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Balaxi Pharmaceuticals Limited Branded IPR-driven Pharma Player in Frontier Markets Investor Presentation
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' Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward-looking statements. Balaxi Pharmaceuticals Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances. Balaxi
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04 Corporate Snapshot 17 Financial Highlights 23 Strategic Roadmap Balaxi
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Balaxi Branded IPR-based pharma company Frontier markets leadership in Latin America and Africa Vast portfolio across diverse therapeutic areas Asset light structure for expansion in semi-regulated markets
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Supply Chain Distribution Transformation Balaxi Expansion initiated: Ecuador, Chile (Latin America) 948 product registrations in Seven countries 200+ registrations submitted or in the pipeline Established the Company’s first pharmaceutical formulation facility in Hyderabad Successful process being replicated in other frontier markets; expansion plans in other global markets over near to medium term Centralized digital procurement, regulatory management and customized CRM tools
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Balaxi Key Success Factors Market Selection Methodology = Focus on countries with high-potential economic growth framework = |dentify non-English speaking countries with similar characteristics = Low competitive intensity and potential to establish top-2 position = On-ground feedback mechanism allows deep understanding of demand dynamics = As population crosses prosperity thresholds, healthcare spends expand exponentially Human Capital Management = Established unique ecosystem of 100+ Indian expatriates in operating geographies = Financial security ecosystem for key personnel, creating a highly motivated leadership team = Local language training and support from local staff improves on-ground effectiveness = Home grown management systems have already proven successful in several countries = Homogeneous target markets allow cross-movement of people and resources Regulatory Affairs Systems = Appreciation and full compliance of local regulatory framework = Comprehensive, in-house capabilities backed by cross-functional coordination with business/tech teams = Digitization of regulatory operations with end-to-end management and data security = Typical 12-24 months regulatory process is monitored at every stage — supports corporate planning and creates strong local IP
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Transition from “Asset Light” to “Asset Right” Market Research ’ Manufacturing ’ Existing Operations New Manufacturing Unit As a part of its corporate evolution, Balaxi has moved its business model from ‘Asset Light’ to ‘Asset Right’. The company has set up its first pharmaceutical manufacturing facility in a Pharma SEZ located at Jadcherla, Hyderabad. Marketing and Product Product Registration Distribution Identification Balaxi
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; . . epegs oo . ' Investment in Manufacturing Facilities Lo N N . L] L] L] . ° . L] Company'’s first pharmaceutical formulation manufacturing unit ° General Oral Solid Dosage (OSD) formulations Targeting demand for high quality products in Latin American markets Allows full backward integration of supply chain Plant Qualification and Validation is now complete Historically, Balaxi has successfully executed on its “produce, stock and sell” model. The company has built a large and diversified portfolio of products and a leading position by bridging the supply gap in several countries, first in low-regulation markets in Africa and more recently in semi-regulated markets in Latin America. This outreach has been backed by outsourced, WHO GMP compliant, diversified supply chains developed by the company. As a part of its corporate evolution, Balaxi has now set up its first pharmaceutical formulation manufacturing unit to cater to the demand for high quality products in existing as well as targeted markets. Favorable ROI on Capital Expenditure Immediate demand for new production from established markets Higher efficacy, greater acceptance, enhanced profit margins Strong control over manufacturing ecosystem Improved regulatory processes, reduced time-to-market for new launches Opens up several new market opportunities globally The Commissioning of Company'’s first pharmaceutical formulation plant, located at a Pharma SEZ near Hyderabad, is now complete, focusing on General Oral Solid Dosage (0SD) formulations markets in Latin America and Africa. This will drive backward integration of the supply chain to these countries, currently outsourced through contract manufacturing relationships. This facility will produce higher efficacy products that enjoy greater acceptance and enhanced profit margins. From the operations standpoint, Balaxi is establishing a manufacturing ecosystem that affords better control, improves regulatory processes and reduces time to market for new product launches. Over the medium term, Balaxi sees several new market opportunities opening up for its product lines. Balaxi
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. Glimpse of Company’s first Formulation Facility: -~ Balaxi
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. Glimpse of Company’s first Formulation Facility: _ | all "H — Balaxi
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S — Glimpse of Company’s first Formulation Facility:
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Portugal . ‘ Existing Market Dominican Republic @ Targeted Expansion Guatemala ) Honduras El Salvador . Product Sourcing Regions Ecuador Balaxi Existing/targeted markets have aggregate GDP of S 400 billion and pharma imports of S 6 billion Tfi aiaxi 12
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Key Milestones Started business supplying white labelled products to customers in Africa Products were sourced from WHO GMP certified plants based in India e Diversified supply chain by sourcing pharma products Set-up central distribution from WHO GMP certified warehouse in Guatemala, manufacturers in China entering the third geography | | 2003-07 2008-10 m 2014-16 2017-19 m —_ S — | Created fronF—end Continued Angola expansion by setting presence by setting up the up the 14™ pharma wholesale depot first pharma wholesale and a central distribution warehouse depot in Angola Balaxi Made in-roads in Dominican Republic — initiated product registrations and opened a central distribution warehouse Started operations in Honduras and El Salvador Successfully completed fund raising exercise through Preferential issue — INR 47.57 crore Capex plans — Established Company’s first pharma formulation manufacturing facility in Hyderabad
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Balaxi Global FZCO, Dubai (WOS) Balaxi Balaxi Healthcare Healthcare Dominica Guatemala SRL (WOS) S.A (WOS) Balaxi Balaxi Balaxi Healthcare Healthcare Healthcare Angola LDA EL Salvador Honduras (WOS) (Wos) (WOS) Healthcare Nicaragua (WOS) Existing subsidiary companies Balaxi 14
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Ashish Maheshwari Chairman & Managing Director Founder of the company, first generation entrepreneur, qualified Chartered Accountant /Minoshi Maheshwari Non-Executive Director Co-founder, 20 years of rich experience with Balaxi /Kunal Bhakta Independent Director Chartered Accountant with 15 years’ experience, manages First Water Capital, a SEBI registered listed markets AIF Akshita Surana Independent Director Fellow practicing company secretory; Master's degree in law; A registered trademark agent, Founder of Akshita surana & Associates; Corporate Laws and IPR laws advisory; Consulting & Litigatiol ' M.S. Rao Independent Director BA from Asian Inst of Mgt, Manila; PGD| from IIM-A, Cornell, Kansas State University Ex-CEO, Cereals System Initiative for S Asia promoted by Bill & Melinda Gates Foundation Gandhi Gamiji Independent Director MBA and Bachelors in Engineering, heads successful niche specialty paints and ink chemicals business in \ Africa/GcC Balaxi o .
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Balaxi Dynamic Leadership Team Ashish Maheshwari Chairman & Managing Director Founder of the company, first generation entrepreneur, qualified Chartered Accountant Commenced business by supplying white labelled pharmaceuticals formulations to various importers Established Balaxi Group as a conglomerate spanning four continents Recognizes and appreciates knowledge, discipline, transparency and accountability Pranav Maheshwari Head - Latin America BBA and Economics Graduate from Emory University, Atlanta Keen observer, quick learner, leads from the front Oversees the company’s vision for Latin America Amol Mantri CFO Qualified Chartered Accountant and Certified Public Accountant from USA Associated with Balaxi Group since 2012 Inherent talent in designing and implementing systemic processes, checks and balances in all operations of the company Clear understanding of the company’s businesses spread across four continents and seven countries Paridhi Maheshwari Head — Alternate Channels MBA Graduate from London Business School. Stickler for well-defined systems and processes Initiated and leads the consumer products business
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Balaxi FINANCIAL HIGHLIGHTS
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Balaxi “Q3 FY26 delivered a strong sequential recovery, with revenue at X72.54 crore, reflecting a marginal 1% YoY decline from X73.29 crore in Q3 FY25, while recording a 29% QoQ growth over X56.18 crore in Q2 FY26. The quarter was impacted by challenges in the Angola market, largely due to an extended working capital cycle in the institutional and hospital business segment. The gross profit margin moderated to above 42% (vs. 48% in Q3 FY25), reflecting changes in product mix and higher operating intensity. The bottom line declined to 30.31 crore (vs. X5.36 crore last year), primarily due to elevated operating costs linked to the Company'’s strategic shift towards institutional and hospital markets, which is expected to normalize over time. Operationally, the Company made significant progress on its first pharmaceutical formulation facility at Jadcherla, Hyderabad. During the quarter, the facility achieved final audit readiness, with completion of manufacturing, QA, QC, and microbiology documentation, closure of all snag list observations, and successful qualification and validation of equipment, utilities, and systems. The stability data for initial test batches has been generated and found satisfactory. Despite near-term challenges, overall momentum across Africa and LATAM remained encouraging. The LATAM region performed strongly, emerging as a key driver of top-line growth, supported by a robust order pipeline for the coming months. During the quarter, the Company added 13 new product registrations, taking the total to 948 across geographies, strengthening its therapeutic footprint in target markets. Management remains confident that improving regional traction, operating leverage benefits, and the commissioning of the formulation facility will support margin recovery and sustainable long-term growth. We sincerely thank our shareholders for their continued trust and support in Balaxi’s vision.”
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“Quarterly Financial Performance - Consolidated Particulars (InR crore) Revenue Gross Margin % EBITDA EBITDA Margin Profit After Tax PAT Margin % Earning Per Share (in Rs.) Balaxi Q3 FY25 73.29 29.45 40.2% 7.93 10.8% 5.36 7.3% 0.97
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Balaxi Pharma Product Mix — Q3 FY26 Geographies Products u Africa* = Branded u LATM** = Generics Dosage Forms Therapeutic Areas m Tablets m Antibiotics = Injectables ELES = Analgesic = Liquids = Anti-malaria = Capsules = Others m Others 9 *Africa: Angola *LATM - Guatemala, Dominican Republic, Hondurus, El Salvador and Nicaragua
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Particulars (INR crore) . Revenue Gross Margin EBITDA EBITDA Margin % Profit After Tax PAT Margin % Earnings Per Share (INR) *NOTE: During the 1t quarter of the FY 24, the Angolan currency Kwanza underwent an unprecedented sharp depreciation, falling from 511.50 AOA/USD to 832.5 AOA/USD. Since the creditors in the books of Balaxi Angola are contracted in and due for settlement in USD, this has resulted in a loss on revaluation of 3.65bn AOA (INR 38.29 cr.) The corresponding INR amount has been shown as an exceptional item in the profit and loss statement of FY24 — resulted in negative profit of INR 2.39 - Balaxi cr inthe previous financial year (FY24)
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Pharma Product Mix — FY25 Geographies m Africa* u LATAM** Products = Branded = Generics Dosage Forms P Balax’ *Africa: Angola and Central African Republic *LATAM — Guatemala, Dominican Republic, Hondurus, El Salvador and Nicaragua m Tablets = Injectables = Liquids = Capsules m Others Therapeutic Areas M m Antibiotics = Analgesic = Anti-malaria = Others
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' Core Strategy: Enter, Expand & Excel s Balaxi in 2020: Business Consolidation .. = Presence across Angola, Guatemala and Dominican Republic = Effective and efficient supply chain model consisting of 38 warehouses and a fleet of owned vehicles Balaxi in 2021-24: Expansion into New Geographies = Aim to capture incremental market share in existing geographies by continuing to pursue various opportunities by leveraging physical assets = Expanding presence in Honduras, El Salvador, Nicaragua, and Central African Republic = Focus on offering a comprehensive product portfolio to fulfill consumer demand Balaxi in 2025 & Beyond fi = Foray into other Latin American countries, South-East-Asia and CIS markets, replicating the established and differentiated business model = Backward integration of supply chain by setting up Company’s first pharma formulation manufacturing facility = Focus on ideal mix of branded and generic medicines, maximizing returns in key geographies = Targeting strong global presence in potential frontier markets over the next five years = Tapping into new channels for deeper penetration in existing markets Balaxi
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Our Offerings Balaxi o Pharmaceuticals Limited Others @ Plot No. 409, H.No. 8-2-293, 3rd Floor Maps Towers, Jubilee Hills, Road No:81,Hyderabad. Telangana Anti-Emetic CIN: L25191TG1942PLC121598 @ Sunny Purohit i © +91-40-2355-5300 e o o o B sunny@balaxi.com N ® www.balaxipharma.in . : : . ® NSE BALAXI Bloomberg BALAXI:IN Thank You