Lasa Supergenerics Ltd. · NSE:LASA
Lasa Supergenerics — Investor Presentation (October 2020)
33 slides from Lasa Supergenerics's investor presentation, October 2020
Slide 1: Lasa Supergenerics Investor Presentation - Oct 2020
LASA SUPERGENERICS INVESTOR PRESENTATION - OCT 2020
Slide 2: Contents
CONTENTS PAGE NO. Company Profile & Key Strengths 04 Vertically Integrated Manufacturing Operations 05 Strong Product Portfolio 11 Client Profile 14 Company Evolution 17 Business Strategy 18 Q2 & H1 FY21 - Financial Performance Update 20 Annexure 26
Slide 3: Disclaimer
DISCLAIMER Certain statements in this document that are not historical facts are forward looking statements. Such forward-looking statements are subject to certain risks and uncertainties such as government actions, local, political or economic developments, technological risks, and many other facto
Slide 4: Lasa Supergenerics – Amongst Leading Players in the Indian Animal API Market
LASA SUPERGENERICS – “AMONGST LEADING PLAYERS IN THE INDIAN ANIMAL API MARKET” ❑ Lasa Supergenerics is a ‘vertically integrated’ Active Pharmaceutical Ingredients (API) manufacturer specializing in ‘catalyst chemistry’. The company effectively covers all the aspects from discovery-to-delivery along
Slide 5: Vertically Integrated Manufacturing Process
VERTICALLY INTEGRATED MANUFACTURING PROCESS
Slide 6: State-of-the-Art Manufacturing Platforms (1/2)
STATE-OF-THE-ART MANUFACTURING PLATFORMS – (1/2) ❑ 3 state-of-the-art manufacturing facilities located at Maharashtra (1 unit in Mahad & 2 units in Khed) with a total rated capacity of 3,100 TPA & volumetric capacity of 5,300 TPA ▪ Unit-1 (Mahad) & Unit-2 (Khed) are engaged in the manufacturing of ‘
Slide 7: State-of-the-Art Manufacturing Platforms (2/2)
STATE-OF-THE-ART MANUFACTURING PLATFORMS – (2/2) UNIT – 1 (MAHAD) UNIT – 2 (KHED) UNIT – 3 (KHED) 7
Slide 8: Unit 1 (Mahad): Plant Layout, Location & Overview
UNIT – 1 (MAHAD): PLANT LAYOUT, LOCATION & OVERVIEW PLANT LOCATION & LAYOUT PLANT OVERVIEW Particulars Capacity & Other Details Land Area 11,200 Sq. Mt. Volumetric reactor capacity 20 reactors with a 46 KL capacity Capacity utilization 98% Address : Power 266 KVA Plot No.C105, Water Requirement 65 C
Slide 9: Unit 2 (Khed): Plant Layout, Location & Overview
UNIT – 2 (KHED): PLANT LAYOUT, LOCATION & OVERVIEW PLANT LOCATION & LAYOUT PLANT OVERVIEW Particulars Capacity & Other Details Land Area 81,008 Sq. Mt. Volumetric reactor capacity 22 reactors with a 70 KL capacity Capacity utilization 95% 500 KVA Address : Power (Solar project expected to be commiss
Slide 10: Unit 3 (Khed): Plant Layout, Location & Overview
UNIT – 3 (KHED): PLANT LAYOUT, LOCATION & OVERVIEW PLANT LOCATION & LAYOUT PLANT OVERVIEW Particulars Capacity & Other Details Land Area 3,600 Sq. Mt. Volumetric reactor capacity 19 reactors with a 79 KL capacity Capacity utilization 95% Address : Power 500 KVA Plot No. B-15, B-16 Lote Parshuram Ind
Slide 11: Vertically Integrated Manufacturing Operations Is Our USP
VERTICALLY INTEGRATED MANUFACTURING OPERATIONS IS OUR ‘USP’ The uniqueness of ‘Lasa’ lies in its vertically integrated manufacturing set-up, which provides it with it a ‘significant competitive edge’ over its rivals and positions it as a ‘preferred supplier among its customers’ BACKWARD INTEGRATION
Slide 12: Pioneer in Patented Proprietary Catalyst Chemistry
PIONEER IN PATENTED PROPREITARY ‘CATALYST CHEMISTRY’ ❑ ‘Lasa’ leverages its expertise in catalyst chemistry to its advantage - by making the API manufacturing process ‘less time consuming’ & ‘more cost efficient’ by utilizing suitable catalysts during the production process. ▪ After establishing a s
Slide 13: Dynamic Management Team Led by Technocrats
DYNAMIC MANAGEMENT TEAM LED BY TECHNOCRATS Dr. Omkar Herlekar, Chairman & MD Mithun Jadhav, Whole Time Director Shivanand Hegde, Executive Director ❑ 10+ years’ experience in the chemical industry in Purchase, ❑ Vast experience of 40+ years in the Pharmaceutical ❑ 14 years of experience in the veter
Slide 14: Portfolio
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Slide 15: Strong Product Portfolio (1/2)
STRONG PRODUCT PORTFOLIO – (1/2) ❑ ‘Lasa’ has the capability to produce a diverse mix of ‘37’ products across Animal ❑ Contribution of Veterinary API and Human API to the total revenue stood at 98% and Human API, Animal Feed Ingredients and Therapeutic Reagents segments and 2% respectively in H1 FY2
Slide 16: Strong Product Portfolio (2/2)
STRONG PRODUCT PORTFOLIO – (2/2) ‘Lasa’ has successfully filed / submitted ‘Drug Master Files’ (DMFs) for its key products in different countries & markets. DMFs enables the company to provide confidential information to the FDA / regulator while at the same time protecting its intellectual property
Slide 17: Expanding Presence in the Human API Space
STRONG PRODUCT PORTFOLIO – ‘EXPANDING PRESENCE IN THE HUMAN API SPACE’ ‘Lasa’ deepened its presence in the Human API / Steroid space with the 1) FDA Approval for ‘Progesterone’ (a female sex hormone) in April’20, and the 2) Successful synthesis of ‘Favipiravir’ molecule in June’20, in collaboration
Slide 18: Strong Customer Profile
STRONG CUSTOMER PROFILE ❑ ‘Lasa’ caters to a diversified heterogenous customer base spread across the animal & human healthcare value chain - supplying its products to ‘more than 300 customers’ both in India and across various International markets ❑ Major End-markets include - ▪ Multinational Pharm
Slide 19: Strong Balance Sheet & Robust Cash Conversion Cycle
STRONG BALANCE SHEET & ROBUST CASH CONVERSION CYCLE ROBUST WORKING CAPITAL CYCLE OF ‘27 DAYS’ DRIVES ‘STRONG FREE CASH FLOW GENERATION’ Particulars H1 FY21 FY20 FY19 FY18 FOCUS ON HIGHER CASH FLOW Inventory Days 53 63 79 56 Receivable Days 24 54 76 57 ❑ Successfully brought down working capital cycl
Slide 20: Favourable Industry Dynamics
FAVOURABLE INDUSTRY DYNAMICS The Global and Indian Veterinary API Market can be broadly segregated into two Global Veterinary API Market Expected to Grow at ~7% CAGR segments – ‘Production Animal & Companion Animal’ over 2017- 2025E ❑ Production Animal segment includes Cows, Buffaloes, Poultry, and
Slide 21: Our Evolution
OUR EVOLUTION ❑ “Lasa” was acquired as a 100% subsidiary by Omkar Speciality Chemicals Limited (OSCL) in ‘FY2012’ • Since then led by strong operational execution and expansion, the company has grown its top-line by 81% CAGR (FY12-FY20) ❑ Demerged from Omkar Speciality Chemicals Limited (OSCL) in ‘F
Slide 22: Business Strategy
BUSINESS STRATEGY
Slide 23: Business Strategy & Focus on Shareholder Value Creation
BUSINESS STRATEGY & FOCUS ON SHAREHOLDER VALUE CREATION ✓ Short working capital cycle of ‘27 Days’ will help drive strong ‘Free Cash Flow‘ generation FOCUS ON ROBUST CASH ✓ Capital Efficient Capacity Expansion: Future Brownfield Expansion at FLOW GENERATION Khed expected to generate ‘Capex Turns of
Slide 24: Q2 & H1 FY21 – Financial Performance Update
Q2 & H1 FY21 – FINANCIAL PERFORMANCE UPDATE
Slide 25: Q2 & H1 FY21: Financial Performance Highlights
Q2 & H1 FY21: FINANCIAL PERFORMANCE HIGHLIGHTS In INR Million NET REVENUES & GROSS MARGIN % EBITDA & EBITDA MARGIN % CASH PAT & CASH PAT MARGIN % 44.0% 23.4% 20.3% 40.6% 18.6% 547 128 111 9.6% 404 +35.3 % +70.5 % +187.3 % 75 39 Q2 FY20 Q2 FY21 Q2 FY20 Q2 FY21 Q2 FY20 Q2 FY21 NET REVENUES & GROSS MAR
Slide 26: Q2 & H1 FY21: Segment Wise Performance Analysis
Q2 & H1 FY21: SEGMENT WISE PERFORMANCE ANALYSIS In INR Million Q2 FY21 - SEGMENT REVENUE Q2 FY21 – EXPORT REVENUE Product Type Q2 FY20 Q2 FY21 YoY % Q2 FY20 Q2 FY21 Albendazole 271 363 34% 79 14% 14% Fenbendazole 95 115 21% 57 Others 38 61 61% +38.9% Total Animal API 404 538 33% 86% 86% Progesterone
Slide 27: Q2 & H1 FY21 – Profit & Loss Statement
Q2 & H1 FY21 – PROFIT & LOSS STATEMENT Particulars (INR Million) Q2 FY21 Q2 FY20 YoY% H1 FY21 H1 FY20 YoY% Net Revenue from Operations 546.9 404.1 35.3% 1,092.9 794.0 37.7% Cost of Goods Sold 306.1 239.9 27.6% 633.8 505.7 25.3% Gross Profit 240.8 164.2 46.6% 459.1 288.3 59.3% Gross Margin (%) 44.0%
Slide 28: H1 FY21 – Balance Sheet
H1 FY21 – BALANCE SHEET Particulars (INR Million) Sep 2020 March 2020 Particulars (INR Million) Sep 2020 March 2020 Non-current assets Equity Share capital 407 407 Property, Plant and Equipment 1,385 1,460 Other Equity 1,132 1,008 Capital Work in Progress 0 0 Total Equity 1,539 1,415 Intangible asse
Slide 29: Q2 & H1 FY21 – Financial Performance Analysis & Outlook
Q2 & H1 FY21 – FINANCIAL PERFORMANCE ANALYSIS & OUTLOOK ❑ Revenue from operations witnessed robust growth of 35% YoY to reach INR 546.9 Mn in Q2 FY21, and 38% YoY to INR 1,092.9 Mn in H1 FY21. • The growth in top-line was led by the strong traction in the company’s key veterinary APIs. • Exports are
Slide 30: Financial Performance Track-Record – FY2017 – YTD FY2021
FINANCIAL PERFORMANCE TRACK-RECORD – LAST 4 YEARS (FY2017 – YTD FY2021) In INR Million NET REVENUES EBITDA 2,458 455 1,988 413 1,696 1,673 299 250 1,093 111 FY17 FY18 FY19 FY20 H1 FY21 FY17 FY18 FY19 FY20 H1 FY21 CASH FLOW FROM OPERATIONS CASH PAT 407 305 404 242 210 202 136 101 73 -30 FY17 FY18 FY1
Slide 31: Financial Performance Track-Record – FY2017 – YTD FY2021
FINANCIAL PERFORMANCE TRACK-RECORD – LAST 4 YEARS (FY2017 – YTD FY2021) In INR Million TOTAL OUTSTANDING DEBT NETWORTH WORKING CAPITAL DAYS 1,158 1,539 1,067 1,415 59 846 1,173 1,053 40 755 484 27 15 197 FY17 FY18 FY19 FY20 H1 FY21 FY17 FY18 FY19 FY20 H1 FY21 FY18 FY19 FY20 H1 FY21 CURRENT RATIO ASS
Slide 32: Thank You
THANK YOU Mr. Hitesh Wadhwani Mr. Mandar Kapse / Vikash Verma Vice President - Legal IR Consultants Email: hitesh@lasalabs.com Email: lasa@dickensonworld.com Contact no: +91 7798888147 Contact no: +91 9867550004 / 9664009029
Slide 33: Annexure: List of Patents
ANNEXURE: LIST OF PATENTS # Description Status NITROXYNIL 1. (Method for the simplified Granted production of Fasciolicide and derivative thereof) CLOSANTEL 2. (Method for the preparation of Granted Salicylanilide antiparasitic derivative) TRICLABENDAZOLE 3. (Process for the preparation of Benzimida
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