Hikma Pharmaceuticals PLC · LSE:HIK
Hikma Pharmaceuticals — Corporate Update (2006)
13 slides from Hikma Pharmaceuticals's corporate update, 2006
Slide 1: Branded Pharmaceuticals
BRANDED PHARMACEUTICALS Taghreed Shunnar Vice President, Branded
Slide 2: Disclaimer
z This document, which has been issued by Hikma Pharmaceuticals PLC (the “Company”), comprises the written materials/slides for a presentation. This document and its contents are confidential and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or publis
Slide 3: Our diversified and successful business model
Our diversified and successful business model Branded Generics Injectables Focus on Middle East and N. Focus on US market Sales in US, Europe & MENA Africa (MENA) 2005 revenue: $93 million 2005 revenue: $115 million 2005 revenue: $49 million H1 2006 revenue: $64 million H1 2006 revenue: $53.8 millio
Slide 4: Branded is now the largest contributor to Group sales
Branded is now the largest contributor to Group sales H1 2005 revenue by segment H1 2006 revenue by segment 41.3% 38.8% 16.9% 42.6% 34.8% 21.9% 1.6% 2.0% Generic Branded Injectable Other Generic Branded Injectable Other 3
Slide 5: Building a track record of strong growth
Building a track record of strong growth (US$ million) 100 2-yr CAGR: +32.3% 93.0 80 H1 06 vs H1 05: +25.1% 74.0 60 64.0 53.1 51.1 40 20 0 2003 2004 2005 51.1 H1 2005 H1 2006 4
Slide 6: Strong marketing capabilities in the MENA region
Strong marketing capabilities in the MENA region z 1 sales manager z 15 contract sales z 22 sales z 77 sales representatives representatives representatives z 99 sales representatives z 21 sales representatives z 84 sales z 9 sales Yemen representatives representatives z 7 sales z 25 sales z 2 sales
Slide 7: Increasing Branded market share across the region
Increasing Branded market share across the region JORDAN SAUDI ARABIA Market share (Rx Market share (Rx Market plus OTC) by Market plus OTC) by Company position sales (%) Company position sales (%) HIKMA 1 7.1 GLAXOSMITHKLINE 1 10.3 DAR AL DAWA 2 5.5 SPIMACO 2 7.4 APM 3 5.5 PFIZER 3 6.7 PFIZER 4 4.7
Slide 8: Growth drivers in the Saudi Arabian and GCC markets
Growth drivers in the Saudi Arabian and GCC markets z Large Population z Favourable demographic trends z Economic boom and growing per capita income z Expanding and improving healthcare infrastructure and medical expenditure z Heavy reliance on pharmaceutical imports due to still under-developed man
Slide 9: Favourable demographic trends and strong GDP growth
Favourable demographic trends and strong GDP growth Country Population Population growth GDP per capita GDP real growth (million) rate (%) (US$) rate (%) Saudi Arabia 27.0 2.2 13,100 6.0 Oman 3.1 3.3 13,500 5.6 Bahrain 0.7 1.5 23,100 5.9 Qatar 0.9 2.5 28,300 8.8 UAE 2.6 1.5 45,200 8.8 Kuwait 2.4 3.5
Slide 10: Increasing our focus on the GCC region
Increasing our focus on the GCC region Al Jezeera Pharmaceutical Industries (JPI) z Acquisition of remaining 52.5% stake in JPI completed in September z Cash consideration of $21.0 million JPI z Founded in 1994 and commenced commercial operations in 1999 z 390 employees, including 83 in sales and ma
Slide 11: Hikma and JPI - A strong combination
Hikma and JPI - A strong combination z Significant scope for synergies through integration of R&D, registration, sales and marketing z Increases capacity through better utilisation of JPIs manufacturing facilities and the subsequent redirection of capacity in Jordan z Faster product delivery to the
Slide 12: Maximising opportunities across the MENA region
Maximising opportunities across the MENA region Vice President Branded Managing Director of Operations Other Countries North Africa GCC 11
Slide 13: Financial highlights
Financial highlights Highlights Gross Profit z Sales growth driven by roll-out of product portfolio ($m) % Gross Profit Margin 57.8% across all countries, especially Jordan, Algeria 60 48.8% 53.6% 55.3% 60% 48.6% and Saudi Arabia 54 40 40% 40 z Gross margin improvement driven by change in 35 20 24 2