Dermapharm Holding Se · XETR:DMP
Dermapharm — H1 2023 Earnings Presentation
28 slides from Dermapharm's earnings presentation, Aug 29, 2023
Slide 1: Investors' and Analysts' Conference Call H1 2023
INVESTORS’ AND ANALYSTS’ CONFERENCE CALL H1 2023 Grünwald, 29 August 2023
Slide 2: Agenda
AGENDA H1 2023 1. Highlights H1 2023 2. Financial figures H1 2023 3. Outlook 2023 4. Q&A 2
Slide 3: Highlights H1 2023
1 Highlights H1 2023 awa
Slide 4: Highlights H1 2023
Highlights H1 2023 Successful first half of 2023 despite challenging market environment Continuous growth in branded pharmaceuticals Organic growth at the upper end of our projected range of between 3 and 5% especially from products in pain & inflammation, allergology and dermatology compensates for
Slide 5: Financial figures H1 2023
2 Financial figures H1 2023 ———— Fe =. ae Ny ee eee om ee
Slide 6: Dermapharm Group
Dermapharm Group Continuous growth with strong contribution by Arkopharma coupled with remarkable organic growth of the existing portfolio Total Revenue EBITDA1 Significant revenue growth of 23.6% to €m €m, adjusted €582.1m, driven by Arkopharma-Group (consolidated Jan 2023) +23.6% 31.6% YoY EBITD
Slide 7: Key drivers of revenue and adj. EBITDA development
Key drivers of revenue and adj. EBITDA development Arkopharma is the driver of revenue and EBITDA growth supported by organic growth of the existing portfolio Total Revenue EBITDA1 €m €m, adjusted +22 582.1 123.5 +113 471.1 -24 168.0 117,0 +9 148.7 194.7 +28 41.5 16.2 -17 77,8 560,1 447,1 263.9 163,
Slide 8: EBITDA adjustments
Dermapharm Group EBITDA adjustments €m H1 2022 H1 2023 PPA-effects 2.7 8.7 Arkopharma, (H1 2022: Cernelle, Candoro ethics (C³)) Acquisition costs 3.2 7.7 Arkopharma, Candoro ethics, Wellster, Montavit, (H1 2022: primarily Corat, Cernelle, Candoro ethics Deconsolidation - 7.2 fitvia, bellavia, mibe U
Slide 9: Segment definition from Q2 2023 onwards
Modified segment definition to enhance customer and sales focus and further increase transparency from Q2 2023 onwards Branded pharmaceuticals Other healthcare products Parallel import business Segment definition Branded pharmaceuticals and other Herbal extracts Parallel import business healthcare p
Slide 10: Modified segment definition: impact on revenue
Modified segment definition Impact on H1 2023 total revenue Total Revenue Until Q1 2023 From Q2 2023 onwards €m Parallel import business Parallel import business Herbal extracts Other healthcare products Branded pharmaceuticals & Branded pharmaceuticals other healthcare products 582.1 582.1 -4.0 127
Slide 11: Modified segment definition: impact on adjusted EBITDA
Modified segment definition Impact on H1 2023 adjusted EBITDA EBITDA1 Until Q1 2023 From Q2 2023 onwards €m, adjusted Parallel import business Parallel import business Herbal extracts Other healthcare products Branded pharmaceuticals & Branded pharmaceuticals other healthcare products Reconciliation
Slide 12: Branded pharmaceuticals
Branded pharmaceuticals Strong organic growth largely compensates for phasing-out of vaccine production; slightly lower profitability driven by exceptional labour cost increases Revenue EBITDA1 Only marginally lower revenues of €m €m, adjusted €263.9m (minus 4.5% over H1 2022), -4.5% 48.7% following
Slide 13: Other healthcare products
Other healthcare products Arkopharma driving revenue and margin trend; higher profitability is largely attributable to better GM partially offset by higher personnel expense ratio Revenue EBITDA1 Significant revenue growth by >100% to €m €m, adjusted €194.7m, driven by 150.3% 21.3% Initial consoli
Slide 14: Parallel import business
Parallel import business H1 2023 trading characterised by favourable market trends, albeit an increase in rebates to SHI companies, and organisational changes to facilitate the Candoro ethics relocation Revenue EBITDA Revenues increased organically by 5.6% €m €m, adjusted to €123.5m, driven by 5.6%
Slide 15: Earnings before tax (Group EBT)
Earnings before tax (Group EBT) negatively impacted by interest cost of the new syndicated loan Earnings before tax (EBT)1 Unadjusted EBT decrease by 23.3% to €m €66.9m translating to a margin of 11.5%, 18.5% the decline in profitability is attributable to EBT financial expenses increasing by Ma
Slide 16: Strong cash flows and cash conversion
Strong cash flows and cash conversion Favourable trend in operating CF translates to a cash conversion ratio of 52.4% of adj. EBITDA, up 3.8%points from H1 2022 Cash flow and cash conversion1 CF from operating activities mainly €m and in % of Group EBITDA influenced by 52.4% slower working capit
Slide 17: Balance Sheet of Dermapharm Group
Balance Sheet of Dermapharm Group Assets and liabilities impacted by the (financing of the) acquisition of Arkopharma; leverage ratio currently significantly below 3x (adj.) EBITDA Balance sheet as of 30 June 2023 Total assets increased to €2,114m €m (31 December 2022: €1,413m) Increase of non-c
Slide 18: Outlook 2023
é , Mi 3 Outlook 2023
Slide 19: Outlook 2023
Outlook 2023 The positive H1 2023 revenue and (adj.) EBITDA trading should translate to an outlook achievement in FY23 at the higher end of the range Management confirms the existing revenue and EBITDA outlook. The favourable trading development of Arkopharma and the strong organic growth of the
Slide 20: Montavit
Montavit A pioneer in catheter gels based in Absam, Austria Pioneer in catheter Focus on therapeutic areas Family- gels since 1971 Urology >90% market share owned Gynecology with “Cathejell” in Austria business Allergy therapy Herbal pharmaceuticals with own R&D and manufacturing capabilit
Slide 21: Backup
4 BACKUP Image: Günther Fotodesign 21
Slide 22: BACKUP – Segment reporting
BACKUP – Segment reporting Q1 2023 vs. Q1 2022 Branded Other healthcare Parallel import Reconciliation / Group pharmaceuticals products1 business Group holding company 3 months ended 31 March in EUR thousand 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 Revenue 153,003 136,354 108,229 40,326 66,
Slide 23: BACKUP – EBITDA adjustments
BACKUP – EBITDA adjustments Q1 2022 vs. Q1 2023 €m Q1 2022 Q1 2023 PPA-effects 0.7 -1 Q1 2022: Cernelle Acquisition costs 3.0 7.2 Q1 2023: Arkopharma Q1 2022: Candoro ethics (C³ Group) Severance payment 0.6 Arkopharma Total 3.7 7.8 1 PPA effect Arkopharma was not yet available in Q1 2023, first book
Slide 24: BACKUP - Modified segment definition Q1 2023
BACKUP - Modified segment definition Q1 2023 Impact on total revenue Modified definition Total Revenue Unti Q1 2023 from Q2 2023 onwards €m Parallel import business Parallel import business Herbal extracts Other healthcare products Branded pharmaceuticals & Branded pharmaceuticals other healthcare p
Slide 25: BACKUP - Modified segment definition
BACKUP - Modified segment definition Impact on adjusted EBITDA Modified definition EBITDA1 Unti Q1 2023 from Q2 2023 onwards €m, adjusted Parallel import business Parallel import business Herbal extracts Other healthcare products Branded pharmaceuticals & Branded pharmaceuticals other healthcare pro
Slide 26: Financial calendar
Financial calendar 2023 Annual Report 2022 CSR Report 2022 Analysts‘ and Half-year Investors‘ Call Annual General Financial Report Quarterly Statement FY 2022 Meeting 2023 as of 30 June 2023 as of 30 September 2023 2023 28 March 14 June 29 August 15 November 14 March 15 May 16 August 12 October 2024
Slide 27: Disclaimer
Disclaimer This publication includes statements, estimates, opinions and projections with respect to the anticipated future performance of Dermapharm Holding SE (together with its consolidated subsidiaries, “Dermapharm”) and such statements, estimates, opinions and projections (“Forward-Looking Stat
Slide 28: For information, please contact
For information, please contact Britta Hamberger Investor Relations & Corporate Communications Dermapharm Holding SE E-Mail: ir@dermapharm.com Phone: +49 (0) 89 641 86 233 Dermapharm FY 2021 28