Investor Presentation March 2014 BSE: Symbol: ALEMPHARM Code: - - PowerPoint PPT Presentation

Alembic Pharmaceuticals Limited

Investor Presentation

March 2014

www.alembic-india.com

BSE: NSE: Symbol: ALEMPHARM Code: 533573 Symbol: APLLTD ISIN: INE901L01018

Safe Harbour Statement

Materials and information provided during this presentation may contain ‘forward-looking statements’. These statements are based on current expectations, forecasts and assumptions that are subject to risks and uncertainties which could cause actual outcomes and results to differ materially from these statements. Risks and uncertainties include general industry and market conditions and general domestic and international economic conditions such as interest rate and currency exchange fluctuations. Risks and uncertainties particularly apply with respect to product-related forward-looking statements. Product risks and uncertainties include, but are not limited, to technological advances and patents attained by competitors, challenges inherent in new product development including completion of clinical trials; claims and concerns about product safety and efficacy; obtaining regulatory approvals; domestic and foreign healthcare reforms; trend towards managed care and healthcare cost containment and governmental laws and regulations affecting domestic and foreign operations. Also, for products that are approved, there are manufacturing and marketing risks and uncertainties, which include, but are not limited, to inability to build production capacity to meet demand, unavailability of raw materials and failure to gain market acceptance.

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1907 1940 1961 1971 1972 2001 2003

The Alembic Journey

The Alembic Journey

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Strategic Advantage

Alembic Research Centre is the first in India to be Information Security Certified Highly talented pool of 300 Research Scientists R&D / F&D / Captive Bio-equivalence facility Well-developed Infrastructure facility - 4 US FDA approved plants High-end quality / RA structure Manufacturing excellence with optimal cost benefits Therapy focused marketing through 15 marketing arms

• n PAN India basis

Therapy focused marketing through over 4,000 field force covering over 1.5 lacs doctors Strong partnership and alliance in Generic space Long term relationship with API customers

R&D Centre has been recognized by DSIR,

• Govt. of India

High-end R&D Equipment - NMR XRD, TGA, DSC, LCMS World-class Infrastructure

R&D F ACI LI TY

Expertise in Drug Deliveries and Niche Formulations Well-defined Processes and Quality Systems Capabilities in Solid Oral, Liquid Oral Products

F&D CAPABI LI TI ES

State-of-the-art 90-bedded new Bio Centre 100 Bio Pilot Studies 50 Pivotal Studies

BI O EQUI VALENCE CENTRE

Alembic Research Centre

State-of-the-art Analytical & IPR infrastructure

61

ANDA Filing

32 ANDA / NDA approvals with

60

DMFs Filing

DMFs filed

Research Capabilities

ANDAs filed

25 25 37 37 18 18 44 44

66

DMFs Filing

DMFs filed

26 26 32 32 45 45 54 54 60 60 66 66

ANDAs filed

Up Up to to 2009-10 2009-10 2010-11 2010-11 2011-12 2011-12 2012-13 2012-13 2013-14 2013-14 2008-09 2008-09

57 57 61 61

FORMULATIONS API

Up to Up to 2009-10 2009-10 2010-11 2010-11 2011-12 2011-12 2012-13 2012-13 2013-14 2013-14 2008-09 2008-09 26 6 13 9 6 6 18 7 12 7 13 4

USFDA, MCC, MHRA, ANVISA, TPD approved formulations facility at Panelav Current annual production capacity of plus 5 billion tablets/capsules

Manufacturing Infrastructure

Formulations plant at Baddi, Himachal Pradesh USFDA, EDQM, TGA, WHO approved API facility at Panelav (2 units) and at Karkhadi (1 unit)

For m ul at i

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( Re gul a t

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Br anded For m ul at i

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API

Manufacturing Infrastructure

Certifications

SPECIALITY MARKETING DIVISION

Effective Marketing

PAN India Marketing and Distribution Network

SPECIA

Cardiology Diabetes Urology

ENTERON

Gastroenterology

SUMMIT

Cardiology Diabetes

EYECARE

Ophthalmology

OSTEOFIT

Orthopedics

ZENOVI

Gynecology

INTENSA

Critical Care

ALCARE MEGACARE

General Acute Division

PHARMA

General Acute Division

GASTRON CORIUM CORAZON

Cardiology Diabetes Dermatology

MAXIS

Rural Focused

RESPIRATORY Gastroenterology

Gynecology

High End Respiratory

Major Product Portfolio

Top Products

Azithral Althrocin Wikoryl Roxid

Therapatic Area Ranking*

Anti Infective Anti Infective Respiratory Anti Infective 35 63 152 164

Other Products Therapatic Area

Rekool Zeet/Bro-Zeet Tellzy Gestofit Sharkoferrol Tetan Livfit Glisen Ovigyn Zofix Ulgel Gastroenterology Cough & Cold Cardiology Gynecology Tonic Cardiology Hepaprotectives Anti Diabetic Anti Infective Antacid and Anti Flatulant

*Source: ORG March, 2014

Gestofit

Gynecology 284

Gynecology

Launch 20-25 new products

Growth Drivers

Expected

annual growth

15-18%

Enhanced focus on existing branded business

Through effective pan-India distribution network and therapy based marketing and by pushing ahead acute and chronic segments like anti-infectives and cough & cold medications

Branded Formulations

Launch of new products to boost sales momentum and brand build up

Enter into new therapeutic segment

Corazon for Cardio and Alembic Respiratory for High end Respiratory launches in early FY 2014-15

Expanded annual production capacity

Annual production enhanced from 2.6 billion tablets/capsules to 5 billion tablets/capsules.

Growth Drivers

Position Alembic as a cost efficient dependable quality manufacturer

Superior cost efficiency

International Generics

Over the next five years, products that currently generate more than USD 142 billion In sales are expected to go off-patent. Alembic can tap these opportunities by launching new generic products at appropriate times.

ANDA filings and approvals for off-patent drugs

Financial Highlights – Quarterly

Consolidated Q IV - FY 13-14

INR million

Formulation India Branded India Generics International Branded International Generics API Export Incentive Grand Total Total Domestic Total Export

Sales Q IV / 13-14 Q IV / 12-13 Business Share '14 Growth %

1,995 286 176 1,367 1,753 298 153 776 43% 6% 4% 29% 14%

• 4%

15% 76% 809 787 18% 3% 19 17 4,652 3,784 100% 23% 2,453 2,338 53% 5% 2,199 1,446 47% 52%

Financial Highlights – Quarterly

Result Highlight (Consolidated) Q IV - FY 13-14

INR million

EBDITA (Before R&D) EBDITA (Post R&D) PBT

Particulars Q IV / 13-14 Q IV / 12-13

1,225 913 808 882 656 39% 39%

Growth %

552 46% PAT 613 437 40% EBDITA % 19.6% 17.3%

Financial Highlights – 2013-14

Consolidated FY 2013-14

INR million

Formulation India Branded India Generics International Branded International Generics API Export Incentive Grand Total Total Domestic Total Export

Sales 2013-14 Business Share '14 Growth %

8,506 1,207 736 4,684 7,484 1,262 558 2,358 46% 6% 4% 25% 14%

• 4%

32% 99% 3,388 3,505 18%

• 3%

163 93 18,684 15,260 100% 22% 10,411 9,971 56% 4% 8,273 5,289 44% 56%

2012-13

Financial Highlights – 2013-14

Result Highlight (Consolidated) FY 2013-14

INR million

EBDITA (Before R&D) EBDITA EBDITA % (Post R&D) PBT

Particulars

4,741 3,577 19.2% 3,106 3,263 2,520 16.5% 45% 42%

Growth %

2,064 51% PAT 2,355 1,653 43%

2013-14 2012-13

Revenue Overview

Sales Composition

FY 13-14

46%

International Branded Formulation

4%

Export Incentive

1% 25%

API Export

15%

International Generics

6%

India Branded Formulations India Generics API Domestic

3%

Revenue Overview

Sales Composition

FY 13-14

Anti Infectives 34% Nephrology/Urology

2% 2%

Cough & Cold 12% Orthopedics 5% Cardiology

10%

Gynecology

11%

Gastrology 19%

Therapy Based Sales Break up

Anti Diabetic Ophthalmology

5%

Domestic Branded Business Domestic Branded Business Business

(Source : ORG March 2014)

General 46% Specialty 54%

Revenue Overview

Sales Composition

2012 - 2013

India Branded Formulations

49%

India Generics International Branded Formulations

4%

Export Incentive

1%

API Export

15%

API Domestic

7%

International Generics

16% 8%

R & D Expense

Increased Thrust on Research to create Intellectual Property

R&D spend as a % to Sales

2010-11 2010-11 2011-12 2011-12 2012-13 2012-13 2013-14 2013-14

4.06% 4.78% 5.06% 7.00%

Shareholding Pattern

As on 31st March 2014

Total Paid up Capital

INR 377.03 million 188.52 million

Total No. of Shareholders

47,497

Promoter Group

45%

Alembic Limited

29%

Public

15%

FI / FII / MF

11% Alembic Pharmaceuticals Limited

Market Capitalisation

INR 53,738 million

Corporate Social Responsibility

Rural Development Society

Rural Development Society is a Social Responsibility Initiative of Alembic founded in 1979 Enhancement for self employment and income generation for economic development School, hostel and medical facilities for local villagers

Corporate Social Responsibility

Environment

Alembic believes in clean and green chemistry Zero discharge facilities comprising of state-of-the-art aeration system, ultra filtration and reverse osmosis plant, evaporation and incineration plant Dedicated scrubbing system for process gas emissions

Alembic Pharmaceuticals Limited

Alembic Road, Vadodara 390 003, India .Tel.: 0265 – 300 7300 Mitanshu Shah Tel.: 0265 - 300 7630 • Fax: 0265 - 228 2506 mitanshu.shah@alembic.co.in For updates and specific queries please visit : www.alembic-india.com

• r feel free to contact :

Ajay Kumar Desai Tel.: 022- 306 11681 • Fax: 022 – 306 11682 ajay.desai@alembic.co.in

Thank You