Biocon Limited

Kiran Mazumdar

Shaw – Executive Chairperson, Biocon Limited

Siddharth Mittal

CEO & Managing Director, Biocon Limited

Arun Chandavarkar

Managing Director, Biocon Biologics Limited

Shreehas Tambe

Deputy Chief Executive Officer, Biocon Biologics Limited

Indranil Sen

Chief Financial Officer, Biocon Limited

M.B. Chinappa

Chief Financial Officer, Biocon Biologics Limited

Abhijit Zutshi

Commercial Head - Global Generics, Biocon Limited

Nehal Vora

Commercial Head - Global API, Biocon Limited

Matthew Erick

Chief Commercial Officer – Advanced Markets, Biocon Biologics Limited

Paul Thomas

Chief Commercial Officer-US, Biocon Biologics Limited

Susheel Umesh

Chief Commercial Officer – Emerging Markets, Biocon Biologics Limited

Aishwarya Sitharam

Head - Investor Relations, Biocon Limited

Nikunj Mall

Head - Investor Relations, Biocon Biologics Limited

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3, 2022 To, The Secretary BSE Limited Department of Corporate Services Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001 Scrip Code - 532523 Dear Sir/Madam, Subject: Transcript of Earni

23%

y financial highlights of the quarter. At a consolidated group level, revenues for Q1FY23 were up 23%, on a year-on-year basis, at ₹2,217 Crores. Revenues from our Biosimilars Business delivered a st

₹2,217 Crore

rter. At a consolidated group level, revenues for Q1FY23 were up 23%, on a year-on-year basis, at ₹2,217 Crores. Revenues from our Biosimilars Business delivered a strong year-on-year growth of 29%, while tha

29%

t ₹2,217 Crores. Revenues from our Biosimilars Business delivered a strong year-on-year growth of 29%, while that of our Generics Business grew at a healthy rate of 19% and Research Services revenues

19%

strong year-on-year growth of 29%, while that of our Generics Business grew at a healthy rate of 19% and Research Services revenues grew by 8%. Core EBITDA, which is a very key part of our business

8%

hat of our Generics Business grew at a healthy rate of 19% and Research Services revenues grew by 8%. Core EBITDA, which is a very key part of our business performance, grew at 25%, with a margin of

25%

s revenues grew by 8%. Core EBITDA, which is a very key part of our business performance, grew at 25%, with a margin of 31% versus 30% in the same quarter last year. Profit Before Tax for the quart

31%

Core EBITDA, which is a very key part of our business performance, grew at 25%, with a margin of 31% versus 30% in the same quarter last year. Profit Before Tax for the quarter, stood at ₹197 Cror

30%

TDA, which is a very key part of our business performance, grew at 25%, with a margin of 31% versus 30% in the same quarter last year. Profit Before Tax for the quarter, stood at ₹197 Crores, up 19%,

₹197 Crore

in of 31% versus 30% in the same quarter last year. Profit Before Tax for the quarter, stood at ₹197 Crores, up 19%, over ₹166 Crores, during the same quarter last fiscal. Net Profit for the quarter stood

₹166 Crore

the same quarter last year. Profit Before Tax for the quarter, stood at ₹197 Crores, up 19%, over ₹166 Crores, during the same quarter last fiscal. Net Profit for the quarter stood at ₹144 Crores versus ₹84

₹144 Crore

p 19%, over ₹166 Crores, during the same quarter last fiscal. Net Profit for the quarter stood at ₹144 Crores versus ₹84 Crores in Q1FY22, reflecting a growth of 71%. During the quarter, we also recorded a

“The recording will be available on our website within a day and the transcript for this call will be available within next 5 working days.”

“As part of the executive leadership team, Michael will be responsible for leading the global quality organization across all locations and will be based in Bangalore.”

“EBITDA was primarily impacted by the forex loss as mentioned earlier, higher operating costs, particularly due to the inflationary impact on raw materials and freight, as well as, personnel costs linked to new hires and annual increments, which obviously will be at a higher level in Q1 but will get normalized over the year.”

“We continue to be on track to qualify and validate our greenfield, fermentation-based immunosuppressant API manufacturing facility in Visakhapatnam, Andhra Pradesh in FY23.”

“Core EBITDA margin remains healthy at 37% vs 36% last year, in line with our guidance of it being in the mid-to-high 30s.”

“In Canada, following the launch of our biosimilar Bevacizumab last year, Viatris will be launching biosimilar Glargine and Apsart later this year, opening new avenues of growth.”

“This deal is expected to start generating revenues in the second half of the fiscal and will be worth up to US$ 500 Mn over its term of 10 years.”

“Syngene has raised its revenue guidance for the year from mid-teens to high teens, taking into account a favorable change in the Rupee/US dollar exchange rate and of course, the recent agreement with Zoetis.”

“Ma'am, you mentioned that pickup in market share for Semglee will be one of the key near term driver for biosimilar sales.”

“So, what will be factors which will improve pickup in Semglee market share from current level.”

Kiran Mazumdar-Shaw

22

Nikunj Mall

15

Shreehas Tambe

13

Siddharth Mittal

11

Prakash Agarwal

10

M.B. Chinappa

9

Sameer Baisiwala

9

Surya Patra

8

Harith Ahamed

6

Yash Tanna

6

Aishwarya Sitharam

Good morning, everyone. I am Aishwarya Sitharam from Biocon Investor Relations Team and I would like to welcome you to Biocon’s Earnings Call for Q1FY23. I would like to indicate that all participants will be in the listen-only mode, and there will be an opportunity for you to ask questions after the opening remarks conclude. Should you need to raise any questions, please select the ‘Raise Hand’ option under the ‘Reactions’ tab of your Zoom application. We will call out your name and unmute your line to enable you to ask the question. While asking, please begin with your name and your organization. Please note that we will not be monitoring questions on the chat box, but you can raise any technical concerns that you may be facing for our support team to help. I would also like to bring to your attention that this conference is being recorded. The recording will be available on our website within a day and the transcript for this call will be available within next 5 working days. To dis

Dr. Kiran Mazumdar-Shaw

Thank you, Aishwarya. Good morning, everyone. I welcome you to Biocon’s Earnings Call for the first quarter of fiscal 2023. I would like to start this Earnings Call on a note of optimism on the resilience displayed by India, whilst a large part of the global economy is bracing itself for a potential slowdown next year. Businesses the world over are reshaping their supply chains at a time when the world is facing uncertainties due to various geo-political tensions. Every economy is trying to offset the impact of pandemic spend by lowering healthcare spend. Backed by strong domestic demand and steady global investments, I do believe that India is on its way to becoming the world’s fastest-growing economy in the years to come. As the Pharmacy of the World, India has a key role to play in driving inclusive and equitable growth globally, particularly in healthcare. Policy support such as the ‘production- linked incentive scheme’ and more recently, the proposed ‘research-linked incentive sch

Nikunj Mall

Thank you Ma’am. Should you need to raise questions, please select the ‘raise hand’ option under the 'Reaction’ tab of your Zoom application. We'll call out your name and unmute your line to ask the question. The first question is from Damayanti Kerai from HSBC.

Damayanti Kerai

Hi, good morning. Ma'am, you mentioned that pickup in market share for Semglee will be one of the key near term driver for biosimilar sales. So, what we have seen in last few months is that the market seems to have saturated in low single digit number. So, what will be factors which will improve pickup in Semglee market share from current level. And also, for other two launched biosimilars, Ogivri and Fulphila, again, we see some kind of saturation in the market share. So, just wanted to understand what are the key hurdles which are stopping you to improve market share from current levels? So, this is my first question. Kiran Mazumdar-Shaw: Damayanti, thanks for your question. I will turn this question to both Shreehas and Matt, to respond to, but all I can say is that we are seeing good pick up of all these products you mentioned, we're tracking in the right direction, and I think what we're really seeing is a strong performance in the second half of this fiscal. Transcript - Biocon L

Shreehas Tambe

Thanks, Kiran and Matt, please feel free to add more to the question. I think, Damayanti, to answer your question product by product in the US. Starting with Glargine, I think your comment was that the market share seems to have saturated. Just to correct the data point, we started this year with a sub 3% market share, and we've moved that towards 9%, just a shade off that 10% which we did in July. So, when we started this fiscal, we guided that towards the second half of the year, we will be seeing this move towards the mid-teens. And the way that Viatris has been progressing, we see that growth from 3% to 9%, moving to 10% and then towards the mid-teens in the direction that we had projected earlier. So, we do see that move happening in the direction that we have projected. Viatris has also recently added significant plans beyond the Express Scripts and Prime Therapeutics that we had talked about earlier on to be moving to regional pharmacies. We've also got regional formularies. We'

Matthew Erick

Thank you, Shreehas. That was a really good explanation, I would just call out the Viatris commercial team, as we continue to look at how this industry especially within the US flows, the team is rightfully situated to address those hurdles. And I think you're seeing that particularly in Trastuzumab. As you know, every company kind of goes through a potential pullback but I think what is important here is you've seen a great comeback, so I would just say that Shreehas, but everything else is exactly what I would say.