ECO Animal Health Group PLC · LSE:EAH
ECO Animal Health — FY2024 Earnings Presentation
17 slides from ECO Animal Health's earnings presentation, July 2024
Slide 1: Audited Results 31st March 2024
1 Audited Results 31st March 2024 David Hallas CEO, Chris Wilks CFO July 2024 Confidential
Slide 2: Disclaimer
Disclaimer 2 2 ▪ No reliance may be placed for any purpose whatsoever on the information or ▪ Furthermore, this Presentation is being made only in the United Kingdom and is opinions contained in this Presentation or its completeness. Neither ECO nor directed only at (i) persons who are investment pr
Slide 3: Highlights
Highlights 3 3 Revenue and EBITDA above “These results show ECO Animal expectation; improved cash position Health continues to maintain a robust market leading position with Double digit revenue growth in North Aivlosin® while at the same time America and Latin America positioning itself well for fu
Slide 4: Financial highlights: revenue & adjusted EBITDA ahead
Financial highlights: revenue & adjusted EBITDA ahead 4 4 Group sales Lower reliance on Rest of world On constant increased China and Japan sales increased currency basis sales +5% to £89.4m sales +10% increased Driven primarily by growth in revenues from North America and Latin America 28% of group
Slide 5: Financial highlights
Gross Click tomargin Financialedit bridgetitle style Master highlights 55 5 5 Gross margin 42% 9.0% (2023: 45%) Adjusted £8.0m Adjusted EBITDA EBITDA Currency headwinds (2023: £7.2m) Margin in H1 (2023: 8.5%) Earnings per 1.55p £22.4m New product £8.3m Net cash share Reinforcing the development (202
Slide 6: Revenues
Revenues Click to edit Master title style 6 6 Group revenue China and Japan revenue Rest of World revenue (£’m) (£'m) (excluding China and Japan) (£’m) 105.6 89.4 85.3 82.2 72.1 64.7 67.3 58.9 58.9 53.8 49.0 46.7 40.5 26.8 28.4 26.4 23.1 24.7 2019 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 20
Slide 7: China 2022-24 pig price
China 2022-24 7 7 China Pig Price Jan22 - May24 30 25 20 RMB/kg 15 10 5 Ja n - 22 M a r- 22 M a y- 22 Ju l- 22 S ep - 22 N o v- 22 Ja n - 23 M a r- 23 M a y- 23 Ju l- 23 S ep - 23 N o v- 23 Ja n - 24 M a r- 24 M a y- 24 Live hog price averaged around 15RMB/kg for 2023- New fill and finish production
Slide 8: Revenue – geographical segments
Revenue – geographical segments 8 8 Revenue by geography (£’m) 70.0 Total Revenue: 60.0 March 2019 £67.3 million March 2020 £72.1 million 50.0 March 2021 £105.6 million 22% March 2022 £82.2 million 40.0 growth 10% March 2023 £85.3 million growth March 2024 £89.4 million 30.0 20.0 10.0 0.0 China and
Slide 9: Gross margin % bridge
Gross Click tomargin % bridge edit Master title style 9 9 1.1% 0.3% 45.0% (3.1%) (0.7%) (0.5%) 42.1% Gross margin FX impact on FX impact on Net Cost of China Depreciation Geographical Gross margin y/e 31Mar23 revenue cost of sales Sales decrease in Cost of Sales mix effect y/e 31Mar24 Confidential
Slide 10: R&D expenditure
R&D expenditure 10 10 R&D expenditure (£’m) Capitalised R&D c on sis ts o f late stage Poultry Mycoplasma vaccine projects and injectable florfenicol 2.1 treatment for swine 1.0 1.3 3.5 2.4 4.1 8.8 8.1 7.6 5.8 5.9 4.2 2019 2020 2021 2022 2023 2024 R&D Expensed R&D Capitalised Confidential
Slide 11: Administrative expenses
Administrative expenses 11 11 Admin expenses excluding F/X (£’m) Personnel and marketing costs offset by savings in legal audit and professional 2.8 3.2 2.3 1.9 1.1 2.5 25.6 25.6 21.5 22.2 16.3 13.5 2019 2020 2021 2022 2023 2024 Cash based overheads Non cash charges Confidential
Slide 12: EBITDA bridge
EBITDA bridge Click to edit Master title style 12 12 11.0 10.0 9.0 8.0 £8.0m 7.0 £7.2m + £4.1m GM +2% (GM 2.9%) + £1.7m 6.0 (£0.3m) 5.0 + £3.1m (£3.4m) + £1.7m £5.4m 4.0 3.0 2.0 31Mar22 Revenue Gross Admin exp R&D 31Mar23 Revenue Gross Admin exp R&D 31Mar24 Adjusted margins less other expense margin
Slide 13: Balance sheet
Balance sheet 13 13 CONSOLIDATED STATEMENT As at As at As at As at As at As at 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 31-Mar-23 31-Mar-24 OF FINANCIAL POSITION £'m £'m £'m £'m £'m £'m Non current assets Intangible assets incl. deferred tax 35.2 36.2 36.3 35.0 36.4 38.8 Tangible assets 2.3 2.7 2.5 3
Slide 14: Cashflow statement
Cashflow statement 14 14 CONSOLIDATED STATEMENT Year ended Year ended Year ended Year ended Year ended Year ended 31-Mar-19 31-Mar-20 31-Mar-21 31-Mar-22 31-Mar-23 31-Mar-24 OF CASH FLOW £'m £'m £'m £'m £'m £'m Profit before income tax 11.0 6.1 19.3 1.4 4.4 3.0 Adjustment for non-cash items in the i
Slide 15: ESG update
ESG update 15 15 ECO intends to continue our focus on the environment and diversity, equity and inclusion Positive engagement scores We aim to be carbon neutral by at least 2045. This will be achieved by implementing a variety of initiatives in the UK Engagement Survey Overall the results were very
Slide 16: R&D update
R&D update 16 16 Manufacturing for first poultry vaccines progressed • CDMO partner produced test batches for new vaccines US lab established • US Regulatory approval of site on track (expected 1Q’25) • Provides internal flexibility & reduces Pivotal studies for late-stage poultry vaccines on-going
Slide 17: Summary and outlook
Summary and outlook 17 17 Aivlosin® continues to Revenue and adjusted EBITDA ahead of perform robustly and to take market expectations market share in key territories particularly North America, Double digit revenue growth in key regions: Latin America and India, North America and Latin America whic
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