Sartorius AG · XETR:SRT
Sartorius — Commerzbank German Mid Cap Day, London 2010
35 slides from Sartorius's conference presentation, May 18, 2010
Slide 1: Commerzbank German Mid Cap Day
Platzhalter Bild Commerzbank German Mid Cap Day London, May 18, 2010
Slide 2: Disclaimer
Disclaimer This presentation contains statements concerning the Sartorius Groups’ future performance. These statements are based on assumptions and estimates. Although we are convinced that these forward-looking statements are realistic, we cannot guarantee that they will actually materialize. This
Slide 3: Agenda
Agenda • Group Profile • Biotechnology Division Platzhalter Bild • Mechatronics Division • First-Quarter Results and Outlook 2010 • Appendix
Slide 4: Sartorius Runs Two Divisions
Sartorius Runs Two Divisions Biotechnology Division: Mechatronics Division: • Total solution provider for • Weighing and control equipment with biomanufacturing focus on food and pharma • Focus on single-use technology • Products and services for lab and industrial • Market-leading position in filtr
Slide 5: Agenda
Agenda • Group Profile • Biotechnology Division Platzhalter Bild • Mechatronics Division • First-Quarter Results and Outlook 2010 • Appendix
Slide 6: Total Solution Provider for the Biopharmaceutical Industry
Total Solution Provider for the Biopharmaceutical Industry • We help our customers to produce biopharmaceuticals in short time, reliably and safely, at low costs, and with high flexibility • Most complete product and service portfolio along the biotech industry’s process chain • Focus on single-use
Slide 7: Products and Solutions Along BioPharma's Process Chain
Products and Solutions Along BioPharma´s Process Chain Media Preparation Fermentation Cell Harvest | Buffer Prep. Vol. Reduction Service program: plant survey, optimization, validation, training Transfer | Capturing | Form & Fill Viral Clearance Storage Polishing Service program: plant survey, optim
Slide 8: Strong Trends Fuel Growth of Single-use Technologies
Strong Trends Fuel Growth of Single-use Technologies Global Trends • Aging population in western countries Pharma Market • Hundreds of million + • Average growth ~5% p.a. additional patients in developing economies • Diseases of civilization page 8
Slide 9: Sustainable Development of the Global Pharma Market
Sustainable Development of the Global Pharma Market In billions of US$ Size and Growth of the Global Pharma Market 975+ Strongest growth expected from the 4% to 7% “pharmerging markets*”: 800 - huge populations with rising disposable incomes, - changing mix of generic and 600 innovative products,
Slide 10: Strong Trends Fuel Growth of Single-use Technologies
Strong Trends Fuel Growth of Single-use Technologies Global Trends • Aging population in western countries Pharma Market • Hundreds of million + • Average growth ~5% p.a. additional patients in developing economies + Trends towards Biotech • Diseases of civilization • MAbs + vaccines dominate Biopha
Slide 11: Biopharma Increases its Portion of the Global Pharma Market
Biopharma Increases it’s Portion of the Global Pharma Market In billions of US$ Biotech Sales: top 10 Companies • Today, biotech within the pharma market Roche & Genentech represent approx. 17% of sales, this is Amgen supposed to increase to ca. 23% by 2014. Pfizer & Wyeth • Seven of the top 10 drug
Slide 12: Strong Trends Fuel Growth of Single-use Technologies
Strong Trends Fuel Growth of Single-use Technologies Global Trends • Aging population in western countries Pharma Market • Hundreds of million + • Average growth ~5% p.a. additional patients in developing economies + Trends towards Biotech • Diseases of civilization • MAbs + vaccines dominate Biopha
Slide 13: Increasing Pressure on (Bio)Manufacturing Costs
Increasing Pressure on (Bio)Manufacturing Costs* CoS by Category CoS by Unit Operation 12% 1% 3% 3% 3% 4% 7% 6% 48% 9% 25% 2% 44% 15% 8% 3% 7% Capital Charge 20L Seed Bioreactor Huge potential for 200L Seed Bioreactor Materials single-use techno- 2000L Production Bioreactor Consumables logies, espec
Slide 14: Single-use Technologies Will Become the Future Industry Standard
Single-use Technologies Will Become the Future Industry Standard + CAPEX reduction Market Penetration of Single-use Products in Potential Applications + Reduced cleaning costs | validation 100% + Downtime reduction, i.e. higher equipment utilization + Enhanced process performance = Reduction of life
Slide 15: Continuously High Number of New Product Launches
Continuously High Number of New Product Launches • Five additional systems of the new, flexible and mobile FlexAct series • New generations of filter cartridges, prefilters and capsules • Single-use bioreactor portfolio extended by large units with working volumes of up to 1,000 L and featuring diff
Slide 16: Agenda
Agenda • Group Profile • Biotechnology Division Platzhalter Bild • Mechatronics Division • First-Quarter Results and Outlook 2010 • Appendix
Slide 17: From a Weighing Equipment to an Application Specialist
From a Weighing Equipment to an Application Specialist • Increasing focus on monitoring and control of critical process parameters in the food and pharmaceutical industry • Build-up of a comprehensive product portfolio with process analytical technologies and software solutions • Fast and low-risk e
Slide 18: Future Integrated Quality and Process Control
Future Integrated Quality and Process Control Example: Food Industry Incoming goods Production Packaging Distribution Process control (SPS) Moisture Dosing Water content Recipe Ingredients Homogeneity Foreign particles Foreign particles Completeness of Moisture Filling quantity Weight Amount compone
Slide 19: Sustainable Growth Drivers for Inline Process Analytics
Sustainable Growth Drivers for Inline Process Analytics Example: Food Industry Higher proportion of processed foods Steadily increasing cost pressure • Convenience food • Growth in emerging markets • Functional food • Concentration of commercial operations Inline process analytical equipment Increas
Slide 20: Growing Demand for Inline Analytical Technologies
Growing Demand for Inline Analytical Technologies Process Analyzers in the Food Industry Shifting of quality control procedures from Temperature the laboratory the to production line pH Integration of weighing and control technology as well as data management Moisture into production processes W
Slide 21: A Sampling of New Sartorius Mechatronics Products in 2010
A Sampling of New Sartorius Mechatronics Products in 2010 Multiple filling system for liquids used in the (bio-)pharmaceutical industry Software for process control and for batch management in regulated processes Refractometers for determination of dissolved solids, such as the sugar content;
Slide 22: Agenda
Agenda • Group Profile • Biotechnology Division Platzhalter Bild • Mechatronics Division • First-Quarter Results and Outlook 2010 • Appendix
Slide 23: Sartorius Group's Performance in Q1|2010
Sartorius Group’s Performance in Q1|2010 In millions of €, unless otherwise specified Q1 | 2010 Q1 | 2009 Order Intake | Sales Revenue 167.2 | 150.4 157.0 | 146.0 Underlying* EBITA (Margin) 16.4 (10.9%) 10.9 (7.5%) Underlying* EPS** in € 0.41 0.14 Operating Cash Flow 11.9 14.9 * Excluding extraordin
Slide 24: Considerable Increase in Order Intake in Q1|2010
Considerable Increase in Order Intake in Q1|2010 In millions of € +6.5% 167.2 Currency-Adjusted Growth: 157.0 160 • Group: +7.6% 140 • Biotechnology: +6.7% 120 110.4 +5.8% • Mechatronics : +9.2% 100 104.4 Biotechnology: 80 • Significant increase in equipment business 60 • As expected, major equipmen
Slide 25: Revenue Growth Reported by Both Divisions in Q1|2010
Revenue Growth Reported by Both Divisions in Q1|2010 In millions of € 146.0 +3.0% 150.4 Currency-Adjusted Growth: 140 • Group: +4.1% 120 • Biotechnology: +4.8% +3.7% 100.1 100 • Mechatronics : +2.8% 96.6 80 • In both divisions, North America and Asia | 60 Pacific grew overproportionally 40 +1.8% 50.
Slide 26: Underlying EBITA in Q1|2010 approx. 50% above Previous Year's Figure
Underlying* EBITA in Q1| 2010 approx. 50% above Previous Year’s Figure In millions of € +50.4% 16.4 Underlying* EBITA Margin: 15 Group: 10.9% (prev. year: 7.5%) 10.9 Biotechnology: 14.6% (prev. year: 13.3%) 10 • Economies of scale contributed to the 14.6 +13.6% 14.6 increase in profit 5 12.8 Mechatr
Slide 27: Significant Increase of Underlying Earnings per Share
Significant Increase of Underlying Earnings per Share* In € • Underlying net profit after minority interest* 0,40 0.40 €6.9mn (prev. year: €2.4mn) 0,35 0.35 • Unadjusted net profit after minority interest +189.4% 0,30 0.30 €5.1mn (prev. year: €0.8mn) 0,25 0.25 0,20 0.20 0.41 0,15 0.15 0,10 0.10 0.14
Slide 28: Financial Key Figures on a Solid Level
Financial Key Figures on a Solid Level March 31, 2010 December 31, 2009 Equity Ratio 37.8% 38.9% Net Debt 234.0 224.7 In millions of € Gearing 0.7 0.7 Net Debt to Underlying* EBITDA 2.6 2.6 Interest Coverage 11.0 8.6 * Excluding extraordinary expenses page 28
Slide 29: Outlook for 2010 Confirmed on the Basis of Q1 Results
Outlook for 2010 Confirmed on the Basis of Q1 Results • Management expects currency-adjusted sales growth for the Biotechnology Division to reach the upper single-digit percentage range and the division’s operating EBITA margin to increase rather slightly. • For the Mechatronics Division, the compan
Slide 30: Agenda
Agenda • Group Profile • Biotechnology Division Platzhalter Bild • Mechatronics Division • First-Quarter Results and Outlook 2010 • Appendix
Slide 31: Market Position vs. Competition Biotechnology Division
Market Position vs. Competition Biotechnology Division Filters Bioreactors Fluid Membrane management chromatography Market size ~ €750mn ~ €300mn ~ €200mn ~ €100mn Market growth Double-digit Single to Double-digit Double-digit double-digit Market position Among the top 3 Market leader Market leader
Slide 32: Strong Global Presence
Strong Global Presence Sales Production | Production and Sales page 32
Slide 33: Facts about Sartorius Shares – Shareholding Structure
Facts about Sartorius Shares – Shareholding Structure Ordinary share Preference share 8,9 9 9 Administered by executor 50,1 Family owned 25 Bio-Rad Laboratories Inc. Free float 7 Own shares 91 ISIN Ordinary share: DE0007165607; preference share: DE0007165631 Market segment Prime Standard (technology
Slide 34: Financial Calendar
Financial Calendar • July 2010 Publication of first-half figures for 2010 • October 2010 Publication of nine-month figures for 2010 • November 22 – 24, 2010 Equity Forum Fall 2010, Frankfurt/Main page 34
Slide 35: Contacts
Contacts Andreas Wiederhold Henriette Meyer Team Leader Treasury & Investor Relations Treasury & Investor Relations Phone: +49.551.308.1668 Phone: +49.551.308.3232 Fax: +49.551.308.3153 Fax: +49.551.308.3153 E-mail: andreas.wiederhold@sartorius.com E-mail: henriette.meyer@sartorius.com Sartorius Cor
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