Dr. Reddy's Laboratories Ltd. · NSE:DRREDDY
Dr. Reddy's Laboratories — Q3 FY2014 Earnings Presentation
16 slides from Dr. Reddy's Laboratories's earnings presentation, Feb 11, 2014
Slide 1: Press Meet Q3 - FY14
PRESS MEET Q3 - FY14 Dr. Reddy’s Laboratories Limited February 11, 2014 ©2014 Dr. Reddy's Laboratories Limited. All Rights Reserved.
Slide 2: Q3 FY14 Business Highlights
Q3 FY 14 Business Highlights PRESS MEET Q3 - FY14 Sales Gross Margin ` 3,534 Cr 23% 60.5% 42% YoYGr% to sales YoYGr% -- High margin product launches in US Highest during the year ever R&D quarterly EBITDA sales and profitability 8.4% 47% 28.4% 67% First time EBITDA to sales crossing to sales YoYGr%
Slide 3: Q3 FY14 Business Highlights: Country wise launches
Q3 FY 14 Business Highlights PRESS MEET Q3 - FY14 Country wise launches India 5 2 Russia & CIS 1 Europe 1 7 19 New product launches ©2014 Dr. Reddy's Laboratories Limited. All Rights Reserved. 3
Slide 4: Global Generics ₹2,940 Crs (Q3 FY14)
Global Generics `2,940 Crs.(Q3 FY14) PRESS MEET Q3 - FY14 Europe Emerging Markets US `186 Crs (-4%) `740 Crs (25%) `1,622 Crs (76%) India `391 Crs (5%) ©2014 Dr. Reddy's Laboratories Limited. All Rights Reserved. 4
Slide 5: Global Generics: US
Global Generics: US PRESS MEET Q3 - FY14 Revenues ` Crs Injectable biz Approx. 1/3rd of portfolio 76% 1,622 924 Q3 FY13 Q3 FY14 Injectable Oral Solids & Others Market Share – Key Products • Improving share in key products of – metoprolol, atorvastatin, omeprazole DR etc • Market share stabilization
Slide 6: Global Generics: Emerging Markets
Global Generics: Emerging Markets PRESS MEET Q3 - FY14 Revenues RUSSIA 25% ` Crs • Overall : YTD Dec gr@ 9.5% Vs market gr@ 5.0% (Growth Second fastest in OTC segment) (IMS) • OTC : @ 37% to revenues Q3 FY14 gr@ 46% 740 594 CIS • YoY growth of 45% • OTC revenues growth: 138% Q3 FY13 Q3 FY14 ` Crs
Slide 7: Global Generics: India
Global Generics: India PRESS MEET Q3 - FY14 Revenues ` Crs MQT Dec growth at 12.2% vs IPM gr@10% (As 5% per IMS). (4th in terms of growth among Top 20) Full quarter impact of pricing policy (NPPP) 372 391 Biosimilar revenues at Rs 26 Crs Dr. Reddy’s beating IPM both in MQT & MAT basis Q3 FY13 Q3 FY1
Slide 8: Pharmaceutical Services & Active Ingredients
Pharmaceutical Services & Active Ingredients PRESS MEET Q3 - FY14 Revenues ` Crs API • Decline on account of high base in previous year, as Q3FY13 had higher -29% contribution from new products • Lower volume off take by key customers and higher price erosion. 713 506 CPS Q3 FY13 Q3 FY14 Decline due
Slide 9: Research & Development
Research & Development PRESS MEET Q3 - FY14 ` Crs R&D investments likely to increase over the 350 11.0% coming years: 300 300 298 10.0% • Complex Generics: Injectable, Topical etc • Bio-similars 244 250 232 9.0% • Proprietary Products 202 8.9% 200 176 8.6% 8.4% 8.0% Strengthening 150 Clear technolog
Slide 10: Research & Development
Research & Development PRESS MEET Q3 - FY14 Chirotech Octoplus Technology Development Centre Technology Development Centre Cambridge, UK Leiden, Netherlands Development centre Integrated Product Development Centre Princeton, NJ, USA Hyderabad, India • Industry leading Chemistry skills • Building nic
Slide 11: Capital Investments (Cash flow)
Capital Investments (Cash flow) PRESS MEET Q3 - FY14 Major Investments: Capex ( Rs Cr) 250 238 • SEZ facility in Visakhapatnam [OSD & API] 200 186 194 • Cyto-toxic injectable facility – 168 Visakhapatnam 160 • Non-Cyto-toxic injectable facility – 153 150 Visakhapatnam 100 • Capability building aroun
Slide 12: Recognitions
Recognitions PRESS MEET Q3 - FY14 Hall of Fame Award 'Forbes 2013 Asia Fab 50 Best Company in an Padmabhushan Late Dr. K companies' List Emerging Market Anji Reddy was conferred Featured in the Forbes Asia Fab 50 Awarded the ‘Best Company in the Hall of Fame Award at list for 2013 at a special Forbe
Slide 13: Q&A Session
PRESS MEET Q3 - FY14 Q&A Session ©2014 Dr. Reddy's Laboratories Limited. All Rights Reserved.
Slide 14: P&L – Q3 FY14
P&L – Q3 FY14 PRESS MEET Q3 - FY14 ` Crs Particulars Q3 FY14 Q3 FY13 Gr% Revenue 3,534 2,865 23% Gross Profit 2,139 1,509 42% % to sales 60.5% 52.7% SG&A 1,044 857 22% % to sales 29.6% 29.9% R&D 298 203 47% % to sales 8.4% 7.1% EBITDA 1,005 603 67% % to sales 28.4% 21.1% PAT 618 378 64% % to sales 1
Slide 15: Key Balance Sheet Items
Key Balance Sheet Items PRESS MEET Q3 - FY14 ` Crs Particulars Dec’13 Sep’13 Cash, cash equivalents & current investments 3,120 2,720 Trade & Other receivables 3,481 3,329 Inventories 2,415 2,387 Property, plant & equipment 4,384 4,248 Loans & borrowings (current & non current) 4,928 4,920 Trade acc
Slide 16: Thank You
PRESS MEET Q3 - FY14 THANK YOU ©2014 Dr. Reddy's Laboratories Limited. All Rights Reserved.
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