Recordati S.p.a. · MIL:REC
Recordati — ING 2005 European Healthcare Conference
26 slides from Recordati's conference presentation, Dec 6, 2005
Slide 1: A European Specialty Pharmaceutical Company
A European Specialty Pharmaceutical Company ING 2005 European Healthcare Conference London, 6 December 2005
Slide 2: Company profile
Company profile • A fully integrated pharmaceutical company listed on the Italian Stock Exchange since 1984 • Original research focused on cardiovascular and urological fields • Direct operations in Italy, France, Germany, Greece, Spain and the UK covering a broad range of therapeutic areas • Propri
Slide 3: Breakdown of pharmaceutical revenue
Breakdown of pharmaceutical revenue Spain UK Germany 7% 1% International licensees 10% 19% Total revenue France Pharmaceuticals 22% 92% Italy 41% Data: First nine months 2005 Total revenue € 430 m Pharmaceutical Pharmaceutical revenue € 396 m chemicals 8% 2
Slide 4: Main products
Main products Breakdown of first nine months 2005 pharmaceutical sales (€ 396 m) Cidine Nitrocor Methadone (cinitapride) Isocef Tergynan (nitro.T.P.) (ceftibuten) Suplasyn Neo Codion (anti-infective) Exomuc Abufene (hyaluronic (codeine Claversal Lomexin (acetylcysteine) (β-alanine) ac.) cough mix.)
Slide 5: ZANIDIP (lercanidipine)
ZANIDIP® (lercanidipine) • Latest generation calcium-channel blocker. Lipophilic dihydropyridine. • Natural once a day. Potent, long-lasting vasodilatory activity. Highly vasoselective with gradual onset, smooth and uniform blood pressure lowering activity. • Efficacy as best in class. Significantly
Slide 6: Lercanidipine launch status
Lercanidipine launch status • Launched in 74 countries, approximately one third of world market for calcium channel blockers • Major European launches • 1998 Italy, Spain, UK • 2000 Germany • 2001 France • Approved in additional 21 countries • Filed for approval in additional 13 countries 5
Slide 7: % share of CCB market
Lercanidipine as a % of all calcium channel blockers Bubble size represents $ market value of CCB’s 20 France Germany % share of CCB market 15 Australia Italy Austria S.Korea 10 Spain Belgium 5 U.K. Holland 0 0 4 8 12 16 20 24 28 32 Source: IMS data - 3Q 2005 Quarters from launch 6
Slide 8: R&D pipeline
R&D pipeline Pre Phase II Filed for Discovery Phase I Phase III Clinical P.O.C. approval Zanipress® fentanyl patch prulifloxacin rupatadine silodosin stannsoporfin pitavastatin REC 0545 lercanidipine MR REC 2615 REC 0765 REC 0206 REC 0035 3 new projects Project S 7
Slide 9: ZANIPRESS
ZANIPRESS® • Lercanidipine-enalapril fixed combination for the treatment of hypertension • New aggressive targets for blood pressure control • Combination of drugs needed for most patients • Patient compliance • Fixed combinations will play a significant role in the future hypertension market • File
Slide 10: Lercanidipine life cycle management
Lercanidipine life cycle management • 20mg strength approved in Europe and other countries. Launched in 13 countries, roll-out continues • Modified release formulation under development with Forest Labs for the U.S. market • Agreements with LifeCycle Pharma and Eurand for the development of modified
Slide 11: Fentanyl transdermal patch
Fentanyl transdermal patch • Central-acting potent analgesic to treat moderate to severe chronic pain such as that experienced in cancer • Transdermal patch designed to deliver fentanyl through the skin for up to three days • Originator: Lavipharm • Market of reference: class N2A sales in the 5 majo
Slide 12: Rupatadine
Rupatadine • Latest generation systemic antihistamine indicated for the treatment of allergies • Originator: Uriach • Market of reference: class R6A sales in the 5 major EU pharma markets, approx. € 700 million. • Launched in Spain (Alergoliber®), further launches expected by 2007 11
Slide 13: Silodosin
Silodosin • Selective alpha-1A receptor antagonist indicated for the treatment of symptoms associated with benign prostatic hyperplasia • Benign prostatic hyperplasia increasing in frequency due to the progressive ageing of the population • Originator: Kissei • Market of reference: class G4C Europea
Slide 14: Stannsoporfin
Stannsoporfin • Inhibits the production of bilirubin in cases of hyperbilirubinemia of different origin. Under development by InfaCare for the treatment of neonatal hyperbilirubinemia (jaundice). • Severe hyperbilirubinemia, if untreated, can lead to severe brain damage. If approved, stannsoporfin c
Slide 15: Rec 0545
Rec 0545 • Rec 0545 is a potent and selective antagonist of the 5-HT1A serotoninergic receptor under study for the treatment of overactive bladder and incontinence • A completely new approach for controlling overactive bladder. Increases bladder volume capacity (or time between micturitions) without
Slide 16: Other urogenital programs
Other urogenital programs • Potent antagonists of the α1-adrenergic receptors, highly selective for the lower urogenital tract, were pioneered by Recordati and are potentially useful in the development of treatments for benign prostatic hyperplasia (BPH) • Two other potential biological targets for
Slide 17: First nine months 2005 operational highlights
First nine months 2005 operational highlights • Revenue up 18.3%, or 9.3% on a like-for-like basis • Pharmaceutical sales up 21.6%, or 11.7% on a like-for-like basis • International pharmaceutical sales up 41.3% • Lercanidipine sales up 21.4% • Operating income up 26.4% (before goodwill amortization
Slide 18: First nine months composition of revenue
First nine months composition of revenue (million euro) 2005 2004 Change % PHARMACEUTICALS 396.4 326.1 21.6% 92.2% 89.7% PHARMACEUTICAL 33.4 37.3 (10.8)% CHEMICALS 7.8% 10.3% TOTAL 429.8 363.4 18.3% 100.0% 100.0% ITALY 165.9 164.8 0.6% 38.6% 45.4% INTERNATIONAL 263.9 198.6 32.9% 61.4% 54.6% 17
Slide 19: Sources of growth
Sources of growth (% change, first nine months 2005 Volume Price Exchange Total over first nine months 2004) PHARMACEUTICALS 17.4% (5.6)% (0.1)% 11.7% like-for-like MERCKLE RECORDATI 100.0% 100.0% SOPHARTEX (100.0)% (100.0)% PHARMACEUTICAL (7.4)% (2.1)% (1.3)% (10.8)% CHEMICALS TOTAL CHANGE 23.7% (5
Slide 20: First nine months composition of pharmaceutical revenue
First nine months composition of pharmaceutical revenue (million euro) 2005 2004 Change % Italy 162.1 160.2 1.2% France 89.0 74.1 20.1% Germany 40.0 - n.a. Spain 26.7 18.0 48.3% United Kingdom 2.9 - n.a. International licensees 75.8 66.9 13.3% Sophartex * - 6.9 (100.0)% TOTAL PHARMACEUTICALS 396.4 3
Slide 21: First nine months lercanidipine sales
First nine months lercanidipine sales (million euro) 2005 2004 Change % Italy 32.3 28.9 11.7% France 21.7 16.8 30.0% Spain 4.6 3.6 27.0% United Kingdom 2.9 - n.a. DIRECT SALES 61.5 49.3 25.0% 58.3% 56.7% SALES TO LICENSEES 44.0 37.6 16.8% 11.6% 43.3% TOTAL LERCANIDIPINE 105.5 86.9 21.4% SALES 100.0%
Slide 22: First nine months results
First nine months results (million euro) 2005 2004* Change % Revenue 429.8 363.4 18.3% Gross Profit 276.6 226.3 22.2% as % of revenue 64.4% 62.3% Selling Expenses 144.5 118.0 22.4% as % of revenue 33.6% 32.5% R&D Expenses 31.6 26.8 as % of revenue 7.4% 7.4% 17.8% Operating Income 82.7 65.4 (before g
Slide 23: Capital employed
Capital employed (million euro) 30 September 2005 31 December 2004 21.1 72.1 Net working capital 72.3 for operations Net non-current 44.7 assets 303.3 265.0 Net cash 209.9 Shareholders’ 148.2 Equity (before hedging reserve of € -3.2 m end 2004 and € -3.8 m end September 2005) Capital employed: 192.9
Slide 24: Company strategy
Company strategy ¾ Confirm commitment to research and development in the urological and cardiovascular fields ¾ Acquire new product licenses ¾ Reinforce and expand geographical presence in Europe 23
Slide 25: Breakdown of the European pharmaceutical market
Breakdown of the European pharmaceutical market (EU 25 countries) Portugal Other EU Sweden Austria 1.9% 7.0% Greece 2.3% 1.9% Poland 2.5% Belgium 2.8% 3.0% Netherlands 3.2% Germany 20.8% Spain 9.3% U.K. 13.0% France 19.1% Italy 13.2% Source: IMS 2003 data 24
Slide 26: Forward-looking statements
Statements contained in this presentation, other than historical facts, are “forward- “forward-looking statements” (as such term is defined in the Private Securities Litigation Reform Act of 1995). 1995). These statements are based on currently available information, on current best estimates, and o