Jubilant Pharmova Limited · NSE:JUBLPHARMA

Jubilant Pharmova — Jubilant Life Sciences — Investor Presentation (July 2017)

53 slides from Jubilant Pharmova's investor presentation, July 2017

  1. Slide 1: Intimation of Schedule of Investor/Analyst Meetings

    — JUBILANT LIFESCIENCES August 1, 2017 BSE Limited National Stock Exchange of India Limited Floor 25, P. J. Towers Exchange Plaza Dalal Street, Bandra Kurla Complex Mumbai - 400 001 Bandra (E) Mumbai - 400 051 Dear Sirs, Sub.: Intimation of Schedule of Investor/Analyst meetings on August 2, 3 and 4,

  2. Slide 2: Investor/Analyst meetings scheduled on 2nd, 3rd, and 4th August, 2017

    Investor/Analyst meetings scheduled on 2nd, 3rd, and 4th August, 2017 S. Meeting Date Type of Meeting Name of fund/firm Location No 1. Mirae AMC 2. SBI Life One on One 3. Reliance Life 4. Kotak MF Wednesday 2nd 1. 5. Exide Life Mumbai August 2017 6. Union KBC 7. Future Generali Group Meeting 8. Finv

  3. Slide 3: Jubilant Life Sciences Limited July 2017

    Jubilant Life Sciences Limited July 2017

  4. Slide 4: Disclaimer

    Disclaimer Important Disclaimer This presentation (the “Presentation”, or the “document”) has been prepared by Jubilant Life Sciences Limited (the “Company”) for the recipient for the purpose of providing information on the Company. The contents of this Presentation are confidential and strictly for

  5. Slide 5: Jubilant Life Sciences At a Glance

    Jubilant Life Sciences At a Glance Revenue (INR bn)  Global integrated pharma and life sciences solutions provider with a track record of 39 years 70.0 1.8 1.2 1.3 1.8 60.0 50.0  Strategic presence in lnjectables with USFDA approved 40.0 25.6 Manufacturing facilities in North America 25.4 28.9 31.

  6. Slide 6: Jubilant Life Sciences Overview

    Jubilant Life Sciences Overview Pharmaceuticals Life Science Ingredients Specialty Pharmaceuticals - Injectables  Radiopharmaceuticals Specialty Intermediates and Nutritional  CMO of Sterile Injectables Products  Allergy Therapy Products Drug Discovery Solutions Generics  Solid Dosage Formulatio

  7. Slide 7: Key Credit Strengths

    Key Credit Strengths 1 Global Competitive Edge Due to Low Cost and Vertical Integration 2 Strong Leadership in Key Products and Markets 3 De-risked Business Model With Diverse Sources of Revenue 4 Strong Pipeline of Products with Deep R&D Capabilities 5 High-Quality, World –Class, Low Cost Manufactu

  8. Slide 8: Global Competitive Edge Due to Low Cost and Vertical Integration

    Global Competitive Edge Due to Low Cost and Vertical 1 Integration Vertical integration across the value chain enables cost competitive advantage resulting in higher margins Pharmaceuticals Life Sciences Ingredients 1 2 3 4  Presence across the spectrum offering products/services and Fine Crop Anim

  9. Slide 9: Leadership Position in Key Products

    2 Leadership Position in Key Products… Pharmaceuticals Specialty  Leader in Radiopharmaceutical products such as MAA, DTPA and I-131 Pharmaceuticals -  Ranked in top 5 Contract Manufacturers in North America for sterile injectables Injectables  Leading supplier in North America for Allergy Therap

  10. Slide 10: Strong Position in Radiopharma & Allergy Therapy Products

    …With Strong Position in Radiopharma & Allergy Therapy 2 Products Business Radiopharmaceuticals  Wide array of therapeutic and diagnostic products, with market leadership and limited competition across key products in North America  Demonstrated strong growth in Radiopharmaceuticals business • Fut

  11. Slide 11: De-risked Business Model With Diverse Sources of Revenue

    De-risked Business Model With Diverse Sources of 3 Revenue De-risked business model FY17 Revenue Mix by Segment FY17 Revenue Contribution of Top 10 Customers  Presence in niche Specialty businesses that have high Drug Discovery Solutions Specialty Top 10 barriers to entry 3% Specilaty Pharmaceutic

  12. Slide 12: Strong Pipeline of Products With Deep R&D Capabilities

    4 Strong Pipeline of Products With Deep R&D Capabilities  Strong R&D capabilities demonstrated by complex and niche product filings in formulations and API  Strong R&D support with a dedicated workforce of over 1000 R&D professionals 84 ANDAs filed + 3 ANDAs for dosage (sterile) 31 ANDAs pending (

  13. Slide 13: High-Quality, World-Class, Low Cost Manufacturing Footprint

    High-Quality, World-Class, Low Cost Manufacturing 5 Footprint Spokane, Washington, USA Roorkee, Uttarakhand  Contract manufacturing of Sterile  Generics manufacturing injectable and Allergy therapy Gajraula, Uttar Pradesh  Largest integrated facility of Specialty Intermediates and Samlaya, Gujara

  14. Slide 14: Experienced Management team with high standards of corporate governance

    Experienced Management team with high standards of 6 corporate governance Shyam S Bhartia Hari S Bhartia Chairman Co-Chairman & Managing Director 37 industry years in pharma, specialty 32 industry years in pharma, specialty chemicals, foods, oil and gas, aerospace chemicals, foods, oil and gas, aero

  15. Slide 15: Performance Back on Track With Business Related Concerns Resolved

    Performance Back on Track With Business Related Concerns Resolved Robust Growth in Jubilant Life Sciences’ EBITDA… Successful Resolution of Warning Letters at Montreal and Spokane 26% 24% 23% 19% 22% Montreal CMO Facility 3,724 3,289 3,276 3,453 3,369 3,444  In Feb 2013, Jubilant’s manufacturing fa

  16. Slide 16: Pharmaceuticals Segment

    VW jusianr Pharmaceuticals Segment LIFESCIENCES 14

  17. Slide 17: Overview

    Overview Specialty Pharmaceuticals - Injectables Generics 1  One of the leading US player developing, 1  US focused formulations player with a manufacturing and marketing radiopharmaceutical growing presence in Japan, Australia and products emerging markets Radio  Leadership position in some of t

  18. Slide 18: Value Creation in Pharmaceutical Businesses

    Value Creation in Pharmaceutical Businesses Revenue 1,997 8,950 15,458 27,277 31,167 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2003 2005 2007 2008 2009 2011 2014  Acquired API  Acquired  Acquired Hollister Stier  Acquired Draxis (a  Commissioned  Commissio

  19. Slide 19: Overview

    Overview Pharmaceuticals Revenue (INR m) Specialty Pharma (Sterile Products) Generics Radiopharmaceuticals: North America Solid Dosage Formulations: Strong pipeline market leadership in nuclear imaging of 84 ANDAs filed and 31 ANDAs pending 28,850 31,167 products approvals as on June 30, 2017 Con

  20. Slide 20: Pharma business has shown Strong Profitability

    Pharma business has shown Strong Profitability EBITDA margin increasing from 30.9% in FY 2016 to 31.3% in FY 2017 Generics Specialty Pharmaceuticals (Sterile Products) EBITDA Margin (%) 16.6% 30.9% 31.3% 30.8% Revenue (INRmm) 25,251 25,586 28,850 8,180 16558 14861 11597 13,989 13,989 14,609 4688 3,4

  21. Slide 21: Unique US led business model

    We have a unique US led business model which makes us standout amongst Indian pharma companies Strength in North America Diversified Low Risk Business Model ~70% Revenues from US and Canada • Market leadership in stable, niche • Leadership positions in products specialty segments with high entry acr

  22. Slide 22: Key Growth Drivers

    Key Growth Drivers New launches including differentiated products in niche businesses Strong order book in CMO business – expect good ramp up of operations and higher capacity utilization in the coming quarters Target deeper penetration in North America and accelerating growth to become a leading

  23. Slide 23: Life Science Ingredients

    VW jusianr Life Science Ingredients LIFESCIENCES 21

  24. Slide 24: Overview

    Overview Life Sciences Ingredients Revenue (INR m) Speciality Intermediates & Nutritional Products Life Sciences Chemicals  Specialty Intermediates  Leadership in domestic market and significant global 28,824 Global leadership in Pyridines, Picolines and presence 27,076 derivatives  Key products

  25. Slide 25: Life Sciences Ingredients Key Growth Drivers

    Key Growth Drivers Conversion of existing product specific plants to multi-purpose plants to meet enhanced customer demand requirements New Product launches in Specialty Intermediate plants Specialty Intermediates and Increased supply of Life Sciences intermediates for Pharma related applications

  26. Slide 26: Financial Overview

    W jusuanr Financial Overview LIFESCIENCES 24

  27. Slide 27: Financial Overview

    Financial Overview Revenue (INR m) EBITDA (INR m) & EBITDA Margin Capex (INR m) 60,063 58,034 58,262 58,933 13,702 2,904 12,603 23% 21% 2,497 10,266 2,209 1,809 18% 7,317 13% 981 15,960 3,444 22% FY14 FY15 FY16 FY17 Q1'FY18 FY14 FY15 FY16 FY17 Q1'FY18 FY14 FY15 FY16 FY17 Q1'FY18 EBITDA EBITDA Margin

  28. Slide 28: Pharma Business: Overview

    Pharma Business: Overview Revenue (INR m) Revenue by Segment (FY17) Revenue by Geography (FY17) ROW India 31,167 10% 6% 28,850 27,277 26,820 Specialty Europe & Pharmaceuticals Japan - Injectables 15% 53% Generics 47% 8,180 USA & Canada FY14 FY15 FY16 FY17 Q1'FY18 69% EBITDA (INR m) % of Total EBITDA

  29. Slide 29: Life Sciences Ingredients: Overview

    Life Sciences Ingredients: Overview Revenue (INR m) Revenue by Segment (FY17) Revenue by Geography (FY17) China & ROW 30,757 31,442 13% 28,824 27,076 Specialty Ingredients & Nutritional Products 52% India 58% 7,369 Life Sciences Chemicals Europe, North 48% America & Japan 29% FY14 FY15 FY16 FY17 Q1'

  30. Slide 30: Strong Balance Sheet

    Strong Balance Sheet Debt Overview (INR m) Debt Breakdown by Currency – As on 30th June, 2017 47,904 45,344 INR 43,926 43,961 41,900 40,845 33% 39,131 39,040 36,248 35,009 US$ & Other Currencies 67% Mar-14 Mar-15 Mar-16 Mar-17 Jun-17 Gross Debt Net Debt Net Debt / EBITDA • Reorganized debt portfolio

  31. Slide 31: Q1'FY18 Results Analysis

    Q1’FY18 Results Analysis 29 29

  32. Slide 32: Income Statement – Q1'FY18

    Income Statement – Q1’FY18 Particulars Q1'FY17 Q4'FY17 Q1'FY18 YoY Growth (Rs Crs) (%) Total Revenue from Operations 1,454 1,641 1,596 10% Pharmaceuticals 755 808 818 8% Life Science Ingredients 650 782 737 13% Drug Discovery Solutions 50 51 41 -17% Total Expenditure 1,086 1,336 1,258 16% Other Inco

  33. Slide 33: Financial Highlights – Q1'FY18

    Financial Highlights – Q1’FY18 • Consolidated revenue at Rs. 1,596 Crore; up 10% YoY • Pharmaceuticals revenue at record Rs. 818 Crore, contributing 51% to the revenues, up 8% YoY • Life Science Ingredients revenue at Rs. 737 Crore, contributing 46% to the revenues, up 13% YoY • Drug Discovery Solut

  34. Slide 34: Pharmaceuticals Segment Highlights – Q1'FY18

    Pharmaceuticals Segment Highlights – Q1’FY18 • Highest-ever Revenues of Rs. 818 Crore, up 8% YoY • Specialty Pharmaceuticals - Injectables revenues of Rs. 469 Crore reported robust growth of 16% YoY and 7% QoQ; contributing 57% to Pharma segment sales and 29% to Company revenue • Generics revenues a

  35. Slide 35: Pharmaceuticals Segment Highlights – Q1'FY18

    Pharmaceuticals Segment Highlights – Q1’FY18 Region-wise Revenue (Rs crs) Q1'FY17 Q4'FY17 Q1'FY18 Mix % YoY % QoQ % ROW 8.0% International 705 767 778 95% 10% 1% Europe & India Japan 4.9% North America 514 580 610 75% 19% 5% 12.5% Europe & Japan 106 130 102 12% -4% -21% ROW 85 57 65 8% -24% 14% Nort

  36. Slide 36: Portfolio of R&D products – Filings and Approvals

    Portfolio of R&D products – Filings and Approvals Product pipeline as on June 30, 2017 Dosage (Orals) Injectables Region Total Filings Approval Pending Total Filings Approval Pending US 84 53 31 12 9 3 Canada 22 21 1 13 13 0 Europe 101 94 7 10 10 0 ROW 650 474 176 44 40 4 Total 857 642 215 79 72 7 W

  37. Slide 37: Filings and Approvals

    Filings and Approvals Dosage (Orals)  Filed 84 ANDAs in the US i. 53 ANDAs have been approved and 31 ANDAs are pending approval ii. Filed 2 ANDAs in FY 18  Made 773 filings in ROW markets including Canada, Europe and Japan i. 589 filings have been approved and 184 filings are pending approval  In

  38. Slide 38: Regulatory Status

    Regulatory Status Regulatory Cadista Roorkee CMO / Allergy CMO JDI Montreal Nanjangud Agency USA India Spokane Montreal Canada India • All sites successfully inspected and fully compliant with USFDA Mar 2017 Mar 2017 Nov 2016 Dec 2016 Dec 2016 Oct 2015 regulations (USA) • Use the experience from Sep

  39. Slide 39: LSI Segment Highlights – Q1'FY18

    LSI Segment Highlights – Q1’FY18 Region-wise Revenue (Rs crs) Q1'FY17 Q4'FY17 Q1'FY18 Mix % YoY % QoQ % ROW International 296 335 312 42% 6% -7% 14.7% Europe, North America and Japan 209 227 204 28% -3% -10% Europe, India North 57.6% ROW 87 108 108 15% 25% 0% America and Japan India 354 447 425 58%

  40. Slide 40: Drug Discovery Solutions Segment Highlights – Q1'FY18

    Drug Discovery Solutions Segment Highlights – Q1’FY18 Region-wise Revenue (Rs crs) Q1'FY17 Q4'FY17 Q1'FY18 Mix % YoY % QoQ % ROW International 49 49 41 99% -17% -16% 1.5% Europe & India North America 37 37 30 72% -20% -20% Japan 1.0% 25.2% Europe & Japan 11 11 10 25% -8% -4% North America ROW 1 1 1

  41. Slide 41: Expenditure Analysis – Q1'FY18

    Expenditure Analysis – Q1’FY18 Expenses (Rs Crs) Q1'FY17 % of Sales Q1'FY18 % of Sales YoY Growth % Material Cost 464 32% 584 37% 26% Excise Duty on Sales 34 2% 40 2% 16% Power & Fuel Expense 81 6% 90 6% 12% Employee Benefits Expense 296 20% 310 19% 5% Other Expenses 211 14% 234 15% 11% Total Expens

  42. Slide 42: Annual Results Analysis

    Annual Results Analysis 40 40

  43. Slide 43: Income Statement – FY17

    Income Statement – FY17 Particulars FY16 FY17 YoY Growth (Rs Crs) (%) Total Income from Operations 5,893 6,006 2% Pharmaceuticals 2,885 3,117 8% Life Science Ingredients 2,882 2,708 -6% Drug Discovery Solutions 126 182 45% Total Expenditure 4,646 4,661 0% Other Income 13 25 86% EBITDA including Othe

  44. Slide 44: Financial Highlights – FY17

    Financial Highlights – FY17 • Highest ever consolidated revenue of Rs. 6,006 Crore • Pharmaceuticals revenue at Rs. 3,117 Crore, up 8% YoY, contributing 52% to the revenues led by 11% growth in Specialty Pharmaceuticals business • LSI revenue at Rs. 2,708 Crore, contributing 45% to the revenues, dec

  45. Slide 45: Segmental Revenue Analysis – FY17

    Segmental Revenue Analysis – FY 17 • Company reports highest-ever Revenue Revenue YoY revenue of Rs. 6,006 Crore Segmental Revenue Analysis (Rs. Crs.) Mix (%) Growth % • Volume increase of 5% FY16 FY17 • Pharmaceuticals segment reports Pharmaceuticals 2,885 3,117 52% 8% revenue of Rs 3,117 Crore, 8%

  46. Slide 46: Pharma Business Highlights – FY17

    Pharma Business Highlights – FY17 • Revenues of Rs. 3,117 Crores, up 8% YoY • Specialty Pharmaceuticals (Sterile Products) revenues grew 11% YoY led by growth in all key businesses; contributed 53% to segment sales as against 52% in FY16 • Generics revenues grew 4% YoY, led by strong growth in APIs

  47. Slide 47: Pharma Business Highlights – FY17

    Pharma Business Highlights – FY17 Geo-wise Revenue (Rs crs) FY16 FY17 Mix % YoY % ROW, 9.9% International 2,741 2,923 94% 7% India, 6.2% USA & Canada 2,058 2,150 69% 4% Europe & Europe & Japan 402 466 15% 16% Japan, 14.9% ROW 281 307 10% 9% India 144 194 6% 34% USA & Canada, 69.0% Income from Operat

  48. Slide 48: LSI Business Highlights – FY17

    LSI Business Highlights – FY17 Geo-wise Revenue (Rs crs) FY16 FY17 Mix % YoY % China and International 1,347 1,146 42% -15% ROW, 12.7% Europe, North America and Japan 914 802 30% -12% Europe, North India, China and ROW 433 343 13% -21% America and 57.7% India 1,536 1,562 58% 2% Japan, 29.6% Income f

  49. Slide 49: Drug Discovery Solutions Business Highlights – FY17

    Drug Discovery Solutions Business Highlights – FY17 • Revenues at Rs. 182 Crore, grew 45% YoY; Contributes 3% to total revenues • EBITDA at Rs. 26 Crore, including out-licensing income of US$ 2 Million; Up from Rs. 2 Crore in FY 2016 • Proprietary Drug Discovery  Out-licensing of family of patents

  50. Slide 50: Expenditure Analysis – FY17

    Expenditure Analysis – FY17 Expenses (Rs Crs) FY16 % of Sales FY17 % of Sales YoY Growth % Material Cost 2,117 36% 2,000 33% -6% Excise Duty on Sales 144 2% 145 2% 0% Power & Fuel Expense 367 6% 334 6% -9% Employee Benefits Expense 1,125 19% 1,231 20% 9% Other Expenses 893 15% 952 16% 7% Total Expen

  51. Slide 51: Debt Profile

    Debt Profile Particulars 31-Mar-17 30-Jun-17 Foreign Currency Loans ($ Mn) ($ Mn) Standalone 19 19 Subsidiaries 407 387 Total 426 405 Rupee Loans (Rs. Crs) (Rs. Crs) Standalone 1,241 1,161 Subsidiaries 82 127 Total 1,323 1,288 Gross Debt 4,084 3,904 Cash & Equivalent 460 403 Net Debt 3,625 3,501 Cha

  52. Slide 52: Outlook

    Outlook  We expect continued robust growth going forward, led by momentum in our Specialty Pharmaceuticals - Injectables and Life Science Ingredient business  In FY2018, improvement in revenues and profitability is expected • Specialty Pharmaceuticals - Injectables: • Existing business: Growth fro

  53. Slide 53: Our Vision & Promise

    Our Vision & Promise Visit Us: Web Site: www.jubl.com Jubilant Life Sciences Limited, 1-A, Sector 16-A, NOIDA- 201301 UP, India For Investors: Ravi Agrawal Anupam Jain Ph: +91-120-436 1002 Ph: +91-120-436 1021 E-mail: ravi_agrawal@jubl.com E-mail: anupam_jain@jubl.com 51

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