Interim Report Q Budapest, 5 May 2016

Transcription

1 Richter Group Interim Report Budapest, 5 May 2016

2 Summary Consolidated sales: +0.8% (EUR), +1.9% (HUF) + sales growth in Russia + good growth in Romania (W&R), in Poland and in China significant sales decline in USA Profit for the period*: -19.9% (EUR), -19.0% (HUF) + one-off reassessment-related income in Other income and expenses + decrease in R&D expenses depreciation of RUB both against HUF and EUR 2

3 Key events Richter s regulatory submission for the proposed biosimilar, teriparatide was accepted (4 January 2016) Gedeon Richter Rxmidas Joint Venture Co. Ltd. 100% Richter owned (22 January 2016) Expansion of Biotechnological Plant in Debrecen (10 March ac 2016) EMA started the evaluation of Richter s marketing authorisation application for cariprazine for the treatment of schizophrenia (29 March 2016) 3

4 Consolidated Financial Highlights HUF Change % EUR Change % Total revenues 89.3bn m 0.8 Profit from operations 14.8bn m 5.8 Profit for the period* 12.2bn (19.0) 39.1m (19.9) EPS (diluted) 66 (18.5) 0.21 (19.2) *Net income attributable to owners of the Parent 4

5 Consolidated sales by geographies Hungary Hungary Russia 20% 12% 7% Poland Russia 21% 12% 7% Poland Ukraine Other CIS 3% 9% 3% LatAm 4% China 5% 4% USA RoW 13% Ukraine Romania Q % EU15 6% EU10 Other CIS 3% 9% 2% LatAm 5% 2% China 4% 13% USA RoW EU15 7% 15% Romania EU10 Total: HUF 87.7bn EUR 284.1m + 1.9% (HUF) + 0.8% (EUR) Total: HUF 89.3bn EUR 286.4m 5

6 P&L HUFm Change % EURm Change % as % of total revenues Total revenues 89, Gross profit 53,609 (3.5) (4.6) 60.0 S&M expenses (26,432) 2.4 (84.7) A&G expenses (4,530) (0.4) (14.5) (2.0) 5.0 R&D expenses (9,883) (9.3) (31.6) (10.5) 11.1 Other income and expenses 2,041 n.a. 6.5 n.a. 2.3 Profit from operation 14, Net financial result (403) n.a. (1.3) n.a. 0.5 Profit for the period* 12,191 (19.0) 39.1 (19.9) *Net income attributable to owners of the Parent

7 Decreasing gross profit, gross margin HUFm Gross profit 63.3% 60.0% Gross margin 70% 60% 50% 40% 30% 20% 10% 0% + Increase of turnover in Poland, in Russia and in China Significant sales decline in EU15 and in USA Lower sales levels of Women s healthcare products Weakening RUB exchange rate against EUR and HUF (YoY) EUR RUB 17.7% 7% Increase of share in turnover of W&R 7

8 Increasing operating profit HUFm % + One-off reassessment % 20% related income in Other % income and expenses 15% % + Decreasing R&D % expenditures % Profit from operation Operating margin 8

9 Pharmaceutical sales* Sales development opposite movements + growth: Poland, Romania, Russia, Ukraine, China + increasing ESMYA sales declining overall OC sales decline: EU15, USA, Latin America Successful product launches 9

10 Hungary Flat sales levels: +0.1% in HUF HUFbn Stable pharmaceutical market Success of products launched in recent years 15 p Turnover of pharmaceutical segment 10

11 EU composition of sales EU15 strengthening our position in key Western- European markets own Women s 45% healthcare sales and marketing network 55% Poland, Romania, EU10 Turnover of pharmaceutical segment well established in the region for decades own specialized sales network 11

12 EU15 Sales decline: 7.1% in EUR EURm 180 Recently established S&M 160 network Woman s healthcare products: 100 Esmya, Lisvy, Richter OC 80 portfolio, acquired Ocs Declining oral contraceptive market Turnover of pharmaceutical segment 12

13 Poland, Romania, EU Increasing generic competition Price erosion EURm Poland: 15.4% increase in PLN strong flu epidemic Groprinosin sales increase 80 Romania: increasing sales levels (+10.4% in RON) 40 0 Poland Romania EU10 Turnover of pharmaceutical segment low sales levels in base period 13

14 CIS EURm 480 Sales increase (3.2% ) Russia Ukraine Other CIS Turnover of pharmaceutical segment Russia RUB devaluation (YoY) slowdown of Russian economy Ukraine political uncertainty UAH devaluation decreasing purchasing power 14

15 Russia Sales increase (+24.2% in RUB; +5.5% in EUR) EURm % average price increase related to the whole portfolio Growing pharmaceutical market Further weakening of EUR RUB exchange rate in Q1 2016: 17.7% 7% (YoY) Y) Turnover of pharmaceutical segment 15

16 Ukraine, Other republics Ukraine: Sales increase 11.1% 1% inusd Other republics: Sales decline 8.4% in EUR (-10.0% in USD) 200 USDm Ukraine Other CIS Ukraine political and economic turmoil low sales levels in the base period UAH devaluation USD UAH: 21.3% (YoY) decline in purchasing power Other republics devaluation of local currencies Turnover of pharmaceutical segment 16

17 USA Sales decline: -52.2% in USD USDm Significant proportion of Women s healthcare 80% Substantial decrease of revenues resulting from profit sharing agreements Turnover of pharmaceutical segment 17

18 China Sales in : EUR 14.1m Dynamically expanding pharmaceutical market From 2016 GR Rxmidas 100% Richter owned Sales network: 230 medical representatives Higher sales level of Cavinton and Panangin 18

19 Latin America Sales in : USD48m 4.8m Regional presence: Brazil Mexico Colombia Ecuador Bolivia Peru Chile Mediplus N.V. 19 Women s healthcare products in focus Gradual launch of ESMYA Turnover of pharmaceutical segment

20 Pharmaceutical sales by therapeutic areas Total: EUR 238.7m Other 19% 14% Central Nervous System Muscle relaxants Gastrointestinal 6% 4% 23% Cardiovascular Women s healthcare 34% 20

21 Women s healthcare sales by region Total: HUF 25.6bn CIS EUR 81.9m 25% Hungary 6% CEE 12% RoW China LatAm China 1% LatAm 4% 7% USA 5% USA 40% EU15 CEE RoW EU15 Hungary CIS EURm Gynaecological sales Non-gynaecological sales 21 Turnover of pharmaceutical segment

22 Sales impact of Ex-Grünenthal portfolio and ESMYA Women s healthcare sales Women s healthcare sales: EUR 81.9m 14% Ex-Grünenthal portfolio 18% 22 ESMYA

23 Sales network staff CIS CEE Hungary EU15 China 23

24 Wholesale and Retail W&R sales contribution is 19% of total sales 75% of fthe W&Rturnover originates i in Romania 24.1% sales increase in EUR terms in Romania 24

25 Ownership structure 31 March 2016 Domestic investors 7.33% 67.42% International investors Hungarian State Holding Company 25.25% 25

26 Thank you for your attention!

27 Evolution of currency exchange rates I. 340 HUF EUR HUF USD HUF

28 Evolution of currency exchange rates II. EUR EUR RUB

29 Appendix Exchange rates At period end Average