Mayne Pharma Group Ltd. · ASX:MYX
Mayne Pharma — Shareholder Meeting (November 2024)
34 slides from Mayne Pharma's shareholder meeting presentation, Nov 21, 2024
Slide 1: ASX announcement cover letter for AGM presentation
21 November 2024 Manager, Company Announcements ASX Limited Level 4 20 Bridge Street SYDNEY NSW 2000 Via E-Lodgement Dear Sir/Madam Mayne Pharma Group Limited Please find attached the AGM presentation which contains a business update to be delivered to shareholders at Mayne Pharma’s Annual General M
Slide 2: Annual General Meeting
Mayne Pharma Group Limited Annual General Meeting 1.00pm (Melbourne Time) 21 November 2024
Slide 3: Disclaimer
Disclaimer The information provided is general in nature and is in summary form only. It is not complete and should be read in conjunction with the company’s audited Financial Statements and market disclosures. This material is not intended to be relied upon as advice to investors or potential inves
Slide 4: Chair
S pharma Chair Frank Condella
Slide 5: Introduction – Directors and KMP
Introduction – Directors and KMP David Petrie Prof Bruce Robinson Anne Lockwood Shawn Patrick O’Brien Non-Executive Director Non-Executive Director Non-Executive Director CEO & Managing Director Frank Condella Chair Dr Katie Macfarlane Ann Custin Patrick Blake Aaron Gray Non-Executive Director Non-E
Slide 6: Agenda
Agenda 1 Chair’s Address 2 CEO Business Update 3 Formal Business 4 Close 5
Slide 7: Chair's Address
Chair’s Address Frank Condella
Slide 8: Business Update
Business Update Shawn Patrick O’Brien
Slide 9: Agenda: FY24 Recap
Agenda ● FY24 Recap ● FY25 Business Update - Women’s Health - Dermatology - International ● Outlook 8
Slide 10: Mayne Pharma Transformation FY22-FY24
Mayne Pharma Transformation FY22-FY24 • Large debt and debt service obligations • Significant discontinued operations FROM • Large amounts of cash tied up in Net Working Capital (NWC) • Positioned in markets that were stable / declining (contract development, retail generics) • Core products driving
Slide 11: Mayne Pharma Transformation FY22-FY24
Mayne Pharma Transformation FY22-FY24 2024 August August FY24 underlying EBITDA: $22.9m FY23 underlying EBITDA: ($95.3m) FY24 net cash1: $107.6m FY23 net cash: $172.6m 2023 65% US sales: branded drugs 2023 April October Sale of retail generics business to Dr Reddy’s for Sales of Metrics Contract Ser
Slide 12: FY24 Operating Highlights
FY24 Operating Highlights Women’s Health Dermatology International • Completed asset purchase • Growth of NEXTSTELLIS®, oxycodone and • 3 new US FDA Orange-Book listed agreement to acquire the global UROREC® in Australia NEXTSTELLIS® patents expiring 2036 rights to RHOFADE® from Novan, • Modernisati
Slide 13: FY24: Strong financial results by delivering on all goals
FY24: Strong financial results by delivering on all goals1 Simplification of our business model combined with our strong operating and financial discipline has delivered significantly improved financial results $388m 56.3% $22.9m Revenue Gross margin Underlying EBITDA2 up 112% FY23 up from 45.5% FY2
Slide 14: FY25 Focus – Women's Health
FY25 Focus – Women’s Health Women’s Health Deliver profit potential of current Women’s Health asset portfolio • Drive growth through sharpened focus on sales execution and targeted marketing • Continue to raise product scientific awareness • Further operating leverage to accelerate EBITDA growth 13
Slide 15: Process Improvements, People Investments and Product Acquisitions driving Profitability
Business Update – Process Improvements, People Investments and Product Acquisitions driving Profitability Women’s Health (US$m) 120.0 101.8 100.0 Commentary 80.7 • US$140m investment capital deployed driving 80.0 66.7 60.0 57.0 US$61m improvement in annual contribution with significant headroom for
Slide 16: Business Update – Women's Health
Business Update – Women’s Health (4 months to 31 October 2024) Women’s Health NEXTSTELLIS® Quarterly US Demand Cycles (thousands) 5.8% 10.4% 146 100.0% 5.9% 138 • Strong revenue and direct contribution 140.0 11.3% 125 90.0% growth recorded, improvement in gross to 19.1% 118 120.0 80.0% net sales acr
Slide 17: FY25 Performance (Jul-Oct) – Women's Health
FY25 Performance (Jul-Oct) – Women’s Health 28% growth versus the prior comparable 4-month period (pcp) Jul-Oct FY24 Mar-Jun FY24 Change Change Jul-Oct FY25 US$m (pcp) (seq.) (vs. pcp) (vs. seq.) Womens' Health Total Revenue 30.6 30.5 39.3 28% 29% Total Gross Profit % of Revenue 82% 77% 82% Direct C
Slide 18: Strategic factors to drive NEXTSTELLIS long term revenue
Strategic factors to drive NEXTSTELLIS® long term revenue 1. Drive improved market access A. Affordable Care Act (ACA) B. Reduction in prior authorisation (if no ACA) 2. Improve HCP / patient knowledge and confidence in the superiority of the brand 3. Recapture milestone payments and COGs markup at
Slide 19: Strategic factors to drive ANNOVERA long term revenue
Strategic factors to drive ANNOVERA® long term revenue 1. Improve supply A. Ramp up production to multiples of current run rates B. Production improvements to improve COGs 2. Label improvement (working with Population Council) A. Continuous use up to 12 months versus current monthly label B. Continu
Slide 20: Strategic factors to drive BIJUVA long term revenue
Strategic factors to drive BIJUVA® long term revenue 1. Improved dosing strategy (packaging 0.5mg) 2. Drive HCP and patient awareness on hormonal benefits and best in class profile 3. Catch the social inertia around effective menopause treatments 4. Co-pay optimisation (resetting caps) 19
Slide 21: FY25 Focus - Dermatology
FY25 Focus - Dermatology Dermatology Differentiate channel strategy to enable preferred solution for patients, prescribers and partners • Continue to evaluate capital efficient and accretive business arrangements to further drive growth in revenue and margin • Ensure channel strategy processes are e
Slide 22: Process Improvements, People Investments and Product Acquisitions driving Profitability
Business Update – Process Improvements, People Investments and Product Acquisitions driving Profitability Dermatology (US$m) 117.9 Commentary • US$8m investment capital deployed driving US$29m improvement in annual contribution with 71.8 61.9 significant headroom for growth going forward 57.8 38.2 •
Slide 23: Business Update - Dermatology
Business Update - Dermatology (4 months to 31 October 2024) Dermatology • Channel strategy (disintermediation) showing strong growth – annualised sales run rate tracking 2x higher versus FY24 • RHOFADE® NRx growth of 151% versus pcp1 • Realised market share2 of ~54% with stable pricing for AG ORACEA
Slide 24: FY25 Performance (Jul-Oct) – Dermatology
FY25 Performance (Jul-Oct) – Dermatology Jul-Oct FY24 Mar-Jun FY24 Change Change Jul-Oct FY25 US$m (pcp) (seq.) (vs. pcp) (vs. seq.) Dermatology Total Revenue 35.9 42.8 33.0 -8% -23% Total Gross Profit % of Revenue 43% 51% 51% Direct Contribution* 8.5 11.8 7.5 -12% -37% *Direct contribution calculat
Slide 25: FY25 Focus - International
FY25 Focus - International International Drive International profit via new revenue streams and continuation of modernisation • Leverage capacity created by operational improvements to grow and further operating leverage • Complete modernisation upgrade program (MMI) at the Salisbury facility to imp
Slide 26: Business Update - International
Business Update - International (4 months to 31 October 2024) International • Modernisation activities (MMI project) continue to progress in-line with expectations • New equipment delivery and validation ongoing • Operational transformation trending positive with DIFOT1 rate from Salisbury facility
Slide 27: FY25 Performance (Jul-Oct) – International
FY25 Performance (Jul-Oct) – International Jul-Oct FY24 Mar-Jun FY24 Change Change Jul-Oct FY25 A$m (pcp) (seq.) (vs. pcp) (vs. seq.) International Total Revenue 21.3 25.2 24.8 16% -2% Total Gross Profit % of Revenue 37% 35% 34% Direct Contribution* 4.0 4.3 4.1 3% -5% *Direct contribution calculated
Slide 28: Business Update – Financials
Business Update – Financials FY25 Jul-Oct Jul-Oct FY24 Mar-Jun FY24 Change Change Jul-Oct FY25 (pcp) (seq.) (vs. pcp) (vs. seq.) Total (A$m) Revenue 124.8 137.0 132.5 6% -3% Gross Profit % of Revenue 57% 57% 61% Direct Contribution* 26.4 33.9 39.6 50% 17% • Underlying EBITDA1 of $14.7m versus $1.7m
Slide 29: Business Outlook
Business Outlook • The Company expects growth in underlying EBITDA and free cash flow in FY25 via revenue growth and cost leverage, with all three segments contributing positive direct contribution. Specifically, Mayne Pharma anticipates: • Women’s Health growth continuing, Dermatology new product l
Slide 30: Contacts
Contacts For further information contact: Dr Tom Duthy Investor Relations +61 402 493 727 ir@maynepharma.com You deserve tomorrow. 29
Slide 31: Appendix
S pharma Appendix
Slide 32: Earn-Out and Deferred Consideration Liabilities - Update
Earn-Out and Deferred Consideration Liabilities - Update Royalties Milestones Population Council: US$13.0m (2025) 8% Net Sales on all TXMD Licensed Products Population Council: US$40.0m (cumulative sales of US$400m: ANNOVERA®) (ANNOVERA®, IMVEXXY®, BIJUVA®) Population Council: US$40.0m (cumulative s
Slide 33: Orange Book Listed Patents – Major Branded
Orange Book Listed Patents – Major Branded Last Patent Expiry Women’s Health Last Patent Expiry Dermatology 2032 2030 2034* Average of 10.9 2034 years1 of patent life remaining across key branded products 2036 2035* 2039 2039 1. Average of last patent expiry from 2024 onwards. Source: Orange Book: A
Slide 34: Material Improvement in FY24 Direct Contribution
Material Improvement in FY24 Direct Contribution1 Benefit of scale and leverage starting to be demonstrated FY24 Total Direct Contribution $88.5m FY23 Total Direct Contribution Dermatology ($21.0m) $9.0m Women’s Health ($27.7m) ($41.8m) +$130.3m International $6.9m $35.2m $44.3m 33 1. Direct contrib
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