Acrux Limited · ASX:ACR
Acrux — Shareholder Meeting (November 2012)
17 slides from Acrux's shareholder meeting presentation, Nov 22, 2012
Slide 1: Acrux 2012 Annual General Meeting
For personal use only Acrux (ASX: ACR) 2012 Annual General Meeting 22 November2012
Slide 2: Forward-Looking Statements
2 FORWARD-LOOKING STATEMENTS For personal use only This presentation includes forward-looking statements that are subject to risks and uncertainties. Such statements involve known and unknown risks and important factors that may cause the actual results, performance or achievements of Acrux to be ma
Slide 3: Strategy
3 STRATEGY Maximise shareholder value by: For personal use only • Helping Lilly ensure Axiron optimises global long-term potential • Optimising the commercial value of estradiol spray and animal health • Exploiting commercial potential of Luramist • Commercialising a new product with current deliver
Slide 4: Axiron
For personal use only Axiron
Slide 5: Advances in Last Year
5 ADVANCES IN LAST YEAR • Gross sales growth in line with Acrux’s expectations For personal use only – 30% growth in transdermal testosterone US prescriptions 2012 versus 2011 – market expected to be ~US$1.9 billion in 2012 – Current 13% share of transdermal testosterone prescriptions in US • Access
Slide 6: Lilly's Investments in Axiron
6 LILLY’S INVESTMENTS IN AXIRON For personal use only • Payments to Acrux (to date ~ $150m) • Supply chain improvements • Manufacturing capacity expansion • Substantial and ongoing direct-to-consumer advertising • Promotion to specialist physicians and PCPs • Further clinical study of the indication
Slide 7: Erectile Dysfunction Market
7 ERECTILE DYSFUNCTION MARKET For personal use only • Cialis® entered erectile dysfunction market in 2003, 5 years after a very well established and dominant Viagra® • Cialis now rivals Viagra® globally as leading erectile dysfunction treatment – net sales in 2011: • Cialis - $1.9 billion (including
Slide 8: Advances Expected in Next Year
8 ADVANCES EXPECTED IN NEXT YEAR • Continuing US market growth For personal use only – Transdermal prescriptions Q3 2012 were 4% higher than Q2 2012 (30% higher than Q3 2011) • Market share growth – Become second largest product – Driven by increasing national direct to consumer marketing • Signific
Slide 9: Axiron – Beyond the Current US Market
9 AXIRON – BEYOND THE CURRENT US MARKET For personal use only • Ex-US markets for testosterone therapy underdeveloped – Current annual sales approximately US$300 million – Annual US sales were ~US$300 million ten years ago – Number of potential patients is greater than in the US – Axiron will be the
Slide 10: Other products
For personal use only Other products
Slide 11: Advances in Last Year
11 ADVANCES IN LAST YEAR For personal use only • Recuvyra marketing approval in United States and launched in Europe • Estradiol spray marketing approval notice in Switzerland • Formulation development in progress for new transdermal products
Slide 12: Advances Expected in Next Year
12 ADVANCES EXPECTED IN NEXT YEAR For personal use only • Recuvyra first royalties • Estradiol spray distributor outside the US • Resolution of estradiol spray license in US • Licensing opportunities with new products
Slide 13: Financials
For personal use only Financials
Slide 14: Reported Financials
14 REPORTED FINANCIALS FY 2009/10 FY 2010/11 FY 2011/12 For personal use only $m $m $m Revenue 561 932 11 Profit before tax 49 82 4.9 Tax (charge)/benefit (2) (25) 2.5 Profit after tax 47 57 7.4 Earnings per share 29 cents 35 cents 4 cents Dividend (tax-free) - 60 cents 8 cents Cash at 30 June 59 33
Slide 15: Financial Outlook - Revenue
15 FINANCIAL OUTLOOK - REVENUE For personal use only Royalty = (US market size x US market share – Rebates + Ex-US sales) x average royalty % Outlook: • Axiron royalties: • Percentages of worldwide net sales • Tiered structure with average rate increasing as sales increase • Multiple factors combini
Slide 16: Financial Outlook - Expenditure
16 FINANCIAL OUTLOOK - EXPENDITURE For personal use only • 2011/12 expenditure reduced to $5.3m, excluding: • Monash royalty (3.5% of product revenues, expiring 2017) • Amortisation of capitalised R&D costs • Expenditure excluding these items reduced to ~$5m in 2012/13 • Minimising costs, but retain
Slide 17: For personal use only
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