Neuland Laboratories Ltd. · NSE:NEULANDLAB
Neuland Laboratories — Q3 FY2019 Earnings Presentation
23 slides from Neuland Laboratories's earnings presentation, 2019
Slide 1: Investor Presentation Q3FY19
Investor Presentation Q3FY19 BSE CODE : 524558 | NSE SYMBOL : NEULANDLAB | BLOOMBERG: NLL:IN | REUTERS: NEUL.NS Confidential. © 2019 Neuland Laboratories Ltd. All rights reserved.
Slide 2: Safe Harbour
Safe Harbour Except for the historical information contained herein, statements in this presentation and the subsequent discussions, which include words or phrases such as "will", "aim", "will likely result", "would", "believe", "may", "expect", "will continue", "anticipate", "estimate", "intend", "
Slide 3: Business Overview
Business Overview © 2019, Neuland Laboratories Limited. All Rights Reserved
Slide 4: Company Overview
Company Overview Legacy Scale Capability Reach 35+ years in pharma 3 regulatory approved Portfolio of 75+ 80+ countries of with robust quality manufacturing products across 10 presence systems, regulatory facilities with 731 KL therapeutic categories and compliance capacity framework 75% of revenues
Slide 5: Our Journey
Our Journey Laying Deepening our On course to Strong Foundation capabilities profitable growth Development Expansion Execution 01 02 03 1984-2003 2004-2012 2013-Today § Incorporation in 1984 and IPO § Investments in capacity § Strategic alignment of business in 1994 expansion towards niche APIs and
Slide 6: Business Verticals
Business Verticals Work executed exclusively for the customers on Mature APIs, typically with products at various phases high competition in the API of their life-cycle(2) Custom space Manufacturing Prime Solutions (CMS) Prime APIs and Niche APIs collectively form Generic Niche Drugs Substance (GDS)
Slide 7: Generic Drug Substance (GDS)
Generic Drug Substance(GDS) Prime APIs Capability Business Approach Strategy Forward § 3 US FDA and EU GMP § Work on molecules § Maintain leadership compliant either with a business position in key manufacturing leadership approach molecule facilities or partnership with § Work on process § Collecti
Slide 8: Custom Manufacturing Solutions (CMS)
Custom Manufacturing Solutions(CMS) Services Business Approach Strategy Forward § Manufacturing API to § Local presence in US § Add depth in technical customer and Japan with capabilities specifications technical as well as § Investment in QBD § Designing and commercial labs, process developing empl
Slide 9: Business Mix
Business Mix Revenue by Verticals Revenue by end territory 13% 11% LATAM 23% 22% 3% Japan ROW 22% 29% 2% 20% 8% 27% Europe 60% North 65% 60% 58% America 50% 25% FY-15 FY-16 FY-17 FY-18 India CMS NICHE PRIME 2% 9
Slide 10: Capabilities
Capabilities © 2019, Neuland Laboratories Limited. All Rights Reserved 10
Slide 11: Neuland Manufacturing Facilities
Neuland Manufacturing Facilities Adding capacities for backward integration and new business U1, Bonthapally, U2, Pashamylaram, U3, Gaddapotharam, Unit Hyderabad 222.5 KL Hyderabad 310.2 KL Hyderabad 197 KL Year of 1986 1994 2017* establishment Employee strength 399 321 140 Mirtazapine, Sotalol Hcl,
Slide 12: One state of art R&D centre
One state of art R&D centre R&D Facility, Hyderabad Infrastructure • 11 Development Labs • 60 Fume hoods • Analytical Lab • Kilo Lab dedicated for Scale up • Dedicated Labs for Peptides • Separate facility for D2 analogues Significant R&D Achievements: • Several NCE APIs added in NDA or commercial s
Slide 13: Compliance Framework
Compliance Framework Quality Control EHS § Quality Control facilitated with Wet § Hazard and EHS Impact studies regularly Chemistry, Instrumentation & Microbiology conducted Laboratories § 24X7 occupational health center with § Equipped with sophisticated instruments ambulance facility like HPLCs, G
Slide 14: Regulatory Filings
Regulatory Filings 29 5 Filings with 146 Japanese DMF 57 Health Canada filed ROW filings including DMFs with Turkey, Mexico, USFDA Brazil etc 14 5 filings with IDLs filed KFDA Korea ~403 EUDMF filings across Germany, 20 CEPs Received for different 675+ France, Poland, products Filings till date Ital
Slide 15: Financials
Financials © 2019, Neuland Laboratories Limited. All Rights Reserved 15
Slide 16: Standalone Financial Performance
Standalone Financial Performance Standalone Q3FY19 (Y/Y) Standalone Q3FY19 (Q/Q) Standalone 9MFY19 (Y/Y) § Total Revenue was Rs. 1,718.7 § Total Revenue was Rs. 1,718.7 § Total income was Rs. 4,963.3 mn mn as compared to Rs. 1,231.3 mn as compared to Rs. 1,693.8 as compared to Rs. 3,731.8 mn, an mn,
Slide 17: Key Operating Metric
Key Operating Metric YoY Analysis Quarter on Quarter Movement 13% 12% 8% 17% 17% 22% 20% 25% 27% 16% 34% 34% 67% 67% 60% 61% 49% 49% Q3FY18 Q3FY19 Q4FY18 Q1FY19 Q2FY19 Q3FY19 CMS CMS NICHE NICHE PRIME PRIME 17
Slide 18: Key Operating Metric
Key Operating Metric CMS Business Depth 12 11 8 6 13 9 9 13 4 6 8 8 4 4 5 3 9 7 4 5 5 3 3 3 Q4FY17 Q1FY18 Q2FY18 Q3FY18 Q4FY18 Q1FY19 Q2FY19 Q3FY19 Clinical Commercial *- Quantities taken for validation and launch are considered as Commercial 18
Slide 19: No of CMS active projects increasing
No of CMS active projects increasing Q3 FY19 Pre-Clinical P-1 P-2 P-3 Development Commercial Grand Total API 9 4 2 4 5 5 29 Intermediate 0 2 0 6 7 10 25 Grand Total 9 6 2 10 12 15 54 Q2 FY19 Pre-Clinical P-1 P-2 P-3 Development Commercial Grand Total API 7 2 1 4 6 5 25 Intermediate 1 2 8 3 7 21 Gran
Slide 20: Historical Financials
Historical Financials Financial Performance (INR Cr) Current Ratio (x) 550 534 100 1.1 1.2 1.2 1.2 0.9 510 469 2014 2015 2016 2017 2018 50 Debt to Equity (x) 350 0 FY15 FY16 FY17 FY18 Sales 469 510 573 534 0.5 EBITDA 67 82 88 55 0.2 0.2 0.3 0.2 Net Profit 16 27 32 12 2014 2015 2016 2017 2018 Revenue
Slide 21: Future Strategy
Future Strategy © 2019, Neuland Laboratories Limited. All Rights Reserved
Slide 22: Growth Strategy for Business
Growth Strategy for Business Business Scale Extend capabilities to Invest into capacity to organically build a augment sales and sustainable GDS and CMS accelerate business growth business Chemistry Relationships Deploy advanced Leverage on Long – chemistry skills to add standing relationships with
Slide 23: Thank you for viewing this presentation.
Thank you for viewing this presentation. For further information contact: IR Desk Diwakar Pingle Neuland Labs Christensen IR +91 40 3021 1600 +91 22 4215 0210 [email protected] [email protected] Confidential. © 2019 Neuland Laboratories Ltd. All rights reserved.
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