Ajanta Pharma Limited · NSE:AJANTPHARM
Ajanta Pharma — Q3 FY2025 Earnings Presentation
44 slides from Ajanta Pharma's earnings presentation, Jan 30, 2025
Slide 1: Investor Presentation Q3 FY 2025
Investor Presentation Q3 FY 2025 30th January 2025
Slide 2: Important Disclosure
Important Disclosure Except for the historical information contained herein, statements in this presentation and any subsequent discussions, which include words or phrases such as 'will', 'aim', 'will likely result', 'would’, 'believe', 'may', 'expect', 'will continue', 'anticipate', 'estimate', 'in
Slide 3: Contents
1 Ajanta at a Glance 2 Branded Generic Business India, Asia, Africa – Diversified markets enables growth 3 US Generic Business Selective play & normalized price erosion 4 Africa Institution Business Contents Subdued performance, as expected 5 R&D & Manufacturing Strong formulation capabilities 6 Fin
Slide 4: Ajanta Overview
30th January 2025 Ajanta Overview 4
Slide 5: We are present in 30 countries globally
We are present in 30 countries globally Generics Branded Generics Africa India Rest of Asia USA 20 countries 10 countries 30th January 2025 5 5
Slide 6: 76% of our business comes from Branded Generics
76% of our business comes from Branded Generics 50% of our products are 1st to Market US Generics 21% India 32% 500+ Africa Instn. 9M FY 2025 Brands across 3% Sales Different Therapeutic Rs. 3,429 cr. Africa Segments 18% Asia 5,400+ 26% Medical Representatives Promoting Products Globally 30th Januar
Slide 7: Our Branded Generics business comes from 3 regions
Our Branded Generics business comes from 3 regions Presence in 3 Regions (India, Africa & Asia) Focus on Chronic Therapies (Cardiac, Diabetics, Ophthal, Derma, Pain, Gyanae) We hold Leadership In Molecules & Sub-Therapeutic Segments 30th January 2025 7
Slide 8: Our Business is well diversified & gives us an edge
Our Business is well diversified & gives us an edge Branded Generics Other Business India Asia Africa Institutional Africa US Generics 6 8 8 Anti Malaria 51 Active ANDAs T Segments T Segments T Segments T Segment (excld. 2 Tentative) ~50% Leadership Leading 1st 21 In Sub therapeutic Generic prequali
Slide 9: Branded Generics - India Growth Continues
Branded Generics - India Growth Continues 30th January 2025 9
Slide 10: 5-year CAGR – Consistent Solid Growth
5-year CAGR – Consistent Solid Growth 5-Years Brands CAGR 5-Years Ajanta’s Segment CAGR 25% 24% 15% 17% 18% 13% 13% 13% 16% 15% 12% 12% 11% 7% 6% Aquasoft Feburic MET XL Apdrops Melacare Ajanta Cardiac Ophthal Derma Pain IPM APL 30th January 2025 Source: IQVIA, MAT March 2020 to 2024 10
Slide 11: High Focus on Chronic Segment
High Focus on Chronic Segment 65% 12% Sales from Chronic Sales from NLEM Products Segment 2.5+ Lac 3,500+ Doctors covered MRs 30th January 2025 Source: IQVIA MAT December 2024 11
Slide 12: We launched large no. of new products during the year
We launched large no. of new products during the year Sales Contribution 12 26 New launches Brands of Rs 25+ cr. Pain in 9M FY 2025 9% Cardiac Derma Focus on 38% 23% 4 specialty therapies 56% 8 Contribution from Top 10 1st to market Ophthal brands in 9M FY 2025 30% 30th January 2025 12
Slide 13: We have entered 2 New Therapies during the year
We have entered 2 (two) New Therapies during the year Nephrology Gynaecology Committed to Women’s Committed to Renal care health 12 200+ Products launched MRs added 30th January 2025 13
Slide 14: We continue to outperform industry growth
We continue to outperform industry growth Growth Break-up IPM Growth vs. Ajanta Growth Dec 2024 MAT Ajanta (10.8%) 20% 18% 18% 18% 2.8% 16% IPM (7.6%) 16% 14% 12% 2.5% 11% 5.4% 10% 9% 8% 8% 8% 8% 8% 6% 4.3% 4% 4% ~ 3X 2.6% 2% to IPM 0.8% 0% Volume Price New Product Mar-21 Mar-22 Mar-23 Mar-24 Dec-24
Slide 15: Our segment growth exceeds IPM
Our segment growth exceeds IPM IPM Growth vs. Ajanta Growth Cardiac Ophthal Derma Pain 12% 16% 11% 11% 6% 8% 10% 4% Dec-24 Dec-24 Dec-24 Dec-24 IPM Ajanta Pharma 30th January 2025 15 IPM = Indian Pharmaceutical Market, Source: IQVIA, MAT
Slide 16: Branded Generics – Africa & Asia Growth Continues
Branded Generics – Africa & Asia Growth Continues 30th January 2025 16
Slide 17: We operate across many markets and therapies
We operate across many markets and therapies Key Markets Africa, South East Asia, Middle East, & Central Asia Leadership In many molecules & sub-therapeutic segments Among Top 5 Players in major markets 30th January 2025 17
Slide 18: We launched large no. of new products in Emerging Markets
We launched large no. of new products during the year in Emerging Markets 32 Major Therapeutic segments New launches in 9M FY 2025 Cardiac Diabetes Ophthal Pipeline of healthy product registrations CNS Derma Gynaecology New Focus Strengthening countries Pain Antibiotics Antimalarial of small presenc
Slide 19: 5 Years of Consistent Growth in Asia & Africa
5 Years of Consistent Growth in Asia & Africa Branded Generic Business Revenue (Rs. Cr.) Asia Africa 1,057 957 587 559 585 813 673 712 413 356 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22 FY23 FY24 30th January 2025 19
Slide 20: US Generics Selective play assists growth
US Generics Selective play assists growth 30th January 2025 20
Slide 21: Our US strategy of selective play pays
Our US strategy of selective play pays Revenue (INR Cr.) 51 48 Active ANDA Products on shelf (excluding 2 tentative) (5 in 9M FY 2025) 964 (5 in 9M FY 2025) 828 637 696 516 21 4 Pending approvals ANDA filed in 9M FY 2025 FY20 FY21 FY22 FY23 FY24 Target ~8 this year 30th January 2025 21
Slide 22: Africa Institution Lower Contribution
Africa Institution Lower Contribution 30th January 2025 22
Slide 23: Antimalarial Institution business in Africa
Antimalarial Institution business in Africa Revenue (INR Cr) 1st Generic company to obtain WHO Pre-Qualification 271 244 249 206 190 1 Billion+ Patients treated till date FY20 FY21 FY22 FY23 FY24 Decline Due to lower procurement by aid agencies 30th January 2025 23
Slide 24: R&D and Manufacturing
R&D and Manufacturing Strong formulation capabilities 30th January 2025 24
Slide 25: R&D operating efficiently
R&D operating efficiently R&D Expenses (Excluding Capex) (Rs. Cr.) 800+ 6% 5% 6% 6% 5% 237 208 Scientists 204 164 139 R&D expenses Rs. cr. % to % to Period Q3 9 Month Revenue Revenue FY 2024 52 5% 157 5% FY 2025 53 5% 161 5% FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 30th January 2025 25
Slide 26: Our 7 plants are best in class
Our 7 plants are best in class Paithan (Maharashtra) Dahej (Gujarat) (Tablets, Capsules & Powder) (Tablets, Capsules & Powder) Guwahati (Assam) Pithampur (Madhya Pradesh) Tablets, Capsules, (Tablets & Capsules) Ointments & Sterile Eye Drops 30th January 2025 26
Slide 27: Financial Highlights (consolidated) Consistent Growth
Financial Highlights (consolidated) Consistent Growth 30th January 2025 27
Slide 28: Q3 Branded Generics – Excellent performance
Q3 Branded Generics – Excellent performance 10% 12% 8% 12% Total India Asia Africa (Rs. cr.) (Rs. cr.) (Rs. cr.) (Rs. cr.) 316 834 345 292 173 755 308 155 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 31% 28% 15% 74% of Total of Total of Total of Total Revenue Revenue Revenue Reven
Slide 29: Q3 - All Business Segment Performance
Q3 - All Business Segment Performance 3% 10% 4% 61% Consolidated Sales Branded Generics US Generics Africa Institution (Rs. cr.) (Rs. cr.) (Rs. cr.) (Rs. cr.) 834 263 86 1,093 1,130 252 755 33 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 Q3 FY24 Q3 FY25 74% 23% 3% of Total of Total of Total Q3 FY24 Revenue Reven
Slide 30: 9M - Branded Generics – Excellent performance
9M - Branded Generics – Excellent performance 16% 10% 14% 31% Total India Asia Africa (Rs. cr.) (Rs. cr.) (Rs. cr.) (Rs. cr.) 888 617 2,588 982 1,083 776 2,230 472 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M FY25 32% 26% 18% 76% of Total of Total of Total of Total Revenue Revenue Reve
Slide 31: 9M - All Business Segments performance
9M - All Business Segments performance 10% 16% 3% 37% Consolidated Sales Branded Generics US Generics Africa Institution (Rs. cr.) (Rs. cr.) (Rs. cr.) (Rs. cr.) 703 723 188 2,588 3,429 2,230 3,121 118 9M FY24 9M FY25 9M FY24 9M FY25 9M FY24 9M FY25 76% 21% 3% of Total of Total of Total 9M FY24 9M FY
Slide 32: Q3 FY 2025 (Consolidated): Good PAT Growth
Q3 FY 2025 (Consolidated): Good PAT Growth Rs. cr. Q3 FY 2024 % to RO Q3 FY 2025 % to RO % Growth Revenue from Operations (RO) 1,105 1,146 4% COGS (294) 27% (258) 22% Gross Profit 811 73% 888 78% 10% Employee Benefit (231) 21% (265) 23% 15% Other Expenses (266) 24% (302) 27% 14% EBITDA 314 28% 321 2
Slide 33: 9M FY 2025 (Consolidated): Healthy PAT Growth
9M FY 2025 (Consolidated): Healthy PAT Growth Rs. cr. 9M FY 2024 % to RO 9M FY 2025 % to RO % Growth Revenue from Operations (RO) 3,155 3,478 10% COGS (802) 26% (788) 23% Gross Profit 2,353 74% 2,690 77% 14% Employee Benefit (667) 21% (810) 23% 21% Other Expenses (792) 25% (918) 26% 16% EBITDA 894 2
Slide 34: Consistent growth for last 5 years
Consistent growth for last 5 years Revenue EBITDA and Margin % PAT and Margin % (INR Cr.) (INR Cr.) (INR Cr.) 4,209 3,743 26% 35% 28% 21% 28% 28% 18% 23% 21% 16% 19% 20% 3,341 3,478 1172 2,890 816 2,588 999 962 929 713 695 654 783 588 683 468 FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M F
Slide 35: Our ratios & cashflows are amongst the best in the industry
Our ratios & cashflows are amongst the best in the industry ROCE % (1) ROE % (2) CFO & Cash Conversion 35% 67% 58% 61% 99% 67% 102% 26% 30% 31% 28% 985 26% 23% 23% 23% 22% 19% 792 785 18% 576 562 457 FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY25 FY25 FY25 (
Slide 36: Healthy Earnings & Pay Out
Healthy Earnings & Pay Out (INR) (INR Cr.) (INR) EPS Payout (Dividend & Buyback) & PAT % Book Value per share 65 285 25% 38% 61% 81% 79% 101% 283 264 55 56 252 700 231 50 642 46 199 36 479 436 251 116 FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY25 FY25 FY25
Slide 37: Working Capital improved further to be the best in the industry
Working Capital improved further to be the best in the industry (Nos.) (Nos.) (Nos.) Receivable Days Inventory Days Payable Days 111 113 109 98 105 104 88 92 95 80 85 86 71 73 71 79 70 66 FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY20 FY21 FY22 FY23 FY24 9M FY25 FY25 FY25 30th January
Slide 38: Strategy Levers for Growth
Strategy Levers for Growth 30th January 2025 38
Slide 39: Solid foundation crafting the future
New products launches across markets Solid foundation Strong product portfolio under development / registration crafting the future Gain market share in existing products Focus on field force productivity enhancement Thrust on new countries & therapies Adding therapies, products & field in new count
Slide 40: Sustainability Initiatives
Sustainability Initiatives Committed to sustainable future 30th January 2025 40
Slide 41: Committed towards the Sustainability
Committed towards the Sustainability Energy Environment Reached 30% of renewable energy. Hazardous waste sent to cement plant. Low-carbon processes. Zero Tolerance CSR for child labor, forced labor, sexual Education, Healthcare & Rural Dev. for harassment & discrimination. benefit of marginalized &
Slide 42: Earnings Call Let's talk
Earnings Call Let’s talk 30th January 2025 42
Slide 43: Q3 FY25 Earnings Conference Call
Q3 FY25 Earnings Conference Call Date and Time January 30, 2025 at 1630 – 1730 hrs IST 1900 – 2000 hrs SST/HKT 1200 – 1300 hrs BST 0700 – 0800 hrs US ET Dial-in Numbers Diamond pass link Click here to register for faster access Universal Access Primary Access: +91 22 6280 1542 +91 22 7115 8372 Inter
Slide 44: Thank you
For more information, please visit our website: www.ajantapharma.com For regular updates follow us on twitter www.twitter.com/ajantapharmaltd Thank you For specific queries, contact: Rajeev Agarwal: 022-60609706 rajeev.agarwal@ajantapharma.com Abhineet Kumar: 022-60609721 abhineet.kumar@ajantapharma