Laboratorios Farmaceuticos Rovi, S.a. · BME:ROVI
Laboratorios Farmaceuticos Rovi — 9M 2019 Earnings Presentation
25 slides from Laboratorios Farmaceuticos Rovi's earnings presentation, November 2019
Slide 1: First Nine Months of 2019 Financial Results
FIRST NINE MONTHS OF 2019 FINANCIAL R E S U LT S NOVEMBER 2019
Slide 2: Disclaimer
Disclaimer • This Presentation has been prepared by Laboratorios Farmacéuticos Rovi, S.A. (the “Company”) and comprises the slides for a presentation concerning the Company and its subsidiaries (the “Group”). For the purposes of this disclaimer, “Presentation” means this document, its contents or an
Slide 3: Operating results
Operating results
Slide 4: 9M 2019 financial results - Highlights
9M 2019 financial results - Highlights • Operating revenue increased by 24% to €270.8Mn in 9M 2019, driven by the strength of the specialty pharmaceutical business, where sales rose 25%, strongly outperforming the market, and by the toll manufacturing business, which grew by 18%. Total revenue incre
Slide 5: Growth driven by specialty pharma and toll manufacturing businesses
Growth driven by specialty pharma and toll manufacturing businesses… Total operating revenue (€Mn) Operating revenue growth by category (€Mn) 300 300 270,8 +24% 250 250 45,4 218,9 +18% 200 200 38,5 150 150 270,8 +25% 218,9 225,4 100 100 180,4 50 50 0 0 9M 2018 9M 2019 9M 2018 9M 2019 Specialty pharm
Slide 6: …with high profitability
…with high profitability EBITDA (€Mn) and EBITDA margin (%) Net profit (€Mn) 17,6% 20% 50 35 +96% +83% 30 40 15% 11,9% 25 30 20 10% 47,5 20 15 30,7 10 5% 25,9 10 15,7 5 0% 0 0 9M 2018 9M 2019 9M 2018 9M 2019 EBITDA EBITDA margin • In 9M 2018, EBITDA was affected by non-recurring expenses of €1.1Mn.
Slide 7: LMWH, leading the specialty pharmaceutical business
LMWH, leading the specialty pharmaceutical business Prescription-based pharma products sales (€Mn) LMWH franchise sales (€Mn) 200 122,6 125 +27% +44% 100 150 85,4 52,9 16,7 +3.2x 75 100 199,2 50 156,5 +1% 68,7 69,8 25 50 0 9M 2018 9M 2019 0 9M 2018 9M 2019 Bemiparin Enoxaparin biosimilar • Sales of
Slide 8: Strong growth potential of Enoxaparin Biosimilar Becat
Strong growth potential of Enoxaparin Biosimilar Becat® Strong Commercial Launch with a Clear Strategy Well-Established Network to Minimize Time-to-Market • ROVI launched enoxaparin biosimilar Becat® in Germany (first EU Directly Marketed 1 Approved; Approved; market) in September 2017; in UK, Italy
Slide 9: Strong performance of the product portfolio (1/2)
Strong performance of the product portfolio (1/2) Neparvis sales (€Mn) Volutsa sales (€Mn) 16 10 +19% 8 12 +63% 6 8 9,7 15,2 4 8,2 9,3 4 2 0 0 9M 2018 9M 2019 9M 2018 9M 2019 Medicebran and Medikinet sales (€Mn) 6 • Sales of Neparvis, a specialty product from Novartis launched in December 2016, incr
Slide 10: Strong performance of the product portfolio (2/2)
Strong performance of the product portfolio (2/2) Absorcol, Vytorin and Orvatez sales (€Mn) Hirobriz and Ulunar sales (€Mn) 30 12 -17% -4% 25 10 20 8 15 6 28,0 11,4 11,0 23,2 10 4 5 2 0 0 9M 2018 9M 2019 9M 2018 9M 2019 Contrast imaging agents sales (€Mn) 25 • Sales of Vytorin®, Orvatez® and Absorco
Slide 11: Value added toll manufacturing services
Value added toll manufacturing services Toll manufacturing sales (€Mn) • Toll manufacturing sales increased by 18% to €45.4Mn in 9M 2019 because 50 of the good performance of the injectable business, where revenue increased 45,4 +18% by 39% to €27.6Mn as a result of higher volumes manufactured for s
Slide 12: ISM Platform Opens Up New Avenues of Growth for ROVI
ISM® Platform Opens Up New Avenues of Growth for ROVI Overview Key Company Highlights of ISM® Platform • Internally-developed and patented innovative drug-release technology, ISM®1, which allows for the sustained release of compounds administered by injection Pop PK 2 model & simulations Expected hi
Slide 13: DORIA: Positive Results from Phase 3 study
DORIA®: Positive Results from Phase 3 study Phase III clinical trial Main efficacy variables achieved • It is double-blind (+ open-label extension), parallel, multicentre (31 sites/ 2 Endpoint: Study day 85 or the last post-baseline double-blind countries) assessment Doria 75mg vs Placebo & • The ob
Slide 14: Guidance 2020
Guidance 2020 2020 operating revenue growth rate Mid-single-digit T HE KEY G ROWTH LEVERS IN 2 0 2 0 Specialty Pharma Business Toll Manufacturing Services Bemiparin Spare capacity in the injectable plants and Biosimilar of Enoxaparin in the oral compounds plant New customers to be acquired
Slide 15: Financial results
Financial results
Slide 16: Good revenue level with outstanding LMWH franchise growth
Good revenue level with outstanding LMWH franchise growth Total operating revenue (€Mn) LMWH franchise sales (€Mn) 300 +24% 270,8 1,9 +44% 122,6 125 250 218,9 +18% 45,4 1,7 +10% 24,3 100 200 38,5 85,4 52,9 +3.2x 22,2 16,7 150 75 +27% 50 100 199,2 156,5 +1% 68,7 69,8 50 25 0 0 9M 2018 9M 2019 9M 2018
Slide 17: Gross margin impacted by enoxaparin biosimilar sales and LMWH raw material prices
Gross margin impacted by the increase of enoxaparin biosimilar sales and the increase of LMWH raw material prices Gross profit (€Mn) and Gross margin (%) • Gross profit increased by 20% to €157.0Mn in 9M 2019, the gross margin showing a decrease of 1.7 percentage points from 59.7% in 9M 2018 to 59,7
Slide 18: Cost control along with commitment to R&D
Cost control along with commitment to R&D SG&A expenses (€Mn) R&D expenses (€Mn) 40% 100 25 36,1% 32,5% +11% -13% 20 30% 75 15 20% 50 24,6 88,0 10 21,4 79,1 10% 25 5 0% 0 0 9M 2018 9M 2019 9M 2018 9M 2019 SG&A SG&A/operating revenue • SG&A expenses rose 11% to €88.0Mn in 9M 2019 mainly due to: • int
Slide 19: EBITDA
EBITDA EBITDA (€Mn) and EBITDA margin (%) EBITDA (€Mn) and EBITDA “pre-R&D” margin (%) 20% 17,6% 50 25,5% 30% +34% 70 +83% 23,6% 60 40 25% 15% 11,9% 50 20% 30 40 10% 47,5 15% 68,9 20 30 10% 51,6 5% 25,9 20 10 5% 10 0% 0 0% 0 9M 2018 9M 2019 9M 2018 9M 2019 EBITDA EBITDA margin EBITDA "pre-R&D" EBITD
Slide 20: EBIT
EBIT EBIT (€Mn) and EBIT margin (%) EBIT (€Mn) and EBIT “pre-R&D” margin (%) 12,6% 25% 20,5% 60 15% 35 13% 30 19,5% 50 20% 25 10% 40 7,8% 15% +100% 20 +30% 8% 30 34,1 55,5 15 10% 5% 42,8 20 10 17,1 5% 3% 10 5 0% 0 0% 0 9M 2018 9M 2019 9M 2018 9M 2019 EBIT EBIT margin EBIT "pre-R&D" EBIT margin "pre-
Slide 21: Net profit
Net profit Net profit (€Mn) Net profit “pre-R&D” (€Mn) 50 35 +96% +24% 30 40 25 30 20 49,9 15 30,7 20 40,1 10 15,7 10 5 0 0 9M 2018 9M 2019 9M 2018 9M 2019 • Net profit increased to €30.7Mn in 9M 2019, a 96% rise compared to 9M 2018. • Net profit “pre R&D” (w/o R&D and non recurring expenses) increa
Slide 22: Capital expenditure and Free Cash Flow
Capital expenditure and Free Cash Flow Capex evolution (€Mn) Capex breakdown (%) Injectables; 15 12% +54% Alcalá facility; 27% 10 Granada facility; 27% 14,3 5 9,3 San Sebastián de los Reyes facility; 17% Maintenance capex and 0 other; 17% 9M 2018 9M 2019 • €14.3Mn of capex invested in 9M 2019. Free
Slide 23: Financial debt
Financial debt Debt breakdown by source (%) Debt maturities by year (€Mn) Bank 24 borrowings; Total debt 23% €44.3Mn 20 16 Financial liabilities 12 for leases; 49% 22,6 8 Debt with public 4 7,5 administration; 5,1 4,7 4,4 28% 0 2019 2020 2021 2022 2023 onwards • Debt with public administration repre
Slide 24: News-flow 2019-2020
News-flow 2019-2020 Sales of biosimilar of Enoxaparin Specialty Additional new products to be launched Pharma Granting by the competent local authorities of the marketing authorisation of an Enoxaparin biosimilar in 83 countries outside Europe Toll New contracts to be announced manufacturing Risperi
Slide 25: For further information, please contact
For further information, please contact: Juan López-Belmonte Chief Executive Officer +34 91 3756235 jlopez-belmonte@rovi.es www.rovi.es Javier López-Belmonte Chief Financial Officer +34 91 3756266 javierlbelmonte@rovi.es www.rovi.es Marta Campos Investor Relations +34 91 2444422 mcampos@rovi.es www.
Laboratorios Farmacéuticos Rovi — 9M 2019 Earnings Presentation on 6ix