GSK plc · LSE:GSK
GSK — GlaxoSmithKline — Investor Day (May 2009)
31 slides from GSK's investor day presentation, May 29, 2009
Slide 1: Geographic Expansion and Emerging Markets
Geographic Expansion and Emerging Markets Ian McPherson President International
Slide 2: Agenda
Agenda 1 International: Footprint & Financials 2 Geographic Expansion Strategy 3 International Potential
Slide 3: International - Footprint
International - Footprint 80% 70+ of the world’s markets population!
Slide 4: International - Scale
International - Scale Total £4.0bn Intnl. £1.2bn North America & EU 69% International 31% 2008 Reported Sales
Slide 5: International - Area Sales Contribution
International - Area Sales Contribution 8% 16% 16% 20% 33% 7% 2008 Reported Sales
Slide 6: International - Sales Growth Trend
International - Sales Growth Trend % Sales Growth +15% +13% +11% 2007 2008 2009 Q1 2008 Reported Sales
Slide 7: 2009 Q1 Area Growths
International - 2009 Q1 Area Growths +22% +8% +11% +22% +15% +13% CER Growth
Slide 8: Brand Growth 2009 Q1
International - Brand Growth 2009 Q1 % Growth 45% >100% 30% 25% 20% 15% 10% 5% 0% Above brands represent 83% of sales
Slide 9: Contribution to Cx Sales Growth
International - Contribution to Cx Sales Growth Average 2006 - 08 North America & EU 58% International 42% CER Growth
Slide 10: International - Profile
International - Profile Share of Sales Share of Profit North America North America & EU & EU 69% 70% International International 31% 30% 2008 Reported Sales & Profit
Slide 11: International - Brand Profile
International - Brand Profile Sales # Top 4 Brands Market Position £m mkts Globally 47 239 #1 in International Managed Markets 182 19 #1 in India 95 52 #1 in International Markets 87 42 #1 in International Markets 2008 Reported Sales Source: Nielsen, Synovate, Intage, IMS - Feb 2009
Slide 12: OTC Sales in Emerging Markets
OTC Sales in Emerging Markets #1 2008 Euromonitor Data & GSK analysis
Slide 13: International - Ranking
International - Ranking #1 OTC #2 Oral Care #1 India Nutritional Beverages
Slide 14: Agenda
Agenda 1 International: Footprint & Financials 2 Geographic Expansion Strategy 3 International Potential
Slide 15: Geographic Expansion Strategy
Geographic Expansion Strategy Investment Footprint BRIC and Satellite Markets Global Brand Portfolio Invest in large proven brand concepts Go To Market Price Points Availability
Slide 16: Geographic Scale & Footprint
Geographic Scale & Footprint 2008 Sales £m +8% +15% 300 +20% +19% 250 200 150 100 50 0 Brazil India Sub China Russia + Latina + other CEE Continent + other Asia 2008 Reported Sales
Slide 17: Investment Footprint
Investment Footprint Investing Where Growth is Higher 2008 Cx Global Sales £4bn BRIC + Satellites £1bn / 25% * Brazil, South America, CEE, China, India, Asia
Slide 18: Geographic Expansion Strategy
Geographic Expansion Strategy Investment Footprint BRIC and Satellite Markets Global Brand Portfolio Invest in large proven brand concepts Go To Market Price Points Availability
Slide 19: Cx Global - Panadol Footprint
Cx Global - Panadol Footprint 83 markets
Slide 20: Cx Global - Sensodyne Footprint
Cx Global - Sensodyne Footprint 87 markets
Slide 21: Geographic Expansion
Geographic Expansion 41 3 markets years
Slide 22: Cx Global - Breathe Right Footprint 2006
Cx Global - Breathe Right Footprint 7 2006 markets
Slide 23: Cx Global - Breathe Right Footprint Q1 2009
Cx Global - Breathe Right Footprint 57 Q1 2009 markets
Slide 24: Geographic Expansion Strategy
Geographic Expansion Strategy Investment Footprint BRIC and Satellite Markets Global Brand Portfolio Invest in large proven brand concepts Go To Market Price Points Availability
Slide 25: Drive Majority Growth New Consumer Households
Drive Majority Growth New Consumer Households Number of new “consumer” households - 2006-2010 * 200m 200 9% 175 150 Other International 91% 125 BRIC 100 75 50 25 0 Source: EIU World Data; McKinsey Global Insight
Slide 26: Price Point Examples
Price Point Examples Corega Niquitin 25ml & 25g ENO Single Sachet “Single dose” Powder 22g 4 -Lozenge toothpaste tubes & Trade Display Panadol Cream 40g & 20g Blister Scott Emulsion “One Shot” 4-Strip Pack Horlicks & Boost Iodex Small Pack 90g sachet 70 ml Grandpa Analgesic Breathe Right
Slide 27: Route to Market - India & China
Route to Market - India & China Retail Coverage Geographical Reach
Slide 28: In Store Visibility
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Slide 29: Agenda
Agenda 1 International: Footprint & Financials 2 Geographic Expansion Strategy 3 International Potential
Slide 30: International - Potential
International - Potential Smokers Overweight + Obese Total 1.2 Billion Total 1.6 Billion 0.9 Billion NA & EU 1.1 Billion NA & EU 29% 24% International International 76% 71% Source: World Health Organization 2005
Slide 31: Summary
Summary 1 Scale, high growth & profitable 2 Enviable geographic footprint 3 Strong brand portfolio 4 Driving access for emerging consumers 5 Potential for strong sustainable growth