Ajanta Pharma Limited · NSE:AJANTPHARM
Ajanta Pharma — Q2 FY14 Earnings Presentation
26 slides from Ajanta Pharma's earnings presentation, Oct 28, 2013
Slide 1: Investor Update – Q2 FY14
Investor Update – Q2 FY14 October 28, 2013 October 28, 2013 V05 1
Slide 2: Domestic Business
Domestic Business October 28, 2013 V05 2
Slide 3: Above Industry Average Growth in Indian Pharmaceutical Market (IPM)
Above Industry Average Growth in Indian Pharmaceutical Market (IPM) IMS MAT Growth 40% 38% 35% 30% 29% 25% 20% 18% 15% 15% 15% 15% 14% 10% 10% 5% 0% Mar-10 Mar-11 Mar-12 Mar-13 Total Market Ajanta Pharma Source – IMS October 28, 2013 V05 3
Slide 4: IPM – Ajanta Rankings & Growth
IPM – Ajanta Rankings & Growth Q2 Sales – Rs.96Crs Growth 48% 2 new products launched in the quarter Healthy Numbers (IMS MAT Sept’13) Segment Growth Rank Ophthalmology 17% 5 Dermatology 38% 14 Cardiology 35% 26 Ajanta Pharma 31% 44 October 28, 2013 V05 4
Slide 5: India Business – Segments
India Business – Segments Others Others 8% 8% Ophthal Inst. Ophthal 23% 10% 28% Inst. 20% Domestic Domestic Break-up Break-up Q2 FY14 Q2 FY13 Cardio Derma 28% 22% Cardio Derma 27% 26% October 28, 2013 V05 5
Slide 6: International Business
International Business October 28, 2013 V05 6
Slide 7: Emerging Market Business
Emerging Market Business Brand Leadership Innovative in many markets Country Specific Brand portfolio 1400+ Brand Expertise in registrations product across countries registrations 1400+ Brands 64% of total sales under approval 380 strong field force in 25+ countries October 28, 2013 V05 7
Slide 8: Emerging Markets – Regional Contribution
Emerging Markets – Regional Contribution Latam Latam 3% 4% Asia Africa 44% Q2 FY14 Africa 53% Asia 44% Q2 FY13 52% October 28, 2013 V05 8
Slide 9: Regulated Markets – USA
Regulated Markets – USA Total ANDAs filed – 18 (3 in Q2 FY14) Under Approval - 16 Approved – 2 (Launched – 1) 2-3 Approvals expected in FY14 Sales & Marketing team on board Targeted filing every year – 5 to 6 October 28, 2013 V05 9
Slide 10: Infrastructure & Others
Infrastructure & Others October 28, 2013 V05 10
Slide 11: Ajanta's Infrastructure
Ajanta’s Infrastructure Formulation Manufacturing 3 Facilities in Aurangabad (1 USFDA, UKMHRA, WHO Pre-Q, approved) 1 Facility at Mauritius 2 more coming up in Gujarat (Investment `400Crs) API Manufacturing 1 Facility in Aurangabad (Captive pilot plant ) Research & Development – Kandivli, Mu
Slide 12: R&D – The Catalyst for Growth
R&D – The Catalyst for Growth Major role all along the growth journey Continue enhancing capacities & capabilities Niche, complex & difficult to make products Many firsts to its credit October 28, 2013 V05 12
Slide 13: Project Progress
Project Progress • Dahej facility work in full swing • Tablet, Capsule & powder facility • 80% civil work completed • Mechanical work in process • Completion on schedule in Mar 14 October 28, 2013 V05 13
Slide 14: Financials
Financials October 28, 2013 V05 14
Slide 15: Highlights Q2 FY14 (Stand Alone)
Highlights Q2 FY14 (Stand Alone) `Crs. Q2FY14 Q2FY13 Growth Revenue 280 186 50% EBITDA 84 43 95% PBT 79 31 155% PAT 56 22 155% EPS (Rs.) 15.88 6.23 155% October 28, 2013 V05 15
Slide 16: Highlights H1 FY14 (Stand Alone)
Highlights H1 FY14 (Stand Alone) `Crs. H1 FY14 H1 FY13 Growth Revenue 498 360 38% EBITDA 135 79 70% PBT 127 54 134% PAT 88 41 113% EPS 25.14 11.81 113% October 28, 2013 V05 16
Slide 17: Revenue Break-up (Stand Alone)
Revenue Break-up (Stand Alone) Other Other Income Income 0% 2% Domestic 34% Domestic 35% Q2 FY13 Q2 FY14 Exports 63% Exports 61% Other Other Op. Other Op. Income, 1% Income Income 2% 3% Domestic, 34% FY13 Exports, 64% Other Op. Income, 1% October 28, 2013 V05 17
Slide 18: Cost Break-up (Stand Alone)
Cost Break-up (Stand Alone) Q2 FY14 PAT Material Cost 20% 32% Q2 FY13 PAT Material 12% Cost Other cost 32% 30% Other cost 23% Tax Int. Dep. Staff Cost 8% 1% 3% 13% Tax Staff Cost 5% 15% Int. Dep. 2% 4% October 28, 2013 V05 18
Slide 19: Cost Break-up (Stand Alone)
Cost Break-up (Stand Alone) H1 FY14 PAT Material Cost 17% 33% H1 FY13 PAT 11% Material Cost Other cost 35% 28% Other cost 24% Tax 8% Int. Dep. Staff Cost 1% 3% 14% Tax 4% Int. Staff Cost 3% Dep. 15% 4% October 28, 2013 V05 19
Slide 20: Consistent track record of growth
Consistent track record of growth 23% 53% CAGR Consolidated Revenue & PAT CAGR Revenue (` Crs.) PAT 1000 120 930 112 100 800 677 80 600 77 499 60 409 400 349 309 51 40 230 238 199 34 200 145 25 20 10 22 2 15 12 0 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Total Income Profit After Tax Octob
Slide 21: Consolidated Profit & shareholder returns
Consolidated Profit & shareholder returns 112 EBITDA 230 (` Crs.) PAT (` Crs.) 77 138 51 99 80 34 68 25 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Dividend 17 EPS 48 (` Crs.) (`) 33 10 22 7 15 5 11 3 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 October 28, 2013 V05 21
Slide 22: Consolidated Key financial indicators contd…
Consolidated Key financial indicators contd… *H1 FY14 ` FY’09 FY’10 FY’11 FY’12 FY’13 (H1 FY13) EPS 7 10 14 22 32 25 (12) Cash EPS 11 16 21 31 42 30 (16) EBITDA per share 19 23 28 42 65 38 (23) EBITDA margin 19% 19% 20% 22% 24% 27% (22%) PAT margin 7% 8% 10% 11% 12% 18% (12%) R & D Exp. (Rs. Crs) 16
Slide 23: Consolidated Key financial indicators contd…
Consolidated Key financial indicators contd… Particulars FY’09 FY’10 FY’11 FY’12 FY’13 *H1 FY14 Book value per share (`) 45 53 65 85 112 127 Dividend/share (`) (FV `5) 1.25 1.75 2.50 3.75 6.25 - RONW 16% 18% 22% 26% 28% 20% ROCE 13% 14% 18% 23% 38% 24% Dividend payout 13% 14% 13% 13% 15% - * Figures
Slide 24: Consolidated Key financial indicators
Consolidated Key financial indicators Particulars FY’09 FY’10 FY’11 FY’12 FY’13 *H1 FY14 Long term debt / Equity 0.96 0.77 0.36 0.35 0.19 0.18 Total debt/equity 1.59 1.23 0.83 0.67 0.32 0.23 Receivable days 105 87 76 77 60 61 Inventory days 109 107 83 92 59 42 Payable days 124 183 145 148 154 140 *
Slide 25: Going Forward
Going Forward Growth Momentum continues India business growing above industry average Expected to continue the trend in coming quarters Emerging market business shows improved growth Depreciating rupee giving positive impact US market entry on schedule October 28, 2013 V05 25
Slide 26: Thank You
Thank You SAFE HARBOUR STATEMENT This presentation may include certain “forward looking statements” , based on current expectations, within the meaning of applicable laws and regulations. Actual results may differ and the company does not guarantee realization of these statements. The Company also d