Ipca Laboratories Ltd. Corporate Presentation Mar 2020 1 Company - PowerPoint PPT Presentation

Ipca Laboratories Ltd. Corporate Presentation Mar 2020 1

Company Overview Incorporation : 1949 Present Management : Since 1975 � 4432.12 Crs / US$ 626 Mn (Standalone) Total income F. Y. 2019-20 : � 4715.71 Crs / US$ 666 Mn (Consolidated) � 2143.75 Crs / US$ 303 Mn Exports F. Y. 2019-20 : Business Model : Integrated pharmaceutical company producing Branded and Generics Formulations, APIs and Intermediates 2

Five Years’ Highlights Standalone 2015-16 2016-17 2017-18 2018-19 2019-20 Domestic Income ����� Crs ) 1,440.88 1,617.13 1,694.54 1,956.90 2,288.37 Domestic Income (US $ Mn) 203.40 228.28 239.21 276.24 323.03 Export Income ����� Crs ) Export Income ����� Crs ) 1,429.85 1,429.85 1,561.74 1,561.74 1,564.21 1,564.21 1,730.84 1,730.84 2,143.75 2,143.75 Export Income (US $ Mn) 201.84 220.46 220.81 244.33 302.62 Total Income ����� Crs ) 2,870.73 3,178.87 3,258.75 3,687.74 4,432.12 Total Income (US $ Mn) 405.24 448.74 460.02 520.57 625.65 Net Profit After Tax ����� Crs ) 92.52 188.29 233.11 454.91 652.46 Net Profit After Tax (US $ Mn) 13.06 26.58 32.91 64.22 92.10 3

Five Years’ Highlights Consolidated 2015-16 2016-17 2017-18 2018-19 2019-20 Domestic Income ����� Crs ) 1,440.88 1,617.13 1,694.68 1,956.90 2,326.10 Domestic Income (US $ Mn) 203.40 228.28 239.23 276.24 328.36 Export Income ����� Crs ) Export Income ����� Crs ) 1,487.85 1,487.85 1,616.08 1,616.08 1,630.69 1,630.69 1,873.96 1,873.96 2,389.61 2,389.61 Export Income (US $ Mn) 210.03 228.13 230.19 264.53 337.32 Total Income ����� Crs ) 2,928.73 3,233.21 3,325.37 3,830.86 4,715.71 Total Income (US $ Mn) 413.43 456.41 469.42 540.77 665.68 Net Profit After Tax ����� Crs ) 93.14 194.54 239.42 442.22 603.56 Net Profit After Tax (US $ Mn) 13.15 27.46 33.80 62.43 85.20 4

Manufacturing Facilities Formulations 5

Manufacturing Facilities Formulations Location Dosage Form Approvals / Inspections UK-MHRA, TGA-Australia, WHO-Geneva, EU Certification by German Athal Tablets & Capsules Authority, Health Canada, GCC, MOH- (Dadra & Nagar Haveli) Columbia, FDA Ghana, MOH Oman, NDA- Uganda, NHRA- Bahrain MCC-South Africa, INVIMA Colombia, WHO-Geneva, State INVIMA Colombia, WHO-Geneva, State Ratlam Tablets, Liquids, Administration of Ukraine, MOH Belarus, (Madhya Pradesh) Injectables & Ointments NAFDAC- Nigeria, DIGEMID Peru, FDA Ghana, MOH Tanzania UK-MHRA, MCC-South Africa, TGA- Australia, National Drug Authority (NDA)- Uganda, Eu-GMP, Agency for Kandla ( Gujarat) Betalactum – Tablets, Medicinal Products and Medical Devices Capsules & Dry Syrups (HALMED) – Croatia , TFDA - Tanzania, Zimbabwe -MCAZ, Ivory Coast- ICHA, NAFDAC CGMP – Nigeria, GCC 6

Manufacturing Facilities Formulations Location Dosage Form Approvals / Inspections WHO-GMP, TGA-Australia, Silvassa Tablets & Capsules (Dadra & Nagar Haveli) Health-Canada Unit – I : WHO-GMP Dehradun, Tablets & Unit - II: WHO-GMP, GHANA-FDA, (Uttarakhand) Cephalosporin Injectables NAFDAC - Nigeria Indore (SEZ), (Madhya UK-MHRA, Health Canada, Tablets & Capsules Pradesh) MCC-South Africa, TGA - Australia ISO 9001, ISO 14001, ISO OHSAS 1800, Sikkim Tablets & Capsules WHO GMP Pithampur, Dhar , High Potency Oral Solid WHO-GMP (Madhya Pradesh) Dosage INVIMA Colombia, WHO-Geneva,GCC Tarapur ,Palghar Tablets WHO-GMP NDA (Uganda). (Maharashtra) 7

Manufacturing Facilities Active Pharmaceutical Ingredients (APIs) 8

Manufacturing Facilities APIs Location Approvals / Inspections TGA-Australia, EDQM, PMDA-Japan, WHO-Geneva, Ratlam (Madhya Pradesh) Health Canada, EU-GMP (LaGesso, Berlin), MOH Russia, MFDS (Korea), CDSCO- India, Cofepris (Mexico) Indore (Madhya Pradesh) WHO-Geneva, CDSCO- India, EUWC Ankleshwar (Gujarat ) Ankleshwar (Gujarat ) PMDA –Japan, CDSCO- India, Cofepris (Mexico), EUWC PMDA –Japan, CDSCO- India, Cofepris (Mexico), EUWC Nandesari (Gujarat ) CDSCO- India, EUWC Aurangabad (Maharashtra) USFDA, MOH Russia, MFDS, CDSCO- India, EUWC Mahad (Maharashtra) State FDA Ranu (Taluka Padra) (Gujarat) CDSCO- India, Cofepris (Mexico), EUWC Ramdev Chemical Pvt. Ltd., Boisar (Maharashtra) USFDA, CDSCO- India (100% Subsidiary Company) 9

Revenue Break-up 10

Revenue Break-up - Standalone 2019 - 20 73% 76% 60% 48% Total Formulations Total Exports APIs Revenue 40% Revenue Domestic 24% 52% 27% 84% 88% 57% 71% Exports Domestic Formulations Formulations APIs APIs 29% 16% 43% 12% 11

Revenue Break-up Standalone 2019-20 2018-19 ����� ����� ����� ����� Growth Domestic Exports Total Domestic Exports Total Branded Formulations 1912.61 381.53 2294.14 1646.83 360.94 2007.77 14.3% Generic Formulations - 840.02 840.02 - 687.32 687.32 22.2% Total Formulations 1912.61 1221.55 3134.16 1646.83 1048.26 2695.09 16.3% API / Intermediates 250.93 922.20 1173.13 201.98 682.58 884.56 32.6% Others 124.83 - 124.83 108.09 - 108.09 Total Income 2288.37 2143.75 4432.12 1956.90 1730.84 3687.74 20.2% Growth 16.9% 23.9% 20.2% 12

Financials 13

Financials - Standalone F.Y. 2019 - 20 F.Y. 2018 - 19 % � Crs � Crs US$ Mn US$ Mn Growth Total Income 4432.12 626 3687.74 521 20% EBIDT 993.41 140 765.26 108 30% EBIDT % 22.41% 20.75% PBT # 784.97 111 557.39 79 41% PBT % 17.71% 15.11% PAT # 652.46 92 454.91 64 43% PAT % 14.72% 12.34% # After forex loss of � 13.96 Crs as against Rs. � 17.50 Crs for previous year. 14

Financials - Standalone Profitability FY 2019-20 FY 2018-19 PBIDT 22.41% 20.75% PBT 17.71% 15.11% PAT 14.72% 12.34% 15

Financials - Standalone Business Characteristics FY 2019-20 FY 2018-19 Return on Capital Employed % (PBIT / 20.20% 16.31% Capital Employed) Return on Net Worth % (PAT / Net 17.74% 14.50% Worth) Fixed Asset Turnover Ratio (Total 2.3 2.04 Income / Net Fixed Assets) Capital Employed Turnover Ratio (Total Capital Employed Turnover Ratio (Total 1.12 1.04 Income / Capital Employed) Asset Coverage Ratio (to term loan) (Net Fixed Assets / Total Long Term 13.16 7.27 Borrowings) Long Term Debt Equity Ratio (Total Long 0.04 0.08 Term Borrowings / Net Worth) Debtors Turnover Ratio (Days) (Trade 71 64 Receivables / Turnover) x 365 Creditors Turnover Ratio (Days) (Trade 92 103 Payables / Purchases) x 365 Inventory Turnover Ratio (Days) 107 108 (Inventory / Turnover) x 365 16

Financials - Standalone Growth FY 2019-20 FY 2018-19 Net Total Income 20.2% 13.2% Domestic Sales 17.0% 15.3% Export Sales Export Sales 23.9% 23.9% 10.7% 10.7% PBIDT 29.8% 59.8% PBT 40.8% 97.1% Net Profit 43.4% 95.1% 17

Financials - Consolidated F.Y. 2019 - 20 F.Y. 2018 - 19 % � Crs � Crs US$ Mn US$ Mn Growth Total Income 4715.71 666 3830.86 541 23% EBIDT 1016.40 143 768.20 108 32% EBIDT % 21.55% 20.05% PBT # 738.89 104 546.46 77 35% PBT % 15.67% 14.26% PAT # 603.56 85 442.22 62 36% PAT % 12.80% 11.54% # After forex loss of � 15.06 Crs as against Rs. � 18.64 Crs for previous year. 18

Financials - Consolidated Business Characteristics FY 2019-20 FY 2018-19 Return on Capital Employed % (PBIT / 19.30% 16.02% Capital Employed) Return on Net Worth % (PAT / Net 16.58% 14.09% Worth) Fixed Asset Turnover Ratio (Total 2.15 1.91 Income / Net Fixed Assets) Capital Employed Turnover Ratio (Total Capital Employed Turnover Ratio (Total 1.19 1.08 Income / Capital Employed) Asset Coverage Ratio (to term loan) (Net Fixed Assets / Total Long Term 12.83 7.86 Borrowings) Long Term Debt Equity Ratio (Total Long 0.05 0.08 Term Borrowings / Net Worth) Debtors Turnover Ratio (Days) (Trade 71 67 Receivables / Turnover) x 365 Creditors Turnover Ratio (Days) (Trade 90 95 Payables / Purchases) x 365 Inventory Turnover Ratio (Days) 105 105 (Inventory / Turnover) x 365 19

Financials - Consolidated Growth FY 2019-20 FY 2018-19 Net Total Income 23.1% 15.2% Domestic Sales 19.0% 15.3% Export Sales Export Sales 27.6% 27.6% 14.9% 14.9% PBIDT 32.3% 54.9% PBT 36.2% 86.0% Net Profit 36.5% 84.7% 20

Financials - Standalone Contribution of Therapeutic Groups Domestic Exports Therapeutic Segment 2019 – 20 2018 – 19 2019 – 20 2018 – 19 Non Steroidal Anti-Inflammatory Drugs (NSAID) 47% 46% 20% 21% Cardiovasculars & Anti-Diabetics 18% 20% 31% 29% Anti-Bacterials 8% 7% 6% 9% Anti-Malarials Anti-Malarials 6% 6% 6% 6% 19% 19% 18% 18% Gastro-Intestinal (GI) Products 3% 4% 4% 3% Neuro Psychiatry 3% 3% 6% 6% Cough Preparations 4% 4% 2% 2% Dermatology 5% 5% - - Urology 3% 3% - - Neutraceuticals 1% 1% - - Others 2% 1% 12% 12% Total 100% 100% 100% 100% 21

Branded Formulations Domestic 22

Branded Formulations Domestic All India Rank IQVIA : 19 th (MAT Mar’20). 25 Depots & 2 C&F agents. 15 Therapy Focused Marketing Divisions. Field Strength (PSR/ BA)– 4584 Over 2000 Wholesalers. 3 brands among top 300 brands (HCQS, Zerodol-P & Zerodol-SP). Market leaders in Rheumatoid Arthritis & Anti-malarials . 23