profarma 3q12
TRANSCRIPT
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3Q12 Earnings Release
November, 8th, 2012
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• Entry into the special and high value-added medication market on July 23, through the acquisition of an 80%
stake in Arp Med S.A.’s capital stock, subject to prior approval by the Brazilian Anti-trust Committee (CADE),
at an EV/EBITDA (2012E) multiple of 5.3x;
• Consolidated gross revenues totaled R$ 957.7 million, representing a year-over-year growth of 15.3%;
• The Company’s consolidated net income rose by 27.4% over 3Q11, and amounted to R$ 10.8 million, with net
margin of 1.3%;
• Consolidated EBITDA grew by 14.7% year-over-year, to R$ 22.1 million, with an EBITDA margin of 2.7%;
• Sales of generic medications showed a 54.7% increase year-over-year.
3Q12 Results | Highlights in the Period
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3Q12 Results
Gross Revenues Evolution
(R$ million)
2Q12
919.5
3Q12
957.7
3Q11
830.3
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3Q12 Results
Gross Revenues Breakdown
(R$ Million)
Branded
Generic
OTC
Health and Beauty Products
Hospitals and Vaccines
Total
3Q12
544.1
91.6
133.5
71.1
117.4
957.7
3Q11
545.9
59.2
134.7
63.0
27.6
830.3
Chg. %
-0.3%
54.7%
-0.9%
12.9%
325.8%
15.3%
2Q12
517.2
66.3
132.5
67.9
135.6
919.5
Chg. %
5.2%
38.2%
0.8%
4.7%
-13.4%
4.2%
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3Q12 Results
(R$ million and % Net Revenues)
Gross Profit and Revenues from Services to Suppliers
3Q11
27.5
43.1
2Q12
42.0
52.8
3Q12
31.1
56.2
Gross Profit Revenues from Services to Suppliers Gross Profit Margin (%)
10.0% 10.7%
12.4%
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3Q12 Results
3Q12
64.0
3Q11
48.5
2Q12
64.5
7.9% 6.9%
8.4%
(R$ million and % Net Revenues)
Operating Expenses - SGA
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3Q12 Results
3Q11
19.2
2Q12
31.2
(R$ million and % Net Revenues)
Ebitda and Ebitda Margin
3Q12
22.1
4.1%
2.7% 2.7%
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3Q12 Results
3Q12
4.7
3Q11
6.8
2Q12
10.5
(R$ million and % Net Revenues)
Net Financial Expenses
1.0% 0.6%
1.4%
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3Q12 Results
3Q12
10.8
3Q11
8.5
2Q12
12.4
(R$ million and % Net Revenues)
Net Profit
1.3% 1.2%
1.6%
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(R$ Million)
Cash Flow Generated / (Used) in Operating Activities
Internal Cash Generation
Operating Assets Variation
Trade Accounts Receivable
Inventories
Suppliers
Other Items
Cash Flow (Used) in Investing Activities
Cash Flow Generated / (Used) by Financing Activities
Net Increase / (Decrease) in Cash
3Q12
6.1
20.7
(14.6)
(36.2)
36.0
(7.4)
(7.1)
(3.9)
(10.0)
(7.8)
3Q11
45.0
18.5
26.5
(29.5)
24.1
(4.0)
36.0
(2.5)
(30.3)
12.2
Chg. %
-86.5%
12.0%
-
-22.7%
49.8%
-84.8%
-
-57.5%
67.0%
-
2Q12
18.2
30.5
(12.3)
52.7
34.2
(93.5)
(5.7)
(2.7)
(4.2)
11.3
Chg. %
-66,7%
-32.1%
-19.3%
-
5.2%
92.1%
-24.7%
-43.1%
-138.6
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Summary of Cash Flow
3Q12 Results
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* Average
(1) Average of Gross Revenues in the Quarter
(2) Average of COGS in the Quarter
(3) Average of COGS in the Quarter
Cash Cycle - Days *
Accounts Receivable (1)
Inventories (2)
Accounts Payable (3)
3Q12
56.1
48.8
41.9
34.5
2Q12
59.1
47.4
48.9
37.1
3Q11
56.3
39.9
46.1
29.7
3Q12 Results
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3Q12 Results
(R$ milllion)
Indebtedness: Net Debt and Net Debt / Ebitda
3Q12
203.1
3Q11
119.8
2Q12
202.0
1.7x 2.1x 2.1x
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3Q12 Results
(R$ million and % Net Revenues)
Capex
3Q12
3.9
0.4% 0.4%
3Q11
2.5
2Q12
2.9
0.5%
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Service Level
(Units served / Units Requested)
Logistics E.P.M.
(Errors per Million)
3Q11
157.0
2Q12
107.0
3Q12
90.0
3Q11
89.8%
2Q12
87.7%
3Q12
89.2%
3Q12 Results
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3Q12 Results
Stock Performance
-
1,00
2,00
3,00
4,00
5,00
6,00
7,00
8,00
9,00
-
20,00
40,00
60,00
80,00
100,00
120,00
140,00
160,00
Turnover - PFRM3 (R$ Million) PFRM3 IBOV IGCX
145
108 106
100
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3Q12 Results | Analyst Coverage
Company Analyst Telephone E-mail
Credit Suisse Marcel Moraes (55 11) 3841-6302 [email protected]
Banco Fator Gabriel Gaetano (55 11) 3049-9480 [email protected]
Raymond James Guilherme Assis (55 11) 3513-8706 [email protected]
BTG Pactual João Carlos dos Santos (55 11) 3383-2384 [email protected]
Juliana Rozenbaum (55 11) 3073-3040 [email protected] Itaú BBA
Fernando Amaral (55 11) 3048-6088 [email protected] Morgan Stanley
Andre Parize (55 11) 5171-5870 [email protected]
Marco Richieri (55 11) 5171-5873 [email protected] Votorantim
Merrill Lynch Mauricio Fernandes (55 11) 2188-4236 [email protected]
Joseph Giordano (55 11) 3513-8704 [email protected]
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Contatos RI
Max Fischer | Diretor Financeiro e de RI
Beatriz Diez | Gerente de RI
Telefone.: 55 (21) 4009-0276 | E-mail: [email protected] | www.profarma.com.br/ri
IR Contacts
Max Fischer | CFO and IRO
Beatriz Diez | IR Manager
Phone.: 55 (21) 4009-0276 | E-mail: [email protected] | www.profarma.com.br/ri