ZOTANSE26 June 2023

Zota Health Care LImited has informed the Exchange about Investor Presentation

Zota Health Care LImited

June 26, 2023

To, The Manager Listing Department, The National Stock Exchange of India Limited Exchange Plaza, Bandra Kurla Complex, Bandra (E), Mumbai – 400051

Dear Sir/Madam,

Trading Symbol: ZOTA

Sub: Investor Presentation

Ref: Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

With reference to the captioned subject we, Zota Health Care Limited are submitting herewith enclosed the Investor Presentation.

This is for your information and record.

Thanking you,

Yours faithfully,

For Zota Health Care Limited

Ashvin Variya (Company Secretary & Compliance Officer) Place: Surat

Encl: a/a

Registered Office: Zota House, 2/896, Hira Modi Street, Sagrampura, Surat-395002 Ph: +91 261 2331601 Email: info@zotahealthcare.com Web: www.zotahealthcare.com

CIN: L24231GJ2000PLC038352

INDIA’S LARGEST PRIVATE GENERIC PHARMACY RETAIL CHAIN

J U N E 2 0 2 3

Zota Health Care Limited I N V E S TO R P R E S E N TAT I O N

Safe Harbour

This presentation has been prepared by the Zota Health Care Limited (the “Company”) only for information purpose to the stakeholders and does not contain any offer or invitation to subscribe the securities of the Company. No offering of securities shall be made except by means of offer documents.

This presentation has been prepared on the basis of information and data available with the Company consider reliable. This presentation may not contain all the information that you may consider material. Any liability in respect of the content of or any omission from this presentation is expressly excluded.

Stakeholders are advice to compare the data provided in the presentation with the full financial results available on the website of the Company as well as on website of NSE.

including This presentation contains “forward looking statement”, information” and “financial outlook”. This “future oriented financial forward looking statement is based on management’s current expectations and belief, and subject to uncertainty. Actual result may be vary from the material facts contained in this presentation due to regulations, economics reforms, changes in government policies, natural calamities, competition, technology, etc. Company is not under obligation to inform any update or alter in forward looking statement, whether as a result of any new information or future events.

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• Davaindia

operates on an asset-light model with 493 Franchisee Owned

Franchisee Operated (FOFO) stores across 24 states as on March 31, 2023.

• Company Owned Company Operated (COCO) stores of Davaindia operates by wholly owned subsidiary company M/s Davaindia Health Mart Limited (WOS) and under this initiative has store network of 101 stores as on March 31, 2023.

• On-boarding of Mr. Kapil Dev as the brand ambassador of Davaindia has led to

increase in its retail presence and brand shaping.

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Executive Summar y

• Zota Health Care Ltd. is a publicly listed company trading at NSE and operating under three verticals i.e. Retail pharmacy operations- Davaindia, Domestic Marketing & Exports.

• Zota Health Care Ltd - Founded in 2000, headquartered in Surat

• Davaindia – a brand of Zota Health Care Limited started in 2017,

headquartered in Surat

• Zota Heath Care Ltd along with its WOS currently has 400+

employees.

• Davaindia, a Zota Health Care brand is one of India’s leading Retail

Generic Pharmacy Chain

• The Zota group has a strong presence in Indian markets with more than 1,050+ distributors on board under Domestic Marketing Business & serving 284 approved products in 30+ semi regulated & regulated markets under Exports Business.

• The company has its own brand of products sold under Davaindia brand name which accounts for more than 1,700 SKUs , thereby being both backward as well as forward integrated.

Davaindia is REVOLUTIONISING THE INDIAN HEALTHCARE SCENARIO

8370 Lakhs

58 %

Gross Merchandise Value in FY23

Gross Margin in COCO format

594

30-90 %

Fast growing FOFO & COCO store network

Savings to consumers on Generic medicines

8.5 Mn+

Happy Consumers

25-30 %

Mature COCO Stores EBITDA

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India is amongst the Lowest Public Spenders

17.46% Population with household spending on health greater than 10% of total household budget.

6.67% Population with household spending on health greater than 25% of total household budget.

Compared to (In $)

11,702

$57

Healthcare spent per-capita in india

583

151

China

Sri Lanka

India

Source: WHO-Global Health Expenditure Database for the year 2020, * www.dbtindia.gov.in

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Medicines account for

51%

of the total out of pocket healthcare expenditure making it the biggest pie in the healthcare costs

About

77mn

Indian people living with diabetes and a projection of 134 million by 2045 (International Diabetes Federation), this leads to higher healthcare spends*

In India pharma companies selling generics as a brands and passing huge margins to the inter mediators

Total turnover of Pharmaceuticals in India in the fiscal year 2021-22 was $42.34bn*

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Rosuvas – 10 mg

Rosubest - 10

Rosuvastatin 10

Sun Pharma

Cadila

Branded Generic

Trade Generic

Trade Margins

Pharma Company

Consumer Price for 10 Tab.

30%

60%

208

70%

20%

115

e.g. of same molecule Rosuvastatin 10mg sold under multiple brands and ~90% margins in chain

Source: * www.investindia.gov.in, # https://timesofindia.indiatimes.com

Davaindia

Generic

25-30%

The Indian generic drugs market stood at $24.53bn 2022 and is expected to grow at a steady compound annual growth rate (CAGR) of 6.97%#

The quality in terms of efficacy and safety of davaindia generic medicines is at par with the branded medicines available in the market

Quality

Source of high quality generics from 45+ WHO-GMP approved plant

Private Label

1700+ private label SKUs, a highest in this space

Savings

30-90% savings on medicines as compared to branded counter parts

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We are eliminating the traditional pharma supply chain and passing benefits to the Consumers

Sourcing directly from manufacturers and selling directly to consumers…

Doctors

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Traditional Pharma

Manufacturer

Pharma Marketing Company

Distributors

Retailers

Consumers

davaindia Model

Manufacturer

Consumers

On an average ~75% savings on medicines as compared to branded counter par ts

MRP ₹100

₹ 20 - Retailer

₹ 10 - Distributor

₹ 30 - Marketing

₹ 30 – Marketing Company

₹10 – Manufacturing Cost

MRP ₹ 25

75% Saving

₹ 15 – Marketing Company ₹10 – Manufacturing Cost

Consumer Price ₹ 100 of Traditional Pharma

Save ~75%

Consumer Price ₹ 25 of Davaindia

Traditional Pharma

davaindia

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Key Investment Highlights

Huge Potential of Generic Products in India

Successful Brand Positioning

Strong Network and Reach

Clear Value Proposition

Growth Strategy

 Indian Pharmaceutical market is expected to grow at a CAGR of ~7.0%

 Indian Generic

Pharmaceutical market is expected to grow at a CAGR of ~30.0%

 Government of India promoting the use of quality generics

 Davaindia offers products at a price which is lower than its competitors, MRP being 30-90% less than branded medicines

 Ensures brand consistency amongst the products, thereby leading to repeat customers

 Franchisee gets an

average margin of 25% and the company helps with marketing activities like SMS blast, pamphlet distribution etc., to boost up sales

 The management has an average 23+ years of experience

 Planning to launch an application that shows simple informative generic prices

 Working to launch of e-

pharmacy model will help in generating e- prescriptions, by connecting doctors and patients and further helping the patients purchase medicines through the same app

 Started FOFO store

variant in Oct 2017 with 3 stores, to currently 493 stores and in COCO store variant Started with 1 store in 2021 and now we have 101 stores

 Continuously adding to its product and to reach from a current offering of 1,700 SKUs to 2,800 SKUs by FY25

 Signed Kapil Dev as a

brand ambassador which has led to increase in number of store roll out since then

 Plans to expand network of COCO stores that would lead to increase in the margins for the company

 Aspire to increase the

FOFO store count from a current 493 stores to 993 stores by FY24 and COCO store count from current 101 to 351 by FY24.

 Offer a larger variety of product offerings to its customers

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Zota Health Care Business Verticals

DAVAINDIA

DOMESTIC MARKETING BUSINESS

EXPORTS

• A Retail generic pharmacy chain which provides quality generic

medicines.

• Focuses only on private-label products in:

• Medicinal • OTC • Ayurvedic • Cosmetic and Nutraceutical

• Key emphasis is on chronic therapies and ailments

• One-of-its-kind concept started with 3 pilot stores in 2017

• FOFO Stores are operated on an asset-light franchisee model

02 Store variants Company Owned Company Operated (COCO) and Franchisee Owned Franchisee Operated (FOFO)

30% – 90% Savings on medicines as compared to branded counterparts

• Procures finished dosage forms from domestic formulations manufactures and market them under their portfolio of brands

• Markets the products across the country to the distributors, which, in turn, caters to retail pharmacies in their respective districts

• Commenced operations in 2010 in manufacturing unit in Sachin,

SEZ

• Manufactures about 250 formulations in the unit

• To focus on more and more products registrations in all these

countries & company itself holding all the MAs / Registration of all other countries

1,050+ Distributors currently present across India

4,000+ Products covering major therapeutic segments

284 Product approvals out of 586 dossiers applications

30+ Countries’ approval mainly in the semi regulated and regulated markets

Larger Store Network 101 COCO stores 493 FOFO stores

100% private labelled products

WHO Partners with WHO recognized manufacturers

Growth led by exclusive foreign distribution network and exclusive MA holding

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Management Profile ( 1 /2 )

Mr. Ketankumar Chandulal Zota Chairman and Non-Executive Director

Mr. Himanshu Muktilal Zota Whole Time Director

Mr. Moxesh Ketanbhai Zota Managing Director

Mr. Kamlesh Rajnikant Zota Whole Time Director

• He began his career in 1984 with a modest retail medical business, and in 1995, he founded Zota Pharmaceuticals (now Zota Health Care Limited.

• He holds a D-Pharmacy degree and has worked in the pharmaceutical industry for over 37 years.

• His

energetic

leadership

propelled company to prominence in the sector and he is now in charge of developing and implementing the Company’s new marketing strategies and projects.

• He won the ‘Lifetime Achievement Award’ for his outstanding the pharmaceutical

from the DCGI to contributions business.

• At Pharma Ratan Universe – 2019, he was also given the title of ‘Pharma Ratna Asia’.

• He holds a Diploma in Pharmacy degree and a Bachelor in Computer Application.

• He began his career as a Retail Pharmacist and a Distributor of a Medical Agency; subsequently, he has been associated with the Company since the time of its incorporation, thus having an aggregate experience of around 29 years in the Pharmaceutical Industry.

• He is entrusted with responsibilities like strategy formulation, finance, taxation & accounting, IT, overall management, planning and implementation of new projects upcoming forecasting and changes in pharma sectors.

• He is also playing a vital role in the the

planning and implementation of Company’s Davaindia project.

• He holds a bachelor’s degree in pharmacy from Gujarat Technological University and a Master’s degree in international marketing and business management from BPP University in UK.

• Under his guidance, the organisation has established a global presence in more than 30 countries.

• He has pushed for more product registrations in foreign countries, with a total of 280+ products registered in various countries and another 310+ products in the process of being registered.

• He is in charge of overall management, export business, strategy design for new project research on future pharmaceutical market scenarios, international business development, and product registration.

implementation,

• He holds a bachelor’s degree in pharmacy from Gujarat University and has aggregate work experience of over 26 years.

• He began his career as a Senior Technical Assistant at Torrent Pharma then moved on to Unique Limited, a Laboratories Pharmaceuticals Production Officer before joining the Company at its inception.

• He has played a critical role in obtaining regulatory permission for various facilities, including NAFDAC, TFDA, FMHACA, PPD, NMRA, and others.

• In addition, he is in charge of

the Company’s different business affairs, such as factory management, FDCA work for domestic and export products, WHO certification, trademark and patent export and customs registration, documentation, pharmaceutical-related regulatory compliances and so on.

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Dr. Sujit Paul Chief Executive Officer and Key Managerial Personnel

• An industry veteran with many years in

senior leadership roles.

• He carries 22 years of rich experience in setting up, scaling and operating for plethora of brands such as Reliance Retail, Asian Paints, Bata, Kodak, Apollo Hospital, Trust Pharmacy, Columbia Asia Hospital and many more.

(THE

Retail”

• His last stint was as a Vice President of ‘Reliance LARGEST ORGANISATION OF ASIA), where the mandate was to launch & handle entire Pharma Retail of Reliance in terms of Online as well as Offline.

• He has also been featured in innumerable National and International news and magazines consistently.

• Recently, he was covered by Times Now and Brand Vision and was honoured amongst Top 100 Global leaders by Asia One.

Management Profile ( 2 /2 )

AD H E E S H M U K H AR J E E S G M – C O C O O P E R A T I O N S

V I C TO R B H AD R A S G M – F O F O O P E R A T I O N S

P. S R E E K AN T H SGM - HR & T&D

Total Experience: 16 Years

Total Experience: 12 Years

Total Experience: 24 Years

Past Experience: • Aster Pharmacy- Bangalore

• SWIGGY

•

Tata Communication LTD

• Prism Payment Services

Past Experience: • Aster Pharmacy- Bangalore

• Netmeds

• Apollo Pharmacy

• Bata India LTD

Past Experience: • KIMS Hospital - Secunderabad – Hyderabad

• Apollo Pharmacy

• Apollo Hospitals

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A. R AV I SG M – B2B, PCD & ET HICAL

S I TAR AM A R AJ U CONSULTANT - IT

Total Experience: 36 Years

Past Experience: • Dr. Reddy's Laboratories LTD

• Alkhem Laboratories

Total Experience: 40 Years

Past Experience: • Aster Pharmacy- Bangalore

• Apollo Pharmacy

• Birla Corporation LTD

• Heavy Engineering Corporation

Davaindia Competitive Edge

The USP of the brand ranges from quality to affordability to variety to efficiency in operations . . .

BENEFITS TO THE CUSTOMERS

BENEFITS TO THE FRANCHISEES

Medicines priced at low MRP thereby ensuring affordability by the masses

Store operations and the supply chain efficiently managed by cloud based software & AI

Private labels offered, helps in building customer trust by ensuring consistency

Widespread marketing activities helping in promoting the brand and improving sales

Continuously adding to its product range thereby offering variety

Elimination of distributors will ensure timely supply of stock

Products procured from WHO & GMP approved plants and quality attested at NABL approved labs

Franchise will get 1 km radius ensuring exclusivity

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KPI’s - Davaindia

No. of Stores

573

537

604

562

537

470

594

493

Quarterly Footfall (Lakhs)

7.6

6.1

6.4

5.5

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8.6

9.4

6.4

3.0

2.2

101

1.5

0.9

Q1-FY23

Q2-FY23

Q3-FY23

Q4-FY23

Q1-FY23

Q2-FY23

Q3-FY23

Q4-FY23

FOFO

COCO

Total

FOFO

COCO

Total

Note – The Company did a one-time closure of under-performing FOFO stores in Q3FY23, leading to a decrease in total store count.

KPI’s - Davaindia

Quarterly GMV (₹ Lakhs)

Avg. Wallet Spend (₹)

2525

2324

1840

1846

1926

1615

1595

1435

287

289

269

216

268

223

254

209

262

265

248

170

160

311

689

484

Q1-FY23

Q2-FY23

Q3-FY23

Q4-FY23

Q1-FY23

Q2-FY23

Q3-FY23

Q4-FY23

FOFO

COCO

Total

FOFO

COCO

Total

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COCO Store For mat

Particulars

Area (Sq ft)

COCO

COCO (IOCL)

~400-500

300-350

Infra Cost (Furniture, Interiors, Electronics)

6 Lacs

5 Lacs

Deposit to Landlord

1.5 Lacs

75k

Inventory

OPEX Per Month

5 Lacs

- Rent

~40-50K

~22-25K

- Salary (Pharmacist + Helper)

~50K

- Others (Utilities, POS, etc)

~10-11K

~50K

~10K

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A l l C O C O s t o re s a re a w a l k i n s t o re s , w h e re c u s t o m e r c a n f e e l a n d e x p e r i e n c e t h e p r o d u c t s .

Typical Matured COCO Store P&L (Per Month)

Matured Store P&L – PM

Particulars

Sales at MRP

GST @ 12%

Reported TO

COGS

Gross Margin %

Opex

Store level EBITDA

EBITDA Margin %

₹

100

58%

30%

Working Capital Cycle (in days)

Inventory

30 - 40 days

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Davaindia - COCO Stores

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COCO Monthly Performance Updates

Store Count & GMV of COCO Stores

159

142

119

105

266

101

206

218

183

Apr-22

May-22

Jun-22

Jul-22

Aug-22

Sep-22

Oct-22

Nov-22

Dec-22

Jan-23

Feb-23

Mar-23

Store Count (#)

GMV of COCO Stores (₹ Lakhs)

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COCO Monthly Performance Updates

2.83

2.50

2.58

2.74 2.73

2.86 2.83

2.63

2.23

2.05 2.04

1.83

Footfall at COCO Stores (Thousands)

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118

Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23

COCO Average Footfall Per Store

Particulars

Apr- 22

May- 22

June- 22

July- 22

Aug- 22

Sep- 22

Oct- 22

Nov- 22

Dec- 22

Jan- 23

Feb- 23

Mar- 23

Footfalls (In Nos.)

23k

26k

45k

42k

51k

56k

67k

74k

83k

93k

97k

118k

Total Stores

101

Avg Footfall per day/ store (In Nos.)

• As store ages (word of mouth publicity rises), footfall continue to

rise.

• Despite aggressive new store additions, average footfall per store per day remains stable and as new store matures, the average footfall will increase.

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States

Uttar Pradesh Gujarat Haryana Karnataka Madhya Pradesh Delhi Rajasthan Maharashtra Total

No. of Stores 19 21 4 1 1 24 7 24 101

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COCO Stores

101

Operational COCO stores as on 31.03.2023

Operated by wholly-owned subsidiary Davaindia Health Mart Limited

COCO Store – Pivot to improve store economics

Particulars

Stores (#)

Total Sq.Ft.

Avg. Size (Sq.Ft.)

Avg. Monthly Rent (₹ pm)

First Phase

Second Phase

53,284

795

93,000

20,480

602

62,300

Total

101

73,764

730

82,750

N o t e : F r o m Q 2 F Y 2 4 , t h e A v e r a g e C O C O S t o r e s i z e w o u l d b e o f ~ 4 0 0 - 5 0 0 s q . f e e t a n d A v e r a g e M o n t h l y R e n t w o u l d b e o f ₹ ~ 4 0 - 5 0 k

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COCO Strategic Par tner

• D av a i n d i a h a s e n t e re d i n t o a g re e m e n t w i t h I n d i a n O i l C o r p o r a t i o n L i m i t e d ( I O C L ) f o r r o l l i n g o u t C O C O s t o re s a t I O C L p e t r o l p u m p .

• U n d e r t h i s m o d e l , 6 C O C O s t o re s h ave a l re a d y b e e n o p e n e d .

Average Daily Sales of COCO store at IOCL Petrol Pump

First 3 stores having age of 9 Months

₹ 20,000 / day

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Store Ageing - COCO

Age

15 + Months

12-15 Months

9-12 Months

6-9 Months

3-6 Months

0-3 Months

Total

Opening Period

No. of Store

Average Daily Sales (In ₹)

Average Monthly Sales (In ₹)

Apr-Dec-21

Jan-Mar-22

Apr-June-22

July-Sep-22

Oct-Dec-22

Jan-Mar-23

101

16,458

13,062

13,802

10,364

5,166

9,768

4,93,730

3,91,852

4,14,061

3,10,914

3,10,910

1,54,970

2,93,052

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Store Opening Lifecycle – COCO

Days

30 32 34

Registration

Documentation - Online

Signing process

Store layout Planning

Store Execution Process

Software Installation

Process

Inauguration

Color + POP+ Furniture installation

Final Store branding design PPT

Applying Drug Licence & Pharmacist Training

Approval Drug Licence

Installation of software

Initial stock Payment & Dispatch

Receiving stock at store

Inauguration

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Store Opening Lifecycle – COCO

From Q2FY24

30 days 60 days 90 days

As of now we are taking

Earlier we were taking

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FOFO Store For mat

Particulars

Area (Sq ft)

Infra Cost

Inventory

Rent (for franchisee)

FOFO

~200-300

₹ 2-3 Lacs

₹ 3 Lacs

~₹ 15-25K

Fr o m Q 4 F Y 2 3 , A l l n ew a d d e d FO FO s t o re s a re a w a l k i n s t o re s , w h e re c u s t o m e r c a n f e e l a n d e x p e r i e n c e t h e p r o d u c t s .

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Typical Matured FOFO Store P&L (Per Month)

Matured Store P&L - Company

Particulars

Sales at MRP

GST @ 12%

Franchise Margin @ 26%

Reported TO

COGS

(In ₹)

100

Gross Margin%

44%

Matured Store Economics for Franchisee

Particulars

(In ₹ Lacs)

Sales

Retailers’ Margin (26% - 2nd yr onwards)

Opex

EBITDA

Salary (assuming owner is pharmacist)

Total Take Home

Investment

4.5

1.17

0.50

0.67

0.20

0.87

6.0

Annualised ROI (%)

174%

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davaindia- FOFO Stores

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Store Opening Plan FOFO

493

Operational FOFO stores as on 31.03.2023

Franchise Owned Franchise Operated (FOFO) Stores

22|

32 32

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States

Uttar Pradesh West Bengal Bihar Odisha Telangana Gujarat Haryana Karnataka Madhya Pradesh Kerala Delhi Rajasthan Tamil Nadu Punjab Assam Jharkhand Maharashtra Tripura Goa Himachal Pradesh Chattisgarh Uttarakhand Arunachal Pradesh Jammu & Kashmir Total

No. of Stores 96 28 14 62 2 45 33 4 55 14 25 22 13 8 7 5 40 6 1 2 1 5 2 3 493

Store Opening Lifecycle – FOFO

Days

30 32 34

Property Acquisition

Location Identification

Property Title Check

Rent/Lease Agreement

Store layout Planning

Store Execution Process

Software Installation

Initiating Stock Process

Inauguration

Color + POP+ Furniture installation

Final Store branding design PPT

-5

Applying Drug Licence & Pharmacist Training

Approval Drug Licence

Installation of software

Initial stock Dispatch

Receiving stock at store

Inauguration

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Healthy Repeats

Total Average (in %)

COCO

FOFO

TOTAL

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72%

Repeat Customers

17%

New Customers

11%

Lost Customers

81%

Repeat Customers

11%

New Customers

08%

Lost Customers

80%

Repeat Customers

12%

New Customers

08%

Lost Customers

Note – The actual lost customer ratio is 8%, hence the over all repeat customer ratio is 92%

CATEGORY MIX – YTD FY23

Sales (in %)

Chronic Diseases

OTC

Others

16%

20%

15%

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PEER COMPARISON

Particulars #

Store Size

Avg. Rent (In ₹)

Avg. Daily Revenue (In ₹)

Inception Since

No. of SKU’s

Margins After Passing Discount To Customer

Pvt. Label Product

Apollo - Standalone Pharmacy

Medplus (Offline Stores)

Wellness Forever

Davaindia - Coco

300-500 Sq. Foot

400-600 Sq. Foot

1000-1500 Sq. Foot

400-500 Sq. Foot

30-35k

25-30k

20 Year

30-35k

25-30k

15 Year

6-8k

44k

100-150k

60-90k

4 Year

7-10k

40-50k

10k*

1 Year

1.7k

15-16%

6-9%

15-16%

13-14%

15-16%

55-58%

2-3%

100%

Particulars

GENERIC SKU’s

MEDICINE PRICE

Jan Aushadhi ^

Medkart $

Zeno @

Davaindia

700-900 SKU‘s

1000 SKU’s

1000 SKU‘s

1700 + SKU‘s

AT PAR

20-40% HIGHER

30-40% HIGHER

AT PAR

* E q u i v a l e n t t o 3 0 k o f b r a n d e d c o u n t e r p a r t s . S o u r c e s : # I I F L R e s e a r c h R e p o r t – M e d P l u s d a t e d 1 6 S e p t e m b e r 2 0 2 1 & M e d P l u s i n v e s t o r P r e s e n t a t i o n D a t e d 8 t h F e b r u a r y , 2 0 2 3 , ^ G o v e r n m e n t o f I n d i a , $ w w w . m e d k a r t . i n , @ w w w . p h a r m a b i z . c o m

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Domestic Operations

Expor t Operations

Domestic marketing has been the oldest business vertical for the Company and has remained its mainstay in the past. Until 2017, this vertical contributed most of the Company’s revenues. This business vertical directly distributes generic drugs, OTC products, and other pharmaceutical products through the Company’s distribution network spread across India.

1,050+

Distributors spread across India

4,000+

Products in the portfolio

Our Exports business vertical, which started in 2010, serves clients in over 30 countries, mainly in the CIS, Latin America, Africa, and Asia. At its plant in Sachin, SEZ, the Company manufactures generic formulations for the dossiers it has registered in foreign markets. At present, the Company has registered over 284 dossiers, while another 302 dossiers have been filed and are awaiting approval from the relevant regulatory agencies.

250+

Products manufactured

284

Dossiers registered

302

Dossiers pending approval

MARKETING VALUE CHAIN

COUNTRIES EXPORTED TO –

FDF Manufacturers WHO-GMP certified manufacturing partners

Branding Quality check, packaging and branding under the umbrella of Zota brands

Distribution Direct distribution to 1,050+ distributors spread across the country

Retail Pharmacies Ethical marketing, sales distribution and promotional activities undertaken by distributors

1. Benin 2. Bolivia 3. Cambodia 4. Cameroon 5. Costa Rica 6. Ethiopia 7. Georgia

8. Ivory coast 9. Kenya 10. Mali 11. Myanmar 12. Nepal 13. Nigeria 14. South Africa

15. Sri Lanka 16. Swaziland 17. Tanzania 18. Turkmenistan 19. Uganda 20. Ukraine 21. Uzbekistan

22. Vietnam 23. Zambia 24. Kyrgyzstan 25. Libya 26. Yemen

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Supply Chain Management

• The Company has outsourced supply chain management to a third-party warehousing & logistics partner.

• A state-of-art central

warehousing & processing center has been built in Surat, in Phase 1.

• Eventually the Company will replicate such infrastructure across different zones in the country.

Click the link below for more details

Click here

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Q4FY23

Result Highlights

Stand Quarterly Financial Highlights

Q-o-Q

Y-o-Y

Revenues (₹ Lakhs)

Gross Profit (%)

Revenues (₹ Lakhs)

Gross Profit (%)

3 , 4 0 4 . 8 2

3 , 6 2 5 . 7 4

3 4 . 2 1 %

3 6 . 2 5 %

3 , 1 7 5 . 2 6

3 , 6 2 5 . 7 4

3 6 . 2 5 %

2 6 . 1 1 %

Q3-FY23

Q4-FY23

Q3-FY23

Q4-FY23

Q4-FY22

Q4-FY23

Q4-FY22

Q4-FY23

Operating Profit (₹ Lakhs)

PAT (₹ Lakhs)

Operating Profit (₹ Lakhs)

PAT (₹ Lakhs)

6 5 . 4 1

5 7 . 4 7

1 4 . 7 0

2 5 . 1 3

5 7 . 4 7

3 6 . 1 8

3 4 . 7 4

Q3-FY23

Q4-FY23

Q3-FY23

Q4-FY23

Q4-FY22

Q4-FY23

Q4-FY22

Q4-FY23

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Revenue Break up- Quar terly

Q4-FY23

3,626

Q3-FY23

3,406

Q4-FY22

3,175

Domestic Sales

Dava India Sales

Export Sales (SEZ)

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Stand Profit & Loss Statement- Quarterly

Particulars (Rs Lakhs)

Q4FY23

Q3FY23

Export Sales (SEZ)

Davaindia Sales

Domestic Sales

Revenues from Operations

Cost of Goods Sold

Gross Profit

% Margin

Operational Exp

Employee cost

Other expenses

Operating Profit

% Margin

Other Income

EBITDA

% Margin

Depreciation

EBIT

% Margin

Interest Cost

EBT

% Margin

Exceptional Items

Taxes

Profit After Taxes

% Margin

415.69 1701.6 1508.45 3,625.74 2,311.27 1314.47 36.25% 1257.00 387.98 869.02 57.47 1.59% 23.50 80.97 2.23% 66.49 14.48 0.40% 1.07 13.41

0.37%

53.79 1.79 65.41 1.80%

380.5 1481.8 1542.6 3,404.82 2,240.11 1164.71 34.21% 1150.01 251.10 898.91 14.70 0.43% 79.75 94.45 2.77% 62.18 32.27 0.95% 1.03 31.24

0.92%

0 11.19 25.13 0.74%

YoY %

-36.09% 66.21% 0.5% 14% -1% 59% 10.15% 59% 52% 62% 59% 0.45% -71% -32% -1.50% -5% -70% -1.14% -73% -70%

-1.04%

100% 104% 88% 0.71%

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QoQ %

Q4FY22

9.25% 14.84% -2.21% 6% 3% 13% 2.05% 9% 55% -3% 291% 1.15% -71% -14% -0.54% 7% -55% -0.55% 4% -57%

-0.55%

100% 86% 160% 1.07%

650.39 1023.77 1501.1 3,175.26 2,346.30 828.96 26.11% 792.78 256.03 536.75 36.18 1.14% 82.39 118.57 3.73% 69.84 48.73 1.53% 3.93 44.80

1.41%

0 10.25 34.74 1.09%

Management Commentar y

The Company has reported resilient performance in Dava India and Domestic sales, however, Export performance during the quarter took a hit on account of partial unavailability of plant .

EBITDA stood at Rs 80.97 Lakhs during Q4FY23, with margin of 2.23%, decreased by 0.54 QoQ basis on account of higher Operating Expenses (mainly Employee Cost, as we are expanding our team robustly).

The sales contribution from new-age business stood at 58% in Q4FY23 as compared to 55% in Q3FY23.

PAT stood at Rs. 65.41 Lakhs during Q4FY23, increasing 88% YoY basis and 160% QoQ basis.

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Management Commentar y

DOMESTIC OPERATIONS

Domestic Revenues increased by 6.14% QoQ and a growth of 19.78% YoY at ₹ 3210.05 Lakhs in Q4FY23 supported by healthy performance on both fronts.

EXPORTS

Exports revenues increased by 9.25% on QoQ basis and decreased 36.08% YoY at ₹ 415.69 Lakhs in Q4FY23.

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EBITDA at ₹ 17.77 Lakhs for Q4FY23, declined by 76.31% on account of high operating expenses.

PAT stood at ₹ (13.76) Lakhs for Q4FY23.

EBITDA at ₹ 63.20 Lakhs for Q4FY23, increased by 224.89% on QoQ basis and 56.77% on YoY basis due to high export sales realization.

PAT stood at ₹ 79.16 Lakhs for Q4FY23.

*Here, Domestic Operations includes the operations of Davaindia.

Management Commentar y

Commenting on Q4FY23 financial performance and operational highlights, Management Team of Zota Health Care said,

“The Company’s performance for Q4FY23 has remained intact as compared to Q3FY23. Our exports performance has been improved as compares to Q3, however the same has been significantly affected during the quarter on account of disturbances in production activities due to the plant upgradation exercise undertaken at Sachin SEZ site. This plant upgradation is to adhere to EU GMP regulatory requirements, as the Company plans on expanding its exports operations in developed markets. On the domestic sales front we witnessed marginal degrowth QoQ.

Our gross margin has surged marginally, EBITDA margin has took a hit on account of high operational expense majorly due to high employee cost, as we are expanding our team, we expect to tapper this with high sales numbers in the coming quarters.

Our Davaindia performance continues to do well, during the quarter we registered highest ever revenue of Rs. 1701.6 lakhs, higher by 66.21% YoY basis and 14.84% QoQ basis. We also have registered highest number of i.e. 9.4 lakhs during Q4FY23. The GMV of Davaindia during the quarter remains Rs. 2525 lakhs increased by 8.65% QoQ. On the store rollout front, we continue to expand our footprint. During the quarter we added a record 34 COCO stores and 23 FOFO stores, taking total store count of 101 COCO stores and 493 FOFO stores and the consolidated 594 stores as at the Q4FY23.”

footfall

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Profit & Loss Statement

Particulars (INR Lakhs)

Income from Operations

Other Income

Total Income

Operating Expenses

EBITDA

Margin %

Depreciation

EBIT

Margin %

Financial Charges

PBT

Margin %

Tax

PAT

Margin %

EPS

FY15

5,646.3

1.4

5,647.8

4,796.5

851.3

15.1

150.6

700.7

12.4

66.5

634.2

11.2

207.6

426.7

7.6

3.0

FY16

6,473.3

7.7

6,481.0

5,516.8

964.2

14.9

123.5

840.8

13.0

68.3

772.4

11.9

261.5

510.9

7.9

3.6

FY17

7,158.0

5.6

7,163.6

6,153.8

1,009.8

14.1

105.4

904.4

12.6

68.2

836.2

11.7

282.1

554.1

7.7

3.9

FY18

7,785.2

151.9

7,937.0

6,695.0

1,242.0

16.0

93.7

1,148.3

14.8

12.1

1,136.2

14.6

407.4

726.8

9.3

4.2

FY19

8,562.9

154.5

8,717.4

7,788.7

928.7

10.8

139.4

789.3

9.2

3.7

785.6

9.2

230.7

554.8

6.5

2.3

FY20

9,511.3

151.3

9,662.6

9,059.7

602.9

6.3

209.8

393.1

4.1

6.9

386.2

4.1

112.0

274.1

2.9

1.1

FY21

FY22

FY23

10,684.12

125.66

10,809.78

10,490.90

193.22

1.8

316.68

-123.46

-1.2

10.97

-134.43

-1.3

-15.3

-16.24

-0.2

-0.07

13,153.33

13,836.60

164.56

255.87

13,317.89

14,092.47

11,618.38

13,035.65

1,699.51

1,056.82

12.9

273.05

1,426.46

10.8

7.32

1,419.14

10.8

376.56

1,058.01

8.0

4.25

7.6

241.99

814.83

5.9

6.33

808.50

5.8

206.43

659.35

4.8

2.62

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Balance Sheet & Key Ratios

Particulars (INR Lakhs)

Share capital

Reserves and Surplus

Non-current liabilities

Current liabilities

Total Equity and Liabilities

Non-current assets

Current assets

Total Assets

Key Ratios

RoCE (%)

RoE (%)

Net debt to equity (x)

Interest coverage (x)

Inventory days

Receivables days

Payable days

FY15

1,436.3

395.7

548.7

1,657.6

4,038.4

842.4

3,196.0

4,038.4

FY15

20.0

23.3

0.3

10.5

113.9

75.6

116.2

FY16

1,436.3

707.8

272.7

1,988.3

4,405.2

855.6

3,549.5

4,405.2

FY16

23.5

23.8

0.1

12.3

92.1

89.0

126.5

FY17

1,436.3

1,262.0

466.8

2,215.4

5,380.5

932.5

4,447.9

5,380.5

FY17

19.3

20.5

0.1

13.3

121.9

87.1

148.4

FY18

1,754.3

5,223.4

64.7

2,137.0

9,179.4

3,605.4

5,574.1

9,179.4

FY18

10.5

10.4

0.0

94.8

113.8

107.5

117.8

FY19

1,754.3

5,138.2

87.1

1,981.0

8,960.7

2,723.3

6,237.4

8,960.7

FY20

2,456.0

4,426.9

105.3

1,859.6

8,847.9

2,961.4

5,886.4

8,847.8

FY19

FY20

8.0

0.0

214.5

138.6

94.2

103.5

4.0

0.0

56.6

97.2

111.8

82.5

FY21

2456.03

4,181.2

94.5

1,820.0

8,551.6

2438.13

6,113.5

8,551.6

FY21

-1.8

-0.2

0.0

-11.3

96.1

98.5

77.6

FY22

2,516.0

6,621.4

102.9

3,287.63

9,137.45

5,007.36

7,520.57

FY23

2,516.0

6,930.3

93.8

2,923.57

9,446.31

3,683.91

8,779.80

12,527.93

12,463.71

FY22

FY23

15.4

11.6

0.0

194.9

77.6

106.3

76.4

8.5

7.0

0.0

128.7

94.5

*114.9

102.7

* R e c e i v a b l e d a y s i n c r e a s e d d u e t o o u t s t a n d i n g o f M / s D a v a i n d i a H e a l t h M a r t L t d , W h o l l y O w n e d S u b s i d i a r y o f t h e C o m p a n y

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Thank You

C o n t a c t I n f o r m a t i o n

M r . H i m a n s h u Z o t a / M r . A s h v i n V a r i y a

" Z O T A H O U S E " , 2 / 8 9 6 , H i r a M o d i S t r e e t , S a g r a m p u r a , S u r a t - 3 9 5 0 0 2 ( G u j a r a t )

c s z o t a @ z o t a h e a l t h c a r e . c o m w w w . z o t a h e a l t h c a r e . c o m

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