Nippon Chemiphar Co., Ltd. · TSE:4539
Nippon Chemiphar — Q2 FY2019 Earnings Presentation
19 slides from Nippon Chemiphar's earnings presentation, Nov 12, 2019
Slide 1: Highlights of Second Quarter FY2019 Business Results
（TSE 4539） Highlights of Second Quarter FY2019 Business Results (Year ending March 31, 2020) 1
Slide 2: Contents
Contents I. Summary of Results ………………………… 3 II. FY2019 Forecasts ……………………………. 8 III. Management Strategy…………………………. 11 2
Slide 3: I. Summary of Results
I. Summary of Results 3
Slide 4: Sales, Income
Sales, Income (¥mn) 2Q FY2019 2Q FY2019 2Q FY2018 YOY (Forecast) % of % of Change Achieved Amount Sales Amount Sales Amount (%) Amount (%) Net sales 16,637 100.0 16,097 100.0 (539) (3.2) 17,000 94.7 Pharmaceuticals 16,235 97.6 15,745 97.8 (489) (3.0) ― ― Others 401 2.4 351 2.2 (49) (12.4) ― ― Cost o
Slide 5: Pharmaceutical Sales
Pharmaceutical Sales (¥mn) 2Q FY2018 2Q FY2019 Amount % of Sales Amount % of Sales YOY ( % ) Total（① + ②） 14,833 100.0 14,568 100.0 (1.8) ① Generics 14,020 94.5 13,878 95.3 (1.0) To medical institutions 13,535 13,403 (1.0) To other makers* 484 474 (2.0) Amlodipine 1,430 1,445 1.1 Lansoprazole 901 66
Slide 6: Balance Sheet
Balance Sheet (¥mn) March 31, September 30, 2019 2019 Change Components Cash, deposits 1,418 Notes, accounts receivable-trade (1,085) Current assets 28,668 29,693 1,025 Inventories 593 Buildings and structures (148) Non-current assets 18,256 17,627 (629) Investments in securities (101) Total assets
Slide 7: Cash Flow
i Cash Flow (¥mn) 2,000 947 i 1.000 L (1,000) 2.000) - ‘ ) 2Q FY2015 2Q FY2016 2Q FY2017 2Q FY2018 2Q FY2019 mem Operational cash flow Investment cash flow mam Financing cash flow =—®=Free cash flow he Chemiphar 7
Slide 8: II. FY2019 Forecasts
Ⅱ. FY2019 Forecasts 8
Slide 9: Revised Forecast
Revised Forecast (¥mn) FY2019 FY2018 Initial Revised Progress Rate Amount 2Q Amount Forecast* Forecast** (%) Net sales 34,182 16,097 34,200 33,200 48.5 Pharmaceuticals 29,798 14,568 29,550 28,550 51.0 Generics 28,238 13,878 28,050 27,150 51.1 Proprietary products and new drugs 1,560 690 1,500 1,400
Slide 10: Revised Pharmaceutical Sales Forecast
Revised Pharmaceutical Sales Forecast (¥mn) FY2019 2Q Revised Progress Rate ** Amount Forecast (%) Total （① + ②） 14,568 28,550 51.0 ① Generics 13,878 27,150 51.1 To medical institutions 13,403 26,230 51.1 To other makers* 474 920 51.6 Amlodipine 1,445 2,650 54.5 Lansoprazole 667 1,220 54.7 Donepezil
Slide 11: III. Management Strategy
III. Management Strategy 11
Slide 12: Three Plus 1 Principal Goals
Three Plus 1 Principal Goals We will establish an original business model by fulfilling our three plus 1 principal goals. We will also pursue growth and profitability by creating innovation through the achievement of each of these goals. Goal 1 Goal 2 Goal 3 Generics Hyperuricemia Drug discovery
Slide 13: Generic Drugs
Generic Drugs Strengthening the generic drugs supply chain • Convert development strategy to • Expanded production at the emphasize profitability. Vietnam factory. • Continued to switch to high- • Strengthened our contract quality and inexpensive APIs, business, which utilizes the discount purchase
Slide 14: Hyperuricemia and PICOPREP
Hyperuricemia and PICOPREP Activities for hyperuricemia (Urine alkalization) • Provided information concerning the importance of urine alkalization and urinary tract control, based on the third edition of the Guideline for the Management of Hyperuricemia and Gout. • Clinical research at Tohoku Unive
Slide 15: Drug discovery 1: Pipeline
Drug discovery 1: Pipeline In-house drug development Other companies or physician-initiated development As of September 2019 No. Function (Target) Preclinical Phase 1 Phase 2 Notes PPAR-δ agonist ・Finished Phase 1. NC-2400 (Lipid metabolism abnormalities) ・Licensed to Abionyx Pharma SA (France). XOR
Slide 16: Drug Discovery 2: Access to New Technologies
Drug Discovery 2: Access to New Technologies Create candidate compounds using AI (Artificial Intelligence) • In November 2018, we accepted a third-party allocation of shares from MOLCURE and signed a memorandum with MOLCURE agreeing to commence negotiations toward a business alliance between both co
Slide 17: Diagnostics 1: New Product
Diagnostics 1: New Product Drop Screen specific IgE measuring kit ST-1, an allergy screening kit, has been approved for manufacture and sale. Small-volume blood sampling • Sample volume 20 μL • Comfortable for small children by small samples extracted from patients’ fingertips. Measuring time • Meas
Slide 18: Diagnostics 2: New Product, Oversea Business
Diagnostics 2: New Product, Oversea Business Screenings for 41 allergens through fingertip blood samples. Inhaled and other allergens • Added 19 allergens such as mites, animals, insects, pollen dust and fungi based on testing order numbers and positivity rates. • Capable of wide-ranging screening,
Slide 19: For further information contact
For further information contact: Public Relations Department, Nippon Chemiphar Co., Ltd. E-mail: ir@chemiphar.co.jp Note about Forward-looking Statements and Forecasts Statements made in this Highlights of Business Results, with respect to current plans, estimates, strategies and beliefs, and other