FAGRON N.V. EU Opportunities conference
Berenberg
London - 5 March 2024
Karin de Jong
CFO
Karen Berg
Global IR Manager
Global leader in pharmaceutical compounding
Our 3 segments
are active in 3 regions with >3,500 people
Favorable market dynamics and strong market positioning
Leading positions in all key markets
Full integration across pharmaceutical compounding value chain
Globally serving
Hospitals | Pharmacies | Industries | Prescribers |
/ patients |
Approved near term science-based emissions reduction targets
Our values
Customer | Creativity | Quality | Speed | Entrepreneurship |
is number 1 | of execution |
2
Uniquely integrated across entire compounding value chain - Patient journey
Drivers
Convenience
Administration form
Dosage strengths
Pharmacogenomics
Combination therapy
Innovation therapyBrands &
Essentials
Patient | Prescriber | Personalized | Pharmacist |
medicine | |||
(Sterile) | |||
~ 1 - 1.5% | Compounding | ||
Services | |||
of pharma industry |
3
Uniquely integrated across entire compounding value chain - Customer journey
Brands &
Essentials
Industry
(Sterile)
Compounding
Services
Personalizing
medicine
Pharmacy
WholesalerPatient
Personalizing
medicine
Hospital &
Clinic
4
Our Products & Services
Essentials
- Raw materials for Compounding (GMP repackaging)
- Packaging & Supplies
Brands
- Semi-finishedproducts & Vehicles
- Laboratory equipment & Compounding software
- Pharmacogenomic testing
Compounding Services
- Sterile & non-sterile compounding
- Outsourcing for pharmacies & hospitals
- Registration & licensing of compounded products
Academy
- Training & education
- Studies, innovations & concepts
5
Unrivalled global presence with increasing diversification
EMEA - FY 2023
21.5%
REBITDA margin
+2.2% 57.6%
Organic revenue growth
at CER | 37.9% |
31.2%
3744.35%
52.2% 16.7%
- Market leader in mature home markets
- Strong challenger positions in most other markets
Latin America - FY 2023
16.5%
REBITDA margin
+2.3%
Organic revenue growth at CER
2.1%
31.2%
22.2%
66.6%
- Market leader in B&E
- Active in Colombia in Compounding Services
North America - FY 2023
19.4%
REBITDA margin
18.2%
+25.5%
Organic revenue growth at CER
21.4%
40.5%
7.0%
71.6%
- #2 in Compounding Services
- #2 in B&E
Compounding services | Brands | Essentials | 6 |
Strategic ambitions underpinned by operational enablers
Global leadership in Brands & Essentials across our markets
Optimize non-sterile compounding & registration business
e | G | lo bal F | a | |||
g | ||||||
n | r | o | n | |||
O | ||||||
Enablers
Global Operational
Excellence
Fagron Academy
Disciplined M&A
ESG focus
Become leading, global, platform for Sterile Outsourcing Services
Build the organization of the future with a clear sustainable focus
7
Revenue growth to benefit from LFL in high-single digits
EMEA | Latin America | North America |
Stronger overall positioning in B&E and CS
- Market share optimization initiatives in mature home markets
- Continued growth in other countries (CS and B&E)
Low-single digits
Mid-teens
Primarily driven by B&E
High-single digits
Compounding Services to grow faster than B&E
Targeting higher growth in Brands than in Essentials
+8%
organic revenue
CAGR
CAGR at CER (2022 - 2026)
CER: Constant Exchange Rate | 8 |
Cash generation & earnings conversion to remain sustainably high
REBITDA margin
Consistent
Average REBITDA margin 2022-2026
Continued benefits from | CAPEX to remain |
asset light model | well under control |
10 - 11% | 3% - 3.5% | |
Operating Working Capital | CAPEX | |
as % of revenue | as % of revenue | |
≥ 70% | ||
+ CAPEX disposal optionality | ||
Operating cash conversion | ||
(% of REBITDA - 2022-2026) | ||
≥ 50% | ||
FCF conversion | ||
(% of REBITDA - 2022-2026) |
9
Growth upside from M&A opportunities
STRATEGIC CRITERIA
BUILDING OUT STERILE
PLATFORM,
CONSOLIDATE B&E
EXPAND & DIVERSIFY
PRODUCT PORTFOLIO
EXPLORE NEW
THERAPEUTIC AREAS
PRIORITIES
- Market share
- Strong commercial links
- Entrepreneurial approach
- Product assortment
- Synergies potential
- Partnerships
- Small to mid-size companies
- Buy & build approach
10
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Disclaimer
Fagron NV published this content on 05 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 March 2024 11:09:51 UTC.
