Ibnsina Pharma · EGX:ISPH
Ibnsina Pharma — S1 2024 Earnings Presentation
25 slides from Ibnsina Pharma's earnings presentation, 2024
Slide 1: Investor Review S1 2024
— ZK S1, 2024 ibnsina pharma Investor Review
Slide 2: Pharma Market Dynamics
Pharma Market Dynamics Macros and pharma market status 2
Slide 3: Pharma Market: Total Pharma Market Growth
Pharma Market: Total Pharma Market Growth Exchange Rate pressure EDA to increase Prices resulting in a double-digit growth in market value 33bn - 37% Growth in Value S1, 2023: 87bn S1, 2024: 120bn 61.9 60.9 58.74 57.2 45.7 42.5 43.2 41.5 39.4 36.1 36.7 36.7 32.7 32.7 33.6 29.6 29.8 27.7 Q1, 2020 Q2,
Slide 4: Pharma Market: Growth Drivers
Units Sold ASP Pharma Market: Growth Drivers S1 24 vs S1 23 S1 24 vs S1 23 Growth leveraged by “Average Selling Price” growth compensating decline in “Units sold” 2% 40% 8 0 1,023 77 14% 1 0 0 948 958 949 960 72 927 938 905 900 % of repriced items by 7 0 877 893 887 SKUs from total regulated 847 836
Slide 5: S1 2024 Performance
S1, 2024 Performance Highlights on P&L & B/S 5
Slide 6: Financial Performance Highlights: S1 2024
Financial Performance Highlights: S1, 2024 Key highlights on S1 business results 29% 57% 53% 62% YTD Market YTD Growth in Growth in Growth in Share Revenue Gross Profit EBITDA (5.2%) (23.6bn) (1.8bn) (1.02bn) 68% 1.34 24% 3 Growth in Non-Core Days of cash Debt Ratio Net Profit business conversion (v
Slide 7: ISPH Strategy 2024: Sustainable Growth
ISPH Strategy 2024: ISP Strategy Sustainable Growth 57% YTD Growth in Revenue (23.6bn) Sustainable Growth 29% 53% YTD Market Growth in Share Gross Profit (5.2%) (1.8bn) 7
Slide 8: Market Share: ISP Market Share based on Value
Q2 MS (+5.1%) Market Share: ISP Market Share based on Value 2024: 31.2% Ibnsina Pharma leads the market in June 2024 in value & units 2023: 24.1% 4 .0 % 3 0 % 3 .5 0 % 29.17% 3 .0 % 2.15% 27.01% 2 .5 0 % 2 5 % 2.70% 24.0% 24.3% 23.9% 23.9% 2 .0 % 3.50% 0.09% -0.06% 0.38% 1 21.33% 1 .5 0 % 20.58% 20.
Slide 9: Revenue Analysis: Growth
S1 24 vs 23 Growth Revenue Analysis: Growth 57% Ibnsina Pharma achieves 57% QoQ revenue growth rate in Q2, 2024 (8.5bn) 2021 Revenue: 22.3bn 2022 Revenue: 22.8bn 2023 Revenue: 34.7bn S1, 2024: 23.5bn 1 4 ,0 0 S1 2023: 15.0bn 58% 2 3 5 % 55% 1 2 ,0 0 58% 12,611 64% 10,842 1 8 5 % 1 0 , 0 58% 10,444 2
Slide 10: Revenue Analysis: Growth Across All Business Units
S1 24 vs 23 Growth Revenue Analysis: Growth Across All Business Units 57% Addressing customer segments individually, modifying internal capacity to cater segment’s needs & potential (8.5bn) 14 2023 Revenue: 34.7bn S1, 2024: 23.5bn S1 2023: 15.0bn 12 12.61 10.84 10 10.44 S1 23 vs 24 Growth Pharmacies
Slide 11: Gross Profit: Gross Profit Analysis
Gross Profit Growth Gross Profit: Gross Profit Analysis S1 24 vs S1 23 Optimize gross profit due to success in managing CTG, GDT & Supplier Deals 53% (627mn) Gross Profit Optimization (S1, 2024) Cash Discount Given (Millions) Gross Profit Value (Millions) 9 0 0.82% 4 .0 % 8 0 1,811 7 0 3.44% S1 24 3
Slide 12: ISPH Strategy 2024-2025: OPEX Optimization
ISPH Strategy 2024 - 2025: ISP Strategy Working Capital & Net Debt Optimization OPEX 62% Optimization Growth in EBITDA (1.02bn) 12
Slide 13: OPEX Optimization
OPEX Optimization: Optimization New lowest OPEX to Sales recorded in Q2 2024 with a steady decline OPEX vs EBITDA (% of Sales - QOQ) EBITDA Value EBITDA Value 628mn 1,015mn (+387mn) S1, 2023 S1, 2024 5.0% 4.5% 4.3% 4.0% 4.0% 4.1% 4.0% 3.8% 3.7% 3.6% 3.5% 3.4% 3.3% 3.2% 3.1% 3.2% 3.2% 2.9% 2.7% 2.6%
Slide 14: ISPH Strategy: Income Statement
ISPH Strategy 2023-2024: ISP Strategy Working Capital & Net Debt Optimization Income Statement 68% Growth in Net Profit (221mn) 14
Slide 15: Income Statement: S1 23 vs S1 24
Income Statement: S1, 23 vs S1, 24 ISP Consolidated 68% growth in NP collectively despite set-backs in subsidiaries performance and due to the solid position ISP Standalone of Ibnsina Pharma AIM Consolidated Gross Sales (Growth: 57 %) Gross Profit (Growth: 53%) OPEX (Growth: 41%) EBITDA (Growth: 61%
Slide 16: Working Capital & Debt Optimization
ISPH Strategy 2024-2025: ISP Strategy Working Capital & Net Debt Optimization Working Capital & Debt Optimization 1.34 24% Days of cash Debt Ratio conversion (vs 26%, S1 23) 16
Slide 17: Financial Expenses: Debt Levels vs Interest Expense
Financial Expenses: Debt Levels vs Interest Expense While debt levels remain within same interval since 2022, Interest Expense rises steadily FY, 2022 Interest Expense: 477mn FY, 2023 Interest Expense: 1,044mn S1, 24: 766mn S1 23 vs 24 G: 324mn - 73% S1, 23: 443mn 5 0 4,129 4,055 4 5 0 4 ,0 0 4,013
Slide 18: Working Capital Optimization: Exceptional Relative Performance
Working Capital Optimization: Exceptional Relative Performance Maintaining a healthy CCC further supports spontaneous financing and free cash flow. CCC CCC CCC CCC 2.1 Days 9.4 Days 0.0 Days 1.1 Days 40 38 38 29 124 127 121 115 96 88 83 87 S1 - 2021 S1- 2022 S1 - 2023 S1 - 2024 DSO DIO DPO 18
Slide 19: Net Debt Optimization: Net debt maintained at same level despite growth
Net Debt Growth S1 2024 Net Debt Optimization: Net debt maintained at same level despite growth 15% Net Finance Bearing Debt to Equity levels despite recent Equity multiple adjustments & Revenue growth Revenue Growth: 57% Net Debt (mn) 3,852 3,526 4,013 3,613 4,129 4,055 Equity (mn) 1,332 1,368 1,41
Slide 20: Non-Core Business (Diversification)
ISPH Strategy 2023-2024: ISP Strategy Investment Diversification Non-Core Business (Diversification) 3 Non-Core business Performance 20
Slide 21: Non-pharma Distribution Review: Business Overview and Results
Non-pharma Distribution Review: Business Overview and Results Non-pharma Distribution Business Model – Higher Margin Business Line with Great Potential 2024 Highlights Non-pharma Revenues 246% YTD Sales GPM 21, 22, 23, July 24 Actual + 24 Budget 1.56bn 11.5% 4 0 0 3,750 2 5 0 % (S1, G: 230%) Free Be
Slide 22: Medical Promotion Review: Business Overview
Total MP Performance YTD June 23 Medical Promotion Review: Business Overview MP Revenues MP Net Profit NPM High synergy diversification model with great impact on ISP’s growth performance 63mn 27.5mn 44% Medical Promotion Outsourcing Overview Medical Promotion Outsourcing Overview 184% 2,558 119% 11
Slide 23: Ramp Logistics Review: Service Outline & Top Line Overview
Ramp Logistics Review: Service Outline & Top Line Overview Multiple revenue streams and increase in customers on-board; showing potential Services 2 5 0 Revenue Analysis 1 6 0 % P&L Client Portfolio 1 4 0 % 0.4 9 40% Warehousing 2 0 18 1 2 0 % Transportation 1 0 % 1 5 0 49% 94 8 0 % 66 Value Adding
Slide 24: CAPEX Review: Main CAPEX Line
Investment 23 Investment 24 CAPEX Review: Main CAPEX Line Investment facilitating growth direction 161mn 162mn Core Investment Total Core 23 Green Projects 1 110mn HQ 10 1 Total Core 24 Vehicles 5 47 151mn Maintenance 10 14 Renovation 13 10 2023 2024 (Contr.: 56%) New Warehouses 29 21 (Contr.: 19%)
Slide 25: ibnsinapharma
ibnsinapharma