Sunshine Holdings Plc · CSELK:SUN.N0000
Sunshine — Q3 FY2025 Earnings Presentation
37 slides from Sunshine's earnings presentation, Feb 11, 2025
Slide 1: 3QFY25 Earnings Webinar
3QFY25 Earnings Webinar Sunshine Holdings PLC 11 February 2025
Slide 2: Housekeeping Announcements
Housekeeping Announcements • The webinar will be recorded and later uploaded to our IR website as well as CSE website for future reference (https://www.sunshineholdings.lk/investor/financial-reports) • All participants will be muted during the presentation • Participants can use the 'Raise Hand' opt
Slide 3: Corporate Announcements
Corporate Announcements • February 10th – Shareholders of SUN have approved the share split of one ordinary share into four ordinary shares • Watawala Plantations PLC’s (WATA) has proposed a share split of one ordinary share into five ordinary shares • Sunshine Holdings PLC has restructured its cons
Slide 4: Group Performance
Group Performance
Slide 5: Group at a Glance – 3QFY25
Group at a Glance – 3QFY25 Revenue Composition – 3QFY25 LKR 2.8bn LKR 1.8bn LKR 2.42 Other, 0.1% 7.5% YoY -3.0% YoY -14.8% YoY Agriculture EBIT Earnings EPS 6.3% 11.7% 21.1% 21.6% LKR 40.99 LKR 15.1bn -8.4 pts YoY -3.9 pts YoY +10.3% YoY Healthcare Gearing ROE NBV 31.1% 6.4% 57.2% 20.2% Consumer 8.3
Slide 6: Group – Performance Highlights
Group – Performance Highlights LKR mn 3QFY25 3QFY24 YoY % 2QFY25 QoQ % Revenue 15,134 14,221 6.4% 15,812 -4.3% EBIT 2,761 2,568 7.5% 2,557 8.0% EBIT margin 18.2% 18.1% 16.2% PAT 1,759 1,812 -3.0% 1,548 13.6% PAT margin 11.6% 12.7% 9.8% PATMI 1,193 1,400 -14.8% 1,234 -3.3% EPS (LKR) 2.42 2.84 -14.8%
Slide 7: Movement in Revenue & EBIT
Movement in Revenue & EBIT Revenue Movement [LKR Million] EBIT Movement [LKR Million] 1,453 6 15,134 410 (428) (118) 146 2,761 14,221 2,568 (62) (301) 3QFY24 Revenue Healthcare Consumer Brands Agriculture Other 3QFY25 Revenue 3QFY24 EBIT Healthcare Consumer Brands Agriculture Other 3QFY25 EBIT Reven
Slide 8: Healthcare
Healthcare
Slide 9: Sunshine Healthcare Lanka overview
Sunshine Healthcare Lanka (SHL) is Sri Lanka’s only fully integrated healthcare company encompassing the entire pharma value chain Government and Local market Manufacturing and R&D Revenue Split 3QFY25 Sri Lanka’s first facility for Respiratory Care Manufacturing Capsules Tablets Nasal Spray Devices
Slide 10: Healthcare Sector – Highlights
Healthcare Sector – Highlights Sector Highlights 8,569 8,650 7,563 Healthcare sector revenue for 3QFY25 increased by 20.2% YoY, 7,197 6,736 driven by topline growth in both the pharmaceutical agency and manufacturing segments This growth contributed to an improved EBIT margin of 19.8% for 1,587 1,71
Slide 11: Sunshine Pharmaceuticals – Performance Highlights
Sunshine Pharmaceuticals – Performance Highlights Business Highlights 5,385 The pharmaceutical segment’s revenue grew by 10.5% YoY, driven 4,033 4,055 4,033 3,649 by a volume growth of 17.5% YoY during the period During 3Q IQVIA, the market experienced a growth of 1.2% (2024 MAT%) 3QFY24 4QFY24 1QFY
Slide 12: Healthguard Distribution – Performance Highlights
Healthguard Distribution – Performance Highlights Business Highlights 5,021 5,130 The distribution segment’s revenue grew by 32.3% YoY, driven by a 3,876 4,045 4,062 significant volume growth of 17.9% YoY during the quarter All six distribution centers were fully functional during 3QFY25 3QFY24 4QFY
Slide 13: Sunshine Medical Devices – Performance Highlights
Sunshine Medical Devices – Performance Highlights Business Highlights 1,453 1,437 1,157 The medical devices segment saw a contraction of 1.1% YoY due to 1,045 1,067 the lack of one-off tender sales in 3QFY25 Excluding tender sales, the segment’s revenue grew 15.1% YoY (YTD) 3QFY24 4QFY24 1QFY25 2QFY
Slide 14: Lina Manufacturing – Performance Highlights
Lina Manufacturing – Performance Highlights Business Highlights 1,459 During the 3QFY25, pharmaceutical manufacturing business, 1,128 1,095 achieved a remarkable revenue growth of 88.8% YoY, driven by increased Metered Dose Inhaler (MDI) sales to Medical Supplies 773 Division (MSD) 607 To date, Lina
Slide 15: Healthguard Pharmacy – Performance Highlights
Healthguard Pharmacy – Performance Highlights Business Highlights 694 669 The retail segment, Healthguard Pharmacy, witnessed a 3.7% YoY 666 increase in revenue, fueled by improvements in both value and volume 629 626 Within retail, the pharmaceutical category recorded growth in both value and volum
Slide 16: Consumer Brands
Consumer Brands
Slide 17: Sunshine Consumer overview
Sunshine Consumer, Market leader in branded tea and sugar confectionery Brand Portfolio Tea Revenue Split 3QFY25 Largest branded tea company in Sri Lanka – 49% market share* *Peppercube Retail Measurement Survey Exports Catering to three distinct need and value segments, the Tea portfolio comprising
Slide 18: Consumer Sector – Highlights
Consumer Sector – Highlights Sector Highlights 5,136 5,056 4,609 4,708 The Consumer Brands sector, including both export and domestic 4,492 businesses, recorded a revenue decline of -8.3% YoY largely due to the reduced volumes in the confectionery segment and favorable tea prices last year EBIT marg
Slide 19: Tea – Performance Highlights
Tea – Performance Highlights Business Highlights 3,042 Revenue from the Branded Tea businesses declined 19.3% YoY to LKR 2,454 mn in 3QFY25, primarily due to the implementation of 2,260 2,242 2,429 2,454 VAT. However, on a QoQ basis, the segment recorded modest revenue growth of 1.0% YoY and a 1.9%
Slide 20: Confectionery – Performance Highlights
Confectionery – Performance Highlights Business Highlights 747 Revenue from the Confectionery businesses declined by 46.0% YoY, 589 due to a drop in sales volume during the period. 538 441 404 The Confectionery segment continued to face challenges due to weak consumer sentiment following VAT increas
Slide 21: Exports – Performance Highlights
Exports – Performance Highlights Business Highlights 2,038 The export business recorded a revenue growth of 37.4% YoY to 1,926 1,851 1,693 reach LKR 1,851mn 1,348 The export business continued to perform strongly, with the recovery in export volumes driven by increased demand from key clients 3QFY24
Slide 22: Agribusiness
Agribusiness
Slide 23: Watawala Plantations overview
Watawala Plantations PLC primarily engages in palm oil and dairy farming Palm Oil Revenue Split 3QFY25 A land extent of ~3,400 Ha under palm oil cultivation Dairy 17% The first in South Asia to receive RSPO certification for sustainable oil palm plantation Positioning – largest oil palm cultivator i
Slide 24: Agribusiness – Highlights
Agribusiness – Highlights Sector Highlights 2,193 2,065 The Agribusiness sector reported revenue of LKR 1.8 bn in 3QFY25, 1,885 1,838 1,767 reflecting a 6.3% YoY contraction, stemming from a 25.1% YoY contraction in the dairy business GP margin for 3QFY25 improved to 48.5% from 38.9% last year, 802
Slide 25: Palm Oil – Performance Highlights
Palm Oil – Performance Highlights Business Highlights 1,739 1,902 The palm oil segment maintained similar revenue levels compared to 1,485 1,472 1,468 last year, supported by marginal price increases despite a decline in sales volume The business achieved a net profit margin of 32.6% for the period
Slide 26: Dairy – Performance Highlights
Dairy – Performance Highlights Business Highlights 400 366 326 The dairy business recorded a revenue of LKR 299m cf. LKR 400m 291 299 in the same period last year During 3QFY25, topline and profitability were impacted by lower milk selling prices and a decline in milk sales volume 74 The farm had a
Slide 27: Q&A
Q&A
Slide 28: Appendix
Appendix
Slide 29: Sunshine Pharmaceuticals – Market Dynamics
Sunshine Pharmaceuticals – Market Dynamics During 3Q IQVIA, the market experienced a growth of 1.2% (2024 MAT%) 30% 27.9% 14% 25% 18.8% 18.3% 17.5% 17.5% 20% 13.1% 13.0% 13.0% 15% 13.1% 14.1% 13% 10.5% 10% 8.1% 4.9% 12.7% 5% 0% 13% 2QFY24 3QFY24 4QFY24 1QFY25 2QFY25 -5% -10% -9.9% -15% 12% Value Gro
Slide 30: Pharmaceuticals – Price Increase Index
Pharmaceuticals – Price Increase Index 1 90 3 70 181 181 181 181 181 181 1 80 365 3 60 362 362 1 70 3 50 1 60 3 40 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 152 1 50 336 3 30 325 326 322 323 324 1 40 3 20 322 321 319 313 1 30 3 10 309 1 20 306 304 304 3 00 301 301 302 2
Slide 31: Sunshine Medical Devices – Market Dynamics
Sunshine Medical Devices – Market Dynamics 91% 90% 89% 88% 88% 85% 88% 86% 86% 84% 82% 79% 80% 79% 77% 77% 77% 77% 70% 73% 1QFY24 2QFY24 3QFY24 4QFY24 1QFY25 2QFY25 3QFY25 Hospital Occupancy Lab Tests Operation Theaters Source – Management Information
Slide 32: Brand Value Market Share (%) – Tea
Brand Value Market Share (%) – Tea 100.0 16 18 16 17 16 17 19 90.0 22 20 23 24 23 23 26 26 28 28 30 27 27 27 28 28 27 32 80.0 6 5 6 6 5 8 9 10 8 8 9 9 9 70.0 9 9 6 6 6 5 5 8 7 6 6 7 60.0 39 45 48 47 45 50.0 46 47 49 49 46 46 46 45 47 45 45 47 48 48 49 49 40.0 45 46 44 45 30.0 20.0 39 32 31 31 32 28
Slide 33: Brand Value Market Share (%) – Confectionary
Brand Value Market Share (%) – Confectionary 100 90 23 23 23 24 23 22 22 22 22 22 22 22 22 26 80 70 19.0 18.5 18.3 21.0 21.0 22.0 21.0 21.0 20.7 20.7 20.5 19.5 22.0 20.3 Market Share % 60 50 40 38.0 35.0 36.0 36.8 36.1 38 37 35 38 37 37 36.6 35 35 30 20 10 20 20 19 20 20.7 20.9 22.4 22.0 22.7 23.8 1
Slide 34: Price Index – Tea and Confectionary
Price Index – Tea and Confectionary Tea Price Index Confectionery Price Index 230 214 214 214 167 167 167 167 167 167 167 167 167 167 167 167 167 167 210 203 203 203 203 203 203 203 203 203 199 200 200 193 193 193 164 189 191 159 190 179 179 177 176 151 172 172 172 172 172 172 172 170 166 145 163 16
Slide 35: Agribusiness – Price Movement
Agribusiness – Price Movement Settlement Price (RM) WDL's Avg Milk Price (LKR) 5,500 270 5,001 5,000 260 261 4,500 250 MALAYSIAN RINGGITS – RM 4,000 240 3,500 3,648 230 228 3,000 220 2,500 210 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 December-23 February-24
Slide 36: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements that are based on management’s current expectations and assumptions. Forward-looking statements include predictions of future results or activities and may contain the words “expects,” “believes,” “should,” “will,” “ant
Slide 37: Thank you!
Thank you! For more information, Please visit our Investor Relations page https://www.sunshineholdings.lk/investor/financial-reports