Semi range of pharmace
Slide 20: CDMO Business Highlights
CDMO Business Highlights No. Of Customers/ Buyers 204 Brand Used Brand of the end CDMO Customer Products Fixed dosage, Fixed dosage plus modified release, Customized generics, chewable/ dispersible and plain oral solids Revenue Mix (% of FY21) 85% Amongst the Top 5* in India Stand amongst the Top 5
Slide 21: Well Diversified Product Portfolio
Well Diversified Product Portfolio Windlas provides CDMO services & products ranging from product discovery, product development, licensing and commercial manufacturing of complex generic products in compliance with current GMP Company’s product portfolio predominantly overlaps with Fast Growing CDM
Slide 22: Large Marquee Customer Base
Large Marquee Customer Base ✓ Streamlined Client Acquisition Process Added New Customers at a rapid pace 204 +45% Lead Proposal Contract Client Identification Negotiation Winning Management 143 Creation 97 ✓ Key Factors that lead to Expansion of Customer base Audits by several MNC & Domestic Custome
Slide 23: De-Risking the Customer Concentration
De-Risking the Customer Concentration Long-term nature of the relationships help in pre-plan the Capex and eventually help in achieving sustainable growth and profitability Long-term Relationships Ease is Increased Strengthened Competitive cost with Pre-Planning Economies of Purchasing Power structu
Slide 24: Scalability In CDMO Provides Growth Visibility
Scalability In CDMO Provides Growth Visibility Globally 1/3rd of the R&D is outsourced to CDMO companies in formulations segment & India is emerging as a key player in CDMO Vertical Key reasons for Outsourcing by Pharma companies Significant R&D spends to continue to boost pharmaceutical growth acro
Slide 25: Underpinned by Strong Tailwinds for Organized Players
Underpinned by Strong Tailwinds for Organized Players Key Updates in CDMO industry Scaled CDMOs shifting identity from “Supplier” to “Partner” Customers asking for higher quality systems in R&D as well as CDMOs deploying superior R&D infrastructure, expertise and manufacturing capital ‘Raw materials
Slide 26: Capex & Outlook For Injectables
Capex & Outlook For Injectables Multiple Triggers for Revenue Growth and Improved Return Ratios Key Highlights Key Growth Drivers Impact ▪ Planned Rs. 50 Crores ▪ Rise in chronic diseases ▪ Would help improve Foray into High Growth Capex ▪ Emergence of New Drug economies of scale Injectables Busines
Slide 27: Industry Outlook
Industry Outlook ✓ Our product portfolio predominantly overlaps with Fast Growing Chronic segment and High Margin Complex Generic Vertical. ✓ Chronic Therapies and Oral Solids to dominate their respective categories for the next 5 years, in formulations segment Chronic therapies to continue to accou
Slide 28: Domestic Trade Generics & OTC Business Overview
Domestic Trade Generics & OTC Business Overview No. Of Customers/ Buyers 703+ Stockists & Distributors Brand Used Company’s Brand Names Products Nutritional, Ayurvedic, Wellness & Personal Care Revenue Mix (% of FY21) 10% No. of Brands 185 27
Slide 29: Leveraging Trade Generics Market Opportunity
Leveraging Trade Generics Market Opportunity Highlights Key Drivers Fastest Growing SBV in the last three years chart INR Crores +27% 44 Rs.43.7 Crores Low costs compared to branded Trade Generics Revenue Trade Generics SBV revenue (FY21) generics 30 27 Distributed through 703+ Similar quality to br
Slide 30: Export Business Overview
Export Business Overview No. Of Customers/ Buyers Focused on Emerging & Semi-Regulated Markets Brand Used Own Brands and End Customer Brands Products Exported 56 Products during FY21 which includes Generic Medicines & Health Supplements Revenue Mix: 4% of FY21 Revenue from Operations Exports SBV: IN
Slide 31: Robust R&D Capabilities
Robust R&D Capabilities Robust R&D capabilities help in Customize and Market Complex; Generic Products to Customers and differentiate from Competition Consistent in R&D Expenditure Robust Growth in Complex Generics R&D INR Crores Key Highlights 45 R&D Expenditure No. of Variations in Complex Generic
Slide 32: Competencies in Manufacturing Facilities
Competencies in Manufacturing Facilities Efficiency & Effectiveness in Regulatory & Quality Compliance act as solid Entry Barriers Dehradun Plant 1 commenced Dehradun Plant 2 commenced Dehradun Plant 3 commenced Dehradun Plant 4 commenced operations in 2001 operations in 2014 operations in 2018 oper
Slide 33: Strategies & Way Forward…
Strategies & Way Forward… Strategic Investments/ Acquisitions • Top 5 CDMO status benefits the company from the Industry consolidation trend in an already highly fragmented market with 400 Organized and 15,000* unorganized players Injectables • Plan to invest INR 499 Mn of Capex to foray into High G
Slide 34: Historical Financial Snapshot
Historical Financial Snapshot 33
Slide 35: Financial Snapshot
Financial Snapshot Consolidat ed Revenue (Rs. Crores) EBITDA (Rs. Crores) Adjusted* PAT (Rs. Crores) +18% 428 29 +20% 55 +42% 329 307 38 34 16 14 FY19 FY20 FY21 FY19 FY20 FY21 FY19 FY20 FY21 Adjusted PAT* Margin (in %) EBITDA Margin (%) Adjusted EPS 6.8% 12.7% 16.0 12.3% 10.3% 4.9% 4.6% 8.4 8.9 FY19
Slide 36: Financial Snapshot
Financial Snapshot Consolidat ed Asset Turnover Ratio Net Worth (Rs. Crores) Net Debt to Equity (x) 4.9 0.1 4.7 4.6 211 199 200 0.0 0.0 FY19 FY20 FY21 FY19 FY20 FY21 FY19 FY20 FY21 ROCE (In %) ROE (In %) Net Debt to EBITDA (x) 19% 27% 0.4 0.3 20% 11% 15% 10% 0.0 FY19 FY20 FY21 FY19 FY20 FY21 FY19 FY
Slide 37: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement Consolidat ed Particulars (Rs. Crores) FY21 FY20 FY19 Net Revenue from Operations 427.6 328.9 307.3 COGS 274.4 211.6 191.9 Gross Profit 153.2 117.3 115.3 Gross Margin (%) 35.8% 35.7% 37.5% Employee Expenses 58.3 43.6 43.0 Other Expenses 40.0 24.7 33.1 EBITDA 54.5
Slide 38: Consolidated Balance Sheet Statement
Consolidated Balance Sheet Statement Consolidat ed Equities & Liabilities (Rs. Crores) FY21 FY20 FY19 Assets (Rs. Crores) FY21 FY20 FY19 Equity Non Current assets Equity Share capital 6.4 6.4 6.4 Property, Plant and Equipment 92.5 66.1 59.7 Capital work in progress 0.0 0.0 4.6 Other Equity 192.7 203
Slide 39: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Consolidated Particulars (Rs. Crores) FY21 FY20 FY19 Net Profit before Tax and Extraordinary items 21.7 24.7 76.1 Adjustments for: Non Cash Items / Other Investment or Financial Items 36.3 17.3 -33.9 Operating profit before working capital changes 58.0 42.0 42.2 Chan
Slide 40: IPO Proceeds Utilization
IPO Proceeds Utilization Utilized as on 30th Particulars (Rs. Crores) Proposed Balance September, 2021 Purchase of equipment required for (i) capacity expansion of our existing facility at our Dehradun Plant – IV 50.0 0.0 50.0 (ii) addition of injectables dosage capability at our existing facility a
Slide 41: Contact Us
Contact Us Company: Investor Relations Advisor: CIN: 74899UR2001PLC033407 CIN: U74140MH2010PTC204285 Ms. Komal Gupta Email: komal@windlasbiotech.com Mr. Jigar Kavaiya / Mr. Chinmay Madgulkar Contact no.: +91 124 2821034 E: jigar.kavaiya@sgapl.net / chinmay.m@sgapl.net T: +91 9920602034 / +91 9860088