Slide 1: Cover letter to stock exchanges
Laurus Labs Limited Corporate Office 2'"" Floor. Serene Chambers. Road No. 7 Banjara Hills. Hyderabod · S0003t,, Telangana, India T +91 t,O 3980t.333/23£.2 0500 I SO I LAURUS Labs F +9 1 t,Q 3980 t.320 Knowledge . Innovation . Excellence August 2, 2019 To To The Corporate Relations Department The Li
Slide 2: Q1 FY20 Investor Presentation
LAURUS LABS LIMITED Q1 FY20 INVESTOR PRESENTATION August 2, 2019 BSE: 540222 NSE : LAURUSLABS
Slide 3: Disclaimer
Disclaimer This presentation contains statements that constitute “forward looking statements” including and without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to our future business developments and economic performance. While these
Slide 4: Business Snapshot
Business Snapshot Overview • Development, manufacture and sale • Developing and manufacturing • Contract development and • Sale and manufacture of of APIs and Advanced Intermediates oral solid formulations for LMIC, manufacturing services for specialty ingredients for use in • Leadership in various
Slide 5: Growth Verticals – Diversified Pharma Company
Growth Verticals – Diversified Pharma Company • Leveraging API Cost Advantage for Forward Integration • Targeting various high growth markets like LMIC, US, Canada, & Europe Formulations • Therapeutic Focus Areas remains on key segments of ARV, CVS, CNS, PPI & Anti Diabetic • Focus on supply of key
Slide 6: Formulations Business
Formulations Business
Slide 7: Formulations Strategy – Emerging Markets
Formulations Strategy – Emerging Markets Growth Levers • ARV Tender business from LMIC remains the forefront of our Formulations Strategy. Overview • Formulation Filings are deeply Integrated giving further cost advantage compared to peers Participation via – Global Fund tenders, PEPFAR Tender, WHO
Slide 8: Formulations Strategy – Developed Markets
Formulations Strategy – Developed Markets Current Filings Status Current Approval Status Therapy US ANDA Europe Canada Therapy US ANDA Europe Canada ARV 12 4 3 Final Approval 5 4 2 Anti- Diabetic 3 1 1 Tentative CVS 1 - - Approval 3 - - CNS 1 1 1 Total 8 4 2 Others 3 - 1 Total 20 6 6 US MARKET • Cum
Slide 9: Formulations Business – Geared up for Higher Growth
Formulations Business – Geared up for Higher Growth Extensive Manufacturing capabilities across markets FDF Revenue Split with commitment to maintain highest quality 13% standards – “One Quality Standard for All Markets” Current FDF Manufacturing Capacity - 5 bn tab/caps with total Capex investm
Slide 10: Synthesis Business
Synthesis Business
Slide 11: Synthesis (CDMO) Business Strategy
Synthesis (CDMO) Business Strategy 2,552 1,541 1,075 761 590 FY 16 FY 17 FY 18 FY19 Q1 FY20 Synthesis Revenue (INR Mn) OVERVIEW • State-of-the-art cGMP facilities to manufacture NCEs • Integrate projects across platforms as the molecule develops from Pre Clinical to Clinical stages • Working with Gl
Slide 12: Generic API Business
Generic API Business
Slide 13: Generic APIs Strategy
Generic APIs Strategy • Oncology - Growth in the segment will be led by new launches, targeting 1-2 new launches/ year • Strengthening Global Leadership in current products • Other API - Huge growth opportunity on offer with global supply disruptions in the market • Focusing on key therapeutic segme
Slide 14: Infrastructure & R&D
Infrastructure & R&D
Slide 15: Manufacturing Facilities at Parawada, Vizag
Manufacturing Facilities at Parawada, Vizag Unit-I • Located at Jawaharlal Nehru Pharma City, Vishakhapatnam, India. • API manufacturing facility and includes capacity for ingredients, synthesis and contract manufacturing. • Commenced operations in 2007. • 317 reactors with 1,177 Kilo Liters capacit
Slide 16: Manufacturing Facilities at Achutapuram, Vizag
Manufacturing Facilities at Achutapuram, Vizag Unit-II • Located at APIIC, Achutapuram, Visakhapatnam, India. (SEZ) • FDF and API manufacturing facility • Commenced operations in 2017. • FDF - capacity of 5 bn tablets/capsules per year. • API block with 12 reactors with 83 Kilo Liters capacity. • Re
Slide 17: Strong R&D Capabilities
Strong R&D Capabilities R&D Centre - Hyd 1,659 1,338 1,135 853 7.4% 7.1% 5.6% 418 4.8% 7.6% FY16 FY17 FY18 FY 19 Q1 FY 20 R&D Spend % of Revenue 50+ 57 244 86 20 750+ 54 Products Filed Patents Patents ANDAs/ NDAs Scientists PhDs commercialized DMFs filed granted since inception • R & D spent include
Slide 18: Quality Focus & Regulatory Audits
Quality Focus & Regulatory Audits Laurus’ Philosophy “One Quality Standard for all markets” Regular Inspection at different manufacturing units 2019 USFDA We maintain consistent quality, efficiency and product 2018 USFDA, JAZMP - Slovenia safety. 2017 WHO, USFDA, EU (Germany) We have adopted uniform
Slide 19: Financial Performance
Financial Performance
Slide 20: Drivers of Revenue – Division wise revenue breakup
Drivers of Revenue – Division wise revenue breakup 1% 4% 2% Total Revenues grown by 2% for the quarter (Y-o-Y) 4% 3% 3% 10% 19% 11 % Generic API 15% 4% • ARV Segment revenue stood at INR 2,718 mn due to 3% 8% 8% lower off take of Efavirenz, post adoption of TLD based 4% 10% 11% 10% combination a
Slide 21: Performance Highlights - Abridged Profit & Loss statement
Performance Highlights - Abridged Profit & Loss statement Growth % Growth % Particulars (Rs. mn) Q1 FY20 Q1 FY19 (Q1 FY20 Vs. Q4 FY19 (Q1 FY20 Vs. Q1 FY 19) Q4 FY19) Total Revenues from Operations (Net) 5,506 5,390 2.2% 6,352 -13.3% Total Expenditure 5,357 5,190 5,842 EBITDA 870 825 5.5% 1,134 -23.3
Slide 22: Snapshot of Return Ratios
Snapshot of Return Ratios Pre Tax Return on Capital Return on Equity(2) (%) Total Debt/Equity Ratio (x) Employed(1) (%) 16.5% 16.5% 17.0% 17.4% 1.2x 1.1x 14.5% 13.7% 12.7% 11.9% 0.8x 0.7x 0.7x 8.2% 0.6x 6.1% 6.2% 3.9% FY15 FY16 FY17 FY 18 FY 19 FY 20 FY15 FY16 FY17 FY 18 FY 19 FY 20 FY15 FY16 FY17 F
Slide 23: Key Milestones
Key Milestones • Investment of INR 3000 mn by • Investment of INR Warburg Pincus • Crossed INR 20 billion of revenue 600 mn by FIL • Incorporated First • Commenced commercial operations • Set up the R&D Capital Subsidiary in USA. • Successfully listed on BSE &NSE from Unit 4 Centre at IKP, Managemen
Slide 24: Management Team
Management Team Mr. Tom Versosky Mr. Chandrakanth Chereddi President FDF North America ED & Head, Generics FDF & Strategy Dr. Prafulla Kumar Nandi SVP, Global Regulatory Affairs Mr. Ravi kumar V V Mr. G Venkateshwar Reddy (Formulations) ED &CFO CS and Sr. GM – Legal & Secretarial Dr. Satyanarayana C
Slide 25: Corporate Governance
Corporate Governance Executive Directors Name Background Dr Satyanarayana Chava Whole-time Director, Founder and Chief Executive Officer Ravi Kumar V V Whole-time Director and CFO Chandrakanth Chereddi Whole-time Director and Head of Generic FDF and Strategy Dr Lakshmana Rao C V Whole-time D
Slide 26: Ownership Structure, Corporate Structure, Shareholding pattern
Ownership Structure Corporate Structure Laurus Labs Limited India Laurus Synthesis Laurus Holdings All are 100% Sriam Labs Pvt Ltd. Inc. Ltd. Subsidiaries India USA UK Laurus Generics Laurus Generics Inc. GmbH. USA Germany Shareholding pattern * 32.8% 5.1% 12.4% 1.3% 0.03% 19.72% 5.75% 22.6% Promote
Slide 27: Results Conference Call
Results Conference Call Results conference call on Monday August 05, 2019 at 11:00 AM IST Details of the conference call are as follows: Timing 11:00 AM IST on Monday, August 05, 2019 Conference dial-in Universal Dial-In +91 22 6280 1214 India Local access Number +91 7045671221 Available all over In
Slide 28: Contact us
Contact us About Laurus Labs Ltd. Laurus Labs is a leading research & development driven and fully integrated pharmaceutical company in India. The Company has grown consistently to become one of the leading manufacturers of Active Pharmaceutical Ingredients (APIs) for anti-retroviral (ARV) and Hepat
Slide 29: Thank You
Thank You