Wockhardt Limited · NSE:WOCKPHARMA
Wockhardt — Investor Presentation (November 2012)
49 slides from Wockhardt's investor presentation, November 2012
Slide 1: Wockhardt Limited Investor Presentation
Wockhardt Limited Investor Presentation By Dr. Murtaza Khorakiwala Managing Director November 2012
Slide 2: Safe Harbor Statement
Safe Harbor Statement • Except for historical information contained herein, statements in this communication, which include words or phrases such as “will”, “aim”, “will likely result”, “would”, “believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “plan”, “contemplate”, “
Slide 3: Introduction to Wockhardt
Introduction to Wockhardt Key business Dynamics
Slide 4: Wockhardt Today
Wockhardt Today UK, Ireland, France, Switz. USA Direct Operations in India, USA Mexico India and Europe 7900 Associates employed in 21 countries Wockhardt Direct ROW operations operations Investor Presentation Nov 2012 4
Slide 5: Wockhardt Today
Wockhardt Today UK Ireland 9 sites Chicago in India 12 Baddi Manufacturing Locations globally Ankleshwar Daman (2 Plants) Aurangabad (5 Plants) Formulations APIs Investor Presentation Nov 2012 5
Slide 6: Wockhardt Today R&D Centers
Wockhardt Today 3 R&D Centers worldwide USA / UK & India Investor Presentation Nov 2012 6
Slide 7: Sustainable Business Model
Sustainable Business Model Research WOCKHARDT Operational Globalisation Excellence Investor Presentation Nov 2012 7
Slide 8: Sustainable Business Model
Sustainable Business Model Research WOCKHARDT Operational Globalisation Excellence Investor Presentation Nov 2012 8
Slide 9: Research
Research • Blockbuster • Niche Generics • Complex Technology • Insulins Biosimilars • MABs New Chemical • Anti Infectives Entity Investor Presentation Nov 2012 9
Slide 10: Research – Long Term Planning
Research – Long Term Planning Horizon 1 < 4 Years Horizon 2 Generics, 4 to 6 Years Horizon 3 Complex Biosimilars Technology > 6 Years & Biosimilars (Developed NCE (Emerging Economies) Economies) Investor Presentation Nov 2012 10
Slide 11: Complex Products Focused Research
Complex Products Focused Research 3 R&D Centers Worldwide 491 169 578 30 Products sold in Global Patents Scientists US ANDAs USA & Europe granted globally. developing pending approval manufactured in 1667 patents filed innovative and India, USA, UK & technologically Ireland advanced medicines Won Pa
Slide 12: Recent Product Launches
Recent Product Launches US UK Others 6 – FY12 7 – FY12 FY12 Pantoprazole Alendronic Acid 13 – Ireland Donepezil Mycophenolate Mofetil 24 – India Venlafaxine Remifentanil Powder Inj Oxycodone Fluticasone Adenosine Soln Inj Total – 50 Levofloxacin Donepezil Clarithromycin Clarithromycin in FY12 8 – H1
Slide 13: Product Approvals H1-FY13
Product Approvals H1-FY13 US UK 8 – Till Date 6 – Till Date Lansoprazole DR Atorvastatin Clopidogrel Levetiracetam Alfuzosin Levomepromazine Entacapone Brominidine Felodipine Cocodamol Bupropion SR Simvastatin Ropinirole XL Ziprasidone Investor Presentation Nov 2012 13
Slide 14: Increased Focus on R&D
Increased Focus on R&D TTM : Trailing Twelve Months Investor Presentation Nov 2012 14
Slide 15: Sustainable Business Model
Sustainable Business Model Research WOCKHARDT Operational Globalisation Excellence Investor Presentation Nov 2012 15
Slide 16: Global Operations
Global Operations Wockhardt Direct operations RoW operations UK, Ireland, France, Switz. USA Mexico India Investor Presentation Nov 2012 16
Slide 17: Geographical Split
Geographical Split Increased presence in High Growth, High Profit geography. Above numbers based on Revenues excluding Nutrition Business revenues Investor Presentation Nov 2012 17
Slide 18: Sustainable Business Model
Sustainable Business Model Research WOCKHARDT Operational Globalisation Excellence Investor Presentation Nov 2012 18
Slide 19: Fit & Trim Operations
Fit & Trim Operations Gross Margins at 64% in FY12 vs. 63% in FY08. EBITDA Margins at H1FY13 at 67% 31% in FY12 vs. 18% in FY10. Operating Expenses at H1FY13 at 36% 32% in FY12 vs. 40% in FY08. H1FY13 at 31% Investor Presentation Nov 2012 19
Slide 20: Manufacturing Cost (-29%)
Manufacturing Cost (-29%) Investor Presentation Nov 2012 20
Slide 21: People Productivity (+27%)
People Productivity (+27%) TTM : Trailing Twelve Months Investor Presentation Nov 2012 21
Slide 22: Working Capital (Improved by 26%)
Working Capital (Improved by 26%) * Working Capital measured as on the last Working Day of the respective Year TTM : Trailing Twelve Months Investor Presentation Nov 2012 22
Slide 23: Q2 Results
Q2 Results TWOCKHARDT
Slide 24: Q2 Results - Note
Q2 Results - Note • The quarterly results for Q2 FY13 include the following 1. Profit on sale of Nutrition Business of Rs.1187 crores has been accounted under “Exceptional Items” 2. The carried forward costs of certain Intangible Assets and Research and Development costs as at 30th June 2012 of Rs.
Slide 25: Sales – Growth of 29% over Q2FY12
Sales – Growth of 29% over Q2FY12 Growth of 29% over Q2FY12 Growth of 32% in H1FY13 over H1FY12 Investor Presentation Nov 2012 25
Slide 26: EBITDA – Growth of 85% over Q2FY12
EBITDA – Growth of 85% over Q2FY12 Growth of 85% over Q2FY12 Growth of 77% in H1FY13 over H1FY12 11th Consecutive Quarter of Sequential Growth Investor Presentation Nov 2012 26
Slide 27: Adj. PAT – Growth of 375% over Q2FY12
Adj. PAT – Growth of 375% over Q2FY12 Growth of 376% over Q2FY12 Growth of 217% in H1FY13 over H1FY12 Investor Presentation Nov 2012 27
Slide 28: Quarter on Quarter Improvement
Quarter on Quarter Improvement Investor Presentation Nov 2012 28
Slide 29: Strong Balance Sheet
Strong Balance Sheet Rs. in crores Investor Presentation Nov 2012 29
Slide 30: Strong Balance Sheet
Strong Balance Sheet Return On Capital Employed (EBIT / Capital Employed) 31% * Return on Net-Worth (PAT / Networth) 58% * Net Debt to Equity (Net Debt / Equity) 0.5 Net Operating Working Capital to Sales 25%* EBITDA to Net Debt 1.5* Interest Coverage Ratio (EBIT / Interest) 8.1* *Based on Trailing
Slide 31: US Business: Profitable Growth
US Business: Profitable Growth • Growth of 47% (22% on $terms) over Q2FY12. • Growth in H1FY13 of 61% (33% in $ terms) over H2FY12 • 4 New Products launched in Q2FY13. A total of 8 new product launches in H1FY13. • Growth across segments in the US market • LEC – all strengths launched post exclusivi
Slide 32: EU Operations: Strong UK Operations
EU Operations: Strong UK Operations UK Operations • UK operation grows by 26% (7% in £ terms) in Q2FY13 against a depressed market growth • Growth of 29% (9% in £ terms) in H1FY13 • 3 new product launches in Q2 FY13, 6 in H1FY13 • No. 3 Generic company in UK • No. 2 in the hospital segment Ireland O
Slide 33: Emerging Markets
Emerging Markets • Emerging Markets growth at 19% for Q2FY13 and at 14% for H1FY13. • Indian Business grew at 3% over Q2FY12. • Restructuring of the India field force should start showing results in the following quarters. • ROW operations grew by 92% over Q2FY12 Investor Presentation Nov 2012 33
Slide 34: Awards
Awards PHARMEXCIL AWARD WOCKHARDT for highest no. of Patents filed for the 4th year in a row DIANA AWARD WOCKHARDT USA Inc. Healthcare Distribution Management Association (HDMA) USA FROST & SULLIVAN CHAIRMAN India Healthcare Excellence Awards Lifetime Achievement Award DR. HABIL KHORAKIWALA INVESTOR
Slide 35: Peer Positioning
Peer Positioning TWOCKHARDT
Slide 36: Peer Positioning – Q2FY13 Top 3: Sales Growth
Peer Positioning – Q2FY13 Top 3 Sales Growth Investor Presentation Nov 2012 36
Slide 37: Peer Positioning – Q2FY13 Top 3: EBITDA Growth
Peer Positioning – Q2FY13 Top 3 EBITDA Growth Investor Presentation Nov 2012 37
Slide 38: Peer Positioning – Q2FY13 Top 3: EBITDA Margin
Peer Positioning – Q2FY13 Top 3 EBITDA Margin Investor Presentation Nov 2012 38
Slide 39: Peer Positioning – Q2FY13 Top 3: PAT & PAT Growth
Peer Positioning – Q2FY13 Top 3 PAT & PAT Growth Investor Presentation Nov 2012 39
Slide 40: Peer Positioning – Q2FY13 Top 3: PAT Margins
Peer Positioning – Q2FY13 Top 3 PAT Margins Investor Presentation Nov 2012 40
Slide 41: Peer Positioning – H1FY13 Top 3: Sales Growth
Peer Positioning – H1FY13 Top 3 Sales Growth Investor Presentation Nov 2012 41
Slide 42: Peer Positioning – H1FY13 Top 3: EBITDA Growth
Peer Positioning – H1FY13 Top 3 EBITDA Growth Investor Presentation Nov 2012 42
Slide 43: Peer Positioning – H1FY13 Top 3: EBITDA Margins
Peer Positioning – H1FY13 Top 3 EBITDA Margins Investor Presentation Nov 2012 43
Slide 44: Peer Positioning – H1FY13 Top 3: PAT & PAT Growth
Peer Positioning – H1FY13 Top 3 PAT & PAT Growth Investor Presentation Nov 2012 44
Slide 45: Peer Positioning – H1FY13 Top 3: PAT Margins
Peer Positioning – H1FY13 Top 3 PAT Margins Investor Presentation Nov 2012 45
Slide 46: Peer Positioning – H1FY13
Peer Positioning – H1FY13 One of the Best Managed Working Capital in the Industry *Based on Trailing Twelve months Financials Investor Presentation Nov 2012 46
Slide 47: Consistent Profitable Growth
Consistent Profitable Growth
Slide 48: Delivering Consistent Profits
Delivering Consistent Profits • R&D at the Strategic Core Research • Robust Product Pipeline • Direct Operations in USA, UK , Ireland & India Globalization • Strategic Alliances in Emerging Economies • Strong Management & Research Capabilities Operational • Focus on High Value Product Launches Excel
Slide 49: For investor updates and communication please visit www.wockhardt.com
For investor updates and communication please visit www.wockhardt.com For Information please contact Tushar Mistry Tel.: +91 22 26596210 [email protected] 49 Investor Presentation Nov 2012