Hyphens Pharma International Ltd. · SGX:1J5
Hyphens Pharma International — Investor Presentation (September 2020)
36 slides from Hyphens Pharma International's investor presentation, Sep 3, 2020
Slide 1: SGX General Announcement: Corporate Presentation
9/3/2020 General Announcement::CORPORATE PRESENTATION GENERAL ANNOUNCEMENT::CORPORATE PRESENTATION Issuer & Securities Issuer/ Manager HYPHENS PHARMA INTERNATIONAL LIMITED Securities HYPHENS PHARMA INTL LIMITED - SG1EE4000006 - 1J5 Stapled Security No Announcement Details Announcement Title General
Slide 2: Hyphens Pharma International Limited
HYPHENS PHARMA INTERNATIONAL LIMITED Singapore’s Leading Specialty Pharma & Consumer Healthcare Group 3 Sep 2020
Slide 3: Disclaimer
DISCLAIMER This presentation has been prepared by Hyphens Pharma International Limited (the "Company" and, together with its subsidiaries, the "Group"). This content in this presentation is being furnished to you on a confidential basis and solely for your information and neither this presentation n
Slide 4: Introduction
INTRODUCTION Singapore's Leading Specialty Pharmaceutical and Consumer Healthcare Group g Hyphens
Slide 5: Company Snapshot
COMPANY SNAPSHOT 18 MAY LISTED ON 2018 THE SGX-CATALIST 3 CORE 2019 REVENUE 5 COUNTRIES BUSINESSES S$119 MILLION 250 EMPLOYEES 15 of Hyphens & Ocean Health products are sold every minute!
Slide 6: 20 Years of Exceptional Growth
20 YEARS OF EXCEPTIONAL GROWTH Sales revenue increased >12x since 1998 Sales ~ S$120m 2018 Sales < S$10m 2016 1998 2001 2004 2007 2011 Acquired Acquired Ocean Health Pan-Malayan Launched Acquired Ceradan®, Hyphens Pharma our first proprietary product
Slide 7: Our Regional Presence
OUR REGIONAL PRESENCE SINGAPORE 50.0% VIETNAM 35.2% Duty-Free Channels In China Bangladesh Hong Kong MALAYSIA 6.6% Oman Macau Myanmar Philippines Cambodia Vietnam Brunei OTHERS 8.2% Malaysia Singapore Indonesia Direct Presence, Marketing & Distribution Network Marketing & Distribution Network Based
Slide 8: Our Business Segments
OUR BUSINESS SEGMENTS Specialty Pharma Principals 51% Proprietary Brands 15% Medical Hypermart and Digital 34% Based on 1H2020 revenue
Slide 9: Specialty Pharma Principals
SPECIALTY PHARMA PRINCIPALS What We Do 1. We handle specialised products, under exclusive agreements with our principals, mainly from Europe. 2. We register and hold product licenses with local authorities. 3. We promote these products through medical representatives to specialists and GPs.
Slide 10: Our Specialty Pharma Products
OUR SPECIALTY PHARMA PRODUCTS Interventional Cardiology Neonatology Rheumatology (Biosensors Coronary Stents) Gastroenterology Otorhinolaryngology Allergy Contrast Media Ophthalmology Family Medicine Neuroscience & Psychiatry
Slide 11: Proprietary Brands
PROPRIETARY BRANDS What We Do 1. We are the product owner, and the world is our market. 2. We engage in product development. 3. We contract manufacture these products, which bear our trademarks.
Slide 12: Brands We Own
BRANDS WE OWN NO. 1 CLINICALLY WINNER TOP OF MIND BRAND PROVEN Superbrands By Private Photoaging Status Dermatologists* & Acne Scars since 2004 *IQVIA 2018 Q3 Survey on Top-of-Mind Awareness on 31 Private Dermatologists in Singapore
Slide 13: Atopic Dermatitis Treatment Market Size (USD)
ATOPIC DERMATITIS TREATMENT MARKET SIZE (USD) Market Report from Future Market Insights, 2017 Global: $5.8B Global: $24B ASEAN $596M ASEAN $210M
Slide 14: Medical Hypermart and Digital
MEDICAL HYPERMART AND DIGITAL What We Do 1. We are a wholesaler of pharmaceutical products and medical supplies. 2. We cater largely to private clinics and pharmacies. 3. We have > 3,000 customers and > 4,000 items in our inventory 4. We also have a B2B e-commerce platform that facilitates 24/7 orde
Slide 15: Medical Hypermart and Digital
MEDICAL HYPERMART AND DIGITAL 1st pharmaceutical wholesaler in Singapore to establish an online platform and capture new digital opportunities MORE THAN YEARS HERITAGE BRAND
Slide 16: Business Update for 1H2020
uu u w S @ U @ @ Singapore's Leading Specialty Pharmaceutical and Consumer Healthcare Group g Hyphens
Slide 17: Partnership with SUTL HK
PARTNERSHIP WITH SUTL HK Appointment of SUTL HK as exclusive distributor of Ocean Health® supplements In Hong Kong, Macau and Duty-Free Channels in China SUTL is a well-known FMCG distributor of globally renowned brands across 14 markets in Asia
Slide 18: Acquisition of CG210
ACQUISITION OF CG210® CG 210® is a globally renowned & patented topical botanical hair growth-promoting agent Hyphens has acquired the rights, titles and interests in the trademarks of CG 210® for Singapore & Malaysia New brand ownership adds to our Proprietary Brands business segment Inclus
Slide 19: Acquisition of CG210
ACQUISITION OF CG210® More than Manufactured in France 2 million units Hyphens will be promoting to have been sold medical professionals in worldwide Singapore & Malaysia, as well as in retail outlets in Malaysia CG 210® Women lotion, CG 210® Men lotion, CG 210® Forte Lotion, and CG4S Shampo
Slide 20: Patent pending in 13 other countries / regions
Patent pending in 13 other countries / regions
Slide 21: New Ceradan Launches
NEW CERADAN LAUNCHES Ceradan® Gentle Cleanser Ceradan® Hand Lotion Sanitiser
Slide 22: New Ocean Health Launches
NEW OCEAN HEALTH LAUNCHES Omega-3 + Vitamin D Iron Powder Omega-3 Liquid
Slide 23: Going Digital
GOING DIGITAL are now available on
Slide 24: Business Outlook
BUSINESS OUTLOOK Singapore's Leading Specialty Pharmaceutical and Consumer Healthcare Grou Hyphens 8 8 p
Slide 25: Our Strategic Focus
OUR STRATEGIC FOCUS ASEAN’s Leading Long-Term Goal Pharmaceuticals & Asia’s No. 1 Consumer Healthcare Skin Health Group Company
Slide 26: Investing for Growth
INVESTING FOR GROWTH 1 • Establishing a broader geographical footprint – Cementing leadership position in Singapore and deepening presence in ASEAN – Expanding international footprint in Asia, Middle East and Africa 2 • Investment in proprietary brands – Driving growth of skin health portfolio throu
Slide 27: Investing for Growth
INVESTING FOR GROWTH 3 • Strengthening specialty pharma portfolio – Launching new specialty pharma products in regional markets – Seeking licensing opportunities for new products 4 • Reinforcing medical hypermart and digital segment – Continue to leverage its broad network in the Singapore market –
Slide 28: Financial Highlights
FINANCIAL HIGHLIGHTS Singapore's Leading Specialty Pharmaceutical and Consumer Healthcare Grou Hyphens 8 8 p
Slide 29: Financial Performance
1 FINANCIAL PERFORMANCE Revenue (S$’m) Profit After Tax (S$’m) 6.5 6.1 112.7 120.9 119.4 101 5.4 78.3 5.1 5.2
Slide 30: Results in 1H2020
1.1 RESULTS IN 1H2020 Revenue (S$’m) Profit After Tax (S$’m) 61.6 56.0 Medical Hypermart & Digital 4.3 21.0 19.5 Proprietary Brands 3.1 9.2 7.0 Specialty Pharma Principals 29.5 31.4 1H2019 1H2020 1H2019 1H2020
Slide 31: Profit Margins
2 PROFIT MARGINS 36.0% 35.0% 34.0% 33.0% 32.0% 31.0% FY2017 FY2018 FY2019 1H2020 GP margin 32.8% 33.7% 35.7% 34.2% 10.0% 9.0% 8.0% 7.0% 6.0% 5.0% 4.0% FY2017 FY2018 FY2019 1H2020 Recurring EBITDA margin 7.2% 7.4% 8.5% 9.2% PBT margin 6.4% 5.8% 6.7% 8.4% PAT margin 5.4% 4.5% 5.5% 6.9%
Slide 32: Financial Position & Cash Flow
3 FINANCIAL POSITION & CASH FLOW S$’000 30 Jun 2020 31 Dec 2019 Total assets 86,481 80,131 Cash & cash equivalents 26,088 26,165 Total liabilities 38,735 36,055 Financial liabilities 818 300 Total equity 45,268 44,076 NAV per share (cents) 15.07 14.67 S$’000 1H2020 1H2019 Cashflow from operating act
Slide 33: Maintaining Dividend Policy
4 MAINTAINING DIVIDEND POLICY S$’000 Dividend Yield(a) Div / NP(b) FY2019 1 cent 2.4% 46.0% FY2018 0.55 cents 1.3% 30.5% (a) Yield is computed based on total dividends declared for the financial year divided by closing price of S$0.415 @ 31 Aug 2020. (b) At least 30% of Net Profits Attributable to S
Slide 34: Management Ownership
5 MANAGEMENT OWNERSHIP Public Float3, 22.0% Inomed Executive Holding¹, Director², 65.3% 12.7% ¹ Owned by Mr. Lim See Wah, CEO and Dr. Tan Kia King, Non-Executive Director ² Mr. Tan Chwee Choon, Executive Director 3 As at 31 Aug 2020
Slide 35: Research Coverage
RESEARCH COVERAGE Hyphens Pharma International Limited Date: 31 August 2020 Target Price: S$0.540, BUY (Maintained) (428.6%) HYP SP Price: $$0.420 (as at24 augest 2120) 38 oe on on ox on ow ‘i020 Nw2012 Feb ky 7020 A200 Sore ice uM ky cat dec eae? ae ed Mat Coptasaton SS12mion ‘cent rice sao Shes is
Slide 36: Hyphens Pharma International Limited contact details
Hyphens Pharma International Limited (SGX: 1J5) 16 Tai Seng Street, Level 4, Singapore 534138 www.hyphensgroup.com
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