Bachem Holding AG Class B · SIX:BANB
Bachem Holding AG Class B — H1 2023 Earnings Presentation
24 slides from Bachem Holding AG Class B's earnings presentation, Jul 27, 2023
Slide 1: Bachem H1 Results 2023
Date | July 27, 2023 Location | Bubendorf/Zoom Call Name | Thomas Meier, Alain Schaffter
Slide 2: Questions and call recording information
At the end of the presentation we will have time for questions. Please use the “Raise Hand” function. This call will be recorded and playback available on bachem.com. 2 Bachem H1 Results 2023
Slide 3: Presenters
Thomas Meier Alain Schaffter Daniel Grotzky (Moderator) CEO CFO Head Group Communication 3 Bachem H1 Results 2023
Slide 4: Agenda
1. Half-Year Results 2023 Thomas Meier 2. Financial Review H1 2023 Alain Schaffter 3. Outlook Thomas Meier 4. Q&A All 4 Bachem H1 Results 2023
Slide 5: Thomas Meier
Thomas Meier 5 Bachem H1 Results 2023
Slide 6: H1 2023 highlights: growth, profitability, capacity, portfolio
Growth Profitability • Sales of CHF 239.9m (+2.1%, +5.3% in LC*) • EBITDA: CHF 52.5m / margin 21.9% • Growth driven by Commercial API • Hiring ahead of expansion puts pressure on margin • One-off costs of CHF 1.5m due to reorganization at US-sites (adjusted EBITDA of CHF 54.0m/margin 22.5%) Capacity
Slide 7: H1/H2 sales in CHF million
H1/H2 sales in CHF million 350 300 250 200 150 100 50 0 2016 2017 2018 2019 2020 2021 2022 2023 H1 H2 7 Bachem H1 Results 2023
Slide 8: Sales by business area
Change in Change in in CHF million H1 2023 Sales share local currency CHF Research & Specialties 16.9 – 29.9% – 31.6% 7.0% CMC Development 76.1 – 0.5% – 4.1% 31.7% Commercial API 146.9 + 15.4% + 12.2% 61.3% Total sales 239.9 + 5.3% + 2.1% 100.0% 8 Bachem H1 Results 2023
Slide 9: Drivers and headwinds by business area
Drivers Headwinds CMC Development + Peptide & oligonucleotide x Biotech funding environment Pipeline projects Commercial API + Patented Peptide API x Oligonucleotide commercial + Generics volume + Generics price increases Research x Capacity limitations for small & Specialities volumes 9 Bachem H1 R
Slide 10: Sales by region
Change in Change in in CHF million H1 2023 Sales share local currency CHF Europe/Asia 145.3 + 4.0% + 2.2% 60.6% North America 94.6 + 6.3% + 2.1% 39.4% Total sales 239.9 + 5.3% + 2.1% 100.0% 10 Bachem H1 Results 2023
Slide 11: Alain Schaffter
Alain Schaffter 11 Bachem H1 Results 2023
Slide 12: Key financials H1 2023 vs H1 2022
H1 2023 H1 2022 Change CHF Change LC Sales (in CHF million) 239.9 234.9 + 2.1% + 5.3% EBITDA (in CHF million) 52.5 67.3 – 22.0% – 13.8% in relation to sales 21.9% 28.7% EBIT (in CHF million) 34.8 51.6 – 32.5% – 22.0% in relation to sales 14.5% 22.0% Net income (in CHF million) 34.4 36.6 – 5.9% in re
Slide 13: EBITDA margin bridge
-680bps 28.7 -5.1 0.1 -1.4 -0.4 21.9 EBITDA COGS M&S R&D G&A / EBITDA margin other margin H1 2022 income H1 2023 13 Bachem H1 Results 2023
Slide 14: Operating cash flow and net change in cash
• Capex cash-out -126.7 • Sale of securities +58.0 +45.8 86.9% 94.7 94.7 -0.3 77.2 48.5 36.1 -38.7 -66.6 50.7 48.9 49.4 • Capital increase +105.9 • Dividend -56.2 Operating Cash Operating Cash Operating Change in Change in Change in Operating Investing Financing Currency Net change Flow H1 2022 Flow
Slide 15: Balance sheet
595.6 579.8 31.5 108.7 237.0 1 383.9 1 502.1 180.3 214.2 250.8 (15%) (17%) 327.6 291.0 1169.7 1251.3 (85%) (83%) -0.3 -0.3 Liabilities Dec. 31, 2022 Equity June 30, 2023 Dec. 31, 2022 June 30, 2023 Cash and cash equivalents Securities Current financial liabilities Net working capital 15 Bachem H1 Re
Slide 16: CAPEX and depreciation
142.6 130.7 114.6 76.4 32.7 33.3 47.8 25.9 28.4 24.9 17.7 26.0 26.8 19.0 10.4 2019 2020 2021 2022 H1 2023 CAPEX in CHF million Depreciation in CHF million CAPEX in % of sales 16 Bachem H1 Results 2023
Slide 17: Thomas Meier
Thomas Meier 17 Bachem H1 Results 2023
Slide 18: Priorities: Large-scale transformation
• Large scale needs in biopharma: • High capital intensity: Ramp-up Peptides in diabetes and obesity Priorities: requires ability to secure customer trust indications drive need for rapid ramp-up for pre-payments & trust by strained for commercial volumes. Large-scale financial markets. • CDMO value
Slide 19: Building K, Bubendorf and Sisslerfeld
Building K, Bubendorf • Working with full commitment against an ambitious schedule • Hiring progressing well • Manufacturing contracts in place for phase 1 • 2nd phase expansion until 2026 Sisslerfeld • Currently in planning phase • Legal entity created, 2nd plot of land purchased • Intended launch
Slide 20: From CMO to CDMO to Trailblazing CDMO
CMO CDMO «Trailblazing» CDMO “Best of both worlds”: First-mover advantage & access for Sponsor and Bachem develop and Cost-effective manufacturing, e.g. for sponsors to new manufacturing execute a tailored process to sponsors with existing processes. technology with superior quality and cost manufac
Slide 21: Outlook 2023 and 2026
2023 Full Year By 2026 Sales Sales High single-digit growth. > CHF 1 bn. Profitability Profitability EBITDA margin at around 30%. EBITDA ahead of 30%. 21 Bachem H1 Results 2023
Slide 22: Q&A
BACHEM 22 Bachem H1 Results 2023
Slide 23: Questions? Send an e-mail
Question? Send an e-mail to… [email protected] [email protected] 23 Bachem H1 Results 2023
Slide 24: Forward-looking statements
This presentation contains certain forward-looking statements. These forward-looking statements may be identified by words such as ‘believes’, ‘expects’, ‘anticipates’, ‘projects’, ‘intends’, ‘should’, ‘seeks’, ‘estimates’, ‘future’ or similar expressions or by discussion of, among other things, str