Rpg Life Sciences Limited · NSE:RPGLIFE
Rpg Life Sciences — Investor Presentation (June 2017)
30 slides from Rpg Life Sciences's investor presentation, June 2017
Slide 1: Investor Presentation
Investor Presentation June 2017
Slide 2: Disclaimer
Disclaimer This presentation may include statements which may constitute forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the strategy for growth, business development, market position, expenditures,
Slide 3: Table of Contents
Table of Contents Company Overview FY 17 Performance Highlights Strategic Direction Financials 3
Slide 4: Business Overview
Business Overview Mostly APIs for captive use TGA approved unit in Thane Revenue: Rs 43 crs API Revenue : Rs 298 crs PBT : Rs 15.3 crs 2 Production Units Exports : 33% ~1150 Employees Domestic International API Formulations Formulations EUGMP approved unit in Field force of 500 people St
Slide 5: Management Team
Management Team CT Renganathan BM Sundaram Satessh Singh Dr Uday Bapat Dr Nitin Gore Managing Director API, Int'l Form & Main Division, Neolife, Chief Technical Officer Chief Quality Officer Nephrocare Urolife, Glodiance Himmat Patel Kartick Patra Suchitra Tiwari Mahesh Narayanaswamy Tushar Joshi Fo
Slide 6: Board of Directors
Board of Directors Name Experience Harsh Vardhan Goenka – Chairman Chairman, RPG Group CT Renganathan - Managing Director Ex-GSK India, Boston Scientific and Eli Lilly Sachin Nandgaonkar - Non Executive Director Ex-Senior Partner at BCG CL Jain – Independent Director Ex-CFO at Hoechst India Dr Lalit
Slide 7: Manufacturing Facilities
Manufacturing Facilities Ankleshwar, Unit 1 Ankleshwar, Unit 2 • Formulations Plant • Formulations Plant • WHO approved • WHO/EUGMP approved Navi Mumbai • API Plant • WHO/EUGMP/TGA approved 7
Slide 8: FY 16-17: Second consecutive year of good results
FY 16-17: Second consecutive year of good results FY 14-15 FY 15-16 FY 16-17 Results Results Results Growth Sales 210 251 292 16% PBT (2.02) 8.4 13.8 64% PBT % (1%) 3.3% 4.7% +140 bps EPS 0.60 7 12 76% Share Price 63-123 140-342 240-449 31% Market Cap 104-203 232-566 400-741 31% Note : Sales, PBT fi
Slide 9: FY 16-17 : Key Updates (1/2)
FY 16-17 : Key Updates (1/2) Business portfolio streamlining Biotech business divested 7 brands acquired from Sun Pharma to strengthen Domestic Formulation business Urology division launched; brands from Sun and additional products Strong focus on International formulations; growth of 39% Im
Slide 10: FY 16-17 : Key Updates (2/2)
FY 16-17 : Key Updates (2/2) Further strengthening of India Formulations business Continue to perform above industry growth PCPM improvement to 3.88 lakhs vs 3.59 lakhs last year EBIDTA improvement to 15.8 crs vs 12.4 crs last year Romilast & Sildura (brands acquired from Sun) gaining moment
Slide 11: India Formulations : Fundamentals getting stronger
India Formulations : Fundamentals getting stronger ₹ cr ₹ lakhs Sales 4.0 PCPM 3.9 200 183 3.6 168 143 3.0 2.8 150 100 2.0 1.0 50 0.0 - FY15 FY16 FY17 FY15 FY16 FY17 20% 40% New Product % DPCO sales % 34% 16% 30% 24% 25% 10% 9% 20% 4% 10% 0% 0% FY15 FY16 FY17 FY15 FY16 FY17 11
Slide 12: Main Division : Strong consolidation continues
Main Division : Strong consolidation continues Rs. Crs FY 14-15 FY 15-16 FY 16-17 YOY% Sales 86.30 104.5 121.3 +16% Gross Margin 41.1 54.9 67.9 +24% as % to Sales 48% 53% 56% +300 bps EBIDTA -5.7 3.2 13.8 +331% as % to Sales -7% 3% 11% +800 bps PBT -7.5 1.7 10.6 +523% as % to Sales -9% 2% 9% +700 bp
Slide 13: Nephro Division : Very profitable, but growth challenged
Nephro Division : Very profitable, but growth challenged Rs. Crs FY 15 FY 16 FY 17 YOY% Sales 41.1 47.6 43.6 -8% Gross Margin 25.2 27.3 25.5 -7% as % to Sales 61% 57% 58% +100 bps EBIDTA 11.5 11.0 10.1 -8% as % to Sales 28% 23% 23% - PBT 10.8 10.3 9.6 -7% as % to Sales 26% 22% 22% - Other Key Perfor
Slide 14: Other Divisions: Still early days
Other Divisions: Still early days Neolife (Oncology) • Sales at Rs 9.7 cr; lower than LY by 7% • Declining prices due to very high competitive intensity, large proportion of institutional sales and commodity product basket • Market growth driven by MABs which is a gap for RPGLS Glodiance (Derma) • D
Slide 15: Int'l Formulations: Growth efforts starting to yield results
Int’l Formulations: Growth efforts starting to yield results ₹ cr ₹ cr Regulated Market Sales 40 ROW Sales 35 40 30 30 30 27 19 20 20 20 11 10 10 0 0 FY15 FY16 FY17 FY15 FY16 FY17 • 100% growth achieved • Growth driven by increased orders from • Growth driven by Myanmar, Mauritius existing approvals
Slide 16: Regulated Markets: Product Portfolio
Regulated Markets: Product Portfolio Existing Products Products Under Development Azathioprine Sodium Valproate - EUCTD Mycophenolate Mofetil Aminocaproic Acid – ANDA Nicorandil – EUCTD Azathioprine – ANDA Sertraline (Contract Mfg) Solefinacin - ANDA 16
Slide 17: ROW: Increasing market coverage short term focus
ROW: Increasing market coverage short term focus Sales Markets under Existing Markets (FY 17 ₹ crs) development Siloxogene is one of the Myanmar 12.54 Honduras fastest growing brands in Myanmar Mauritius 9.63 Angola Egypt 6.29 Nicaragua Kenya 0.89 Sudan Product expansion through Vietnam 0.67 Ethiopi
Slide 18: Strategy: No change; continue to be on same path
Strategy: No change; continue to be on same path Focus : Captive molecules for Global Formulation Approach : Own the technology; outsource manufacturing to USFDA approved sites API Domestic Focus : Few therapy Formulations areas/ product segments Focus : Immediate term- Approach : New prod
Slide 19: Financials : Q4 and Full Year (with Bio-tech)
Financials : Q4 and Full Year (with Bio-tech) Rs.Cr. Parameter Q4FY16 Q3FY17 Q4FY17 QoQ YoY FY16 FY17 Net Sales 68.93 64.66 71.27 10.2% 3.4% 274.71 298.46 Raw Material 22.44 21.67 25.11 15.9% 11.9% 91.44 105.84 Gross margin 46.49 42.99 46.16 7.4% -0.7% 183.27 192.62 Gross margin % 67.4% 66.5% 64.8%
Slide 20: Financials : Q4 and Full Year (without Bio-tech)
Financials : Q4 and Full Year (without Bio-tech) Rs.Cr. Parameter Q4FY16 Q3FY17 Q4FY17 QoQ YoY FY16 FY17 Net Sales 60.59 64.66 71.27 10.2% 17.6% 250.71 292.24 Raw Material 20.57 21.67 25.11 15.9% 22.1% 84.58 104.47 Gross margin 40.02 42.99 46.16 7.4% 15.3% 166.13 187.77 Gross margin % 66.1% 66.5% 64
Slide 21: Thank You
T H A N K Y O U
Slide 22: RPG Life Sciences Limited
RPG LIFE SCIENCES LIMITED
Slide 23: Overview
Overview Mostly APIs for captive use TGA approved unit in Thane Revenue: Rs 43 crs API Revenue : Rs 298 crs PBT : Rs 15.3 crs 2 Production Units Exports : 33% ~1150 Employees Domestic International API Formulations Formulations EUGMP approved unit in Field force of 500 people Ankleshwar
Slide 24: Key Updates – FY17 (1/2)
Key Updates – FY17 (1/2) Business portfolio streamlining Biotech business divested 7 brands acquired from Sun Pharma to strengthen Domestic Formulation business Urology division launched; brands from Sun and additional products Strong focus on International formulations; growth of 39% Improv
Slide 25: Key Updates – FY17 (2/2)
Key Updates – FY17 (2/2) Further strengthening of India Formulations business Continue to perform above industry growth PCPM improvement to 3.88 lakhs vs 3.59 lakhs last year EBIDTA improvement to 15.8 crs vs 12.4 crs last year Romilast & Sildura (brands acquired from Sun) gaining momentum R
Slide 26: FY 17 : Improvement trajectory continues
FY 17 : Improvement trajectory continues FY 16 FY 17 292 Revenue* (Rs Crs) 251 27 EBIDTA* (Rs Crs) 19 9.5% (+2.1%) EBIDTA (%) 7.6% 13.8 PBT* (Rs Crs) 8.4 4.7% (+1.4%) PBT (%) 3.3% 12.0 EPS 7.0 * Excludes revenue from Biotech business 5
Slide 27: India Formulations : Fundamentals getting stronger
India Formulations : Fundamentals getting stronger ₹ cr ₹ lakhs PCPM Sales 200 4.0 3.9 183 3.6 168 143 3.0 2.8 150 100 2.0 1.0 50 0.0 - FY15 FY16 FY17 FY15 FY16 FY17 20% New Product % 40% DPCO sales % 16% 34% 30% 24% 25% 10% 9% 20% 4% 10% 0% 0% FY15 FY16 FY17 FY15 FY16 FY17 6
Slide 28: Int'l Formulations : Growth starting to materialize
Int’l Formulations : Growth starting to materialize Regulatory Approvals Revenue (Rs cr) EUGMP (Formulation) 39% TGA (API) 70 growth Nigeria FDA Customer Approvals 60 Apotex (Canada) 50 Teva (Europe) Tillomed (UK) 40 Aqvida (Europe) 30 Medac (Germany) 20 Product Lines Tablets 10
Slide 29: Strategy: No change; continue to be on same path
Strategy: No change; continue to be on same path Focus : Captive molecules for Global Formulation Approach : Own the technology; outsource manufacturing to USFDA approved sites API Domestic Focus : Few therapy areas/ Formulations product segments Focus : Immediate term- Approach : New prod
Slide 30: Thank You
THAIN] KY Tofu
RPG Life Sciences — Investor Presentation (June 2017) on 6ix