Perrigo Company Plc · NYSE:PRGO
Perrigo — Q3 2015 Earnings Presentation
33 slides from Perrigo's earnings presentation, Oct 30, 2015
Slide 1: Mylan N.V. Q3 2015 Earnings
Mylan N.V. Q3 2015 Earnings October 30, 2015 Filed by Mylan N.V. Pursuant to Rule 425 under the Securities Act of 1933 Subject Company: Perrigo Company plc Commission File No. 001-36353
Slide 2: Legal Matters: Irish Law Restrictions and Forward-Looking Statements
Legal Matters IRISH LAW RESTRICTIONS ON CERTAIN INFORMATION Mylan N.V.’s (“Mylan”) offer for Perrigo Company plc (“Perrigo”) is governed by the Irish Takeover Panel Act, 1997, Takeover Rules 2013 (the “Irish Takeover Rules”). Under the Irish Takeover Rules, Mylan management is prohibited from discus
Slide 3: Legal Matters: Responsibility Statement and Dealing Disclosure
Legal Matters RESPONSIBILITY STATEMENT The directors of Mylan accept responsibility for the information contained in this communication, save that the only responsibility accepted by the directors of Mylan in respect of the information in this communication relating to Perrigo, Perrigo’s subsidiarie
Slide 4: Legal Matters: Additional Information
Legal Matters ADDITIONAL INFORMATION In connection with the Perrigo Proposal, Mylan has filed certain materials with the SEC (and anticipates filing further materials), including, among other materials, the Registration Statement. In connection with the Perrigo Proposal, Mylan also filed with the SE
Slide 5: Legal Matters: Non-GAAP Financial Measures
Legal Matters Non-GAAP Financial Measures This communication includes the presentation and discussion of certain financial information that differs from what is reported under GAAP. These non-GAAP financial measures, including, but not limited to, adjusted diluted EPS, adjusted cash provided by oper
Slide 6: Legal Matters: Trademark Disclaimer
Legal Matters TRADEMARK DISCLAIMER All trademarks, trade names, product names, graphics and logos of Mylan or any of its affiliates contained herein are trademarks, registered trademarks or trade dress of Mylan or such affiliate in the United States and/or other countries. This communication is neit
Slide 7: Today's Presenters
Robert J. Coury - Executive Chairman Heather Bresch - CEO Rajiv Malik - President John Sheehan - CFO Today’s Presenters
Slide 8: Q3 2015 Highlights
Q3 2015 Highlights Adjusted constant currency revenues grew 36%* compared to the prior year Mylan legacy adjusted constant currency revenues grew 14%*, reflecting continued strength in our legacy business Generics segment adjusted constant currency revenues grew 48%* and the legacy Mylan Generics se
Slide 9: EpiPen Auto-Injector
EpiPen® Auto-Injector With 85% market share, we continue to see positive script volume on a year-to-date basis. Mylan remains very well-positioned to supply the anticipated customer and patient demand, as we have consistently done for over 25 years. Based on recent events, we see EpiPen® Auto-Inject
Slide 10: 2015 Financial Guidance
2015 Financial Guidance 2015 adjusted diluted EPS is now expected to be at the upper end of the $4.15 to $4.35 guidance range *The 20% year-on-year growth rate referred to in this slide is illustrative only, and is intended to convey Mylan’s year-on-year adjusted diluted EPS growth rate in the event
Slide 11: Perrigo's Decelerating Core Highlights Weakness in Standalone Strategy
Perrigo’s Decelerating Core Highlights Weakness in Standalone Strategy Mylan Transaction Creates a Stronger and More Competitive Platform to Drive Growth Source: Public filings, Wall Street Research (08-Sep-2015 Jefferies Biogen report), Thomson Reuters consensus estimates as used by Perrigo in its
Slide 12: Q3 2015 Highlights By Region
Q3 2015 Highlights By Region *Total Mylan growth reflects the quarter-over-quarter comparison of total adjusted revenues. Segment and region growth reflects the quarter-over-quarter comparison of adjusted third-party net sales. All growth rates are stated on a constant currency basis. Adjusted metri
Slide 13: Continued Execution of Our Growth Drivers
Continued Execution of Our Growth Drivers *CCG = clinic commission group Sirdupla - Sirdupla™ pMDI continues to perform and has received majority endorsement from UK CCG* Revefenacin - Entered into Phase III clinical program expected to complete in Q3 2016 Generic Flovent® / Flixotide® - Completed p
Slide 14: Mylan Well Positioned to Integrate Complementary Businesses
Source: Perrigo Annual Reports on Form 10-K filed August 13, 2015 and August 14, 2014, Perrigo Company (“Perrigo Co”) Annual Reports on Form 10-K filed on August 15, 2013 and August 16, 2012, and Perrigo investor presentation dated September 17, 2015, titled “Responding to Mylan’s Inadequate Tender
Slide 15: Mylan Today: Global and Scalable Supply Chain
Mylan Today: Global and Scalable Supply Chain Ability and agility to respond to large and small volume orders with short lead times Manufacturing & Supply Capabilities Serving Market Needs Global Supply Chain and Operational Excellence More than 40 internal manufacturing sites more than 1,400 3P sup
Slide 16: Effectively Leveraging our API Capabilities
Effectively Leveraging our API Capabilities it’s about how you deploy and leverage these technologies and assets and strategically focus on opportunities CAPACITIES More than 50% of our pipeline and key products are vertically integrated DMFs (molecules) Pipeline Molecules Total Molecules 249 42 291
Slide 17: Operational Excellence with Our Network of Internal Finished Dosage Form Sites
Operational Excellence with Our Network of 33 Internal Finished Dosage Form Sites 12 3 Complex Products Sites 18 Oral Solid Dose Sites* Injectables Sites It’s not just having the capabilities, it’s about how we leverage and how we deploy these assets Tablets Capsules Injectables Ointments Creams Sci
Slide 18: Day 1 Plan and Pre-Close Integration Activities
60 Day Plan Ranjan Chaudhuri will join Mylan as the commercial lead for our OTC business. Ranjan has extensive experience in this space, most recently in the smoking reduction and cessation category, leading the recent divestiture of this business to Perrigo. Created a Governance team including an i
Slide 19: Q3 2015 Financial Results & 2015 Guidance
Q3 2015 Financial Results & 2015 Guidance $ millions, except EPS Q3 2015 Q-o-Q Growth 2015 Guidance Y-o-Y Growth*** Total Revenue* $2,712 36% (cc)** $9,600-$10,100 33% (cc)** Gross Margin* 58% +400 bps 53%-55% +160 bps R&D as % of Revenue* 6.4% (110) bps 6.5%-7.5% (30) bps SG&A as % of Revenue* 18.2
Slide 20: Perrigo Implied Hypothetical Unaffected Stock Price
Perrigo Implied Hypothetical Unaffected Stock Price Based on: Perrigo’s Implied Hypothetical Unaffected Stock Price Mylan’s Offer Has Been Supporting The Perrigo Share Price Perrigo Undisturbed 2016E P/E Multiple on April 7, 20153 18.3 x Change in Selected Peer Average 2016E P/E since April 7, 20151
Slide 21: Transaction is Immediately Accretive to Earnings and Value for Perrigo Shareholders
Transaction is Immediately Accretive to Earnings and Value for the Perrigo Shareholders Perrigo Standalone Mylan / Perrigo (2.30 Shares + $75 Cash) Mylan / Perrigo (3.97 Shares + $0 Cash)4 2016 Phased-in1 2016 Run-rate1 2016 Phased-in 2016 Run-rate 2016 Phased-in 2016 Run-rate Mylan Standalone Adj.
Slide 22: Bottom Line: The Math is a Clear Value Proposition vs Standalone
Bottom Line: The MATH is a Clear and Compelling Value Proposition Relative to Standalone Plan 1 No Deal Mylan Offer 2 Mylan / Perrigo (2.30 Shares + $75 Cash) Mylan / Perrigo (3.97 Shares + $0 Cash)3 Illustrative Standalone P/E 14 x 16 x Standalone Value Per Perrigo Share1 $9.45 $ 132 $ 151 Illustra
Slide 23: Mylan: Seeing is believing
Mylan Seeing is believing
Slide 24: Appendix
Appendix
Slide 25: Reconciliation of Non-GAAP Metrics
Reconciliation of Non-GAAP Metrics
Slide 26: Reconciliation of Non-GAAP Metrics: EBITDA
Reconciliation of Non-GAAP Metrics Below is a reconciliation of GAAP net earnings attributable to Mylan N.V. to EBITDA and adjusted EBITDA for the three and nine month period compared to the respective prior year period:
Slide 27: Reconciliation of Non-GAAP Metrics
Reconciliation of Non-GAAP Metrics Below are reconciliations of key non-GAAP financial metrics for the three and nine month period compared to the respective prior year period. The non-GAAP financial metrics are presented in order to supplement investors and other readers’ understanding and assessme
Slide 28: Reconciliation of Non-GAAP Metrics
Reconciliation of Non-GAAP Metrics
Slide 29: Reconciliation of Non-GAAP Metrics
Reconciliation of Non-GAAP Metrics
Slide 30: Summary of Adjusted Total Revenues by Segment
Summary of Adjusted Total Revenues by Segment
Slide 31: Perrigo: Reconciliation of Adjusted EBITDA Margin
Perrigo: Reconciliation of Adjusted EBITDA Margin Source: Perrigo Annual Reports on Form 10-K filed August 13, 2015 and August 14, 2014, Perrigo Co.’s Annual Reports on Form 10-K filed August 15, 2013 and August 16, 2012, and Perrigo investor presentation dated September 17, 2015, titled “Responding
Slide 32: Reconciliation of Forecasted Guidance
Reconciliation of Forecasted Guidance
Slide 33: Mylan: Seeing is believing
Mylan Seeing is believing