press release and analyst presentation on q3fy16 results [company update]
TRANSCRIPT
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
1/17
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
2/17
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
3/17
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
4/17
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
5/17
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
6/17
Investor Presentation Q3FY16
February 2016
Alkem Laboratories Limited
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
7/17
Safe Harbor Statement
This presentation contains forward-looking statements and information that involve risks, uncertainties and
assumptions. Forward-looking statements are all statements that concern plans, objectives, goals, strategies,
future events or performance and underlying assumptions and other statements that are other than statements of
historical fact, including, but not limited to, those that are identified by the use of words such as “anticipates”,
“believes”, “estimates”, “expects”, “intends”, “plans”, “predicts”, “projects” and similar expressions. Risks and
uncertainties that could affect us include, without limitation:
• General economic and business conditions in India and other key global markets in which we operate;
• The ability to successfully implement our strategy, our research and development efforts, growth & expansion
plans and technological changes;
• Changes in the value of the Rupee and other currency changes;
• Changes in the Indian and international interest rates;• Allocations of funds by the Governments in our key global markets;
• Changes in laws and regulations that apply to our customers, suppliers, and the pharmaceutical industry;
• Increasing competition in and the conditions of our customers, suppliers and the pharmaceutical industry; and
• Changes in political conditions in India and in our key global markets.
Should one or more of such risks and uncertainties materialize, or should any underlying assumption proveincorrect, actual outcomes may vary materially from those indicated in the applicable forward-looking statements.
Any forward-looking statement or information contained in this presentation speaks only as of the date of the
statement. We are not required to update any such statement or information to either reflect events or
circumstances that occur after the date the statement or information is made or to account for unanticipated
events, unless it is required by Law.
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
8/17
6,865
8,816
Q3FY15 Q3FY16
Financial Highlights – Q3FY16 Consolidated
Al l figures in INR mn
9,878
12,747
Q3FY15 Q3FY16
29.0%
1,711
2,354
Q3FY15 Q3FY16
37.6%
Net Income from Operations
EBITDA
1,679
2,270
Q3FY15 Q3FY16
35.2%
PBT
17.3% 18.5% 17.0% 17.8%
YoY Growth%
% of Net Income
from Operations
2,821
3,644
Q3FY15 Q3FY16
Net Sales – Geographical Split
28.4% 29.2%
Domestic International
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
9/17
Al l f igures in INR mn
28,314
38,490
9MFY15 9MFY16
35.9%
2,872
6,902
9MFY15 9MFY16
140%
Net Income from Operations
EBITDA
3,004
6,812
9MFY15 9MFY16
127%
PBT
10.1% 17.9% 10.6% 17.7%
20,817
27,613
9MFY15 9MFY16
6,865
10,046
9MFY15 9MFY16
Net sales – Geographical Split
32.6% 46.3%
Domestic International
Financial Highlights – 9MFY16 Consolidated
YoY Growth%
% of Net Income
from Operations
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
10/17
1. Growth after consolidation of Indchemie and Cachet’s results in the current financial year
2. Source: IMS SSA MAT Dec 2015
• India sales contributed 70.8% to total net sales for
Q3FY16
• During the quarter, our secondary sales grew by 18.6%
YoY – higher than Indian Pharmaceutical Market growth
of 15.2% (Source: IMS SSA Dec’15)
• Company maintained its leadership position in
established therapies of Anti-infectives, Gastro Intestinal,Pain / Analgesics and Vitamins / Minerals / Nutrients
• Improved market ranking in emerging therapies like
Neuro / CNS, Cardiac and Anti-Diabetic
• 5 brands featured among top 50 and 13 among top 300brands in India (Source: IMS SSA MAT Dec’15)
India Business: Q3FY16 Net Sales of Rs.8,816 mill ion (28.4% growth1 YoY)
Business Highlight Q3FY16
India sales
Therapy-wise breakup2
Q3FY15 Q3FY16 9MFY15 9MFY16
27,613
20,8176,865
8,816
INRmn
42%
18%
12%
8%
4%4%
3%3%
6% Anti-infectives
Gastro Intestinal
Pain / Analgesics
Vitamins / Minerals /NutrientsCardiac and Diabetology
Gynaec.
Neuro / CNS
Derma
Others
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
11/17
Business Highlight Q3FY16
15.1%
30.8%24.1% 22.9%
14.5% 15.1% 13.5%19.9%
Derma Neuro/ CNS Cardiac Anti-diabetic
18.5%17.8%
18.6%17.3%14.5% 16.0% 13.5% 13.5%
Anti-infectives Gastro-intestinal Pain/ Analgesics Vitamins/ Minerals / Nutrients
Indian pharma industry sales growth YoY3,4
11.6% 5.7% 5.1%
Alkem sales growth YoY3,4
Market rank
Market share4
Market share4
331
Indian pharma industry sales growth YoY3,4 Alkem sales growth YoY3,4
1.9% 0.6% 0.8%
Source: IMS SSA Dec 2015 3 Domestic formulations sales; 4 For 3 months ended Dec‘15
E s t a b l i s h e d t h
e r a p e u t i c
a r e a s o f A
l k e m
3.7%
5
1.5%
E m e r g i n g t h e r a p
e u t i c
a r e a s o f A l k e
m
India Business: Therapy Performance during Q3FY16
Market rank301416 28 +1+1 +1
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
12/17
• US sales contributed 20.9% to total net sales for
Q3FY16
• Filed 2 ANDAs during the quarter, taking the cumulative ANDA filings to 70 and 1 NDA (as on 31st Dec’15)
• Received 5 ANDA approvals (including 1 tentative
approvals) during the quarter, taking cumulative ANDA
approvals to 27 (including 3 tentative approvals) and 1
NDA (as on 31st Dec’15)
US Business: Q3FY16 Net Sales of Rs. 2,602 mill ion (18.9% growth YoY)
Business Highlight Q3FY16
U.S. Filings # Nos.
Total ANDAs 70
ANDA - Para IV (inc. FTF) 30
DMF 18
NDA 1
US sales
Cumulative US filings5
Q3FY15 Q3FY16
INRmn
2,602
2,189
9MFY15 9MFY16
7,473
5,046
5. As on 31st Dec 2015;
24
3
43
70
Final Approvals Tentative Approvals
Pending Total
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
13/17
Other International Markets: Q3FY16 Net Sales of Rs.1,041 mill ion (64.8% growth YoY)
Business Highlight Q3FY16
• Company has presence in more than 50
international markets
• Other International sales contributed 8.4% to total
net sales for Q3FY16
• Growth in the Other International Markets sales was
driven by growth in key focus markets such as
Australia and Chile
Other International Markets sales
Q3FY15 Q3FY16
INRmn
1,041
632
9MFY15 9MFY16
2,573
1,819
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
14/17
Strategy going forward
1
2
3
4
5
India Sales: Consolidate our leadership position in the acute segment by
driving growth in our mega brands
India Sales: Increase our market share in the chronic segment through
market share acquisition and new product introductions
Improve our field force productivity through SFE (Sales ForceEffectiveness) initiatives
Continued focus on R&D to accelerate ANDA filings for the US markets
and develop differentiated portfolio
Strategic partnerships / collaborations to enhance capabilities and
product portfolio for focus markets
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
15/17
Financials – Key P&L items (Consolidated)
Particulars (Rs mn) Q3FY16 Q3FY15 YoY
growth
9MFY16 9MFY15 YoY
growth
Net Income from Operations 12,747 9,879 29.0% 38,490 28,314 35.9%
Gross Profit 7,658 5,760 33.0% 23,157 15,321 51.1%
Gross Profit margin 60.1% 58.3% 60.2% 54.1%
EBITDA 2,354 1,711 37.6% 6,902 2,872 140.3%
EBITDA margin 18.5% 17.3% 17.9% 10.1%
PBT 2,270 1,679 35.2% 6,812 3,004 126.7%
PBT margin 17.8% 17.0% 17.7% 10.6%
PAT (After Minority Interest) 1,889 1,615 17.0% 6,164 2,601 137.0%
PAT margin 14.8% 16.3% 16.0% 9.2%
EPS 15.8 13.5 17.0% 51.6 21.8 137.0%
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
16/17
Institution – Mutual Funds, Foreign Venture Capital, Foreign Portfolio Investors and Foreign Institutional Investors
Non-Institution – Individuals, Bodies Corporates, Clearing Members, Non Resident Indians, Hindu Undivided Family and Trusts
Latest Shareholding Pattern
Promoter &Promoter Group,
66.64%Institution,
6.04%
Non-Institution,27.32%
Shareholding pattern as on 31st December 2015
-
8/20/2019 Press Release and Analyst presentation on Q3FY16 Results [Company Update]
17/17
Thank You