jefferies 2014 1340 4 virbac… · international pharmaceutical group. an international presence...

La santé animaleest notre passion

Jefferies 2014global healthcare conference

London, November 19Éric Marée

An independantinternational

pharmaceutical group

An international presence

4,350 collaborators+ 5% vs 2012

Present in more than

100 countries

30 sales subsidiaries

(outside France)

56% companion animals

44% foodproducing animals

736 M€turnover+ 5.9% vs 2012

An international presence

North America 14%33% of the global market

Latin America 18%13% of the global market

Europe 41%31% of the global market

Far East 23%19% of the global market

RoW 4%3% of the global market

736 M€

Independent since more than 40 years

50.3%Dick family group

49.7%

Stock exchange

• listed since 1985

• today listed NYSE Euronextcompartiment A – SBF 120

Shareholders

• The Dick family group holds 65.7% of voting rights

Others

Created in 1968 by a French DVM

Pierre-Richard Dick

3 282

2 632

2 094

1 592

1 398

1 048

909

902

396

4359

Exclusively dedicated to animal health

Worldwide ranking

100% animal healthRanked 8th worldwide

Worldwide market: 23 B$

(M$)

Vetnosis Standard Monitor 110 Q4 2013(proforma, excluding non animal health activities)

Virbac

Zoetis

An ingenious range

covering the majorityof species & pathologies

A complete range: pharmaceutical and biological drugs, nutritionnal and diagnosis product

The majority of species & pathologies

For an optimal use

• Products are made for

increased convenience and user friendliness

higher safety

enhanced effectiveness

better compliance

Distribution authorised to the general public in accordance with national regulations (distribution prohibited for France)

19.2 %

16 %

11.3 %

9 %

5.3 %

5.5%

4.9 %

2.3 %

2.1 %

5.2 %

Vetnosis 2013 (sales 2012)

(M$)

Pioneer in the companion animal market

Virbac

ranked 5th

worldwide

Pioneer in the companion animal market

• A leader position on the following segments

vaccines

dermatology

dental care

electronic identification

reproduction

• An innovative petowner offerin markets with high potential

internal and external parasiticides

petfood

Pioneer in the companion animal market

MIS 2013 - Distribution authorised to the general public in accordance with national regulations (distribution prohibited for France)

1.5 %

20.4 %

18.9 %

11.3 %

7.8 %

6.7 %

3.7%

4.2 %

3.6 %

3 %

1 %

Food producing animals: a dynamic development

(M$)

Virbac

Ranked 9th

worldwide

Vetnosis 2013 (sales 2012)

• A buoyant and challenging market

regular growth: increased needs for animal proteins

throughout the world (especially in emerging countries)

economic performance and high product effectiveness are required:

regulatory constraints (environmental impact, food safety…)

• A key positioning on antibiotics and parasiticides

• An offensive strategy on future segments

vaccines (alternatives to antibiotics)

aquaculture (the prime source of animal protein worldwide with

fishing)

Food producing animals: a dynamic development

Food producing animals: a dynamic development

MIS 2013 - Distribution authorised to the general public in accordance with national regulations (distribution prohibited for France)

Sales breakdown by region and business

12.7%

43%

2.1%

29.1% 13.2% 5.6% 6.9%54.9%

Companionanimals

Food producinganimals

Others

EuropeNorth

AmericaOther developped

countries*Emerging countries

12.3% 6.4% 24.3%

*Australia, New-Zealand, Japan, Korea

41.8% 13.8% 31.7%

2013

A complete range of services

Technical and scientific support(hotline, in practices)

Technical training

National and international congresses, webcasts (symposiums)

e-learning programme

Exchange travels for food producing animal veterinarians

MEDICAL EXPERTISE

PRACTICEMANAGEMENT

CLIENTSRELATIONSHIPS

Management training(marketing, finance, legal…)

Merchandising training

Audit in practices and coaching

Software to help for diagnosis, prescription and dispensing(web tools, iPad, iPhone)

Tools for quality diagnosis and client satisfaction

Tools for petowner loyalty

Tools for animal follow-up

Continuous technologicalinnovation

sensitive to the clients’ needs

Listening to the client

Technologicaladvances

A specific innovation model

• Business Development (licensing & acquisitions): companies, products, molecules, formulations

• R&D: a substantial portion of the budget dedicated to development (biologicals and chemical molecules)

• Formulation: specific skills and know-how to original formulations and techniques

VirbacInnovation

A worldwide R&D organisation

Mexico

USA

Vietnam

Australia

Thailand

Companion animals

Swine

Ruminants

Aquaculture

A global managementof projects organized by species

FranceR&D locations

on the

5 continents

to fit the specific

needs of the mainmarkets

Chile

Aquaculture

Santa Elena

A reactive supply chainresponding to the highest quality standards

A dynamic industrial system

• A demand-led production

Reactive, made-to-measure and flexible

(multiple small batches)

A special programme to improve

industrial competitiveness

(Lean manufacturing)

• An optimised industrial tool

An efficient ERP

Production units located nears R&D centers

GMP Mexico (SAGARPA)

USAFrance

RSAGMP RSA (Act 101 & 36)

The highest international quality standards

Mexico

GMP Europe (EMA)GMP US (EPA)

GMP US (FDA & EPA)GMP Europe (EMA)

GMP Australia (APVMA)VietnamGMP Vietnam (WHO)GMP Europe (EMA)

AustraliaGMP Australia (TGA & APVMA)

GMP Europe & USA (USDA & EMA)

ChileGMP Europe (EMA)

GMP Chili (SAG)New Zealand

GMP New Zealand (ACVM)GMP Australia (APVMA)

BrazilGMP Brésil(MAPA)

UruguayGMP MERCOSUR

(DILAVE)

A close relationshipwith veterinarians

and farmers in every country

A sales model based on proximity

• Client knowledge: search for excellence, needs follow-up (CRM),

focus groups, field visit, measure of satisfaction

• Personalised relationship: availability, advice, warmth,

service culture

• Geographical cover: almost total in each country

• Partnership B2B win-win: support of the client for

the development of its activity (marketing, management, technical training, administration…) and efficient key account management

A responsible company

focused on the future

A responsible company

• Economic: regular growth, governance transparency,

suppliers ethical commitment, local investment

• Environmental: non-polluting activities,

waste and consumption reduction, green IT

• Social: respect for humankind, encouraging of individual initiative,

skills developement, reflection of diversity

Growth acceleration in the last 5 years (turnover, M€)

0

100

200

300

400

500

600

700

800

2003 2008 2013

354.8

443.4

736.1

+4.6% p.a

+10.7% p.a

+6.8% p.aorganic

+3.9% p.aexternal

186

106,7

Profits doubled in the last 5 years (M€)

0

20

40

60

80

100

120

2008 2009 2010 2011 2012 2013

54.4 58.3

77.6

85.7

98.1104.9

35.5 38.8

63.457.5

66.660.5

Operating profit, recurring Net profit, group share

Share price growth: 22.8% p.a. in the last 5 years

Thank you for your attention