Aarti Pharmalabs Limited · NSE:AARTIPHARM
Aarti Pharmalabs — Q1 FY2025 Earnings Presentation
29 slides from Aarti Pharmalabs's earnings presentation, Aug 5, 2024
Slide 1: Results Presentation Filing Letter to Stock Exchanges
August 5, 2024 To, To, Listing/ Compliance Department Listing/ Compliance Department BSE LTD. National Stock Exchange of Phiroze Jeejeebhoy Towers, India Limited Dalal Street, “Exchange Plaza”, Plot No. C/1, Mumbai - 400 001 G Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400 051 SCRIP CODE: 543
Slide 2: Investor Presentation August 2024
INVESTOR PRESENTATION August 2024
Slide 3: Snapshot
SNAPSHOT 200+ Products 500+ Global Clients State-of-the-art 3 R&D facility 56 Patents Filed 50+ Export Countries Manufacturing 6 Units 42 US DMF 2000+ Employees 3 USFDA Units 23 CEP Global 15-20% Market Share 0.14x Net Debt/Equity A+ Credit rating in Xanthine 2 Aarti Pharmalabs Limited
Slide 4: Company Overview
1 COMPANY OVERVIEW 2 BUSINESS OVERVIEW 3 STRATEGIC OVERVIEW 4 FINANCIAL OVERVIEW Aarti Pharmalabs Limited
Slide 5: Company Overview
COMPANY OVERVIEW • Aarti Pharmalabs Limited (APL) formerly known as Aarti Organics was established in 1984 as a wholly owned subsidiary of renowned Aarti Industries Limited. Got demerged in October 2022 STANDALONE REVENUE (INR Mn) & EBITDA into a separately listed entity (effective July 2021) MARGIN
Slide 6: Key Milestones
2022 KEY MILESTONES • Expanded block for CSD in Vapi and API in Tarapur units • Acquired land at Atali for future growth • Successfully demerged the pharmaceutical business of Aarti Industries Limited to Aarti Pharmalabs Limited 2017 12 Successfully completed Cofepris, Mexico audits at Unit 4 11 202
Slide 7: Board of Directors
BOARD OF DIRECTORS Shri Rashesh C. Gogri Smt. Hetal Gogri Gala Shri Narendra Salvi Shri Rajendra V. Gogri Shri Parimal H. Desai Smt Nehal Garewal Chairman Vice Chairperson & MD Managing Director Non-Executive Director Non-Executive Director Non-Executive Director* Shri Rashesh Gogri was appointed Gr
Slide 8: Geographical Presence
GEOGRAPHICAL PRESENCE Sweden Russia Canada United Kingdom Netherlands Ireland Poland Germany France Austria Switzerland Slovenia Italy USA Spain Greece Turkey China Japan South Korea TunisiaLebanon Iraq Pakistan Nepal Saudi Egypt Mexico Arabia UAE INDIA Bangladesh Hong Kong Puerto Rico Yemen Thailan
Slide 9: Manufacturing Presence
MANUFACTURING PRESENCE Atali Vapi - Unit II Tarapur - Unit III, IV, V, VI Dombivli - Unit I Gujarat Mumbai Maharashtra LOCATION MANUFACTURING UNITS CERTIFICATIONS & AUDIT DATE Dombivali Unit - I (API, Intermediates, CDMO) USFDA - Jun 2022 Unit - II (API, Intermediates, CDMO) Vapi USFDA - Sep 2009, A
Slide 10: Manufacturing Capabilities
MANUFACTURING CAPABILITIES END TO END CAPABILITIES UNDER ONE UMBRELLA Hydrogenation facilities from lab-scale to 20+ years of experience in pharmaceuticals manufacturing scale (0.1-10 KL reactors) manufacturing for global clients Impeccable regulatory track record and facilities Cryogenic reactors o
Slide 11: Research & Development
RESEARCH & DEVELOPMENT 3 150+70+ 3 State of the art Process for more than 150 R&D Centers at intermediates developed Maharashtra & Gujarat and manufactured on kilo- lab scale 100+ 6% 70+ 3 7 3 New products to be R&D Spend (as a PhDs developed in next few percent of API & years CMDO sales ) in FY 24
Slide 12: Business Overview
1 COMPANY OVERVIEW 2 BUSINESS OVERVIEW 3 STRATEGIC OVERVIEW 4 FINANCIAL OVERVIEW Aarti Pharmalabs Limited
Slide 13: Key Business Segments
KEY BUSINESS SEGMENTS QUARTERLY REVENUE BREAK-UP 52.6% 50.2% 53.6% Xanthine Derivatives & Allied Products API & Intermediates 36.1% 43.5% 43.9% CDMO/CMO 11.3% 6.3% 2.4% FY24 Q1-FY24 Q1-FY25 CDMO/CMO API & Intermediates Xanthine derivatives
Slide 14: Xanthine Derivatives & Allied Products
XANTHINE DERIVATIVES & ALLIED PRODUCTS • Aarti Pharmalabs is the largest Indian manufacturer of Xanthine Derivatives, including Caffeine, Theophylline Anhydrous, Aminophylline, Etophylline, and Theophylline that find applications in beverages, nutraceuticals, and pharmaceutical industries. • Largest
Slide 15: API & Intermediates
API & INTERMEDIATES • Aarti Pharmalabs specializes in the development and manufacturing of Highly Potent Active Pharmaceutical Ingredients (HPAPIs), catering to the demand for critical drugs used in oncology, corticosteroids, and cytotoxic medicines. MARKET SEGMENTATION (Q1-FY25) • Backward integrat
Slide 16: CDMO & CMO
CDMO & CMO • Aarti Pharmalabs is one of the leading small molecule Contract Development and Manufacturing Organization (CDMO/CMO) in India. • Offers services for drug substance projects including NCEs, APIs, RSMs, and Intermediates to global innovative pharmaceutical and biotech companies, Currently
Slide 17: Strategic Overview
1 COMPANY OVERVIEW 2 BUSINESS OVERVIEW 3 STRATEGIC OVERVIEW 4 FINANCIAL OVERVIEW Aarti Pharmalabs Limited
Slide 18: Growth Drivers
GROWTH DRIVERS Increasing capacities of existing products and, adding 100+ new value-added products in next few years Developing and exploring more opportunities of Increasing presence in CDMO & CMO with regulated markets innovators for APIs and intermediates Ongoing Capex for the Atali project 4 Se
Slide 19: Future Growth Strategy
FUTURE GROWTH STRATEGY FUTURE OUTLOOK Plan to strengthen Fortify market leading API and CDMO Aim to achieve Expect EBITDA position in the segment by long-term goal of growth of Xanthine segment by introducing more about 15% annual approximately brownfield capacity value-added products growth in the
Slide 20: ESG
ESG E G • Hazard Identification and Risk Assessment (HIRA), Hazardous Area Classification (HAC) and work permit system in place • Safety Trainings - Induction, On ENVIRONMENT the job, Classroom, Demos GOVERNANCE • ISO 14001 : 2015 certification • Incident management - “Safety • Robust Compliance Mon
Slide 21: Financial Overview
1 COMPANY OVERVIEW 2 BUSINESS OVERVIEW 3 STRATEGIC OVERVIEW 4 FINANCIAL OVERVIEW Aarti Pharmalabs Limited
Slide 22: Quarterly Consolidated Income Statement
QUARTERLY CONSOLIDATED INCOME STATEMENT PARTICULARS (INR Mn) Q1-FY25 Q4-FY24 Q-O-Q Q1-FY24 Y-O-Y Operational Revenue 5,555 5,058 9.8% 4,584 21.2% Operating Expenses 4,590 3,883 18.2% 3,735 22.9% EBITDA 965 1,175 (17.9)% 849 13.7% EBITDA Margin (%) 17.37% 23.23% (586) Bps 18.52% (115) Bps Depreciatio
Slide 23: Historical Consolidated Income Statement
HISTORICAL CONSOLIDATED INCOME STATEMENT PARTICULARS (INR Mn) FY23 FY24 Q1-FY25 Operational Revenue 19,452 18,526 5,555 Total Expenses 16,031 14,666 4,590 EBITDA 3,421 3,860 965 EBITDA Margins (%) 17.59% 20.84% 17.37% Other Income 23 49 22 Depreciation 625 732 202 Finance Cost 211 172 48 PBT 2,608 3
Slide 24: Quarterly Standalone Income Statement
QUARTERLY STANDALONE INCOME STATEMENT PARTICULARS (INR Mn) Q1-FY25 Q4-FY24 Q-O-Q Q1-FY24 Y-O-Y Operational Revenue 3,935 4,148 (5.1)% 3,581 9.9% Operating Expenses 3,099 3,075 0.8% 2,815 10.1% EBITDA 836 1,073 (22.1)% 766 9.1% EBITDA Margin (%) 21.25% 25.87% (462) Bps 21.39% (14) Bps Depreciation an
Slide 25: Historical Standalone Income Statement
HISTORICAL STANDALONE INCOME STATEMENT PARTICULARS (INR Mn) FY23 FY24 Q1-FY25 Operational Revenue 15,112 15,021 3,935 Total Expenses 12,028 11,560 3,099 EBITDA 3,461 836 3,084 EBITDA Margins (%) 20.41% 23.04% 21.25% Other Income 13 110 21 Depreciation 558 660 183 Finance Cost 205 166 42 PBT 2,334 2,
Slide 26: Consolidated Quarterly Financial Highlights
CONSOLIDATED QUARTERLY FINANCIAL HIGHLIGHTS OPERATIONAL INCOME (INR Mn) EBITDA (Mn) & EBITDA MARGINS (%) PAT (Mn) & PAT MARGINS (%) 5,555 5,058 4,584 1,175 965 849 23.23% 653 18.52% 471 555 17.37% 12.91% 10.27% 9.99% Q1-FY24 Q4-FY24 Q1-FY25 Q1-FY24 Q4-FY24 Q1-FY25 Q1-FY24 Q4-FY24 Q1-FY25 25 Aarti Ph
Slide 27: Capital Market Information
CAPITAL MARKET INFORMATION SHARE PRICE UP TO 30th June, 2024 80% 70% 60% 50% 40% 30% 20% 10% 0% -10% -20% Jul-23 Aug-23 Sep-23 Oct-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 AARTIPHARM Sensex PRICE DATA (AS ON 30th June, 2024) INR SHAREHOLDING PATTERN (AS ON 30th June, 2024) F
Slide 28: Disclaimer
DISCLAIMER Aarti Pharmalabs Limited No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all event
Slide 29: Thank You
THANK YOU AARTI PHARMALABS LIMITED