Ajanta Pharma Limited · NSE:AJANTPHARM
Ajanta Pharma — Q4 FY2015 Earnings Presentation
42 slides from Ajanta Pharma's earnings presentation, May 8, 2015
Slide 1: Result Update Q4 FY '15
Result Update Q4 FY ‘15 8th May 2015 www.ajantapharma.com
Slide 2: Agenda
India Agenda Emerging Business Markets Regulated Infrastructure Markets Financial Corporate Social Highlights Responsibility 8th May 2015 2 of 42
Slide 3: India Business
India Business 8th May 2015 3 of 42
Slide 4: Therapy Focus
Therapy Focus Ophthalmology Dermatology New Cardiology Pain Management 8th May 2015 Total MR Strength 3,000 4 of 42
Slide 5: India Sales – Q4 FY '15
India Sales – Q4 FY ‘15 Q4 FY ‘15 Sales – Rs. 114 cr. (Q4 FY ‘14 – Rs. 95 cr.) APL Growth 20%, IPM Growth 26% (excluding Institution) 40 34% 35 35 17% 27% 30 28 26 25 25 24 20 20 18 -8% Rs. cr. 16 15 30% 10 9 7 5 0 8th May 2015 Ophthalmology Dermatology Cardiology Institution Pain Mgt. Q4 FY '14 Q4
Slide 6: India Sales – FY '15
India Sales – FY ‘15 FY ‘15 Sales – Rs. 480 cr. (FY ‘14 - Rs. 385 cr.) APL Growth 25%, IPM Growth 31% (excluding Institution) 40% 160 146 140 18% 35% 118 120 114 104 100 100 85 Rs. cr. 80 66 -7% 34% 62 60 40 40 30 20 0 8th May 2015 Ophthalmology Dermatology Cardiology Institution Pain Mgt. FY '14 FY
Slide 7: Within Segments Ajanta Way Ahead
Within Segments Ajanta Way Ahead 40% 37% 35% 31% 30% 27% 26% 25% 20% 19% 18% 15% 12% 11% 11% 10% 10% 5% 0% 8th May 2015 Pharma Market Dermatology Cardiology Ophthalmology Pain Mgt. IPM Ajanta Pharma Source: IMS, MAT Mar ‘15 7 of 42
Slide 8: Ajanta Growing Consistently Faster Than Industry
Ajanta Growing Consistently Faster Than Industry 40% 38% 36% 35% 30% 29% 26% 25% 20% 15% 15% 12% 10% 10% 10% 5% 0% 8th May 2015 Mar '12 Mar '13 Mar '14 Mar '15 IPM Ajanta Pharma IPM – Indian Pharmaceutical Market, Source: IMS 8 of 42
Slide 9: IPM - Rankings
IPM - Rankings IMS MAT IMS MAT IMS MAT Segment Mar ‘15 Mar ‘14 Mar ‘05 Ophthalmology 5 5 28 Dermatology 13 13 98 Cardiology 22 24 38 Pain Mgt. 53 37 58 NA Ajanta Pharma 36 39 88 8th May 2015 Source: IMS 9 of 42
Slide 10: Ajanta IPM – A Consistent Out Performance
Ajanta IPM – A Consistent Out Performance 450 418 400 350 319 300 240 Rs. cr. 250 200 180 150 135 109 100 88 66 49 50 30 8th May 2015 - 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Company 10 of 42
Slide 11: IPM - Leading Brands
IPM - Leading Brands Brand Value (Rs. cr.) Growth over Segment IMS MAT Mar ‘15 Previous Year Met-XL Range 62 21% Cardio Melacare Range 54 2% Derma Atorfit Range 44 37% Cardio Rosufit Range 22 169% Cardio Apdrops Range 15 68% Ophthal Softdrops Range 13 21% Ophthal Feburic 13 60% Pain Mgmt 8th May 201
Slide 12: Product Profile – Many First to Market
Product Profile – Many First to Market Total No. of No. of Products Segment Products as of First Time in Mar ‘15 Market (last 10 yrs) Ophthalmology 61 51 Cardiology 32 11 Dermatology 58 40 Pain Mgt. 30 25 Total 181 127 8th May 2015 Source: Company 12 of 42
Slide 13: New Product Launches in India – Q4 FY '15
New Product Launches in India – Q4 FY ‘15 Zillion Speciality MeXLON Axys Zillion Inyx FY ‘15 Total new launches – 26 First to market - 12 8th May 2015 13 of 42
Slide 14: Emerging Markets
Emerging Markets 8th May 2015 14 of 42
Slide 15: Global Presence
Global Presence USA West Asia CIS (3 Countries) (6 Countries) South East Asia Latin (3 Countries) America (4 Countries) India Africa (19 Countries) 8th May 2015 15 of 42
Slide 16: Branded Generics in Emerging Markets
Branded Generics in Emerging Markets Country specific brand portfolio enabling growth Ranked among Top 5 companies in Franco Africa (IMS Feb ‘15) Among fastest growing companies in Philippines (IMS Dec ‘14) Brands gaining further ground in many markets 19% Growth in Q4 FY ’15, 22% in FY ‘15 Field st
Slide 17: Emerging Markets – Q4 FY '15 Revenue Break-up
Emerging Markets – Q4 FY ‘15 Revenue Break-up (Rs. cr.) 160 30% 136 Q4 Q4 140 11% Region Growth FY ‘15 FY ‘14 120 105 107 100 96 Africa 136 105 30% 80 Rs. cr. Asia 107 96 11% 60 40 Latam 2 5 -54% 20 -54% 5 2 Total 245 206 19% 0 Africa Asia Latam Q4 FY '14 Q4 FY '15 8th May 2015 17 of 42
Slide 18: Emerging Markets – FY '15 Revenue Break-up
Emerging Markets – FY ‘15 Revenue Break-up (Rs. cr.) 500 23% 451 450 23% Region FY ‘15 FY ‘14 Growth 400 382 368 350 311 Africa 451 368 23% 300 Rs. cr. 250 Asia 382 311 23% 200 150 Latam 12 15 -20% 100 -20% 50 Total 845 694 22% 15 12 0 Africa Asia Latam 8th May 2015 FY '14 FY '15 18 of 42
Slide 19: Emerging Markets – Building Brands
Emerging Markets – Building Brands No. of No. of Brands Brands Field Force Major Segments Region Registered under Strength Registration Africa 1,118 1,106 257 Antibiotic, Anti-Malaria, Ortho Antibiotic, Derma, Ortho, OTC, Asia 294 360 315 Ophthal, Cardio, GI Latam 33 143 - Ophthal, MED, GI Total 1,4
Slide 20: New Product Launches Q4 FY '15
New Product Launches Q4 FY ‘15 Region Q4 FY ‘15 FY ‘15 Africa 5 30 Asia 9 18 8th May 2015 20 of 42
Slide 21: Regulated Markets
Regulated Markets 8th May 2015 21 of 42
Slide 22: Regulated Markets - USA
Regulated Markets - USA Total ANDAs filed – 25 Approved – 2 (launched – 1) Q4 sales Rs. 1 cr., FY ‘15 Rs. 4 cr. Under approval – 23 Gaining market share for Filing target every year > 6 Risperidone Only solid dosage Expected market size of ANDA Mix of Para II, Para III, Para IV filed USD 1.5 b
Slide 23: Infrastructure
Infrastructure 8th May 2015 23 of 42
Slide 24: Manufacturing
Manufacturing Formulation Manufacturing 3 existing facilities in Aurangabad (1 USFDA, UKMHRA, WHO Pre-Q, approved) 1 Facility at Mauritius Dahej facility under validation, regulatory filing batches thereafter Savli facility options being evaluated Capacities for tablets, capsules, powders,
Slide 25: R&D – The Catalyst for Growth
R&D – The Catalyst for Growth Many first to market Formulation, Team of 400+ people products to credit Analytical & API Development Niche, complex & Spent Rs. 70 cr. Enhancing capacities & difficult to make capabilities, investing (FY ‘15) products Rs. 80 cr. (5% of Revenue) 8th May 2015 25 of 42
Slide 26: Financial Highlights
Financial Highlights 8th May 2015 26 of 42
Slide 27: P&L – Q4 FY '15 (Stand Alone)
P&L – Q4 FY ‘15 (Stand Alone) (Rs. cr.) Particulars Q4 FY ‘15 Q4 FY ‘14 Growth Exports 246 206 20% % to Revenue 67% 66% Domestic 114 95 20% % to Revenue 31% 31% Other Oper. Income 8 10 -14% % to Revenue 2% 3% Revenue 369 311 19% EBITDA 141 111 27% % to Revenue 38% 36% PBT after exceptional item 123
Slide 28: P&L – Q4 FY '15 (Stand Alone)
P&L – Q4 FY ‘15 (Stand Alone) (Rs. cr.) Particulars Q4 FY ‘15 Q4 FY ‘14 Income from Operations 369 311 Materials consumed 103 28% 89 29% Employee benefits exp. 51 14% 38 12% Finance costs 1 0% 2 1% Other expenditure 74 20% 74 24% Dep. & amortization 13 3% 15 5% Total expenses 242 218 Profit from ope
Slide 29: P&L – FY '15 (Stand Alone)
P&L – FY ‘15 (Stand Alone) (Rs. cr.) Particulars FY ‘15 FY ‘14 Grth Exports 849 695 22% % to Revenue 63% 63% Domestic 480 385 25% % to Revenue 35% 35% Exceptional Item: Turkmenistan JV investment Other Oper. Income 28 30 -8% fully provided (Rs. 6.95 cr.) % to Revenue 2% 2% due to Revenue 1,356 1,110
Slide 30: P&L – FY '15 (Stand Alone)
P&L – FY ‘15 (Stand Alone) (Rs. cr.) Particulars FY ‘15 FY ‘14 Income from Operations 1,356 1,110 Materials consumed 381 28% 348 31% Employee benefits exp. 186 14% 147 13% Finance costs 5 0% 8 1% Other expenditure 317 23% 270 24% Dep. & amortization 49 4% 42 4% Total expenses 938 815 Profit from ope
Slide 31: P&L – FY '15 (Consolidated)
P&L – FY ‘15 (Consolidated) (Rs. cr.) Particulars FY ‘15 FY ‘14 Growth Exports 973 793 23% % to Revenue 66% 66% Domestic 480 385 25% Exceptional Item: % to Revenue 32% 32% Turkmenistan JV investment fully provided (Rs. 8.46 cr.) Other Oper. Income 28 30 -8% due to % to Revenue 2% 2% 1. Currency deva
Slide 32: P&L – FY '15 (Consolidated)
P&L – FY ‘15 (Consolidated) (Rs. cr.) Particulars FY ‘15 FY ‘14 Income from Operations 1,481 1,208 Materials consumed 365 25% 346 29% Employee benefits exp. 201 14% 157 13% Finance costs 6 0% 9 1% Other expenditure 410 28% 337 28% Dep. & amortization 52 3% 44 4% Total expenses 1,034 892 Profit from
Slide 33: Consolidated Performance – 5 years
Consolidated Performance – 5 years 31% CAGR Operating Income 57% CAGR PAT 1750 350 Consolidated Operating Income & PAT 310 (Rs. cr.) 1500 Total Income Profit After Tax 1,481 300 1250 1,208 250 234 1000 931 200 750 677 150 499 500 100 77 112 51 250 50 8th May 2015 0 0 2011 2012 2013 2014 2015 33 of 4
Slide 34: Consolidated Performance – FY 2014-15
Consolidated Performance – FY 2014-15 310 EBITDA 505 PAT (Rs. cr.) (Rs. cr.) 234 369 224 112 147 77 51 99 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 59 35 Earning Per Share (Rs.) Dividend 41 27 (Rs. cr.) 13 17 9 10 6 7 8th May 2015 2011 2012 2013 2014 2015 2011 2012 2013 2014 2015 34 of 42
Slide 35: Consolidated Key Financial Indicators
Consolidated Key Financial Indicators Rs. Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15 EPS 6 9 13 27 35 Cash EPS 9 12 17 32 41 EBITDA per share 11 17 26 43 59 EBITDA margin 20% 22% 24% 31% 35% PAT margin 10% 11% 12% 19% 21% R & D Exp. (Rs. cr.) 25 37 37 50 70 R & D Exp. (% to Sales) 5% 5% 4% 4% 5%
Slide 36: Consolidated Key Financial Indicators
Consolidated Key Financial Indicators Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15 Book value per share (Rs.) 26 34 45 67 96 Dividend/share (Rs.) (FV Rs.2) 1.00 1.50 2.50 4.00 6.00 RONW 25% 29% 32% 47% 43% ROCE 18% 23% 38% 47% 52% Dividend payout 13% 13% 15% 18% 19% 8th May 2015 * Book Value of al
Slide 37: Consolidated Key Financial Indicators
Consolidated Key Financial Indicators Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15 Long term debt / Equity 0.36 0.35 0.19 0.12 0.06 Total debt/equity 0.83 0.67 0.32 0.22 0.09 Receivable days 76 77 60 63 65 Inventory days 83 92 59 48 40 Payable days 145 131 134 99 85 8th May 2015 37 of 42
Slide 38: Corporate Social Responsibility
Corporate Social Responsibility 8th May 2015 38 of 42
Slide 39: Corporate Social Responsibility
Corporate Social Responsibility Ambulance Donation Diagnostics Camp Eye Camp 8th May 2015 39 of 42
Slide 40: 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
Slide 41: 8th May 2015
For updates and company information please visit our website: www.ajantapharma.com For specific queries, contact: Rajeev Agarwal rajeev.agarwal@ajantapharma.com 022-66061377 Ajanta Pharma Limited Ajanta House, Charkop, Kandivli (W), Mumbai 400 067 CIN No. - L24230MH1979PLC022059 8th May 2015 NSE Sym
Slide 42: 8 th May 2015
8th May 2015 2 = ii 42 of 42