Recordati S.p.a. · MIL:REC
Recordati — Jefferies 2010 Global SpecPharma & European Healthcare Conference
20 slides from Recordati's conference presentation, Oct 5, 2010
Slide 1: A European specialty pharmaceutical group
Jefferies 2010 Global SpecPharma & European Healthcare Conference London, October 5-6 2010 A European specialty pharmaceutical group
Slide 2: Company Profile and Strategy
COMPANY PROFILE AND STRATEGY Company Profile • Mid sized pharmaceutical company with a European focus ((2800 employees, p y , of which 1400 field force)) OE • R&D in the cardiovascular and urology fields and in OE treatments for rare diseases OE • Marketing operations in the main Western European OE
Slide 3: Geographical Breakdown of Pharmaceutical Revenue
GEOGRAPHICAL BREAKDOWN OF PHARMACEUTICAL REVENUE Portugal 5.2% Spain 4.1% Germany 8.4% UK 1.4% Other W. European countries 3.7% Russia Turkey Russia, Turkey, other CEE 9 9.1% 1% France 19.8% Other international sales 19.2% Italy 29.1% Data: First half 2010 Pharmaceutical revenue € 363.4 m 2
Slide 4: Composition of Revenue by Business
COMPOSITION OF REVENUE BY BUSINESS Zanipress 3.9% Other corporate products 7.5% Zanidip 21.8% Orphan drugs 8 8.3% 3% Pharmaceutical chemicals 3.4% Local product portfolios 49.7% Other revenue 5.4% Entact®/Elopram® 6% (escitalopram/citalopram) - Italy Peptazol® (pantoprazole) – Italy 3% Methadone – F
Slide 5: Zanidip (lercanidipine)
CORPORATE PRODUCTS ZANIDIP® (lercanidipine) (l idi i ) • Calcium channel blocker indicated for the treatment of hypertension. Lipophilic dihydropiridine discovered and developed by Recordati. Efficacy as best in class, superior tolerability. • On the market in 95 countries. • Patent expired end Janu
Slide 6: Zanipress (lercanidipine+enalapril)
CORPORATE PRODUCTS ZANIPRESS® (lercanidipine+enalapril) (l idi i l il) • Fixed combination of lercanidipine (a CCB) • Fixed combinations will play a significant role in the future and enalapril (an ACE-I) indicated for the hypertension market treatment of hypertension. Two strengths: • New aggressiv
Slide 7: Drugs for the Treatment of Rare Diseases
CORPORATE PRODUCTS DRUGS FOR THE TREATMENT OF RARE DISEASES • Recordati acquired Orphan Europe, a • A unique distribution network from a • Well trained orphan drug specialists European pharmaceutical company centralized unit in Paris serves patients and scientific product support team dedicated to t
Slide 8: Urorec/Silodyx (silodosin)
NEW CORPORATE PRODUCTS UROREC®/SILODYX™ (silodosin) ( il d i ) • BPH market in 19 major European markets approx. € 1.0 billion • Highly selective α1A receptor antagonist indicated • In-market peak sales expected: € 100-150 million for the treatment of symptoms associated with benign prostatic hyperp
Slide 9: Livazo (pitavastatin)
NEW CORPORATE PRODUCTS LIVAZO® (pitavastatin) ( it t ti ) • Highly effective HMG-CoA reductase inhibitor positioning indicated for the treatment of • Similar LDL-C reduction of market leading hypercholesterolaemia best-in-class statins • Semi-exclusive license granted by Kowa • Broad-spectrum effect
Slide 10: R&D Pipeline
R&D Pipeline NAME ORIGINATOR INDICATION DEVELOPMENT STATUS Urorec®/Silodyx™ Kissei Benign prostatic hyperplasia (BPH) Approved Orphan Europe NAGS deficiencyy Approved pp in EU and in the U.S. Carbaglu® (R (Recordati) d ti) lercanidipine 8/16 mg Pharmathen Essential hypertension Approved Livazo®/Alip
Slide 11: Development of drugs for rare diseases
Development of drugs for rare diseases • Carbaglu® (carglumic acid), a drug developed by Orphan Europe for the treatment of NAGS deficiency, y, was approved pp in the EU in 2003 and byy the FDA in 2010. Carbaglu g ® is also in pre-registration phase in Europe for additional indications in organic ac
Slide 12: New developments for Lower Urinary Tract Symptoms and incontinence
New developments for the Lower Urinary Tract Symptoms (LUTS) and incontinence • Irritative symptoms of the lower urinary tract (mainly urgency and frequency with or without incontinence) are frequent, mainly in women and the elderly. This condition, known as Overactive Bladder (OAB) is either idiopa
Slide 13: First Half 2010 Highlights
FIRST HALF 2010 HIGHLIGHTS • Revenue € 376.3 million, down 0.8%, international sales down 0.1% • Operating income (EBIT) € 83.8 million, up 1.6% • Net Income € 59.2 million, up 2.5% • Silodosin (Urorec®/Silodyx™) approved in Europe • Ca Carbaglu® bag u (ca (carglumic g u c ac acid) d) app approved o
Slide 14: Composition of Revenue
COMPOSITION OF REVENUE (million Euro) 1H 2010 1H 2009 Change % Italyy 105.9 109.0 ( ) (2.8) France 71.9 78.4 (8.3) Germany 30.5 32.1 (5.0) Portugal 18 7 18.7 21 4 21.4 (12 3) (12.3) Spain 14.9 15.8 (5.8) United Kingdom 5.0 7.4 (32.5) Other Western European countries 13.6 9.6 41.4 Russia, Turkey, oth
Slide 15: Main Product Sales
MAIN PRODUCT SALES (million Euro) 1H 2010 1H 2009 Change % Zanidip® (lercanidipine) 82 0 82.0 109.5 (25.1) Zanipress® (lercanidipine+enalapril) 14.5 8.0 81.6 Other corporate products 28.0 17.3 62.3 Orphan drugs 31.4 23.6 33.0 14
Slide 16: First Half 2010 Results
FIRST HALF 2010 RESULTS (million Euro) 1H 2010 1H 2009 Change % Revenue 376.3 379.3 (0.8) Gross Profit 254.9 258.0 (1.2) as % of revenue 67.7 68.0 SG&A Expenses 135.1 137.8 (1.9) as % of revenue 35.9 36.3 R&D & Expenses pe ses 32.9 33.7 33 ((2.4)) as % of revenue 8.7 8.9 Other Income (Expense), net
Slide 17: Second Quarter 2010 Results
SECOND QUARTER 2010 RESULTS (million Euro) 2Q 2010 2Q 2009 Change % Revenue 190.4 195.6 (2.7) Gross Profit 128.7 134.5 (4.3) as % of revenue 67.6 68.8 SG&A Expenses 69.4 72.0 (3.6) as % of revenue 36.4 36.8 R&D & Expenses pe ses 16.4 18.4 8 ((10.6) 0 6) as % of revenue 8.6 9.4 Other Income (Expense)
Slide 18: Net Financial Position and Shareholder's Equity
NET FINANCIAL POSITION AND SHAREHOLDER’S EQUITY (million Euro) 30 Jun 2010 31 Dec 2009 Change Cash and short-term financial 66.3 93.8 (27.5) investments Bank overdrafts and short-term (4.1) (28.9) 24.8 loans Loans – due within one year (1 3) (1.3) (2.4) 1.1 Loans – due after one year (81.8) (82.2) 0
Slide 19: 2010 Targets, 2010-2012 Plan
FINANCIAL PROJECTIONS 2010 TARGETS, TARGETS 2010 - 2012 PLAN 2009 2010 2011 2012 Actual Targets Plan Plan (million Euro) Revenue 747.5 >700 730-740 780-800 Operating income (EBIT) 162.2 >140 145-150 155-160 Net Income 110.6 >95 100-102 110-112 Based on existing business, no new acquisitions included
Slide 20: Company declarations, disclaimers and profile
Company declarations, disclaimers and profile DECLARATION BY THE MANAGER RESPONSIBLE FOR PREPARING THE COMPANY’S FINANCIAL REPORTS The manager responsible for preparing the company’s financial reports Fritz Squindo declares, pursuant to paragraph 2 of Article 154-bis of the Consolidated Law on Finan
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