Hemas Holdings Ltd. · CSELK:HHL.N0000
Hemas — H1 FY2021-22 Earnings Presentation
35 slides from Hemas's earnings presentation, 2021
Slide 1: Hemas Holdings PLC Investor Presentation First Half FY 2021-22
Hemas Holdings PLC Investor Presentation First Half – FY 2021-22 COPYRIGHT © 2021 | HEMAS HOLDINGS PLC
Slide 2: Our Portfolio
Our Portfolio Consumer Brands Healthcare Mobility • Home and Personal Care - • Pharmaceutical Import, • Maritime Sri Lanka (HPC SL) Marketing and Distribution • Logistics • Home and Personal Care - • Pharmaceutical Manufacturing - • Aviation International (HPC Int) Morison • Learning Segment - Atlas
Slide 3: Macroeconomic Snapshot of Sri Lanka
Macroeconomic Snapshot of Sri Lanka Inflation LKR Depreciation Interest Rate GDP Headline inflation stood at 5.7% YoY Despite the continuous efforts of the Central Bank of Sri Lanka (CBSL) continued GDP for Q2 2021 picked up 12% YoY increase underpinned by high food Government, depleting foreign exc
Slide 4: Macroeconomic Snapshot Continued..
Macroeconomic Snapshot Continued.. Commodity Price Hike COVID-19 Update Pandemic Driven Volatility GSCI Commodity Index Total confirmed cases 600 557.4 Supply chain 536.9 Global economic 545,935 550 disruptions recovery and supply 500 466.2 disruptions 59.5% YoY 450 409.3 (including freight Total De
Slide 5: Our Strategic Building Blocks
Our Strategic Building Blocks MORE FROM THE CORE NEW WITHIN THE CORE DRIVERS Accelerate current business efforts to drive Capturing new revenue streams to further higher value in core business strengthen the core Create sustainable • HPC SL : launched ‘Goya’ perfumed soap in two variants pink rose •
Slide 6: Financial Snapshot of the Group
Financial Snapshot of the Group 1H FY 2021-22 Group Revenue by Segment EBIT by Segment 1H FY 2021-22 1H FY2021-22 (LKR Mn) LKR 36.2Bn LKR 2.65 0.2% 4,000 (0.1%) 19.8% -7.2% 3.3% (3.7%) 2,638 2,623 2,648 Revenue EPS 3,000 472 492 256 35.3% 1,128 885 (37.4%) 2,000 1,089 1,485 120 LKR 2.6Bn 29.6% 61.2%
Slide 7: Sector Performance Summary – 1H FY 2021-22
Sector Performance Summary – 1H FY 2021-22 Revenue Walk EBIT Walk (LKR Mn) (LKR Mn) 247 216 2,648 2,638 1,506 223 37 36,234 4,234 -204 -269 30,234 1H 2021 Healthcare Consumer Mobility Other 1H 2022 1H FY 21 Healthcare Consumer Mobility Other 1H FY22 Note: The ‘other segment’ includes the corporate o
Slide 8: Sector Performance Summary – Q2 FY 2021-22
Sector Performance Summary – Q2 FY 2021-22 Revenue Walk EBIT Walk (LKR Mn) (LKR Mn) 2,535 92 49 19,829 -132 2,033 59 17,285 18 1,547 -469 -94 Q2 FY21 Helathcare Consumer Mobility Other Q2 FY22 Q2 FY21 Healthcare Consumer Mobility Other Q2 FY22 Note: The ‘other segment’ includes the corporate office
Slide 9: Continuing Operation EPS
Continuing Operation EPS EPS Walk (LKR Per Share) 0.21 3.00 2.86 2.65 -0.02 2.50 -0.34 -0.06 2.00 1.50 1.00 0.50 0.00 1H FY21 Operating Profit Net Finance Cost Income Tax NCI 1H FY22 COPYRIGHT © 2021 | HEMAS HOLDINGS PLC 9
Slide 10: Capital Employed – Sector Efficiency
Capital Employed – 1H FY 2020-21 Sector Efficiency Capital Employed, ROCE, and EBIT by Sector 40% 30% Mobility LKR 471.9 Mn Healthcare Consumer LKR 1,829.7 Mn 20% LKR 884.9 Mn Group ROCE - 12.5% 10% ROCE (%) 0% 0 5 10 15 20 25 Capital Employed (LKR Bn) -10% Other -20% LKR (584.4 Mn) -30% Note: The s
Slide 11: Consumer Brands
Consumer Brands Home and personal care – Sri-Lanka Home and personal care – International Learning Segment COPYRIGHT © 2021 | HEMAS HOLDINGS PLC 11
Slide 12: Consumer Brands
Consumer Brands Contribution to Group Sector Performance – Q2 FY 2021-22 Revenue % 37% Key Highlights Revenue (LKR Mn) 43% -1.8% • The pandemic continued to influence consumer behaviour, sales mix and (YoY) 9,000 7,933 market channels. 7,459 7,327 Q2FY22 5,827 • Q2 last year was a strong comparator
Slide 13: Home and Personal Care – Sri Lanka
Home and Personal Care – Sri Lanka Key categories with market Purpose-driven brands touching the lives of the Sri Lankan consumer 8 leading positions Entered the ‘Beauty’ category through Vivya Inclusive Strong roots Parenting Stronger Make a Celebrating & Enabling Both parents together Positive Dif
Slide 14: Home and Personal Care Sri Lanka: Strong Brand Portfolio
Home and Personal Care Sri Lanka: Strong Brand Portfolio of business where Hemas is 95% among the Top 3 players #1 #1 #1 #2 Presence in all modern In Hair Oil In Beauty Soap In Baby Care In Feminine Care trade chains and outlets of households reached by 98% Hemas brand #2 #2 In Laundry Care In Oral
Slide 15: Our Consumer Health Brands
Our Consumer Health Brands Skincare Baby Care Cold and Flu COPYRIGHT © 2021 | HEMAS HOLDINGS PLC 15
Slide 16: Home and Personal Care – International
Home and Personal Care – International Locally led and localized in Bangladesh Reach in Bangladesh 2 Geographies Bangladesh & West Bengal • All products are exclusively designed for Bangladesh. Rural penetration 19.0% by Hemas • We have a local leadership team with 90% 2 Key categories Health soap c
Slide 17: Home and Personal Care – Sri Lanka and International
Home and Personal Care – Sri Lanka and International Sri Lanka International Revenue (LKR Mn) Revenue Revenue 1.1% • Increased market shares in the larger Personal Care (YoY) • Operating conditions in Bangladesh continued to space such as hair and toothpaste 6,000 5,044 5,102 4,783 4,539 be challeng
Slide 18: Learning Segment
Learning Segment Revenue 6 Key categories • Prolonged school closure coupled with trade union strike impacted the ongoing recovery. Revenue (LKR Mn) • Atlas continued to gain market share across all key categories including books and colour products over last year. High Efficiency and productivity 4
Slide 19: Atlas: Where We Inspire the Next Generation to Unleash Their Potential
Atlas: Where We Inspire the Next Generation to Unleash Their Potential “We provide tools, content and experiences which will enable the next generation to unleash their potential” Carefully Crafted Brand Portfolio Atlas KIDS in Line with Growth Areas Catering to all stationery and back to school • O
Slide 20: New Product Launches During the Quarter
New Product Launches During the Quarter Home and Personal Care Home and Personal Care Learning Segment Sri Lanka International New designs under the innov8 brand: Eva by Kumarika Non-sticky Coconut Hair Oil Diva Araliya Goya Soap A unique combination of Coconut oil, Onion, and Fenugreek, Shield Rela
Slide 21: Healthcare Sector
Healthcare Sector Pharmaceutical Import, Marketing and Distribution Pharmaceutical Manufacturing Hospitals COPYRIGHT © 2021 | HEMAS HOLDINGS PLC 21
Slide 22: Healthcare Sector
Healthcare Sector Contribution to Group Sector Performance – Q2 FY 2021-22 60% Revenue % Key Highlights Revenue (LKR Mn) 27% 53% (YoY) 12,000 11,847 10,339 10,021 • Demand for healthcare services and Q2FY22 10,000 9,311 9,265 medicines increased during the peak of Q2FY21 COVID cases. 8,000 58% • Hos
Slide 23: Pharmaceutical Import, Marketing, Distribution and Pharmaceutical Manufacturing
Pharmaceutical Import, Marketing, Distribution and Pharmaceutical Manufacturing Pharmaceutical Import, Marketing, and Pharmaceutical Manufacturing Morison Plant and Key Highlights Distribution NPD focused separate manufacturing Principals Formulations - Manufacturing line consisting of advanced tech
Slide 24: Pharmaceutical Import, Marketing, Distribution and Pharmaceutical Manufacturing
Pharmaceutical Import, Marketing, Distribution and Pharmaceutical Manufacturing Revenue • The distribution segment witnessed a double-digit growth in revenue owing to steady demand for healthcare especially in the respiratory therapeutic category. Revenue (LKR Mn) • Manufacturing segment witnessed a
Slide 25: Hospitals
Hospitals Revenue • Over 50% YoY revenue growth on the back of 180+ Beds higher hospital occupancy and laboratory and diagnostic chain. Revenue (LKR Mn) • Higher mix of COVID patients against non-COVID patients. 52.1% 2,000 (YoY) 59% Hospital occupancy 1,770 Profitability • EBITDA Margins were impro
Slide 26: We are the only COVID-Certified Hospital in Sri Lanka
We are the only COVID-Certified Hospital in Sri Lanka Hemas Hospitals Highlights Centers of Excellence: “The first Internationally accredited hospitals chain in Sri Lanka by the Australian • In vitro fertilization unit (IVF) (29 cycles in Council on Healthcare Standards International (ACHSI)” Jul-Se
Slide 27: We have a widespread Lab Network
We have a widespread Lab Network 50+ Labs & Collection Centers Lab Network Highlights Q2 FY 2021-22 Performance across the Country Centers of Excellence: • Main Lab Services to Hospitals (10 244k+ B2B Labs +4 B2B CCs) Test volumes • Outer Labs services across the country (14 Labs) 545+ • Collection
Slide 28: Mobility Sector
Mobility Sector Maritime Logistics Aviation COPYRIGHT © 2021 | HEMAS HOLDINGS PLC 28
Slide 29: Mobility Sector
Mobility Sector Contribution to Group Sector Performance – Q2 FY 2021-22 3% Revenue % Key Highlights Revenue (LKR Mn) 3% • Industry freight rates hike partially negated 1,000 18.3% the adverse volume impact on declined (YoY) total TEUs at the Port of Colombo. 734 Q2FY22 587 595 • Maritime witnessed
Slide 30: Mobility Sector
Mobility Sector 2Far Shipping line – Evergreen line & Far Shipping “Offering a Full Spectrum of End-to-end Services across Land, Sea and Air” 125,000+ TEUs Emirates Sky Cargo – 1st in the network to Represents the leading Throughput Facilitating over 1000+ feeder operator to the operate mini freight
Slide 31: A Group Digital Transformation
A Group Digital Transformation that will Reimagine, Re-organize, Rebuild, Reinvent and Refocus Hemas Digital Outcomes Reorganize Leadership, Organization & Governance Revenue and Value Creation New Ways of Working Skills for the future New digital Customer Digital DNA in our people Predictive data /
Slide 32: Environmental Agenda 2030
Environmental Agenda 2030 Responsible Plastic Manufacture Safeguard our Eco System Protect our Natural Resources and Disposal Practices We will embrace and Actively pursue the use of From Design to disposal, natural resources in a we will strive to reduce use champion initiatives that responsible ma
Slide 33: Sustainability Performance - Q2 FY 2021-22 vs Q2 FY 2020-21
Sustainability Performance - Q2 FY 2021-22 vs Q2 FY 2020-21 Values of Fines for Non-Compliance Carbon Footprint (per Rs. Mn Revenue) 0.28 MT 18% with Laws and Regulations in the NONE Social Economic Area Water Consumption Total Work-Related Injury Rate (per Rs. Mn Revenue) 2.6 m3 46% (per 100 employ
Slide 34: Corporate Governance
Corporate Governance COG Group CEO COG Consists of the senior leadership team of 9 members - MDs of our 5 major businesses and 4 leaders from Corporate Nomination & Office. Responsible for formulation and implementation of Group strategic plan. The COG, as in a gearbox in a Group Audit Governance ve
Slide 35: Disclaimer
Disclaimer The material in this presentation has been prepared by Hemas Holdings PLC (“Hemas”) and is general background information about Hemas’ activities current as at the date of this presentation. This information is given in summary form and does not purport to be complete. Information in this