Sun Pharmaceutical Industries Limited · NSE:SUNPHARMA
Sun Pharmaceutical Industries — Ranbaxy Laboratories — Q4 2012 Earnings Presentation
22 slides from Sun Pharmaceutical Industries's earnings presentation, Feb 26, 2013
Slide 1: Financial Results: October–December 2012 (Q4 2012) and Full Year 2012
Ranbaxy Laboratories Limited FINANCIAL RESULTS: October – December 2012 (Q4 2012) Full Year 2012 (CY 2012) ARUN SAWHNEY CEO & MD Dept. 26 Feb 2013Name Post Results Conference Call Privileged and Confidential
Slide 2: Safe Harbor
Safe Harbor Except for the historical information contained herein, statements in this presentation and the subsequent discussions, which include words or phrases such as “will”, “aim”, “will likely result”, “would”, “believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “p
Slide 3: Key Achievements for Quarter 4, 2012
1/3 Key Achievements for Quarter 4, 2012 Financial Base sales increased by over 10% EBITDA margins impacted by expenses pertaining to (i) Higher R&D spend, (ii) Atorva recall, (iii) Organizational productivity projects 37,520 21% 26,708 Percent $738 Mn Rs. Mn $496 Mn 2% Q4 2011 Q4 2012 Q4 2011 Q
Slide 4: Key Achievements for CY 2012
2/3 Key Achievements for CY 2012 Financial Sales grew 15% over the corresponding year to cross Rs.120 Bn; Base business sales also grew over 10% Base business EBITDA margins improved 122,529 16% 15% 99,700 Percent Rs. Mn $2,310 Mn $2,112 Mn 2011 2012 2011 2012 Sales EBITDA/ Sales% Growth calcula
Slide 5: Key Achievements for Quarter 4 & CY 2012
3/3 Key Achievements for Quarter 4 & CY 2012 Launched Absorica® & AG Actos® Gx/ Business Pioglitazone during the year Emerging market: Rs.13,628 Mn for Q4; Rs.51,037 Mn for CY 12 56% of DF sales for Q4; 44% for 2012 Developed market: Rs.10,938 Mn for Q4; Rs.64,187 Mn for CY 12 44% of DF sale
Slide 6: $ appreciated against most currencies vs. previous year
$ appreciated against most currencies Vs. previous year Q4 2011 Vs. Q4 2012 MYR NGN RUB EUR ZAR RON INR BRL 3% 2% 0% -4% -7% -6% -8% -13% $ appreciated against most currencies vs. previous year Performance in $ terms seems weaker compared to actual business performance in local currency For li
Slide 7: Functional Performance
Functional Performance Manufacturing Received approval to set up a Greenfield manufacturing facility in Malaysia, during the year Established manufacturing base in Morocco Research & Development Filed 5 FTFs during 2012 (brand sales: $4.3 Bn) Investment focused on differentiated products and
Slide 8: Hybrid Business Model
Hybrid Business Model Synergy with Daiichi Sankyo Front end: Ranbaxy and DS integrated their operations in Thailand to achieve potential synergies and optimize cost structure for both Ranbaxy launched Evoxac® AG in the US Back end etc.: Synergy through collaborative supply chain in Europe
Slide 9: Other Areas
Other Areas Regulatory Consent Decree: satisfactory progress Regulatory inspections by 15 country level authorities Voluntary recall of Atorvastatin from USA Derivatives Position Exposure down to ~$1.07 Bn as on 31 Dec 2012 from ~1.27 Bn in Q3 2012. Maturity: ~$40 Mn/Month Debt Total Debt
Slide 10: Financial Performance
Ranbaxy Laboratories Limited Financial Performance FINANCIAL RESULTS: October – December 2012 (Q4) Full Year 2012 (CY 2012) Dept. 26 Feb 2013Name Post Results Conference Call Privileged and Confidential
Slide 11: Sales Performance
Sales Performance Rs. Mn. Consolidated Sales Consolidated Sales Q4 2012 CY 2012 122,529 99,700 $2,310 Mn $2,112 Mn 37,520 26,708 $738 Mn (31%) $496 Mn 15% Q4 2011 Q4 2012 CY 2011 CY 2012 Base business sales grew by >10% over the corresponding period Sales grew across key emerging markets during
Slide 12: North America
North America Rs. Mn. 53,336 Major markets $1,015 Mn -USA 38,041 -Canada $791 Mn 20,653 $406 Mn 8,510 (62%) 28% $160 Mn Q4 2011 Q4 2012 CY 2011 CY 2012 Sales in USA impacted due to absence of large exclusivity sales compared to the corresponding quarter Continued to maintain strong market share
Slide 13: India
India Rs. Mn. Major markets 21,661 -India, CHC 19,452 -SL $405 Mn $418 Mn 5,418 4,893 $99 Mn $96 Mn 12% 12% Q4 2011 Q4 2012 CY 2011 CY 2012 Sales growth in line with IPM sales growth Strong OTC sales performance continued Launched Synriam™, 1st NCE from India; # 6 amongst new product launches
Slide 14: East Europe & CIS
East Europe & CIS Rs. Mn. 13,374 Major markets 11,640 -Romania -Russia $249 Mn $250 Mn -Ukraine 3,830 3,211 $63 Mn $71 Mn 17% 8% Q4 2011 Q4 2012 CY 2011 CY 2012 Sales improved over the corresponding period Business was affected by regulatory changes including ‘claw-back’, more stringent re- regi
Slide 15: West Europe
West Europe Rs. Mn. 9,509 Major markets -France $178 Mn -Germany 7,381 -UK $158 Mn 2,209 2,129 $42 Mn $41 Mn - 21% Q4 2011 Q4 2012 CY 2011 Z CY 2012 Atorvastatin launches in West Europe helped sales growth in the year Sales in Spain and Italy businesses stronger Concerns on Macro-economic indi
Slide 16: Asia Pacific & Middle East
Asia Pacific & Middle East Rs. Mn. Major markets 5,715 -ANZ 4,743 $107 Mn -Malaysia $101 Mn 1,453 1,354 $29 Mn $25 Mn 6% (14%) Q4 2011 Q4 2012 CY 2011 CY 2012 Received permission for a greenfield manufacturing facility from the government of Malaysia Pursuant to Hybrid strategy work together wit
Slide 17: Africa
Africa Rs. Mn. Major markets 9,428 8,828 -South Africa -Nigeria $189 Mn $177 Mn 2,505 2,656 $49 Mn $49 Mn 1% 4% Q4 2011 Q4 2012 CY 2011 CY 2012 Sales in the region impacted by adverse exchange rate movement North Africa (Morocco) business growth in line with plans; established new manufacturing
Slide 18: Latin America
Latin America Rs. Mn. Major markets 2,825 -Brazil $61 Mn -Mexico 2,201 $41 Mn 642 591 $13 Mn $11 Mn (28%) (8%) Q4 2011 Q4 2012 CY 2011 CY 2012 LATAM sales lower due to product supply disruption in the region and adverse currency movement Growth calculated on Constant Forex Privileged and Confident
Slide 19: API & Others
API & Others Rs. Mn. 7,305 6,980 $149 Mn $137 Mn 2,088 2,142 $41 Mn $41 Mn (3%) (7%) Q4 2011 Q4 2012 CY 2011 CY 2012 Focus on profitability Growth calculated on Constant Forex Privileged and Confidential 19
Slide 20: Financials Q4 and Full Year 2012 $ Mn
Financials Q4 and Full Year 2012 $ Mn Q4'11 CY’11 Particulars Q4'12 CY’12 99 424 -Within India 101 412 639 1,688 - Outside India 395 1,899 738 2,112 Sales 496 2,310 15 56 Other operating income 7 39 752 2,168 Total Operating Income 503 2,349 206 711 Total Material Consumption 213 759 77 357 Employee
Slide 21: Financials Q4 and Full Year 2012 INR Mn
Financials Q4 and Full Year 2012 INR Mn Rs. Mn. Q4'11 CY’11 Particulars Q4'12 CY’12 5,037 19,756 -Within India 5,477 22,008 32,483 79,944 - Outside India 21,231 100,521 37,520 99,700 Sales 26,708 122,529 742 2,595 Other operating income 404 2,068 38,262 102,295 Total Operating Income 27,112 124,597
Slide 22: Questions & Answers
Questions & Answers Dept. Name Privileged and Confidential