www.ajantapharma.com

Result Update Q4 FY ‘15 8th May 2015

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India

Business

Regulated

Markets

Emerging

Markets

Infrastructure

Financial

Highlights Corporate Social

Responsibility

Agenda

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India Business

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Dermatology

Cardiology

Pain Management

Ophthalmology

New

Therapy Focus

Total MR Strength 3,000

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India Sales – Q4 FY ‘15

20

24 26

18

7

25

28

35

16

9

0

5

10

15

20

25

30

35

40

Ophthalmology Dermatology Cardiology Institution Pain Mgt.

Q4 FY '14 Q4 FY '15

Q4 FY ‘15 Sales – Rs. 114 cr. (Q4 FY ‘14 – Rs. 95 cr.)

APL Growth 20%, IPM Growth 26% (excluding Institution)

17%

34%

30%

27%

Source: Company

-8%

Rs.

cr.

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India Sales – FY ‘15

85

100 104

66

30

114 118

146

62

40

0

20

40

60

80

100

120

140

160

Ophthalmology Dermatology Cardiology Institution Pain Mgt.

FY '14 FY '15

FY ‘15 Sales – Rs. 480 cr. (FY ‘14 - Rs. 385 cr.)

APL Growth 25%, IPM Growth 31% (excluding Institution)

Rs.

cr.

18%

40%

34% -7%

35%

Source: Company

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Within Segments Ajanta Way Ahead

Source: IMS, MAT Mar ‘15

12%

18%

10%

19%

11%

26%

11%

37%

31%

27%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Pharma Market Dermatology Cardiology Ophthalmology Pain Mgt.

IPM Ajanta Pharma

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Ajanta Growing Consistently Faster Than Industry

IPM – Indian Pharmaceutical Market, Source: IMS

15%

10% 10%

12%

38%

29%

36%

26%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Mar '12 Mar '13 Mar '14 Mar '15

IPM Ajanta Pharma

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IPM - Rankings

IMS MAT Mar ‘15

IMS MAT Mar ‘14

5

13

24

39

IMS MAT Mar ‘05

28

98

38

88

5

13

22

37

Segment

Ophthalmology

Dermatology

Cardiology

Ajanta Pharma

Pain Mgt. 58 NA

36

53

Source: IMS

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30 49

66

88

109

135

180

240

319

418

-

50

100

150

200

250

300

350

400

450

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Ajanta IPM – A Consistent Out Performance

Rs.

cr.

Source: Company

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IPM - Leading Brands

Brand Value (Rs. cr.)

IMS MAT Mar ‘15

Growth over Previous Year

Segment

Met-XL Range 62 21% Cardio

Melacare Range 54 2% Derma

Atorfit Range 44 37% Cardio

Rosufit Range 22 169% Cardio

Apdrops Range 15 68% Ophthal

Softdrops Range 13 21% Ophthal

Feburic 13 60% Pain Mgmt

Aquasoft Range 11 31% Derma

Source: IMS

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Product Profile – Many First to Market

Segment

Total No. of

Products as of

Mar ‘15

No. of Products

First Time in

Market (last 10 yrs)

Ophthalmology 61 51

Cardiology 32 11

Dermatology 58 40

Pain Mgt. 30 25

Total 181 127

Source: Company

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FY ‘15

Total new launches – 26

First to market - 12

New Product Launches in India – Q4 FY ‘15

Zillion Speciality MeXLON Axys

Zillion Inyx

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Emerging Markets

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Global Presence

USA CIS (6 Countries)

West Asia (3 Countries)

Latin

America (4 Countries)

Africa (19 Countries)

India

South East

Asia (3 Countries)

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Branded Generics in Emerging Markets

Brands gaining further ground in many markets

19% Growth in Q4 FY ’15, 22% in FY ‘15

Field strength increased to 572 from 450

Country specific brand portfolio enabling growth

Ranked among Top 5 companies in Franco Africa (IMS Feb ‘15)

Among fastest growing companies in Philippines (IMS Dec ‘14)

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Emerging Markets – Q4 FY ‘15 Revenue Break-up

105

96

5

136

107

2 0

20

40

60

80

100

120

140

160

Africa Asia Latam

Q4 FY '14 Q4 FY '15

30%

11%

Rs.

cr.

-54%

(Rs. cr.)

Region Q4

FY ‘15

Q4

FY ‘14 Growth

Africa 136 105 30%

Asia 107 96 11%

Latam 2 5 -54%

Total 245 206 19%

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Emerging Markets – FY ‘15 Revenue Break-up

368

311

15

451

382

12

0

50

100

150

200

250

300

350

400

450

500

Africa Asia Latam

FY '14 FY '15

(Rs. cr.)

23%

23%

Region FY ‘15 FY ‘14 Growth

Africa 451 368 23%

Asia 382 311 23%

Latam 12 15 -20%

Total 845 694 22% Rs.

cr.

-20%

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Emerging Markets – Building Brands

Region No. of Brands

Registered

No. of

Brands

under

Registration

Field Force

Strength

Major Segments

Africa 1,118 1,106 257 Antibiotic, Anti-Malaria, Ortho

Asia 294 360 315 Antibiotic, Derma, Ortho, OTC,

Ophthal, Cardio, GI

Latam 33 143 - Ophthal, MED, GI

Total 1,445 1,609 572

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New Product Launches Q4 FY ‘15

Region Q4 FY ‘15 FY ‘15

Africa 5 30

Asia 9 18

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Regulated Markets

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Regulated Markets - USA

Total ANDAs filed – 25

Approved – 2 (launched – 1)

Under approval – 23

Q4 sales Rs. 1 cr., FY ‘15 Rs. 4 cr.

Gaining market share for

Risperidone Filing target every year > 6

Expected market size of ANDA

filed USD 1.5 billion (post generic)

Only solid dosage

Mix of Para II, Para III, Para IV

No FTFs

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Infrastructure

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Manufacturing

Formulation Manufacturing

3 existing facilities in Aurangabad (1 USFDA, UKMHRA, WHO Pre-Q, approved)

1 Facility at Mauritius

Dahej facility under validation, regulatory filing batches thereafter

Savli facility options being evaluated

Capacities for tablets, capsules, powders, liquids

API Manufacturing

1 Facility in Aurangabad (Captive mid size)

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R&D – The Catalyst for Growth

Formulation,

Analytical & API

Development

Enhancing capacities &

capabilities, investing

Rs. 80 cr.

Many first to market

products to credit

Niche, complex &

difficult to make

products

Team of 400+ people

Spent Rs. 70 cr.

(FY ‘15)

(5% of Revenue)

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Financial Highlights

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P&L – Q4 FY ‘15 (Stand Alone)

(Rs. cr.)

Particulars Q4 FY ‘15 Q4 FY ‘14 Growth

Exports 246 206 20%

% to Revenue 67% 66%

Domestic 114 95 20%

% to Revenue 31% 31%

Other Oper. Income 8 10 -14%

% to Revenue 2% 3%

Revenue 369 311 19%

EBITDA 141 111 27%

% to Revenue 38% 36%

PBT after exceptional item 123 97 27%

% to Revenue 33% 31%

PAT after exceptional item 84 70 20%

% to Revenue 23% 23%

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P&L – Q4 FY ‘15 (Stand Alone)

Particulars Q4 FY ‘15 Q4 FY ‘14

Income from Operations 369 311

Materials consumed 103 28% 89 29%

Employee benefits exp. 51 14% 38 12%

Finance costs 1 0% 2 1%

Other expenditure 74 20% 74 24%

Dep. & amortization 13 3% 15 5%

Total expenses 242 218

Profit from operations 127 93

Other Income 3 3

Profit Before Except. Item 130 96

Exceptional Item 7 0

Profit Before Tax 123 33% 96 31%

Tax Expense 39 26

Net Profit 84 23% 70 23%

(Rs. cr.)

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P&L – FY ‘15 (Stand Alone)

(Rs. cr.)

Particulars FY ‘15 FY ‘14 Grth

Exports 849 695 22%

% to Revenue 63% 63%

Domestic 480 385 25%

% to Revenue 35% 35%

Other Oper. Income 28 30 -8%

% to Revenue 2% 2%

Revenue 1,356 1,110 22%

EBITDA 473 346 37%

% to Revenue 35% 31%

PBT (after exceptional Item) 445 313 42%

% to Revenue 33% 28%

PAT (after exceptional Item) 306 221 39%

% to Revenue 23% 20%

Exceptional Item:

Turkmenistan JV investment

fully provided (Rs. 6.95 cr.)

due to

1. Currency devaluation,

2. Convertibility restriction

3. JV financial position

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P&L – FY ‘15 (Stand Alone)

Particulars FY ‘15 FY ‘14

Income from Operations 1,356 1,110

Materials consumed 381 28% 348 31%

Employee benefits exp. 186 14% 147 13%

Finance costs 5 0% 8 1%

Other expenditure 317 23% 270 24%

Dep. & amortization 49 4% 42 4%

Total expenses 938 815

Profit from operations 418 295

Other Income 34 18

Profit Before Except. Item 452 313

Exceptional Item 7 0

Profit Before Tax 445 33% 313 28%

Tax Expense 139 92

Net Profit 306 23% 221 20%

(Rs. cr.)

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P&L – FY ‘15 (Consolidated)

(Rs. cr.)

Particulars FY ‘15 FY ‘14 Growth

Exports 973 793 23%

% to Revenue 66% 66%

Domestic 480 385 25%

% to Revenue 32% 32%

Other Oper. Income 28 30 -8%

% to Revenue 2% 2%

Revenue 1,481 1,208 23%

EBITDA 505 369 37%

% to Revenue 34% 31%

PBT (after exceptional Item) 456 330 38%

% to Revenue 31% 27%

PAT (after exceptional item) 310 234 32%

% to Revenue 21% 19%

Exceptional Item:

Turkmenistan JV investment

fully provided (Rs. 8.46 cr.)

due to

1. Currency devaluation

2. Convertibility restriction

3. JV financial position

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P&L – FY ‘15 (Consolidated)

Particulars FY ‘15 FY ‘14

Income from Operations 1,481 1,208

Materials consumed 365 25% 346 29%

Employee benefits exp. 201 14% 157 13%

Finance costs 6 0% 9 1%

Other expenditure 410 28% 337 28%

Dep. & amortization 52 3% 44 4%

Total expenses 1,034 892

Profit from operations 447 316

Other Income 17 14

Profit Before Except. Item 464 330

Exceptional Item 8 0

Profit Before Tax 456 31% 330 27%

Tax Expense 146 96

Net Profit 310 21% 234 19%

(Rs. cr.)

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Consolidated Performance – 5 years

57% CAGR PAT 31% CAGR Operating Income

499

677

931

1,208

1,481

51

77 112

234

310

0

50

100

150

200

250

300

350

0

250

500

750

1000

1250

1500

1750

2011 2012 2013 2014 2015

Consolidated Operating Income & PAT (Rs. cr.)

Total Income Profit After Tax

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Consolidated Performance – FY 2014-15

2011 2012 2013 2014 2015

7 10

17

41

59

Dividend (Rs. cr.)

2011 2012 2013 2014 2015

51 77

112

234

310 PAT

(Rs. cr.)

2011 2012 2013 2014 2015

6 9

13

27

35 Earning Per Share

(Rs.)

2011 2012 2013 2014 2015

99 147

224

369

505 EBITDA (Rs. cr.)

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Consolidated Key Financial Indicators

* EPS of all years calculated post split of shares and face value of Rs. 2/- per share

Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

EPS 6 9 13 27 35

Cash EPS 9 12 17 32 41

EBITDA per share 11 17 26 43 59

EBITDA margin 20% 22% 24% 31% 35%

PAT margin 10% 11% 12% 19% 21%

R & D Exp. (Rs. cr.) 25 37 37 50 70

R & D Exp. (% to Sales) 5% 5% 4% 4% 5%

Rs.

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Consolidated Key Financial Indicators

Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

Book value per share (Rs.) 26 34 45 67 96

Dividend/share (Rs.) (FV Rs.2) 1.00 1.50 2.50 4.00 6.00

RONW 25% 29% 32% 47% 43%

ROCE 18% 23% 38% 47% 52%

Dividend payout 13% 13% 15% 18% 19%

* Book Value of all years calculated post split of shares and face value of Rs. 2/- per share

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Consolidated Key Financial Indicators

Particulars FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

Long term debt / Equity 0.36 0.35 0.19 0.12 0.06

Total debt/equity 0.83 0.67 0.32 0.22 0.09

Receivable days 76 77 60 63 65

Inventory days 83 92 59 48 40

Payable days 145 131 134 99 85

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Corporate Social

Responsibility

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Corporate Social Responsibility

Ambulance Donation Diagnostics Camp Eye Camp

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Disclaimer

This presentation may include certain ‘forward looking statements’, based on

current expectations, forecasts and assumptions within the meaning of applicable

laws and regulations. They are subject to risks and uncertainties which could cause

actual outcomes and results to differ materially from these statements.

The Company disclaims any obligation to revise any forward-looking statements.

The readers may use their own judgment and are advised to make their own

calculations before deciding on any matter based on the information given herein.

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For updates and company information please visit our website:

www.ajantapharma.com

For specific queries, contact:

Rajeev Agarwal rajeev.agarwal@ajantapharma.com

022-66061377

Ajanta Pharma Limited

Ajanta House, Charkop, Kandivli (W), Mumbai 400 067 CIN No. - L24230MH1979PLC022059

NSE Symbol : AJANTPHARM ISIN: INE031B01031 BSE Symbol : AJANTAPH Code: 532331

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