1 / 25

2011 Q1 Institutional Update: Key Economic Measures and Market Trends

In the first quarter of 2011, significant economic changes were observed, including interest rate increases, inflation acceleration, and growth deceleration. The company implemented strategic measures to manage costs and sales processes, revealing that 30% of sales stemmed from retail consumers while 70% were through wholesalers and distributors. Market evolution indicated a slight increase in market share, and product innovation was key, with plans for launching unique generics and relaunching established brands. Ongoing monitoring ensures targeted acquisitions and financial stability throughout the year.

inga
Télécharger la présentation

2011 Q1 Institutional Update: Key Economic Measures and Market Trends

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. InstitutionalPresentation Update | May 2011

  2. 1st Quarter 2011

  3. Keymeasuresimplemented in 1Q11 • Interest rate increases • Inflationacceleration • Growthdecelaration • Maintenancelevelsofemploymentandincome Change in MacroeconomicScenario • Increasedprices • Reducedpaymentterms • Acceleratedintegrations • Reducedexpenses MeasurestakenbytheCompany

  4. Sales Process 30% ofsales Retail Consumer HYPER WholeSaler / Distribuitor 70% ofsales Sell In Sell Out

  5. Priceincreaseprocess Keyvariables 108% -5% -2% 60 106% -6% -3% 60 APR 104% -7% -4% 60 MAR 102% -8% -4% 60 Pricelist: Discount: Trade deals: Term: FEB 100% -10% -5% 90 JAN DEC Illustrative example, the figures are fictitious

  6. Whatdid it happen? Lastyearwewereflexiblewiththecommercial package Atthebeginningofthisyear, wewerefirm to markthenew package conditions Manyclients, mainlytheindirects, partiallydidn´tplacetheirordersunderthenewconditions HealthySell out, Weaksell in: chaininventoriesdecreases

  7. Sell in x Sell out x PC Inventoriylevels Sell-In x Sell-Out (3 monthsmovingaverage) R$ Million Oct/10 Nov/10 Dec/10 Jan/11 Feb/11 Mar/11 Sell In R$ Sell Out R$ TheoreticalInventory % Example for indirect clients at one of our Personal Care divisions.

  8. Pharma – DemandEvolution in 1Q11 Market Evolution 37.2% 33.5% 14.7% 9.3% 18.0% Total Share: from 6.9% to 7.9%

  9. Pharma – GenericsMarketEvolution MEDICAMENTOS - Mercado de Genéricos GenericMarketEvolution(volume) - Growth jan/10 feb/10 mar/10 apr/10 may/10 jun/10 jul/10 aug/10 sep/10 oct/10 nov/10 dec/10 jan/11 feb/11 HYPERMARCAS RNK (UNITS) HYPERMARCAS GENERICS MARKET

  10. PC – KeyMarketTrends Market Trends Hyper Share * Value

  11. Innovation 1st Q Launches 2011 Pipeline Comments • To reach 80% Top Genericsby Dec.11 • To launch “unique-Generics” • To launchMirrors, UmbrellasandInnovators Pharma 28 60 • To relaunchDenorex, Lucretin, Biorene, Aero Monange, Avanço Moband Profissional line • Relaunches: Paixão andPomPomdiapers Packagedgoods 108 >700

  12. Ceci Project – PC Innovation Center • Product development laboratories • Studies of perception with the consumer • Market research 12

  13. Results

  14. 1Q11 ResultsSummary * * * * *Reference Base

  15. ResultsSummary in RB

  16. Integrationupdate Potential (R$ MM) Implemented in 1Q11 (R$ MM) Target % Achieved 115 56 49% 2010 Acqusitions To finalize untilSep.11 2011 Acqusitions 135 94 70% Mantecorp To finalize until Jun.11 7 6 86% Mabesa To finalize until Jun.11 257 156 61% Overall Total To finalize 100% until Dec.11 .

  17. Capital Structure 10 Year Bond Issuance

  18. Leverage (R$ million) ConsidersBondsissuanceafter 1Q11 closing. Pro forma Net Debtdividedbyguidanceofminimum EBITDA of 2011 (R$ 1 billlion) 18

  19. ResultsSummary in RB (Quarterly)

  20. Reference Base / Guidance

  21. Organicgrowthmeasurement 2 methodologiescomparison ∆ Reference Base . ∆ SBS Net Revenues XT0 XT1

  22. Reference Base Advantages Complete Explanation 2010 FixedBaseline ComparisonofIncomeStatementmainlines (Net Revenue, Gross Profitand EBITDA) It proves thesynergiesseizingprocess FacilitatestheResultsforecasting (quarterbyquarter)

  23. How to forecastinReference Base

  24. Sensitivityanalysis Growth EBITDA Margins NEW GUIDANCE: > R$1 bi

More Related