Gni Group Ltd. · TSE:2160
Gni — Q1 2022 Earnings Presentation
20 slides from Gni's earnings presentation, May 19, 2022
Slide 1: GNI Group Ltd. FY2022 Q1 Financial Results
GNI Group Ltd. FY2022 Q1 Financial Results Corporate Presentation May 19th, 2022 We Bring New Hope to Patients Securities Code: 2160
Slide 2: Forward-looking Statements
We Bring New Hope to Patients Forward-looking Statements This presentation contains statements concerning the current plans, expectations and strategies of GNI Group Ltd. (GNI Group). Any statements contained herein that pertain to future operating performance and that are not historic facts are for
Slide 3: Agenda
We Bring New Hope to Patients Agenda Strategic Overview Ying Luo (罗楹), PhD President and Chief Executive Officer Financial Overview Joseph Francis Meyer Chief Financial Officer Questions and Answers Ying Luo Joseph Francis Meyer Akihiro Nakano (IR) © 2022 GNI Group Ltd. All rights reserved 3
Slide 4: 2022Q1: Maintaining Growth and Strategic Initiatives
We Bring New Hope to Patients 2022Q1: Maintaining Growth and Strategic Initiatives Consolidated revenue hit quarterly record high JPY 3.9 billion, growing 1.6% compared to the historically best quarter in 2021Q1 amid industry-wide headwinds R&D making steady progress Beijing Continent (BC belo
Slide 5: R&D: Drug Development Pipeline (1/2)
We Bring New Hope to Patients R&D: Drug Development Pipeline (1/2) Steady progress on clinical trials in China by BC Beijing Continent Expecting Product Indication Pre- Phase I Phase II Phase III NDA Marketed Upcoming approval Commercial clinical Milestone date Rights Idiopathic Pulmonary Fibrosis C
Slide 6: R&D: Drug Development Pipeline (2/2)
We Bring New Hope to Patients R&D: Drug Development Pipeline (2/2) Promising drug pipeline in the US – more IND’s to come Cullgen Phase Phase Product - Indication Origin Phase I Latest Status as of 2022 May II III PROTAC (China) Cancer Proprietary Filed IND with NMPA for cancer Phase 1 trial More IN
Slide 7: Key Strategic Growth Initiatives
We Bring New Hope to Patients Key Strategic Growth Initiatives Trends Opportunities Growth Potential Progress ETUARY® Increasing competition in Strong sales force across Expansion of Clinical trials for fibrosis treatment in China China indications indication expansion Rising awareness of
Slide 8: Biomaterial Business
We Bring New Hope to Patients Biomaterial Business Developing plans to expand internationally BAB bucked industry trends – strong Q1’22 Have identified a partner to expand product sales into in China Invest into new aesthetics business using available biomaterial © 2022 GNI Group Ltd. All rights res
Slide 9: Healthcare Business Update (Rui Fu aka Reef)
We Bring New Hope to Patients Healthcare Business Update (Rui Fu aka Reef) Mission: Bring high diversity of healthcare products of Japan to the biggest consumer markets in China COVID-19 products – special masks imported into China Expanding product line Skin care (health foods, etc.) products sales
Slide 10: GNI Group's Efforts in ESG
We Bring New Hope to Patients GNI Group’s Efforts in ESG UN’s Sustainable Development Goal #3: Good Health and Well-Being • Each subsidiary complying with Environment local regulations • ESG-compliant manufacturing • Challenging un- met medical Social needs to bring new hope to patients • Enhancing
Slide 11: Financial Overview
Financial Overview Joseph Francis Meyer Chief Financial Officer © 2022 GNI Group Ltd. All rights reserved 11
Slide 12: 2022Q1: Macro Environment
We Bring New Hope to Patients 2022Q1: Macro Environment Unprecedented volatility in the world’s stock markets Tailwind from depreciating JPY at consolidated level JPY Depreciation (Jan 2021 - Apr 2022) USD/JPY 25% CBOE Volatility Index from Jan 2021 to Apr 2022 (Source: QUICK Qr1) USD/JPY RMB/
Slide 13: Global Biotech Equity Market Trend 2020 - 2022
We Bring New Hope to Patients Global Biotech Equity Market Trend 2020 - 2022 GNI Group Topix Pharmaceuticals Index 250.00% MSCI China HealthCare ETF S&P Biotechnology Select Industry Index 200.00% 150.00% 100.00% 50.00% 0.00% (Source: YCharts) © 2022 GNI Group Ltd. All rights reserved 13
Slide 14: Japanese Selected Biotech Firms Market Cap 2021Q1 vs 2022Q1
We Bring New Hope to Patients Japanese Selected Biotech Firms Market Cap (Billion JPY) 2021Q1 vs 2022Q1 180 159.2 160 149.2 140 120 115.3 99.7 100 86.2 80 66.1 64.1 60 54.953 40 27.8 27.5 20 0 GNI SOSEI ANGES HEALIOS CMIC Q1 2021 Q1 2022 (Source: Finbox) © 2022 GNI Group Ltd. All rights reserved 14
Slide 15: 2022Q1 Micro: Maintaining Profitability
We Bring New Hope to Patients 2022Q1 Micro: Maintaining Profitability Subsidiary performance in local currency terms: BC: 22Q1 revenue down from 21Q1, but profits improved; overall on track for full-year budget BAB: profits up by 23% from 21Q1 thanks to increasing surgeries; ahead of fully-yea
Slide 16: Segment Revenue Progress
We Bring New Hope to Patients Segment Revenue Progress Trending steady growth path (Million JPY) Quarterly Revenue by Segment from 2020 to Date 3,500 3,000 2,500 2,000 1,500 1,000 500 0 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1 2021Q2 2021Q3 2021Q4 2022Q1 Pharmaceutical revenue Medical Device revenue Exclu
Slide 17: Revenue by Segment and Key Points
We Bring New Hope to Patients Revenue by Segment and Key Points Key Points (Million JPY) Medical Device 1.6% Recovery of surgeries back-to- normal in the US 462 531 Highly-regarded brand in the industry 323 24.7% Pharmaceutical Well-established sales force 3,409 3,401 across major regions in C
Slide 18: Consolidated Operating Profit Breakdown
Consolidated Operating Profit Breakdown (Million JPY) Increase Decrease Others: Other Income and Other Expenses © 2022 GNI Group Ltd. All rights reserved 18
Slide 19: FY2022Q1 Consolidated Financial Results
We Bring New Hope to Patients FY2022Q1 Consolidated Financial Results Growing while maintaining profitability Million Yen Consolidated P/L FY2021Q1 FY2022Q1 Change Revenue 3,872 3,933 1.6% • Highest quarter revenue ever recorded Gross profit 3,416 3,384 -1.0% • Continued hiring (esp. R&D) in BC and
Slide 20: Contact Information
We Bring New Hope to Patients Contact Information infojapan@gnipharma.com © 2022 GNI Group Ltd. All rights reserved 20