brph apresentação call 1 t13 (eng) v5
TRANSCRIPT
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1Q13 Conference Call Presentation
May 15, 2013
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• Gross revenues of R$814.7 million, an increase of 16.5% over 1Q12.
• Total SSS (same-store sales) of 10.8%, with 4.3% for mature stores
• Adjusted EBITDA of R$34.8 million, with adjusted EBITDA margin of 4.3%
• Adjusted net income of R$2.6 million, with adjusted net margin of 0.3%
• Reinforcement of regional presence on a country-wide scale: With the opening of 9 new owned
stores and 19 franchisees, we ended 1Q13 with a base of 1.115 stores.
• Conclusion of Big Ben & Guararapes corporate integration
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243 Owned stores¹
122 Owned stores
133 Owned stores
406 Franchises
211 Owned stores
Source: Brasil Pharma
709 Owned stores
406 Franchises
1,115 stores
REGIONS
Owned stores
North 118
Northeast 249
Midwest 131
Southeast
South 211
12
1
114 20
15
25
13
201
7
72
122
1
10
5 Distribution centers
93
2
National Footprint
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9 openings in 1Q13 (+ 8 closings)
39.9% not yet at mature stage
1- Includes 12 stores of the Guararapes drugstore chain.
1
12.0%
17.8%
10.2%60.1%
Stores with less than 12 months
Stores with 12 to 24 months
Stores with 24 to 36 months
Stores with more than 36 months
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Hering Grupo Pãode Açucar
LojasAmericas
MagazineLuiza
RaiaDrogasil IMC Renner BRPH Marisa
1Q12 1Q13
699.3
814.7
1Q12 1Q13
1Q12 1Q13
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1Q12 1Q13
Generic penetration in medicine sales
37.5% 36.5% 37.1% 38.4% 37.9%
16.4% 17.1% 17.0% 16.4% 16.5%
46.1% 46.4% 45.9% 45.2% 45.6%
1Q12 2Q12 3Q12 4Q12 1Q13
Non-medicinesGeneric MedicineBranded medicine
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Lower demand barred price adjustments
1Q12 1Q13
Higher competition in some of the regions we operate
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1Q12 1Q13
Sales expenses SG&A total
1Q12 1Q13
G&A % Sales expenses % SG&A total %
1Q12 2012 1Q13
Proforma Proforma
Gross Revenues 699,349 3,094,293 814,653
General and administrative expenses (G&A) (51,464) (206,540) (46,501)
% Gross Revenues 7.4% 6.7% 5.7%
G&A Dilution (R$'000)
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-50.0%
-40.0%
-30.0%
-20.0%
-10.0%
0.0%
10.0%
1Q12 1Q13
-50%
-40%
-30%
-20%
-10%
00%
10%
20%
30%
1Q12 1Q13
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1Q12 1Q13
Proforma
Non recurring SG&A 16,726 (5,410)
IPO /Debenture issuance expenses (108)
Stock Option Plan (SOP) (1,508) (2,816)
M&A/Branding (1,807) (684)
Income related to Santana insurance 21,653
Platforms Integration/Downsizing (1,504) (1,763)
Other (147)
Non recurring expenses (R$'000)
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Cash position and indebtedness (R$'000) 1Q12 4Q12 1Q13
(+) Loans and financing 344,487 177,049 169,079
Short term 241,251 83,229 44,864
Long term 103,236 93,820 124,215
(+) Debentures - 253,642 258,937
Short term - 5,237 10,427
Long term - 248,405 248,510
(+) Accounts payable for investment acquisition 347,212 345,333 264,430
Short term 34,833 99,711 82,833
Long term 312,379 245,622 181,597
(=) Total Indebtedness 691,699 776,024 692,446
Short term (%) 39.9% 24.2% 19.9%
Long term (%) 60.1% 75.8% 80.1%
(-) Cash and cash equivalents (122,901) (368,751) (183,870)
(=) Net Debt 568,798 407,273 508,576
Net debt/Adjusted EBITDA (LTM) 3.4 X 2.1 X 2.7 X
Working capial 4Q11 1Q12 4Q12 1Q13
Accounts receivable 21 22 23 24
Inventories 114 86 95 106
Suppliers 62 63 58 55
Working capital in days 72 45 60 75
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Cash flow Statement (R$'000) 1Q12 1Q13
EBT 10,226 (7,553)
(+) Depreciation and amortization 16,092 16,462
(+) Others 13,142 24,389 -
Operating cash generation 39,460 33,298
(+) Change in working capital (57,533) (83,142)
(+) Change in other non current assets and liabilities (13,918) (13,781)
Cash consumption (71,451) (96,923)
Net cash generated by operating activities (31,991) (63,624)
(-) Capex from operations (19,547) (24,922)
(-) Acquisitions (286,332) (80,903)
Net Cash from investing activities (305,879) (105,825)
(+/-) Loans and financing 196,275 (15,431)
(+) Equity funding 941 -
Net Cash from financing activities 197,216 (15,431)
Change in cash and cash equivalents (140,654) (184,881)
Cash and cash equivalents - opening balance 263,555 368,751
Cash and cash equivalents - closing balance 122,901 183,870
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• One more step into the process of cultural integration: dissemination of a unique and national
culture to our more than 17 thousand employees;
• Endorsement: the storefront of the totality of our owned stores now carries Brasil Pharma’s
endorsement;
• Our regional brands remains, but now have beside them the name of a strong Company that
Brazil already knows and trusts
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1
2
CSC – Back-office of Stores & Corporate
Commercial – Procurement & Logistics
PDV – Front store 3
SAP – Worldwide presence
(1.000 largest companies)
Retail 79%
Wholesale 69%
Pharma Industry 100%
Implementation Phases:
Phase 1 - 2013: Financing and Accounting
Phase 2 - 2014: Procurement Department – Purchase and Logistics (under analysis)
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Jun-1
1
Jul-11
Aug-1
1
Sep-1
1
Oct-
11
Nov-1
1
Dec-1
1
Jan-1
2
Fe
b-1
2
Ma
r-12
Apr-
12
May-1
2
Jun-1
2
Jul-12
Aug-1
2
Oct-
12
Nov-1
2
Dec-1
2
Jan-1
3
Fe
b-1
3
Mar-
13
Brasil Pharma IBOV
Source: Bloomberg, as of March 31st, 2013.
Company’s IPO on June 24, 2011.
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