Galderma Group Ag · SIX:GALD
Galderma — FY 2024 Earnings Presentation
46 slides from Galderma's earnings presentation, Mar 6, 2025
Slide 1: FY 2024 financial results
FY 2024 financial results MARCH 06, 2025
Slide 2: Forward-looking statements
Forward-looking statements Certain statements in this Presentation are forward-looking statements. Forward-looking statements are statements that are not historical facts and may be identified by words such as "plans", "targets", "aims", " believes", "expects", "anticipates", "intends", "estimates",
Slide 3: Agenda and presenters
1. Highlights Flemming Ørnskov, M.D., MPH Chief Executive Officer 2. Performance update 3. Financial results & outlook Thomas Dittrich Chief Financial Officer 4. Q&A and final remarks 3
Slide 4: Highlights
GALDERMA EsT.1981 Highlights
Slide 5: Key financial highlights
Key financial highlights Record net sales, with growth widespread FY 2024 4,410 +9.3% across product categories & predominantly NET SALES M USD Constant currency1 year-on-year growth volume-based in International markets FY 2024 Core EBITDA improvements based on CORE 1,031 23.4% ongoing operating le
Slide 6: Dermatology category leader – 2024 select highlights
Dermatology category leader – 2024 select highlights Broadest portfolio with Global scale with omni-channel Market-leading leading science & innovation execution excellence education & services Launched differentiated innovation, with Double-digit growth in 9 out of 10 top Broad education, training,
Slide 7: Performance update
GALDERMA 2. Performance update
Slide 8: Continued strong growth momentum
Continued strong growth momentum Galderma net sales, in M USD 4,410 4,082 Constant currency growth +9.3% Reported growth +8.0% FY 2023 FY 2024 Growth predominantly driven by strong volume, complemented by positive mix 8
Slide 9: Injectable Aesthetics
Constant Net sales, in M USD currency growth Reported growth Injectable Aesthetics 2,299 +9.6% +8.0% 2,128 Neuro- 1,285 1,162 +11.8% +10.6% modulators Fillers & 966 1,014 +7.0% +5.0% Biostimulators FY 2023 FY 2024 9
Slide 10: Neuromodulators strong growth ahead of the market
Neuromodulators strong growth ahead of the market Continued market share gains globally & in top markets, outpacing the market Notable continued Strengthened Outperformed by 2x the share gains European leadership Latin American market Newly #1 in Southern Europe Relfydess (relabotulinumtoxinA1) to f
Slide 11: Fillers & Biostimulators growth driven by focused execution
Fillers & Biostimulators growth driven by focused execution and differentiated innovation Successful Brazil train-the- GAIN China training, on track New science and innovation to trainer ahead of launch to launch following approval in shape and expand the category activities 2024 in the mid- to long
Slide 12: Dermatological Skincare
Constant Net sales, in M USD currency growth Reported growth Dermatological Skincare 1,331 1,212 +10.7% +9.8% FY 2023 FY 2024 NB: Key brands, not exhaustive 12
Slide 13: Dermatological Skincare strong digital-first engagement
Dermatological Skincare strong digital-first engagement Important consumer reach via E-commerce the fastest growing Cetaphil China record advocacy campaigns channel Double-11 season performance Billions +34% >25% of consumers reached via social media Double-11 season 2024 year-on-year growth online
Slide 14: Cetaphil and Alastin well-positioned for ongoing penetration and expansion
Cetaphil and Alastin well-positioned for ongoing penetration and expansion Uplifting refreshed brands with digital-first Leveraging the full Galderma portfolio activation & science-based innovation across & within markets U.S.: market share gains and the fastest growing of the top 5 professional U.S
Slide 15: Therapeutic Dermatology
Constant Net sales, in M USD currency growth Reported growth Therapeutic Dermatology 780 +6.1% +5.1% 742 757 23 FY 2023 FY 2024 NB: Key brands, not exhaustive 15
Slide 16: Nemluvio (nemolizumab) strong U.S. start
Nemluvio (nemolizumab) strong U.S. start Prurigo nodularis (PN) Atopic dermatitis (AD) Trending at ~30% paid NBRx (new patient starts) market share1 Strong launch trajectory, also compared to recent entrants • Strong uptake with healthcare professionals • Continuing phased investments in salesforce
Slide 17: Nemolizumab expansion in new markets and patient groups
Nemolizumab expansion in new markets and patient groups Market approvals Filing acceptances Prurigo nodularis & atopic dermatitis1 New patient • New age groups, such as pediatrics in atopic dermatitis groups • New indications – more details to come in 2025 (mid- to long-term) 1. For prurigo nodulari
Slide 18: Strong momentum in International
Constant Net sales, in M USD currency growth Reported growth 4,410 Strong 4,082 momentum in International International 2,271 2,600 +16.9% +14.5% markets US 1,811 1,810 -0.0% -0.0% FY 2023 FY 2024 18
Slide 19: India 2024: Consecutive year of robust growth
India 2024: Consecutive year of robust growth >100 M USD >2x Leading net sales in 2024 market growth in each Dermatology advocacy with double-digit growth product category externally & internally Building on a leading Dermatological Skincare position #1 #1 #1 recommended brand most trusted skincare
Slide 20: Financial results & outlook
3. Financial results & outlook
Slide 21: Record financial performance in FY 2024
Record financial performance in FY 2024 FY 2024 top-line FY 2024 bottom-line FY 2024 cash & balance sheet 4,410 M USD 1,031 M USD 2.3x Net sales Core EBITDA Leverage2 +9.3% +12.9% Constant currency growth Constant currency growth +8.0% 23.4%1 Reported growth Core EBITDA margin 1. Core EBITDA margin
Slide 22: Core EBITDA margin improvement
Core EBITDA margin improvement In M USD Constant currency FY 2023 FY 2024 Reported growth growth Net sales 4,082 4,410 +8.0% +9.3% Core Gross Profit 3,089 3,290 +6.5% As % of net sales 75.7% 74.6% -110bps Core EBITDA 942 1,031 +9.5% +12.9% As % of net sales 23.1% 23.4% +30bps +50bps1 Core Net Income
Slide 23: Continued improvement in underlying profitability while investing in nemolizumab
Continued improvement in underlying profitability while investing in nemolizumab Core EBITDA margin evolution ILLUSTRATIVE ONLY – BAR SIZE NOT AT SCALE Core EBITDA margin 24.9% 27.0% 28.5% excl. nemolizumab costs1: Nemolizumab FY costs: Nemolizumab FY costs: 226 M USD 159 M USD Nemolizumab FY costs:
Slide 24: Cash generation allowing for debt repayments
Cash generation allowing for debt repayments In M USD -365 853 -326 -72 457 368 Cash Cash generated Interests Capex and Financing cash Cash 01 Jan 2024 from operations1 and taxes2 milestones3 flow and FX4 31 Dec 2024 +1,031 Core EBITDA5 -185 H1 interests -147 Core Capex +237 net IPO investments proc
Slide 25: Leverage reduced to 2.3x at December 31st 2024
Leverage reduced to 2.3x at December 31st 2024 Net debt1, in M USD, and leverage ratio -2,277 4,633 Including 108 M USD milestone Including 68 M USD -1,864 & earn-out payments milestone payments 2,769 2,589 -360 180 2,356 -394 146 15 Jan 01 IPO net At IPO Net cash Investing Jun 30 Net cash Investing
Slide 26: Focused capital allocation
Focused capital allocation Priorities 2024 key achievements 1. Organic Investing behind the growth momentum Continued strong sales growth trajectory growth of the current business Progressed on deleveraging, with leverage 2. Deleveraging Cash generation allowing for debt repayment, mid-term leverage
Slide 27: 2025 guidance
2025 guidance Group Net sales +10-12% Growth in Constant Currency Core EBITDA margin Approximately 23% Core EBITDA margin at Constant Currency 27
Slide 28: Phased net sales growth evolution expected in 2025
Phased net sales growth evolution expected in 2025 ILLUSTRATIVE ONLY – BAR SIZE NOT AT SCALE Cumulative YoY CC growth % Quarterly Net Sales value 12 1,500 +10-12% 10 8 1,000 6 500 4 2 0 Q1 Q2 Q3 Q4 Subdued Q1 year-on-year growth Key full year catalysts • High Q1 2024 base of +12% YoY CC growth • Inn
Slide 29: Core EBITDA expected to accelerate in H2 2025
Core EBITDA expected to accelerate in H2 2025 in a year of peak adverse P&L impact from nemolizumab investments ILLUSTRATIVE ONLY – BAR SIZE NOT AT SCALE Core EBITDA CC margin Core EBITDA 26 1,500 24 Approx. 23% 22 1,000 18 16 500 14 12 0 H1 H2 FY H1 Core EBTIDA phasing to be impacted by H2 Nemluvio
Slide 30: Reconfirming mid-term guidance
Reconfirming mid-term guidance Mid-term guidance, 2023-2027E CC CAGR 2019-2023 CC CAGR ‘Teens’ defined as numbers greater than 10% and lower than 20% 11.9% ‘Low to mid-teens1’ CAGR Group Net Sales excl. nemolizumab incl. nemolizumab Injectable Aesthetics 19.0% ‘Low to mid-teens1’ CAGR Topline Dermat
Slide 31: Q&A and final remarks
Closing Q&A and final remarks
Slide 32: Strong growth momentum in 2024 across product categories
Strong growth momentum in 2024 across product categories, driven by Galderma’s unique integrated dermatology strategy Record net sales of 4.410 B USD for the full year, growing +9.3% at constant currency, predominantly driven by volume in International markets Full year Core EBITDA surpassing 1 B US
Slide 33: Galderma
GALDERMA EST. 1981
Slide 34: Appendix
Appendix NANANANANASNANANANA NINA NAN ISNA NANA NI NSN NIN LN\ANASNASNSNANANANANI NANA NIA NANA NINN IANS NANI SN NANANASANSANANANANANIA NINA NANA NANA NANA NIA NANI NG YNANASNASNSNASNANANIANS NANA NANA NIANIS NIA NSNANIANIN NANANANANANANANANA NANA NANA NANI NANI NANA NANI LNANASNASNSNANANANIANIANI
Slide 35: Basis of financial information
Basis of financial information Y • Galderma has one reportable segment for financial reporting purposes Disclosure • Galderma provides additional Net Sales disclosure on product categories (Injectable Aesthetics, Dermatological Skincare, Therapeutic Dermatology) • Galderma also provides additional N
Slide 36: Continued strong momentum in net sales growth
Continued strong momentum in net sales growth FY 2024 constant currency year-on-year growth DERMATOLOGICAL THERAPEUTIC INJECTABLE AESTHETICS SKINCARE DERMATOLOGY +9.6% +10.7% +6.1% +9.3% Volume as the primary FILLERS & growth driver NEUROMODULATORS BIOSTIMULATORS +11.7% +7.0% +16.9% International -0
Slide 37: Full year 2024 net sales by product category and geography
Full year 2024 net sales by product category and geography Net sales Year-on-year growth In M USD FY 2023 FY 2024 Constant currency Reported Group total 4,082 4,410 9.3% 8.0% By product category Injectable Aesthetics 2,128 2,299 9.6% 8.0% Neuromodulators 1,162 1,285 11.8% 10.6% Fillers & Biostimulat
Slide 38: Q4 2024 net sales by product category and geography
Q4 2024 net sales by product category and geography Net sales Year-on-year growth In M USD Q4 2023 Q4 2024 Constant currency Reported Group total 1,072 1,151 9.6% 7.3% By product category Injectable Aesthetics 576 601 6.9% 4.4% Neuromodulators 317 358 15.4% 12.9% Fillers & Biostimulators 259 243 -3.
Slide 39: Overview of FX exposure
Overview of FX exposure Net sales by currency (2024) Significant exchange rates, compared to the USD Predominantly Average rate FY 2024 Jan 31 2025 spot rate EUR, BRL, AUD USD and CNY CHF 1.136 1.098 43% Other 57% EUR 1.082 1.039 BRL 0.186 0.170 AUD 0.660 0.623 Cost transaction exposure by currency
Slide 40: Reconciliation of FY2024 Net income to Core EBITDA and Core net income
Reconciliation of FY2024 Net income to Core EBITDA and Core net income In M USD FY 2023 FY 2024 Core EBITDA 942 1,031 % margin 23.1% 23.4% Exceptional and transformation related adjustments (54) (60) Other income / (expenses) (75) (33) 1 Total EBITDA adjustments (130) (93) EBITDA 812 938 % margin 19
Slide 41: Reconciliation of reported to certain Core P&L items – FY 2024
Reconciliation of reported to certain Core P&L items – FY 2024 Exceptional and IFRS - as transformation In M USD reported related items Amortization Depreciation Core reporting % Net Sales1 Net Sales 4,410 - - - 4,410 Other revenue 30 - - - 30 Cost of goods sold (1,355) - 186 19 (1,150) Gross profit
Slide 42: Reconciliation of reported to Core CAPEX
Reconciliation of reported to Core CAPEX In M USD FY 2023 FY 2024 Expenditure on property, plant and equipment 121 128 Expenditure on intangible assets 32 147 Total capital expenditure 153 276 - Transformation-related investments (8) (3) - IP and operating rights acquisitions (2) (126) Core CAPEX 14
Slide 43: Reconciliation of 2024 Core EBITDA adjustments
Reconciliation of 2024 Core EBITDA adjustments In M USD FY 2023 FY 2024 Description Costs related to the multi-year Transformation program, which is expected to be largely completed in 2024. Transformation costs relate to third-party consulting fees and project management costs, for the multi-year P
Slide 44: FY 2024 Total Net Indebtedness
FY 2024 Total Net Indebtedness In M USD Dec 31 2023 Dec 31 2024 Total Indebtedness1 5,001 2,813 Cash and Cash Equivalents (368) (457) Total Net Indebtedness 4,633 2,356 1. Indebtedness includes financial debt and lease liabilities 44
Slide 45: Additional modelling metrics
Additional modelling metrics 2024 Actuals 2025 Mid-term Non-core 93 M USD ~ 50 M USD adjustments1 Effective tax rate2 25.5% 20 - 25% ~ 20% Core CAPEX 3.3% 3 - 4% of Net sales Low to mid-single digit as % of Net Sales Leverage 2.3x Targeting <2x for the mid-term Net financial 328 M USD ~ 210 - 220 M
Slide 46: For more information, please visit our website
For more information, please visit our website: Investors | Galderma For any questions, please reach out by email at: investors@galderma.com