Chemical Works Of Gedeon Richter Plc · BET:RICHTER
Chemical Works Of Gedeon Richter — Gedeon Richter — H1 2022 Earnings Presentation
20 slides from Chemical Works Of Gedeon Richter's earnings presentation, Aug 3, 2022
Slide 1: Richter Group Report, H1 2022
Richter Group Report, H1 2022 Budapest, 3 August 2022
Slide 2: Russian – Ukrainian conflict: Extraordinary events
Report, H1 2022 Russian – Ukrainian conflict Extraordinary events • Responsibility ‒ Safe and sustainable supply of medicines to patients ‒ Humanitarian relief granted to those in need and population at large • Ukraine ‒ Commercial operations disrupted at the end of February of 2022 ‒ Commercial ope
Slide 3: Extraordinary items affecting business
Report, H1 2022 Exchange rate effect Extraordinary items affecting business • HUF 29,099m gain at consolidated sales level • Weakening HUF against most major currencies • Strengthening RUB • Strengthening USD against EUR One-off items • HUF 8,616m milestone income linked to R&D agreement with AbbVie
Slide 4: Highlights I.
Report, H1 2022 Highlights I. 360,980 HUFm 57.1% Consolidated Gross margin sales +21.6% 24.8% 610 HUF Operating margin EPS +106.8% 113,586 HUFm Net profit* +106.8% * Net income attributable to owners of the parent. 4
Slide 5: Highlights II. Women Healthcare
Report, H1 2022 Women Healthcare Highlights II. 12 May 2022 – Evra® Richter and Searchlight Pharma announced that Searchlight Pharma undertook all Canadian distribution and promotional activities for Evra®, a transdermal contraceptive patch. This transition covers regulatory, distribution and promot
Slide 6: Share Ownership Structure
Report, H1 2022 Share Ownership Structure Corporate matters 30 June 2022 Domestic investors 10% 65% International 10% investors Maecenas Universitatis Corvini Foundation 10% 5% Mathias Corvinus Collegium Foundation Foundation for National Health and Education of Medical Doctors 6
Slide 7: Reconciliation of consolidated sales by segments
Report, H1 2022 HUFm Increase Decrease Total Reconciliation of consolidates sales by segments (HUFm) The pharma segment accounts for 81% of consolidated turnover. The share of sales in Pharma segment increased within the Group. 7
Slide 8: Revenue by strategic pillars
Report, H1 2022 Revenue by strategic pillars (%) 2022 H1 24% 12% 36% 21% 7% Branded Traditionals WHC Cariprazine Biosimilars generics 2021 H1 28% 12% 35% 19% 6% 8
Slide 9: Change in the turnover of our selected products
Report, H1 2022 HUFm Increase Decrease Total Change in the turnover of our selected products Turnover of Vraylar® royalty showed a strong growth of 31.1% (12.2% in USD terms) in the first half of 2022. Sales growth of oral contraceptives primarily occurred in Russia, the EU region and the USA. Direc
Slide 10: Key products (1/2)
Report, H1 2022 Key products (1/2) Cariprazine USA - Vraylar® By the end of first half 2022 HUF 60,779m HUF 57,330m royalty cariprazine was available (EUR 160.7m) income (increase of 31.1% altogether in 48 countries +33.1%* yoy) globally. Turnover Acceptance for review of a supplemental New Drug App
Slide 11: Key products (2/2)
Report, H1 2022 Key products (2/2) Bemfola® HUF 11,195m The increase is primarily due to proceeds from WEU region. (EUR 29.6m) Nőgyógyászat +7.4% Turnover WHC Evra® Revenue split: HUF 11,801m (EUR 31.2m) Royalty income – HUF 5,367m (45.5%) Direct sales – HUF 6,434m (54.5%) Nőgyógyászat +99.0% Turnov
Slide 12: Sales by geographies (%)
Report, H1 2022 Sales by geographies (%) HUF 292.8bn H1 2022 24% 8% 32% 24% 12% CIS Hungary Europe USA Other global +23.3% markets* H1 2021 24% 9% 32% 23% 12% HUF 237.3bn * Including the regions of China, Latin America and Rest of the World. 12
Slide 13: Change in turnover by geographies
Report, H1 2022 Increase Decrease HUFm Total Change in turnover by geographies In Western European region increasing proceeds from oral contraceptives including the turnover of recently launched Drovelis® were complemented by sales of Terrosa®, Evra® and Bemfola®. In addition, proceeds from contract
Slide 14: Financials – Consolidated Highlights
Report, H1 2022 Consolidated Financials – Highlights as % of HUFbn Change % EURm Total revenues Total revenue 361.0 21.6 954.3 Gross profit 206.0 23.8 544.7 57.1 Profit from operations 89.5 47.1 236.5 24.8 Profit for the period* 113.6 106.8 300.3 31.5 HUF Change % EUR EPS (diluted) 610 106.8 1.61 *
Slide 15: Increasing gross profit and margin
Report, H1 2022 HUFbn Increasing 700 60% Very favourable exchange rate environment, primarily a weakening HUF gross profit and 600 59% against most major currencies notably USD and RUB, together with increasing margin 500 58% strengthening USD and RUB against the 57.1% (HUFbn) 400 EUR exchange rate
Slide 16: S&M costs (HUFm)
Report, H1 2022 S&M costs (HUFm) HUFm 120 000 40% 35% 100 000 30% 80 000 25% 60 000 20% 15% 40 000 10% 20 000 5% 0 0% 2017 2018 2019* 2020* 2021 H1 2021 H1 2022 S&M costs S&M percentage of sales * Reclassification of depreciation of intangible assets representing sales and other product-related lice
Slide 17: R&D costs (HUFm)
Report, H1 2022 HUFm 70 000 12% R&D costs 60 000 (HUFm) 10% 50 000 8% 40 000 6% 30 000 4% 20 000 10 000 2% 0 0% 2017 2018 2019 2020 2021 H1 2021 H1 2022 R&D costs R&D percentage of sales Split of R&D spending (%) – H1 2022 CNS original Biosimilars WHC Branded generic research (including and traditio
Slide 18: Increasing operating profit and margin
Report, H1 2022 Increasing operating HUFm profit and margin 140 000 24.8% 30% Extremely favourable FX environment (HUFm) 120 000 20.5% 25% One-off milestones received during the 100 000 20% reported period 80 000 15% 60 000 Significant Vraylar® royalty income 10% 40 000 20 000 5% 0 0% H1 2021 H1 202
Slide 19: Reconciliation of pharma segment operating profit
Report, H1 2022 Increase HUFm Decrease Total Reconciliation of pharma segment operating profit 19
Slide 20: RICHTER GEDEON
RICHTER GEDEON