Viva Biotech Holdings · HKEX:1873
Viva Biotech — H1 2019 Earnings Presentation
22 slides from Viva Biotech's earnings presentation, Aug 28, 2019
Slide 1: Viva Biotech Interim Report
(HK.01873) 2019.08.28 Viva Biotech Interim Report 1
Slide 2: Disclaimer
Disclaimer These materials have been prepared by Viva Biotech Holdings (the “Company”) and have not been independently verified. The information contained in these materials does not constitute a recommendation regarding the securities of the Company and/or its affiliates. No representations, warran
Slide 3: Founders and agenda
Cheney Mao Ph.D. Fengmao Hua Founder, Chairman & CEO Founder & CFO ✓ Selected to participate in the “The Thousand Talents Plan” initiated by Shanghai government in August 2012 and the PRC central government in ✓ MBA from International University of Japan March 2013 ✓ ~20 years of experience in the i
Slide 4: Industry Overview
01 Industry Overview CYIVA
Slide 5: Positive Outlook of Global Pharma Outsourcing Market and Drug Innovations
Positive Outlook of Global Pharma Outsourcing Market and Drug Innovations Global Pharma Outsourcing Market, 2013-2022E New Drug Approval by Size of Originator, 2013-2022E1 Billion USD Large Mid-sized Small CAGR during Period Total CAGR Pharmaceutical Pharmaceutical Pharma/Biotechs/ Total CAGR Period
Slide 6: Active Market in Broader Healthcare Space
Active Market in Broader Healthcare Space Recent HK biopharma/CRO/CDMO IPOs witness strong Sizable companies continue to be acquisitive in expanding momentum in fund raising1 current capabilities2 $11,100mn $507mn $1,003mn $205mn $150mn $1,094mn $8,013mn $173mn $328mn $453mn $2,085mn $945mn $1,061mn
Slide 7: Business Review
02 Business Review CYIVA
Slide 8: Our Business Model
1 Our Business Model We have developed an innovative business model combining the conventional cash-for-service (CFS) model, pursuant to w hich w e receive cash service fees from our non-investee customers, and our unique equity -for-service (EFS) model Scalably participate Pre- World-leading struct
Slide 9: Drug Discovery Service
2 Drug Discovery Service --8 technology platforms, 4 of them leading the world 22 authorized patents and 4 pending patents in China and US SBDD Platform FBDD Platform • Investigate the mechanism and function of the proteins • Uses libraries with lower molecular weight • Determine the crystal structu
Slide 10: Drug Discovery Service (cont'd)
2 Drug Discovery Service (cont’d) --Outstanding achievement for CFS business Net profit from CFS business increased We provided drug discovery services to significantly from 14mn RMB in 2018H1 23 new customers worldwide in 2019H1, to 41mn RMB in 2019H1, representing making the total high-quality cus
Slide 11: Drug Discovery Service (cont'd)
2 Drug Discovery Service (cont’d) --Rapid growth to be expected Customer Retention Backlog Orders Revenue generated from repeated As end of 2019H1, there are 243 customers accounted for 83% in customer orders with total contract 2019H1, remaining steady to 70%， value amounting to 207mn RMB, 89% and
Slide 12: Incubation and Investment
3 Incubation and Investment --EFS business scaled up steadily Hongxing Zhou, Ph.D. In 2019H1, we continued ✓ Experienced in the discovery and to scale up our innovative engineering of human antibodies Along with the increasing ✓ Over 20 years R&D Experience in Business Partner system GSK, Amgen incu
Slide 13: Incubation and Investment (cont'd)
3 Incubation and Investment (cont’d) --Keep exploring promising biotech startups worldwide US First in Class China MeToo/MeBetter Other Other Small Molecule Macro Molecule Other 2020-2021 Cancers Metabolic and cardiovascular diseases Eye diseases and Dermatology Plan to invest/incubate another Anti-
Slide 14: Incubation and Investment (cont'd)
3 Incubation and Investment (cont’d) --Newly increased incubation portfolio companies Time of Shareholding Current Shareholding Stage of Type Project Name Indications/Primary Technology/Business Investment/ % to be received Stage of % held Entry incubation under agreement Funding Therapy for the tre
Slide 15: Financial Analysis
03 Financial Analysis CYIVA
Slide 16: Rapid Revenue Growth
Rapid Revenue Growth CFS revenue increased 72% YOY 105 Total Revenue increased 84% YOY 142 61 77 72 Increase of customer orders 2018H1 2019H1 42 Increase of incubation services EFS revenue increased 129% YOY 37 2018H1 2019H1 Revenue Gross Profit 16 Gross Margin 54.6% 50.5% CFS-EFS % 2018H1 2019H1 79
Slide 17: Outstanding Growth for Net Profit
Outstanding Growth for Net Profit Net Profit increased 47% YOY Profit from CFS and EFS 千人民币 2018H1 2019H1 Adjusted Net Profit 66,931* 98,643** 99** Profit from EFS *** 52,819 58,060 FVTPL Gain 41,464 48,168 67* Deemed Disposal Gain 11,355 9,892 Profit from CFS 14,112 40,583 CFS Profit increased 188%
Slide 18: Maximize the Interest of Shareholder
Maximize the Interest of Shareholder Apart from the emphasis on business development, the management also pays close attention to investors' short-term and long-term returns. The interests of shareholders will be ensured to a certain extend through STABLE DIVIDEND POLICY and TIMELY SHARE REPURCHASE:
Slide 19: Future Strategies
04 Future Strategies CYIVA
Slide 20: Future Strategies
Future Strategies --Further optimize our innovative business model World-leading structure-based technologies that enable us to stand at the gateway for first-in-class drug discovery Innovative and unique business model to tap into vast pharmaceutical market Integrated drug discovery platform attrac
Slide 21: Future Strategies: Service + Capital layout
Future Strategies --“Service + Capital” layout alongside the industry chain integration Achieve service capability for whole industrial chain Downstream Derivation along industry value chain： Commercial Mfg Services Small/Macro Molecule CMO • Collaborate with top players specializing in respective C
Slide 22: Thank You!
Thank You！
Viva Biotech Holdings — H1 2019 Earnings Presentation on 6ix