Slide 1: Dong-A Pharm. 2012 Performance Results
Dong-A’ Pharm. 2012 Performance Results Investor Relations January 2013
Slide 2: Forward Looking Statements
Forward Looking Statements The business results for the 4th quarter of 2012, currently under audit review, are presented here for investors’ convenience. Hence, please be advised that some of their contents may be altered in the course of audit. This presentation may contain “forward-looking stateme
Slide 3: Table of Contents
Table of Contents I. Financial Performance (K-IFRS Separate) II. Performance by Division III. 2013 Business Plan IV. Appendix 2
Slide 4: I. Financial Performance (K-IFRS Separate)
I. Financial Performance (K-IFRS Separate) 3
Slide 5: Financial Performance – Sales & OPM
Financial Performance – Sales & OPM [KRW bil.] 2012 (YoY) 4Q 2012 (YoY, QoQ) 12.8% (28.5*) 11.6% (28.3*) 10.5% (95.0*) 9.6% (89.6*) 6.1% (14.0*) 2.6% -3.4% -8.4% 907.3 931.0 230.7 222.7 243.2 2011 2012 4Q '11 4Q '12 3Q '12 Sales OPM * New OP basis(before other profit & loss) 4
Slide 6: 2012 Margin Analysis
2012 Margin Analysis [KRW bil.] 2011 2012 YoY Cost of Goods Sold Ratio 44.4% 47.8% 3.3%p SG&A Expenses Ratio 44.7% 42.6% -2.1%p HR Related Cost per Sales 12.8% 12.9% 0.1%p (Salary + Severance + Fringe Benefit) R&D Cost per Sales 8.0% 8.8% 0.8%p (Reflected in SG&A) Advertisement Cost per Sales 5.3% 5
Slide 7: 4Q 2012 Margin Analysis
4Q 2012 Margin Analysis 3Q ‘12 4Q '12 QoQ Cost of Goods Sold Ratio 46.4% 45.7% -0.7%p SG&A Expenses Ratio 42.0% 41.5% -0.5%p HR Related Cost per Sales 14.1% 11.1% -3.0%p (Salary + Severance + Fringe Benefit) R&D Cost per Sales 7.9% 8.4% 0.5%p (Reflected in SG&A) Advertisement Cost per Sales 4.9% 5.5
Slide 8: Sustainable COGS & OP Margin Analysis
Sustainable COGS & OP Margin Analysis [KRW bil.] 3Q ‘12 4Q ‘12 2H ‘12 Sales 243.2 222.7 465.9 COGS 112.9 101.7 214.6 Gross Profit 130.3 121.1 251.4 SG&A 102.0 92.5 194.5 Operating Profit* 28.3 28.5 56.8 One-offs 3Q ‘12 4Q ‘12 2H ‘12 Commission Revenue 2.5 3.2 5.7 Currency Effect 1.0 1.0 Modified Sal
Slide 9: 2012 4Q Balance Sheet
2012 4Q Balance Sheet [KRW bil.] 2012. 09 2012. 12 QoQ Major Financial Ratios Total Asset 1,474.6 1426.5 -3.3% 103.0% 89.5% Liability to Cash 421.8 357.8 -15.2% Equity Ratio 71.8% Receivable 145.0 135.5 -6.6% 63.8% Debt to Equity Ratio Inventory 120.6 131.2 8.9% 16.3% 13.7% Net Debt to Total Liabili
Slide 10: II. Performance by Division
II. Performance by Division 9
Slide 11: Performance by Division
Performance by Division Sales Portion Sales by division [KRW bil.] Division Growth 2011 2012 YoY ■ ETC 496.5 439.7 -11.4% 47.2% 54.7% ■ Export 53.6 94.8 76.9% ■ Medical 84.5 73.7 -12.8% 10.2% 5.9% Total 634.7 608.2 -4.2% 7.9% 9.3% 18.4% ■ Bacchus 150.1 170.9 13.9% 16.5% ■ OTC 102.7 138.2 34.5% 11.3%
Slide 12: Performance by Division – ETC & Major Products
Performance by Division – ETC & Major Products -8.3% [KRW bil.] 88.1 -11.4% 80.8 -35.7% -34.8% 46.0 -39.1% 496.5 44.2 439.7 37.0 4.1% 28.4 30.0 22.6 21.1 21.9 New 4.0 0.0 Stillen Plavitor Lipinon Opalmon Growtropin Flivas 2011 2012 -27.3% 10.2% 26.3 -23.6% 22.1 -44.5% -38.2% 20.0 20.3 19.1 18.8 18.4
Slide 13: Performance by Division – Export
Performance by Division – Export Major Products [KRW bil.] 27.3% 138.8% 21.6 20.8 53.6% 16.5 17.0 76.9% 94.8 180.4% 10.7 11.4 New 57.2% 8.7 53.6 5.7 4.1 5.1 3.3 0.0 2011 2012 Growtropin Cycloserine Terizidone Atorvastatin Zydena Bacchus Major Regions 13.1% 227.4% 56.7% 17.7 17.2 -15.9% 14.8 15.6 242
Slide 14: Performance by Division – Medical
Performance by Division – Medical [KRW bil.] 84.5 -12.8% 18.0 -0.3% 17.9 4.4% 17.2 73.7 45.9 -3.5% 11.5% 10.7 12.0 15.7% 10.3 Medical 44.2 Equipment Diagnostics 38.7 -23.8% 7.3 29.5 -17.8% 6.0 -12.6% 6.8 2011 2012 4Q '11 4Q '12 3Q '12 -1.5% 20.3 20.0 3.3% -12.2% -6.7% -11.1% 9.0 9.3 7.2 4.9 4.3 4.5
Slide 15: Performance by Division – OTC & Bacchus
Performance by Division – OTC & Bacchus [KRW bil.] 309.1 84.4 22.2% -13.9% 72.6 68.0 6.8% 138.2 33.1 34.5% 7.1% 102.7 29.8 18.7% 35.4 OTC Bacchus 170.9 51.3 150.1 13.9% -27.5% 38.2 -2.5% 37.2 2011 2012 4Q '11 4Q '12 3Q '12 6.3% 146.3 155.5 301.8% 19.8% 61.1% 10.7% -0.9% 15.4 22.4 26.8 13.3 21.4 15.4
Slide 16: R&D Roadmap - NCE/Phyto
R&D Roadmap - NCE/Phyto 2013~2014 2015~2016 2017~ DA-8159* - BPH (JPN) DA-8159 - PAH (KOR) DA-8159* DA-8159* DA-7218 - ED (USA) - BPH (USA) - ABSSSI (KOR) DA-6034 DA-8159* DA-6034 - Gastritis (KOR) - PH (EU) - Dry Eye (KOR) DA-6886 DA-8031 DA-7218* - Irritable Bowel Syndrome - Premature Ejaculation
Slide 17: R&D Roadmap - Bio
R&D Roadmap - Bio 2013~2014 2015~2016 2017~ DA-3030 - Diabetic Neuropathy (KOR) DA-3808 DA-3031* - Hemophilia (KOR) - Neutropenia (KOR) DA-3002 - Idiopathic Short Stature (KOR) DA -3111** DA-3801 - her2 Breast Cancer - Ovulation Induction (KOR) DA-3051** - (KOR & JPN) - Multiple Sclerosis (BRA) DA-3
Slide 18: III. 2013 Business Plan
III. 2013 Business Plan 17
Slide 19: 2013 Business Plan
2013 Business Plan Sales & OPM • Sales : KRW1,026.0bil. (+10.2%, YoY) • OP(OPM) : KRW 117.0bil (11.4%) R&D Cost : KRW100.0bil., 9.8% • Focus on developing global new drugs through strengthening R&D capability • Biosimilar R&D 18
Slide 20: Appendix
Appendix 19
Slide 21: Demerger Schedule
Demerger Schedule Planning to complete HC establishment and restructuring of subsidiaries until 2013 2012.10.23 2012.12.27 2013.1.28 2013.2.27 2013.3.1 2013.4.12 ~ 4.11 BOD Notification General Suspension Demerger Listing Meeting of The Result Shareholders of Trading Change of Listing Meeting and El
Slide 22: Condensed Statements of Financial Position (Separate)
Condensed Statements of Financial Position (Separate) [KRW bil.] 1Q ‘11 2Q ‘11 3Q ’11 4Q ‘11 1Q ‘12 2Q ‘12 3Q ‘12 4Q ‘12 Total Assets 1,137.8 1,150.7 1,195.0 1,236.8 1,268.1 1,297.7 1,474.6 1,426.5 Current Assets 403.4 416.1 458.9 466.2 496.7 524.5 694.8 633.8 Cash & Equivalents 146.8 144.4 198.3 19
Slide 23: Condensed Statements of Income (Separate)
Condensed Statements of Income (Separate) [KRW bil.] 1Q ‘11 2Q ‘11 3Q ‘11 4Q ‘11 2011 1Q ‘12 2Q ‘12 3Q ‘12 4Q ‘12 2012 Sales 210.2 224.5 241.9 230.7 907.3 218.6 246.5 243.2 222.7 931.0 COGS 82.3 93.0 113.7 114.2 403.3 106.9 123.3 112.9 101.8 444.8 Gross Profit 128.0 131.5 128.2 116.4 504.0 111.7 123
Slide 24: Performance by Division
Performance by Division [KRW bil.] Division 1Q ‘11 2Q ‘11 3Q ‘11 4Q ‘11 2011 1Q ‘12 2Q ‘12 3Q ‘12 4Q ‘12 2012 ETC Total 114.5 120.9 135.9 125.1 496.5 107.7 117.2 108.5 106.3 439.7 OTC Total 51.9 62.2 70.7 68.0 252.9 66.0 86.1 84.4 72.6 309.1 Bacchus 26.6 38.7 46.7 38.2 150.1 32.7 49.7 51.3 37.2 170.
Slide 25: Major Products Sales (ETC)
Major Products Sales (ETC) [KRW bil.] Product 1Q ‘11 2Q ‘11 3Q ‘11 4Q ’11 2011 1Q ‘12 2Q ‘12 3Q ‘12 4Q ‘12 2012 Lipinon 11.5 11.7 11.3 11.5 46.0 7.5 7.0 8.2 7.4 30.0 Plavitor 10.5 11.7 10.5 11.4 44.2 8.1 5.8 7.3 7.2 28.4 Opalmon 8.9 9.8 9.7 8.7 37.0 6.1 5.1 6.1 5.3 22.6 Orodipine 6.8 7.0 6.1 6.3 26.
Slide 26: Major Products Sales (OTC)
Major Products Sales (OTC) [KRW bil.] Product 1Q ‘11 2Q ‘11 3Q ‘11 4Q ‘11 2011 1Q ‘12 2Q ‘12 3Q ‘12 4Q ‘12 2012 Bacchus D 26.6 38.7 45.4 35.7 146.3 30.2 45.2 46.3 33.8 155.5 Bacchus F - - 1.3 2.5 3.8 2.5 4.5 5.0 3.5 15.4 Bacchus 26.6 38.7 46.7 38.2 150.1 32.7 49.7 51.3 37.2 170.9 Total Panpyrin 6.9
Slide 27: R&D Pipeline - NCEs (New Chemical Entities)
R&D Pipeline - NCEs (New Chemical Entities) TYPE CODE NAME MAJOR INDICATION DESCRIPTION STAGE Phase 3 completed (USA) Erectile Dysfunction Warner Chilcott Benign Prostatic Under Phase 2 (JPN) Hyperplasia Meiji Seika Pharma. DA – 8159 PDE-5 Inhibitor Under Phase 2 (EU) Portal Hypertension Dr. Falk Pu
Slide 28: R&D Pipeline – Phyto & Biological Entities
R&D Pipeline – Phyto & Biological Entities TYPE CODE NAME MAJOR INDICATION DESCRIPTION STAGE Phyto DA-9801 Diabetic Neuropathy Herbal Extracts Under Phase 2 (KOR) Infertility (Ovulation DA-3801 Induction) Recombinant FSH Phase 3 completed (KOR) DA-3803 Infertility Recombinant hCG Under Phase 3 (KOR)
Slide 29: R&D Pipeline – Other Biological Entities
R&D Pipeline – Other Biological Entities R&D on Bio at Beginning Stage Biosimilar/better - DA-3811 (Gaucher Disease, Cerezyme Biosimilar) DA-3808 (Hemophilia A, Advate Biosimilar) DA-3880 (Anemia of Chronic Renal Failure, Aranesp Biosimilar) Antibody - DA-3111 (her2 Positive Breast Cancer, Herce
Slide 30: Thank You
Thank You wy