BALAXI PHARMACEUTICALS LIMITED — PPTs, 13-11-2024: Investor Presentation

**Financial Highlights:** For Q2 FY25, Balaxi Pharmaceuticals reported a revenue of ₹77.38 crore, a 41.4% increase from ₹54.72 crore in Q2 FY24. Gross profit improved by 29.7% to ₹33.21 crore, resulting in a gross margin of 42.9%. The EBITDA before exceptional items slightly decreased by 1.7% to ₹10.58 crore, yielding an EBITDA margin of 13.7%. The profit after tax saw a significant decline of 68.2%, recording ₹4.59 crore due to exceptional losses related to prior currency fluctuations.

**Strategic Initiatives and Growth Drivers:** Balaxi is focusing on enhancing its distribution network, with a notable recovery in Angola, and expanding into new markets such as Honduras, El Salvador, and Central African Republic. The company is set to begin commercial production at its new pharmaceutical formulation facility in Hyderabad by June 2025, aimed at fulfilling demand in Latin America and Africa.

**Business Developments:** The firm received 21 new product registrations, bringing its total registered products to 1,010 across eight countries. An additional 700 products are in the registration pipeline, indicative of strong future growth.

**Market Position and Competitive Advantage:** Balaxi aims to solidify its presence in frontier markets, leveraging its asset-light model while transitioning to an asset-right strategy through the development of manufacturing capabilities.

**Investor Implications:** The company’s ongoing expansion and product registration efforts present a positive outlook for growth, although challenges remain in profitability due to external market pressures. Investors should monitor operational performance closely as Balaxi navigates these transitions.