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Submission Details • Date of Submission: July 31, 2024 • Earnings Call Date: July 24, 2024 • Regulatory Compliance: Submitted to BSE and NSE as per SEBI regulations • Hosted by: ICICI Securities • Key Participants: • Mr. Himanshu Baid (Managing Director) • Mr. Avinash Chandra (Company Secretary)
Financial Performance • Revenue Growth: 20% increase from INR 320 crores to INR 385 crores • EBITDA and PAT Margins: Improved by approximately 20% and 18% • Growth Guidance: Expected 22% to 24% for the year • Capacity Expansion: Increased from 1.2 billion to 1.5 billion units annually, targeting 1.7 to 1.8 billion by year-end
Business Segments • Renal Business: 40% growth; target to sell 400-500 dialysis machines • Domestic Growth: Modest at 6-7% due to reduced government orders; trade sales up by 25% • Product Expansion: New launches in cardiology and critical care
Capital Expenditure and Investments • Q1 Capex: INR 70 crores; annual plan of INR 250 crores • AI Tools: Investment to enhance sales capabilities • U.S. Market: Sales of infusion products initiated; multiple FDA approvals in progress
Market Outlook • European Market Growth: Over 30% growth in Q1 despite global supply chain challenges • Awards: Export Excellence Award for FY '22 and '23; recognized as a top healthcare brand for 2024 • Regulatory Changes: Anticipation of the Drugs and Medical Device Act 2024
Fundraising Plans • Qualified Institutional Placement (QIP): Plan to raise up to INR 1,000 crores for capital expenditures and technology enhancements
Challenges and Strategies • Production-Linked Incentive (PLI) Scheme: Challenges with unrealistic growth expectations and regulatory hurdles • Vision 2030 Strategy: Targeting 22%-25% growth in the Indian market
Q&A Highlights • Impact of Lost Government Orders: Discontinuation of auto-disable syringes confirmed • Partnerships with GPOs: Focus on manufacturing and training; ramp-up in U.S. market access expected to take years • Capacity Utilization: Currently at 75%, with a maximum of 80% achievable
Hiring and Operational Plans • Hiring Strategy: Expanding sales team and adding personnel in regulatory, quality, manufacturing, and R&D • China Plant: Potential closure due to high costs and low revenue
Closing Remarks • Management Confidence: Emphasis on diversified product portfolio and geographical presence to mitigate export market risks • Market Share: Nearly 10% of global volume confirmed
Conclusion • Gratitude Expressed: Management thanked participants for their questions and support.
Poly Medicure Limited Q4 FY24 Earnings Conference Call Summary
Submission Details • Date of submission: May 24, 2024 • Conference call date: May 20, 2024 • Regulatory compliance: Submitted to BSE and NSE as per SEBI regulations • Key participants: • Managing Director: Mr. Himanshu Baid • CFO: Mr. Naresh Vijayvergiya • Company Secretary: Mr. Avinash Chandra • Moderator: Mr. Abdulkader Puranwala (ICICI Securities)
Financial Highlights • Q4 FY24 Results: • Revenue: Increased from INR 293 crores to INR 360 crores • EBITDA: Increased from INR 90 crores to INR 113 crores • Growth Projections: • Revenue growth target: 22-24% for FY25 • Domestic business growth target: 25% • Export growth target: 22-25%
Business Performance • Renal Business: • Growth: Approximately 35% increase due to new regulations • Projected growth: 55% moving forward • Exports: • Growth: 25%, particularly in Europe • Cardio Business: • Soft-launch received positive feedback and initial orders
Operational Developments • All four new manufacturing plants are operational • Over 400 patents held, with plans to launch 10-12 new products annually • Focus on expanding product offerings in Critical Care, Cardiology, and Oncology
Strategic Initiatives • Investment plans: INR 800 crores, with INR 250 crores for FY24 capex • Emphasis on sustainable manufacturing and reducing import dependence • Government initiatives to reduce import reliance from 65-70% to around 50% in 4-5 years
Market Position and Competition • Confidence in market position due to strong patent portfolio • Anticipated challenges from increased competition but maintaining growth trajectory • Focus on capturing market share in Western Europe and potential acquisitions in transformative areas
Challenges and Outlook • Navigating geopolitical challenges while maintaining profitability • Addressing rising costs and supply chain issues, with an expected 5-7% improvement in working capital • Commitment to innovation and enhancing return on capital employed (ROCE)
Conclusion • Overall optimism about growth trajectory and market position, with a strong focus on innovation and expansion in key medical sectors.
Poly Medicure Limited Q3 FY-24 Earnings Conference Call Summary
Conference Call Overview • Date: February 2, 2024 • Moderated by: Kashish Thakur (ICICI Securities) • Key Participants: • Himanshu Baid (Managing Director) • Naresh Vijayvargiya (CFO) • Avinash Chandra (Company Secretary) • Purpose: Discuss financial performance and insights for investors • Compliance: Transcript submitted to BSE and NSE as per SEBI regulations
Financial Performance Highlights • Q3 Results: • Revenue growth: 18% YoY • EBITDA increase: 27% • PAT rise: 29% • Consolidated Results: • Revenue growth: 19% • EBITDA and PAT: ~30% increase • Nine-Month Results: • Standalone revenue: 22% increase • Consolidated revenue: 23.4% increase • Revised Guidance: • Full-year revenue growth: 22% to 24% • EBITDA growth: ~26%
Business Growth Insights • Market Segments: • Domestic business growth: 18% • Export business growth: 24% • Renal business projected revenue: INR 140-145 crores next fiscal year • Italian Subsidiary: • Revenue increase: 50% • Achieved profitability
Future Plans and Innovations • Product Launches: • New products in critical care and cardiology planned • 8-9 new products expected in 2024 • R&D Achievements: • 19 new patents granted, total over 375 • U.S. Market: • FDA approvals: 4 products, aiming for 8-10 by year-end • Expected revenue growth: $15-20 million annually by FY-28
Operational Challenges and Strategies • Supply Chain Management: • Mitigating disruptions from Red Sea crisis with two-month raw material inventory • Addressing customer delays with airfreight • Sales and Marketing: • Enhancing brand promotion beyond exhibitions • Plans to add 100 sales personnel annually
Capital Expenditure and Growth Projections • Capital Expenditure: • Planned spending: INR 230-240 crores this year • Current spending: INR 185 crores in first nine months • Growth Projections: • Expected 20% growth next year • Focus on expanding market share from 5-6% to ~10% in 3-4 years
Conclusion • Market Positioning: • Confidence in growth trajectory and technological advantages • Addressing competition concerns, particularly from Chinese products • Capacity Expansion: • New plants expected to double manufacturing capacity over time • Anticipated capacity utilization: 80-90% by end of fourth year
• Closing Remarks: • Baid expressed gratitude for participant engagement and insights.
Poly Medicure Limited Q2 FY2024 Earnings Conference Call Summary
Submission and Compliance • Transcript submitted to BSE and NSE on November 1, 2023. • Earnings call held on November 6, 2023, discussing unaudited financial results for Q2 and half-year ending September 30, 2023. • Management team included Managing Director Himanshu Baid, CFO Naresh Vijayvargiya, and Company Secretary Avinash Chandra. • Hosted by ICICI Securities with a recorded Q&A session.
Financial Performance Highlights • Standalone revenue for H1 FY2024: ~625 Crores (25% increase YoY). • Consolidated revenue: 658 Crores, revised full-year growth guidance to 22-24%. • Q2 standalone revenue: 320 Crores; consolidated revenue: 337 Crores (22-23% increase YoY). • Standalone PAT: increased from 74 Crores to 119 Crores; consolidated PAT: from 70 Crores to 125 Crores. • EBITDA margin maintained between 25-27%.
Growth and Expansion Initiatives • 40% increase in exports to Europe; received CE certificate for a plaster device. • Launching new divisions in clinical care and cardiology; hiring 100 new employees. • First shipment to the US; plans to launch 8-10 USFDA-approved products. • Rs. 500 Crores invested in expanding manufacturing capabilities with four new plants by FY2024. • Italian subsidiary revenue increased by 70%, focusing on oncology products.
Market Strategy and Future Outlook • Developing new generation devices, including drug-device combinations; 30 new products in intervention cardiology planned. • Net debt-free status with a focus on cash conservation. • Establishing a gamma radiation plant for sterilization to enhance self-sufficiency. • Optimistic growth in the dialysis segment supported by government initiatives.
Q&A Session Insights • FDA 510k approvals for IV catheters discussed; expected revenue of $15-20 million from new products in 3-4 years. • Significant growth potential in cardiology and critical care divisions noted. • Focus on R&D investments and potential acquisitions post-capex. • Strategy to leverage price advantage while maintaining product quality against multinational competitors. • Renal business contribution: ~40 Crores in H1 FY2024, with growth expectations. • Slight correction in raw material prices noted; raw material costs account for 35% of final product cost.
Conclusion • Poly Medicure Limited is positioned for significant growth and market expansion across various sectors and product lines, with a strong focus on compliance and innovation.
Conference Call Details • Date: August 8, 2023 • Transcript Submission: August 16, 2023 • Hosted by: ICICI Securities • Key Participants: • Mr. Himanshu Baid (Managing Director) • Mr. Naresh Vijayvargiya (CFO) • Mr. Avinash Chandra (Company Secretary)
Financial Performance Highlights • Standalone Revenue: Increased by 28% to Rs. 305.6 crores • EBITDA: Grew by 48% to Rs. 85.1 crores • PAT: Surged 110% to Rs. 60.52 crores • Consolidated Revenue: Grew by 29% • Exports: Increased by 25% • Domestic Sales: Increased by 34% • EBITDA Margin Guidance: 25% to 27% for FY24 • Revenue Growth Target: Over 20% for FY24
Strategic Initiatives • New Plant Launches: Successful introduction of new facilities and critical care business • R&D Focus: Development of 10-12 new products • Market Expansion: Targeting growth in US and EU markets with projected revenue of $15 to $20 million from the US in the coming years
Technology and Growth Opportunities • Product Development Cycle: Emphasis on reducing the current 4-5 year cycle • Inorganic Growth: Interest in acquiring companies for technology and product access
Q&A Session Insights • European Business Growth: Exceeded 25% due to dedicated management and strategic acquisition • Joint Ventures: Consideration for technology access and market penetration • Critical Care Segment: Projected revenue of 75-100 crores in 3-4 years • Domestic Growth: Expected 25-30% growth, with renal business contributing 20% • US Revenue Potential: Anticipated run rate of $15 to $20 million in 3-4 years
Operational and Financial Outlook • New Plants Timeline: All expected to be operational within FY24 • CAPEX for FY24: Projected at Rs. 210 crores • Current Debt: Rs. 125 crores • Cash Position: Rs. 295 crores, resulting in net cash of Rs. 170 crores
Market Dynamics and Future Outlook • Vascular Products: Constitute 70% of total business • Government Policy: Recent medical devices policy lacks clarity but may offer R&D incentives • Domestic Growth Drivers: Primarily from company initiatives rather than government support • Challenges: Competition from low-cost imports in the renal market • Optimism: Confidence in future growth of healthcare and med tech sectors in India due to government focus and domestic innovation