Zota Health Care Ltd. · NSE:ZOTA
Zota Health Care — Investor Presentation (February 2025)
50 slides from Zota Health Care's investor presentation, Feb 13, 2025
Slide 1: Cover letter to NSE
February 13, 2025 To, The Manager Listing Department, The National Stock Exchange of India Limited Exchange Plaza, Bandra Kurla Complex, Bandra (E), Mumbai – 400051 Dear Sir/Madam, Trading Symbol: ZOTA Sub: Investor Presentation Ref: Regulation 30 of SEBI (Listing Obligations and Disclosure Requirem
Slide 2: India's Largest Private Generic Pharmacy Retail Chain
INDIA’S LARGEST PRIVATE GENERIC PHARMACY RETAIL CHAIN February 2025 Zota Health Care Limited I nv e s t o r P r e s e n t a t i o n
Slide 3: Safe Harbour
Safe Harbour 2 zotahealthcare.com This presentation has been prepared by the Zota Health Care Limited (the “Company”) only for information purpose to the stakeholders and does not contain any offer or invitation to subscribe the securities of the Company. No offering of securities shall be made exce
Slide 4: Company Overview
Company Overview
Slide 5: Zota Healthcare At a Glance
Zota Healthcare At a Glance 4 zotahealthcare.com davaindia.com • Zota Health Care Ltd., a publicly listed company on NSE, has established a Business Verticals significant footprint in the Indian healthcare sector since its inception in 2000. • Headquartered in Surat and employing over 470 dedicated
Slide 6: Our Journey
Our Journey 5 zotahealthcare.com davaindia.com 01 02 03 2000 2004 2010 2011 2017 2018 Zota Health Care - Acquired all brand names Inaugurated an export- Commenced exports, Introduced Davaindia, a private Achieved ₹10+ Cr in Export Sales; davaindia.com Incorporated of Sayona Medicare via an oriented
Slide 7: Management Profile (1/2)
Management Profile ( 1 /2 ) 6 zotahealthcare.com davaindia.com K E TAN K U M AR Z O TA M O X E S H Z O TA S U J I T PAU L CHAIRMAN AND MANAGING DIRECTOR Group Chief Executive Officer NON-EXECUTIVE DIRECTOR davaindia.com Total Experience: 38+ Total Experience: 10+ Total Experience: 23+ • Holds a D-Ph
Slide 8: Management Profile (2/2)
Management Profile ( 2 /2 ) 7 zotahealthcare.com davaindia.com AD H E E S H M U K H AR J E E R AJ E S H K U M AR PRITHISH KUNDU SGM (South & North) – SGM - Information Technology G M - B2B, PCD & ET HICAL COCO & FOFO OPERATIONS davaindia.com Total Experience: 17 Years Total Experience: 21 Years Tota
Slide 9: Company Structure
Company Structure 8 zotahealthcare.com davaindia.com Zota Health Care Limited Step down subsidiary Davaindia Procurement in (Davaindia Health Mart listed entity (Listed entity) Supplying products at ALP* Limited) davaindia.com COCO (COCO# stores) FOFO Domestic Export (Sales to FOFO# stores) FOFO Sal
Slide 10: Business & Industry Overview
Business & Industry Overview
Slide 11: Business Verticals
Business Verticals 10 zotahealthcare.com davaindia.com R E V E N U E C O N T R IB U T I O N ( Q 3 F Y 2 5 ) 1 . DAVA I ND I A Consolidated • A Retail generic pharmacy chain providing quality generic medicines. • Focuses only on private-label products in: Everyday Herbal Group • Medicinal 02 Store va
Slide 12: India is amongst the Lowest Public Spenders
India is amongst the 11 zotahealthcare.com davaindia.com Lowest Public Spenders Medicines account for ~70% 17.00%** Population with household spending on health greater than 10% of total household budget. davaindia.com 6.67%# Population with household spending on health greater than 25% of total hou
Slide 13: Case Study – Savings on Davaindia margins
Case Study – Savings on Davaindia margins 12 zotahealthcare.com davaindia.com Indian Pharma Indian Pharma Company marketed by > Davaindia MNC 1 MNC 2 Same Tablet Tablet / Medicine Name Rosuvas – 10 mg Rosubest - 10 Rosuvastatin 10 Significant davaindia.com with same Molecule Rosuvastatin 10mg saving
Slide 14: Davaindia Quality Medication at Affordable Prices
Davaindia Quality Medication at Affordable Prices 13 zotahealthcare.com davaindia.com Industry update Same Quality, Davaindia sells generic medicines manufactured by the same producers as Total turnover of Affordable Price branded medicines. This ensures equivalent quality at a fraction of the cost.
Slide 15: Davaindia Generic Pharmacy
GENERIC PHARMACY _DAVAINDIA
Slide 16: Davaindia - Retail Pharmacy Chain data
Davaindia - Retail Pharmacy Chain data 15 zotahealthcare.com davaindia.com Revolutionizing the generic pharmacy industry with affordable, accessible, quality healthcare solutions through retail pharmacies’ chain. *As of 28th January 2025 1,413* davaindia.com 2000+ 707 706 2.17+ crores SKUs Total no.
Slide 17: Davaindia - Operating Model
Davaindia - Operating Model 16 zotahealthcare.com davaindia.com Offers a cluster-based store 2,000+ SKUs with 70% medicinal model, optimizing products and 30% OTC Cloud-based software and Implementing a hyperlocal accessibility and products, with a special emphasis AI-based tools for real-time model
Slide 18: Davaindia - Eliminating traditional supply chain
Davaindia - Eliminating traditional supply chain 17 zotahealthcare.com davaindia.com By sourcing directly from manufacturers and selling straight to consumers, traditional pharma supply chain is eliminated & the cost benefits are transferred to the consumer Average consumer price davaindia.com ~75%
Slide 19: Davaindia – What are COCO Stores
Davaindia – What are COCO Stores 18 zotahealthcare.com davaindia.com COCO stores are modern walk-in stores providing a distinct contrast to traditional counter-based pharmacies enhancing customer satisfaction and loyalty. Rapid Expansion The time required to open a new COCO store has been significan
Slide 20: Davaindia – COCO Stores
Davaindia – COCO Stores 19 zotahealthcare.com davaindia.com davaindia.com
Slide 21: Davaindia - COCO Stores
Davaindia - COCO Stores 20 zotahealthcare.com davaindia.com COCO Company-Owned Company-Operated 707 Operated by wholly-owned subsidiary Operational Davaindia Health Mart Davaindia Health Mart Ltd COCO stores davaindia.com 22 26 Enhancing Store Significant rent rationalization to 47 ₹ 33,000 p.m. in
Slide 22: Davaindia COCO - KPI's (1/2)
Davaindia COCO - KPI’s (1/2) 21 zotahealthcare.com davaindia.com No. of Stores Quarterly Footfall in lakhs davaindia.com 658 15.7 494 11.8 387 8.6 253 6.9 5.4 154 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3FY25 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25
Slide 23: Davaindia COCO - KPI's (2/2)
Davaindia COCO - KPI’s (2/2) 22 zotahealthcare.com davaindia.com Quarterly GMV ₹ lakhs Avg. Wallet Spend ₹ davaindia.com ₹ 3,507 ₹ 249 ₹ 241 ₹ 238 ₹ 229 ₹ 2,714 ₹ 224 ₹ 2,050 ₹ 1,660 ₹ 1,346 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25
Slide 24: Younger COCO Stores to fuel growth
Younger COCO Stores to fuel growth 23 zotahealthcare.com davaindia.com Significant Young Store Network 658 287 Many of our stores are relatively new, still in the early stages of their lifecycle. Total COCO Stores COCO Stores <5m While currently modest in revenue, expected to grow multiple folds as
Slide 25: Store Opening Lifecycle – COCO
Store Opening Lifecycle – COCO 24 zotahealthcare.com davaindia.com 75 Days Days 00 02 04 06 08 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 50 52 54 56 58 60 62 64 66 68 70 72 74 76 0 Documentation - Online davaindia.com Registration 0 Sign up fees 1 Signing process Store 4 Store layo
Slide 26: Same Store Growth – Stores
Same Store Growth – 235 Stores 25 zotahealthcare.com davaindia.com 3.32 3.11 3.18 2.99 3.03 davaindia.com 2.85 2.60 2.61 780 731 747 2.43 703 712 671 611 614 572 59% CAGR Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Total GMV (₹ lakhs) Average Per Store GMV (₹ lakhs) The average GM
Slide 27: Revenue Growth Trajectory of New Stores
Revenue Growth Trajectory of New Stores 26 zotahealthcare.com davaindia.com 2,40,000 davaindia.com 2,25,000 2,10,000 1,75,000 1,80,000 1,64,000 1,46,000 1,26,000 1,03,000 76,000 1st Month 2nd Month 3rd Month 4th Month 5th Month 6th Month 7th Month 8th Month 9th Month 10th Month GMV (₹) • A new store
Slide 28: Davaindia – What are FOFO Stores
Davaindia – What are FOFO Stores 27 zotahealthcare.com davaindia.com Franchisee-Owned Franchisee-Operated (FOFO) davaindia.com FOFO stores employ an asset-light franchise model, Asset-light franchise contributing to the scalability and accessibility of our model product offerings. FOFO stores are co
Slide 29: Davaindia - FOFO Stores
Davaindia - FOFO Stores 28 zotahealthcare.com davaindia.com 10 706 FOFO Franchise Owned Franchise Operated Operational States No. of Stores 32 FOFO stores Uttar Pradesh 145 6 Odisha 94 davaindia.com 5 West Bengal 92 42 3 Madhya Pradesh 59 33 Gujarat 48 Haryana 42 25 145 10 Maharashtra 40 30 12 Delhi
Slide 30: Davaindia - FOFO Stores
Davaindia - FOFO Stores 29 zotahealthcare.com davaindia.com davaindia.com
Slide 31: Davaindia FOFO - KPI's (1/2)
Davaindia FOFO - KPI’s (1/2) 30 zotahealthcare.com davaindia.com No. of Stores Quarterly Footfall in lakhs davaindia.com 11.3 697 10.4 8.9 8.9 664 8.1 645 627 607 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25
Slide 32: Davaindia FOFO - KPI's (2/2)
Davaindia FOFO - KPI’s (2/2) 31 zotahealthcare.com davaindia.com Quarterly GMV ₹ lakhs Avg. Wallet Spend ₹ davaindia.com ₹ 3,161 ₹ 290 ₹ 2,840 ₹ 2,608 ₹ 2,465 ₹ 2,328 ₹ 278 ₹ 279 ₹ 274 ₹ 271 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q3 FY25
Slide 33: OTC Over-the-counter products
OTC Over- the -counter products 32 zotahealthcare.com davaindia.com Strategic Acquisition Acquired 56% stake in the Everyday Herbal Group*, licensed by the davaindia.com as a move towards Khadi and Village Industrial Commission, a strategic move towards backward integration backward integration. ~30
Slide 34: OTC – Products
33 zotahealthcare.com davaindia.com davaindia.com OTC – Products
Slide 35: Davaindia is Revolutionising the Indian Healthcare Scenario
Davaindia is Revolutionising the 34 zotahealthcare.com davaindia.com Indian Healthcare Scenario * davaindia.com 6,668 60 % Gross Merchandise Value in Q3FY25 Gross Margin in COCO format 1,413 30-90 % Fast growing FOFO & COCO store network* Savings to consumers on Generic medicines 2.62 Lacs sq. ft* 2
Slide 36: Davaindia Competitive Edge
Davaindia Competitive Edge 35 zotahealthcare.com davaindia.com The USP of Davaindia: Affordable, Trustworthy, and Innovative Pharmacy Solutions BENEFITS TO THE CUSTOMERS BENEFITS TO THE FRANCHISEES davaindia.com Medicines priced at low MRP thereby ensuring Store operations and the supply chain effic
Slide 37: Healthy Repeats
Healthy Repeats 36 zotahealthcare.com davaindia.com Total Average (in %) davaindia.com With a strong base of 80% repeat customers, Davaindia demonstrates a high level of customer satisfaction and 80% loyalty. Repeat Customers 12% New Customers 08% Lost Customers
Slide 38: Higher Chronic category share
Higher Chronic category share 37 zotahealthcare.com davaindia.com 55% davaindia.com 54% 25% 25% 21% 20% Chronic OTC Other Chronic OTC Other CATEGORY MIX FY23 CATEGORY MIX FY24 Higher chronic share: A significant 55% of our revenue comes from chronic disease category, signalling high realization and
Slide 39: Supply Chain Management
Supply Chain Management 38 zotahealthcare.com davaindia.com • The Company has outsourced supply chain management to a third-party warehousing & logistics partner. davaindia.com • A state-of-art central warehousing & processing center has been built in Surat, in Phase 1. • Eventually the Company will
Slide 40: Domestic Operations
GENERIC PHARMACY 02 Domestic Operations
Slide 41: Domestic Operations
40 Domestic Operations zotahealthcare.com davaindia.com Domestic marketing has been the oldest business vertical for the Company and has remained its mainstay in the past. Until 2017, this vertical contributed most of the davaindia.com Company’s revenues. This business vertical distributes generic d
Slide 42: Export Operations
Expor t Operations
Slide 43: Export Operations
42 Expor t Operations zotahealthcare.com davaindia.com Our Exports business vertical, which started in 2010, serves clients in over 30 countries, mainly in the CIS, Latin America, Africa, and Asia. At its plant in Sachin, SEZ, the Company davaindia.com manufactures generic formulations for the dossi
Slide 44: Financial Overview
Financial Overview
Slide 45: Management Commentary
Management Commentary 44 zotahealthcare.com davaindia.com “We are delighted to report another strong quarter for Zota Healthcare, as we continue to drive affordable healthcare access through our rapidly growing Davaindia stores. Indian pharmaceutical market is witnessing a significant shift toward g
Slide 46: Quarterly Revenue Segmentation
Quar terly Revenue Segmentation 45 zotahealthcare.com davaindia.com Business Verticals – Consolidated Revenue bifurcation Davaindia ₹ lakhs Domestic Operations ₹ lakhs Export Operations ₹ lakhs davaindia.com 4,591 4,260 1,571 1,586 1,501 830 2,354 655 359 Q3 FY24 Q2 FY25 Q3 FY25 Q3 FY24 Q2 FY25 Q3 F
Slide 47: Annually Financial Snapshot
Annually Financial Snapshot 46 zotahealthcare.com davaindia.com Davaindia has driven revenue growth, recording an impressive increase of 59% CAGR since FY22. Business Verticals – Consolidated Revenue bifurcation davaindia.com Davaindia ₹ lakhs Domestic Operations ₹ lakhs Export Operations ₹ lakhs 12
Slide 48: Major Business Vertical Performance (Consolidated)
Major Business Ver tical Performance ( C o n s o l i d a t e d ) 47 zotahealthcare.com davaindia.com ₹ in lakhs (Consolidated) Q3 FY25 Particulars Business Vertical Davaindia Domestic Exports davaindia.com Revenue from Operation 4591.5 1500.0 829.9 Cost of Goods Sold 1542.3 1026.5 362.0 Gross Profit
Slide 49: Profit & Loss Statement (Consolidated)
Profit & Loss Statement ( C o n s o l i d a t e d ) 48 zotahealthcare.com davaindia.com ₹ in lakhs (Consolidated) Particulars Q3FY25 Q2FY25 Q3FY24 9MFY25 9MFY24 FY24 Export Sales (SEZ) 829.88 654.7 359.0 1956.7 1438.0 2,003.5 Davaindia Sales 4590.85 4260.3 2763.1 12432.1 6074.0 10,355.9 davaindia.co
Slide 50: Thank You
Thank You Contact Infor mation M r. Ashvin Variya "ZOTA HOUSE", 2/896, Hira Modi Street, Sagrampura, Surat-395 002 (Gujarat) cszota@zotahealthcare.com www.zotahealthcare.com EY LLP Siddesh Chawan - siddesh.chawan@in.ey.com Ajit Mishra- ajit.j.mishra@in.ey.com www.ey.com
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