Slide 1: First nine months results
2018 First nine months results CONFERENCE CALL – 30 OCTOBER 2018
Slide 2: First nine months 2018 highlights
First nine months 2018 highlights • Revenue € 1,013.3 million, up 5.1% • EBITDA € 380.1 million or 37.5% of sales, up 11.1% • Operating income (EBIT) € 337,0 million or 33.3% of sales, up 9,6% • Net income € 237,9 million or 23.5% of sales, up 8.2% • Net debt € 462.7 million, an increase of € 80.9 m
Slide 3: Main product sales
Main product sales Corporate products including drugs for rare diseases account for 68.1% of revenue (million Euro) 9 mos 2018 9 mos 2017 Change % Zanidip® (lercanidipine) 95.6 96.1 (0.5) Zanipress® (lercanidipine+enalapril) 46.1 53.7 (14.1) Urorec® (silodosin) 76.1 69.5 9.5 Livazo® (pitavastatin) 3
Slide 4: A diversified product portfolio
A diversified product portfolio Other corporate products 12.2% Seloken®/Logimax® 7.3% Drugs for rare diseases 16.1% Livazo® 3.4% Urorec® 7.5% Zanipress® 4.6% OTC 15.5% Zanidip® 9.4% Subsidiaries’ local product portfolios 20.4% Pharmaceutical chemicals 3.0% Ortoton® (methocarbamol) ‐ Germany 3% Other
Slide 5: Composition of revenue by geography
Composition of revenue by geography (million Euro) 9 mos 2018 9 mos 2017 Change % Italy 200.9 192.7 4.2 Germany 101.3 87.1 16.3 France 98.1 91.7 7.0 Russia, other CIS countries and Ukraine 75.1 79.3 (5.2) U.S.A. 75.1 83.4 (10.0) Spain 64.7 59.6 8.5 Turkey 57.6 65.4 (12.0) Portugal 31.0 30.1 2.9 Othe
Slide 6: Geographical breakdown of pharmaceutical revenue
Geographical breakdown of pharmaceutical revenue Other international sales 15.8% (sales to licensees, exports, sales in ROW) Italy 20.4% North Africa 3.2% Other W. Europe 4.4% Germany 10.3% Other CEE 5.0% Portugal 3.2% Turkey 5.9% France 10.0% Spain 6.6% Russia, other CIS U.S.A. 7.6% and Ukraine 7.6
Slide 7: First nine months 2018 results
First nine months 2018 results Further margin growth (million Euro) 9 mos 2018 9 mos 2017 Change % Revenue 1,013.3 963.8 5.1 Gross Profit 717.3 676.2 6.1 as % of revenue 70.8 70.2 SG&A Expenses 298.8 295.2 1.2 as % of revenue 29.5 30.6 R&D Expenses 79.4 72.1 10.1 as % of revenue 7.8 7.5 Other Income
Slide 8: First nine months 2018 results by operating segment
First nine months 2018 results Operating Segments Treatments for rare EBIT diseases 23.1% Revenue Treatments for rare diseases 16.1% Specialty & primary care 76.9% Treatments for rare diseases 21.9% EBITDA Specialty & primary care 83.9% Margin on sales: Specialty & primary Treatments for rare diseas
Slide 9: Net financial position
Net financial position (million Euro) 30 Sep 2018 31 Dec 2017 Change Cash and short‐term financial 235.2 302.1 (66.9) investments Bank overdrafts and short‐term loans (67.6) (16.6) (51.0) Loans – due within one year (59.5) (51.7) (7.8) Loans – due after one year (570.8) (615.6) 44.8 NET FINANCIAL PO
Slide 10: Financial projections
Financial projections 2018 targets ‐ Margins to continue to improve 2017 2018 (million Euro) Actual Targets Revenue 1,288.1 1,340 ‐ 1,350 EBITDA 454.7 490 ‐ 500 Operating income (EBIT) 406.5 430 ‐ 440 Net Income 288.8 310 ‐ 315 10
Slide 11: Company declarations, disclaimers and profile
Company declarations, disclaimers and profile DECLARATION BY THE MANAGER RESPONSIBLE FOR PREPARING THE COMPANY’S FINANCIAL REPORTS The manager responsible for preparing the company’s financial reports Fritz Squindo declares, pursuant to paragraph 2 of Article 154‐bis of the Consolidated Law on Finan