Hydration Pharmaceuticals Company Limited · ASX:HPC
Hydration Pharmaceuticals — The Hydration Pharmaceuticals Company — Investor Presentation (November 2023)
14 slides from Hydration Pharmaceuticals's investor presentation, Nov 3, 2023
Slide 1: Our Purpose and Ambition
For personal use only Our Purpose Low To make better hydration Sugar solutions and make a difference doing it. More Our Ambition Electrolytes To own hydration in the family home. Hydration Acceleration Formula Doctor Approved, Rapid Rehydration Co-owner Shay Mitchell: actress, producer and super inf
Slide 2: Disclaimer
Disclaimer This presentation includes general information about the activities of The Hydration Pharmaceuticals Company Limited ACN 620 385 677 (HPC). The information contained in this presentation is for general information purposes only. The information contained in this presentation does not cons
Slide 3: Major structural moves completed in Q3 FY23 unlock a new phase of growth
Major structural moves completed in Q3 FY23 unlock a new phase of growth Optimised supply chain and new sales broker to underpin strong gross margin and deliver multiple other benefits For personal use only Powders now made in Canada resulting in: Transition to new sales broker, LeBeau Excel: • Fewe
Slide 4: Ongoing track record of sales and gross margin improvement
Ongoing track record of sales and gross margin improvement Q3 FY23 highlighted pleasing YoY reductions in cash burn and ongoing revenue growth Net Sales (US$) Gross Profit (US$) For personal use only $10.3M $5.2M $9.1M $4.7M $6.1M $2.8M $3.8M $2.9M $1.3M $1.4M 2019A 2020A 2021A 2022A 2023F LTM 2019A
Slide 5: Additional Q3 FY23 financial highlights
Additional Q3 FY23 financial highlights Overall marketing spend continues to reduce with continued sales growth and record gross margins Sales vs marketing Gross Margin Quarterly Gross Margin 70.0% For personal use only +23% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 4 0 1 0 2 1 3 1 4 1 1 1 2 2 3 2 4 2 1 2
Slide 6: Growth opportunities - Major opportunities lay ahead
Growth opportunities - Major opportunities lay ahead For personal use only Major American UK Launch Retail Expanded to Launch all-natural sports stick pack section Amazon sells US$140k in 48 14 SKUs on shelf hours for Prime 4 SKUs on Amazon becomes Day shelf #1 Customer EU Expansion US$6m 2024 and 2
Slide 7: Amazon Prime Day highlights ongoing demand
Amazon Prime Day highlights ongoing demand Hydralyte products were #1 in category in Canada – sports tablets also a top #5 SKU Stock Keeping Unit (SKU) 48hr sales (US$) For personal use only Hydralyte powder packets Variety Pack 30ct $113k Hydralyte powder packets Variety Pack 24ct $40k Twin Pack Sp
Slide 8: Health Canada approval for two new products
Health Canada approval for two new products – Launching in Canada shortly New products granted under Health Canada licence are already best sellers in the USA New New NPN NPN For personal use only Fastest growing powder Hydralyte Plus Hydralyte Plus SKU in the category Collagen Immune Support (over
Slide 9: Canada's Hydration Category has organic upside to ~$150m
Canada’s ‘Hydration’ Category has organic upside to ~$150m – Ready to drinks driving category growth (excludes sports drinks but includes Biosteel) Pharmacy, Mass (Walmart) and Grocery only Canadian category has 4x’d in two years. Lead by Pedialyte (market leader), Biosteel (financial challenges) an
Slide 10: Strategy is resonating with Canadian retailers
Strategy is resonating with Canadian retailers • Customer targets comparison – Unisex/female skew complements customer base and brand ambassador advantage • Hydralyte outsells major competitor 2:1 in powders and tablets - with an opportunity to extend this to reads to drinks Gender Key Marketed Usag
Slide 11: Hydralyte vs main ready to drink competitors
Hydralyte vs main ready to drink competitors HPC’s product (under development) has a number of advantages over existing offerings er For personal use only Und ment op de vel HydraLyte Rapid Gatorade Electrolyte Prime Hydration Rehydration BioSteel Electrolyte Drink Drink (500 ml) (500 ml) (591 ml) R
Slide 12: Shay Mitchell driven value
Shay Mitchell driven value For personal use only Brand Awareness Shay Mitchell Impressions/Reach: 92,624,170 Impression/Reach Value: US$2,888,404 Influencers Product Interest Sampling and Shows Product Education Organic Social Media Brand Engagement Retail Outlets/ Paid Ads Product Purchase
Slide 13: Global opportunities remain
Global opportunities remain Growth opportunities outside North America Focus is North America Focus remains on USA and Canada, but HPC has laid foundations for growth in Europe and China – two major addressable markets HYDRALYTE GLOBAL TERRITORIES For personal use only • Recent appointment of Roolif
Slide 14: Thank You
For personal use only Thank You Stay Hydrated
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