Aarti Pharmalabs Limited · NSE:AARTIPHARM
Aarti Pharmalabs — Investor Presentation (June 2023)
26 slides from Aarti Pharmalabs's investor presentation, Jun 26, 2023
Slide 1: Exchange cover letter for analyst presentation
June 26, 2023 To, To, Listing/ Compliance Department Listing/ Compliance Department BSE LTD. National Stock Exchange of Phiroze Jeejeebhoy Towers, India Limited Dalal Street, “Exchange Plaza”, Plot No. C/1, Mumbai - 400 001 G Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400 051 SCRIP CODE: 5437
Slide 2: Analyst Presentation
ANALYST PRESENTATION
Slide 3: About Aarti Pharmalab
About Aarti Pharmalab Overview FY 23 - Consolidated Revenue Breakup (Rs. Crores) ▪ Established by first generation technocrats in 1984 ▪ Specialized key business verticals ■ API & Intermediates, ■ CDMO & CMO Services ■ Xanthine derivatives & allied 59% ▪ Strong R&D capabilities with IPRs for customi
Slide 4: Journey
Journey Expanded block •Unit 5 commissioned for CSD, Vapi and for Caffeine Production Oncology API, Tarapur. with a capacity of 100 block at Unit 4 Commissioning of first 1st Clearance of the Oncology block at MT per month audited by Acquired Land at Incorporated API manufacturing Unit USFDA & EUGMP
Slide 5: Manufacturing Facilities
Manufacturing Facilities Unit - II Custom Manufacturing Units Location synthesis division (CSD) Dombivali Unit - I (API & Intermediates) Location: Vapi Unit - II (API Intermediates & R&D Centers Vapi Custom Synthesis Unit) Location: Vapi, Unit – III (Xanthine Unit) Gujara Dombivali Tarapur Unit – IV
Slide 6: Chairman Emeritus
Chairman Emeritus Chandrakant Gogri • Founder of Aarti group of industries • Pursued Chemical Engineering from UDCT with varied experience in areas of Operations, Project, Process Development, Sales & Distribution. • Started the company from a small unit and took it to the path- breaking enterprise
Slide 7: Chandrakant Gogri - Lifetime Achievement Awards
Chandrakant Gogri-Lifetime Achievement Awards Lifetime Contribution Award at the Chemical and Petrochemical Awards, India Chem Series-FICCI Lifetime Achievement Award 2018 for his outstanding contribution towards the Indian chemical industry. Lifetime Achievement Award by GDMA (Gujarat Dyestuff Manu
Slide 8: Board of Directors (1/2)
Board of Directors (1/2) Rashesh Gogri Hetal Gogri Gala Narendra Salvi Parimal Desai Rajendra Gogri Chairman Vice Chairperson & Managing Director Managing Director Non-Executive Director Non-Executive Director Production Engineer Electronics Engineer and MDP MSc ( Organic Chemistry ) Masters – Chemi
Slide 9: Board of Directors (2/2) - Independent Director
Board of Directors (2/2) - Independent Director Jeenal Savla Rupal Vora Vilas Gaikar Bhavesh Vora Vinay Nayak Ph.D. degree in Chemical Chartered Accountant A Pharmaceutical Chartered Accountant Law Graduate Engineering Experience of around 28 professional with a technical Experience of around 14 Pra
Slide 10: Key Financial - Consolidated Financials
Key Financial - Consolidated Financials Note: The scheme of Demerger of Pharma business of Aarti Industries Limited into Aarti Pharmalabs Limited was effective from 1-Jul-2021. Hence the figures for FY 2022-23 are not comparable with that of FY 2021-22
Slide 11: Key Business Verticals
Key Business Verticals APIs and Intermediates CDMO / CMO Services Xanthine derivatives & Intermediates (Caffeine and others) ❏ Backward integrated intermediates for most ❏ CRAMs activity focused on API & intermediates APIs ❏ Working with 14 Innovators & Big Pharma ❏ Largest Indian Manufacturer for X
Slide 12: Strong Presence in API & Intermediates
Strong Presence in API & Intermediates 50 10 40 20 ~100 APIs have been New APIs are under US DMF approvals CEP approvals Generic Intermediates commercialized by APL development at APL’s obtained across available for sale in are available at R&D, since it entered the dedicated R&D facility multiple t
Slide 13: CDMO / CMO
CDMO / CMO ❏ Sustainable supply for APIs/NCEs/Intermediates in commercial scale ❏ Global regulatory accreditations (USFDA ,EUGMP, EDQM, KFDA, COFEPRIS) ❏ EHS and Quality are the highest priority. Facilities were audited as per PSCI principles ❏ High potent molecules (Oncology/Cytotoxic) development
Slide 14: Manufacturing Capabilities & Strengths
Manufacturing Capabilities & Strengths Impeccable Strong expertise in regulatory track Hydrogenation 20+ years of development of HPAPI (Cytotoxic/ record (>15 years) Backward facilities from lab Cryogenic reactors experience in robust & cost- Oncology) and High temperature and facilities integration
Slide 15: Strong Expertise
Expertise in Chemistries Pd-Coupling Chemistry Chiral Chemistry Nucleoside, Nucleotide Chemistry Carbohydrate Chemistry Lithiation Chemistry Strong Fluorine Chemistry Expertise Triphosgene Chemistry Grignard Chemistry Nitration chemistry Organoboron Chemistry Biocatalysis Hydrogenation 14
Slide 16: Quality & Regulatory
Quality & Regulatory eBMR under implementation QMS is in place All SOPs and STPs are 21 CFR compliant cGMP practices in line with various global regulator bodies requirement Regular on-job trainings and cGMP trainings Global regulatory accreditations 15
Slide 17: Xanthine Derivatives
Xanthine Derivatives • Xanthine derivatives are synthetic End Use Certifications compounds that resemble natural occurring xanthines such as caffeine etc., • Commonly used as mild stimulants & Cola Drinks Energy Drinks bronchodilators, notably in the treatment of asthma or influenza symptoms • 2 ded
Slide 18: R&D Strengths & Capabilities
R&D Strengths & Capabilities 3 70+ 7 13 52 State-of-the-art R&D centres at Maharashtra & Scientists Patents Granted Process patents filed PHDs. Gujarat 150+ 50+ Process for more than 150 Intermediates developed More than 75 API and manufactured on kilo commercialized lab scale 160 39 crs R&D Spend i
Slide 19: Strong Focus on R&D & Process Innovation
Strong Focus on R&D & Process Innovation Innovation at various reactions ● Carbohydrate Chemistry ● Chiral Chemistry ○ Asymmetric Synthesis ○ Bio Catalysts ○ Chiral Epoxides ○ Kinetic Resolution ● Coupling Reactions Chemistry ○ C-C Coupling ○ C-N Coupling ● Isomerization Reactions ● Triphosgene Reac
Slide 20: Data integrity & IP protection
Data integrity & IP protection Access control at all No mobile phones Laptops and desktops Mobile phone data locations and Labs access to labs and are encrypted management system is manufacturing areas in place Pen drives & external drives disabled for Restricted access Use secured share Customer da
Slide 21: Safety, Health and Environment
Safety, Health and Environment Environment Management System ● ISO 14001 : 2015 certification Process Safety Management ● All plants are Zero Liquid Discharge (ZLD) plants ● In-house Process Safety Laboratory - RC1 and TSU studies for all processes ● Approx. 50% water of total water consumption is r
Slide 22: Industry Overview
Industry Overview AARTI Indian Pharmaceutical Market (Rs. bn) 10. | 10.88% | 1569 255 1,503 ra o4 915 +1 FY14 FYIS5 FY16 FYI7 FY1I8 FYI9 FY20 FY21 FY22 FY27E The Indian pharmaceutical industry (IPM) has demonstrated strong growth over the past few decades, contributing ~1.72% of the GDP of the natio
Slide 23: Key drivers boosting growth for Indian APIs
Key drivers boosting growth for Indian APIs
Slide 24: Our Growth Strategy
Our Growth Strategy Increase in capacities of existing products Adding new 40+ Value added product each year. Atali Project ● ~ 80 acres of land in Gujarat (between Dahej & Bharuch) Growth Develop and explore more Initiatives under ● Adding 400+KL reactor volume in opportunities for innovator for AP
Slide 25: Outlook
Outlook ◆ Rampup of new expended blocks at Unit IV, Tarapur & Xanthine Deriatives FY24 ◆ Expected EBIDTA Growth to be about 10-15% ◆ Commissioning of Blocks at Atali in phased manner from FY25. FY25 and ◆ Rampup @ Atali project will bring in operating leverages in FY26 and beyond beyond ◆ Expecting
Slide 26: Thank You
THANK YOU Aarti Pharmalabs Limited #204, Udyog Kshetra, 2nd Floor, Mulund Goregaon Link Road, Mulund West, Mumbai - 400080, Maharashtra, India. Email: investorrelations@aartipharmalabs.com Contact: +91 22 67976666