Business SummaryIDT Australia Limited (IDT) specialises in the development, scale-up andproduction of potent (HPAPI) pharmaceutical products for local andinternational clients. The company is located in Melbourne, Australia

API Manufacture: IDT specialises in the development, scale-up, and cGMPmanufacture of high potency active pharmaceutical ingredients (HPAPIs) andcytotoxic APIs. Its portfolio includes anti-cancer drugs (specialising incytotoxics), anti-psychotics, antibiotics, narcotics and anti-inflammatorydrugs,

Drug Development: IDT provides support services for new drugdevelopment and scale-up projects through its newly upgraded laboratoryfacilities. These facilities are divided into two areas, Research andDevelopment (R&D) and Analytical. R&D facilities incorporate developmentand optimisation of API elements, containment facilities of highly toxic potentmaterials, toxicological testing and formulation development. Analyticalservices provide development methods for quality control and testing throughHPLC systems fitted with UV dictators to enable the development of stablemethods.

Clinical Research: IDT provides clinical research services to multinationalorganisations through Clinical Medical and Analytical eXellence (CMAX)division, an independent clinical research facility, based in Adelaide,Australia. CMAX offers a range of services for the design, implementationand management of clinical studies, specialising in Phase I and participatingin Phase II to IV as an investigative site.

Pharmacy Services: IDT offers a range of specialist formulationdevelopment manufacturing, packaging and dispensing services for newproducts and clinical trial supplies. In addition, IDT manufacture, under GMP,active and placebo clinical trial supplies in a variety of dosage forms,including tablets, capsules, suspensions, liquids, and ointments.

GICS - Pharm/Biotech

IDT Australia Limited

ASX Code: IDT Price: $0.250

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Snapshot

DateMarket Cap.Shares on issue12 Month High12 Month Low

10 July 2012$11m43.2m$0.42$0.21

Investment FundamentalsFYE 30 Jun 2008A 2009A 2010A 2011A

Profit $m 7.1 6.4 -1.6 -0.2Profit (norm)* $m 7.1 6.4 -1.6 -0.2

EPS* ¢ 16.5 14.9 -3.7 -0.6EPS Growth % 30.2 -9.9 0.0 0.0P/E* x 1.5 1.7 0.0 0.0P/E Relative % 0.8 1.1 0.0 0.0

DPS ¢ 12.0 10.5 1.0 0.0Yield % 48.0 42.0 4.0 0.0Franking % 100.0 100.0 100.0 0.0* Adjusted for unusual itemsSource: Aspect Huntley historical financials

Share Price Chart

Total Return on $10,000 Investment

Profit & Loss ($000)2007A 2008A 2009A 2010A 2011A

Sales Revenue 26,298 31,092 26,532 11,923 12,867Total Revenue ex. Int. 26,560 31,235 26,568 12,191 13,031EBITDA 9,943 12,169 11,241 -104 2,352Depreciation & Amort. -2,192 -2,216 -2,348 -2,564 -3,133Goodwill Amortisation -- -- -- -- --EBIT 7,751 9,953 8,893 -2,668 -781Net Interest 33 190 123 33 54Profit Before Tax 7,784 10,143 9,016 -2,635 -727Income Tax -2,317 -3,033 -2,600 1,058 491Outside Equity Int. -- -- -- -- --Profit after Tax 5,467 7,110 6,416 -1,577 -236Significant Items after Tax -- -- -- -- --Reported Profit after Tax 5,467 7,110 6,416 -1,577 -236Preferred Dividends -- -- -- -- --

Cash Flow ($000)2007A 2008A 2009A 2010A 2011A

Receipts from Customers 31,704 33,194 34,588 16,900 13,837Funds from Operations 10,102 12,646 13,150 4,830 2,767Net Operating Cashflow 8,740 10,329 9,423 3,809 3,203Capex -3,151 -5,211 -4,274 -2,171 -3,144Acquisitions & Investments -- -- -- -- --Sale of Invest. & Subsid. -- -- -- -- --Net Investing Cashflow -2,776 -4,842 -4,105 -1,859 -3,034Proceeds from Issues -- -- -- -- --Dividends Paid -3,865 -4,728 -5,164 -2,582 --Net Financing Cashflow -4,475 -5,315 -5,512 -2,653 -68Net Increase Cash 1,489 172 -194 -703 101Cash at Beginning 367 1,856 2,028 1,834 1,131Exchange Rate Adjust. -- -- -- -- --Cash at End 1,856 2,028 1,834 1,131 1,232

Ratios and Substantial Shareholders2007A 2008A 2009A 2010A 2011A

Profitability RatiosEBITDA Margin % 37.81 39.14 42.37 -0.87 18.28EBIT Margin % 29.47 32.01 33.52 -22.38 -6.07Net Profit Margin % 20.79 22.87 24.18 -13.23 -1.83Return on Equity % 17.99 21.64 18.75 -5.23 -0.79Return on Assets % 14.96 16.85 16.28 -4.74 -0.70

Debt/Safety RatiosNet Debt/Equity % -2.99 -5.08 -5.33 -3.10 -3.81Interest Cover x -234.88 -52.38 -72.30 80.85 14.46

Top 5 Substantial ShareholdersGraeme Leslie Blackman 13.5%Belgravia Group Pty Ltd 13.1%Paulene Blackman 10.4%

Balance Sheet ($000)2007A 2008A 2009A 2010A 2011A

Cash & Equivalent 1,856 2,028 1,834 1,131 1,232Receivables 9,608 12,852 8,341 3,715 2,319Inventories 895 848 775 697 1,125Other Current Assets 337 317 468 418 425Current Assets 12,696 16,045 11,418 5,961 5,101Prop. Plant & Equipment 22,324 26,296 28,042 25,339 24,066Intangibles -- -- -- -- --Other Non-Current Assets 337 317 468 418 425Non-Current Assets 24,220 26,296 28,042 27,130 27,350Total Assets 36,916 42,341 39,460 33,091 32,451Interest Bearing Debt 947 359 12 196 90Other Liabilities 5,579 9,121 5,236 2,753 2,389Total Liabilities 6,526 9,480 5,248 2,949 2,479Net Assets 30,390 32,861 34,212 30,142 29,972Share Capital 15,383 15,382 15,381 15,379 15,377Reserves 1,320 1,410 1,510 1,601 1,669Retained Earnings 13,687 16,069 17,321 13,162 12,926Outside Equity Int. -- -- -- -- --Total Shareholders Equity 30,390 32,861 34,212 30,142 29,972

Price vs. EPS Principals & DirectorsPrincipals

Company Secretary Mr Adrian McKenzieMr Roman Najdecki

Directors

Dr Roger Aston(Non-Executive Director)Mr Geoffrey Fredrick Lord(Non-Executive Director)Dr Graeme L Blackman(Executive Chairman,Managing Director)Mr David John Williams(Non-Executive Director)Mr Alan D Blackman(Non-Executive Director)Mr Robert Burnet(Non-Executive Director)Robyn Elliott(Managing Director)

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IDT Australia Limited

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