© Vifor Pharma April 2018 2
VIFOR PHARMA
VISION
Global Leader
in Iron Deficiency, Nephrology
and Cardio-Renal Therapies.
© Vifor Pharma
Experienced
leadership team
April 2018
AGENDA
1
Proven track record Leading portfolio
in target disease areas
Three mid-term
strategic growth drivers
Investments Strong 2017 performance
and 2018 outlook
2 3
4 5 6
3
© Vifor Pharma April 2018 4
1) Vifor Fresenius Medical Care Renal Pharma
EXPERIENCED LEADERSHIP TEAM 1
Christoph Springer
Chief Strategy Officer Etienne Jornod
Executive Chairman
Stefan Schulze
President and COO
Colin Bond
Chief Financial Officer
Dario Eklund
Chief Commercial Officer
Scott Garland
President, Relypsa
David Bevan
CEO, VFMCRP1) and
Chief Marketing Officer
Michael Puri
Chief Human
Resources Officer
© Vifor Pharma
PROVEN TRACK RECORD
CORPORATE TIMELINE AND STRATEGY
2000 2010
2015
2020
BECOMING GLOBAL LEADER
IN IRON DEFICIENCY AND
ENTERING INTO NEPHROLOGY
BECOMING GLOBAL LEADER
IN NEPHROLOGY AND ENTERING
CARDIO-RENAL DISEASE AREA
• 2000: Venofer® US FDA approval
• 2007: Launch of Ferinject®
• 2008: Acquisition Aspreva
• 2008: Creation of EU affiliates
• 2009: Acquisition OM Pharma
• 2010: Creation of VFMCRP
• 2013: Injectafer® – FDA approval
• 2013: Launch of Velphoro®
• 2015: Mircera® License
• 2015: Veltassa® License
• 2016: 4 Licensing Deals
• 2016: Relypsa Acquisition
• 2017: Galenica Santé IPO
• 2017: Vadadustat License
• 2017: Veltassa® EU approval
• 2017: Mircera® license expansion
2
BUILDING IRON PORTFOLIO
AND INTERNATIONAL EXPANSION
April 2018 5
© Vifor Pharma
Own
Products
In-licensed
Products
LEADING PORTFOLIO IN TARGET DISEASE AREAS
1) Pre-commercial products
3
CARDIO-RENAL NEPHROLOGY IRON DEFICIENCY
Avacopan1) CCX1401)
1)
Vadadustat1)
April 2018 6
Biosimilar
epoetin alfa1)
© Vifor Pharma
THREE MID-TERM STRATEGIC GROWTH DRIVERS 4
Ferinject® Exploit the Potential through Market Awareness
Veltassa® Build a Blockbuster
Vifor Fresenius Medical Care Renal Pharma Grow and Enhance Value
April 2018 7
© Vifor Pharma
Switzerland
Australia
New Zealand
Sweden
Germany
Turkey
Spain
France
UK
Italy
US
3%
38%
37%
20%
21%
77%
40%
22%
25%
63%
38%
246
94
37
34
31
25
24
21
20
18
10
8
1) Based on Quarterly IQVIA MIDASTM panel, GERS, Insight Health, Q4-2017 2) 100 mg eq./1’000 population
MAT Ferinject® Volume Per Capita2) MAT Ferinject® In-Market Volume Growth
Launch Date
2008
2011
2012
2008
2007
2013
2009
2011
2008
2012
2013
FERINJECT®
SIGNIFICANT MARKET OPPORTUNITY REMAINS1)
4
April 2018
© Vifor Pharma
16 38 58 81 123
163
256
376
538
696
April 2018
FERINJECT®
A BLOCKBUSTER BY 2020 4
2008 2009 2010 2011 2012 2013 2014 2015 2016 2007 2017
Europe US ROW
FAIR-HF
study
(cardio)
FERGI-COR
study
(gastro)
PREFER study
(fatigue)
New EU
guidelines:
nephro, cardio,
gastro, onco
FIND-CKD
study (ND-
CKD)
Injectafer
approved
in the USA
CONFIRM-
HF study
(cardio)
New ESC
guidelines
(cardio)
EFFECT-HF
study (cardio)
Approval
in EU / CH
First launch
in Germany
Intensifying
promotional
effort by
Daiichi Sankyo
New EU onco
guidelines
Launch in
CH, UK,
Spain
1) Based on Quarterly IQVIA MIDASTM panel, GERS, Insight Health, DLI, data at constant exchange rate (average 2017) 2) In the Top 10 Markets
9
New EU
onco
guidelines
FERINJECT® IN-MARKET SALES1) (MCHF)
• Global i.v. iron market totalled CHF 1,570 million in 2017, growth of 12.8% vs. 2016
• Ferinject® responsible for 90.3% of the total value growth of the i.v. iron market in 2017
• The market share of Ferinject® in value was 50.5% in December 20172)
© Vifor Pharma April 2018
FERINJECT®
THE BLOCKBUSTER PLAN 4
10
Therapeutic
areas with high
unmet need
• Heart Failure
• Gastroenterology
• Nephrology
• Patient Blood Management
Strong
partnerships
• Partnering with leading
companies in and outside
of Europe
Geographic
expansion
• Japan (2019)
• China (2021)
• Key pharmerging markets
Life Cycle
Management
• Clinical data
(AFFIRM-AHF)
1 3
2 4
© Vifor Pharma
VIFOR FRESENIUS MEDICAL CARE RENAL PHARMA
THE RATIONALE
1) Pre-commercial products
4
STRONG IRON AND PHARMA EXPERTISE
GLOBAL LEADER IN DIALYSIS
Avacopan1) CCX1401)
55% Stake
45% Stake
Vadadustat1)
April 2018 11
Biosimilar
epoetin alfa1)
© Vifor Pharma
VIFOR FRESENIUS MEDICAL CARE RENAL PHARMA
CURRENT PORTFOLIO 4
April 2018 12
1) Pre-commercial products
CARDIO-RENAL
MANAGEMENT
MINERAL & BONE
MANAGEMENT
ANAEMIA
MANAGEMENT
KIDNEY
PROTECTION
Avacopan1)
CCX1401)
1)
Vadadustat1)
Biosimilar
epoetin alfa1)
© Vifor Pharma
VELTASSA®
OVERVIEW OF KEY FEATURES
1) SmPC = summary of product characteristics
4
13 April 2018
RAASi enabling
Included in SmPC1) in Europe
Room temperature storage
US: 3 months / EU: 6 months
High safety profile
Limited undesirable effects
Mode of action
Calcium-based, non-absorbed
Broad use
Acute & Chronic
52-weeks data
AMETHYST-DN study
© Vifor Pharma
MORTALITY AND CARDIAC ARREST IN IN-HOSPITAL EVENTS VS SERUM K+
VELTASSA®
ADDRESSES LIFE THREATENING UNMET MEDICAL NEED 4
April 2018 14
Hypokalemia Hyperkalemia Normal
Death
60
AM
I p
atie
nts
with
in-h
osp
ital e
ve
nts
(%
)
Post admission serum potassium level (mean, mEq/L)
3.0 3.5 4.0 4.5 5.0 5.5
0
DISEASE BACKGROUND
Prevalent in CKD and CHF
patients
Asymptomatic
Inhibits use of renin
angiotensin aldosterone
inhibitors (RAASi)
Disease awareness is
underdeveloped
© Vifor Pharma
VELTASSA®
TOTAL US DEMAND PER BUSINESS DAY (BD) 4
15 April 2018
-
100
200
300
400
500
600
Dem
and (
boxes)
per
BD
De
ma
nd
(b
ox
es
) p
er
BD
• US net sales of USD 52.7 million in 2017
• Wholesale acquisition cost of USD 750 for a 30-count
carton as of 31 December 2017
• 85% of lives covered, Medicare coverage increased to
44% as of 31 December 2017
• Amber study expected to be completed in 2018
© Vifor Pharma April 2018
R&D INVESTMENTS
“MILESTONE 2020” STRATEGIC PLAN
1) Iron overload; leveraging iron metabolism expertise 2) Earlier launch possible due to EMA conditional marketing approval 3) Filing expected by the end of 2019
PHASE 1 PHASE 2 PHASE 3 PRE-
COMMERCIAL COMMERCIAL PHASE 4
Own
Products
In-licensed
Products
Ferroportin
inhibitor1)
Avacopan
CCX140
2019 2)
2019
AFFIRM-AHF
Paediatric
AMBER
DIAMOND
Vadadustat3)
16
Biosimilar epoetin
alfa
Anti-infectives
5
© Vifor Pharma 17
6 HIGHLIGHTS 2017
KEY CORPORATE DEVELOPMENTS
April 2018
2017
January
Daiichi Sankyo
increases sales force
DSI’s strong commitment
towards Injectafer®
May
Exclusive license
agreement for FKC
clinics for vadadustat USD 50m investment in
Akebia Therapeutics
December
Veltassa® approved
in Australia and
Switzerland Launch in Switzerland
expected H1 2018
February
Avacopan agreement
expansion with
Chemocentryx
Rights outside US and China
December
Avacopan CMA
application
accepted First sales
expected in 2019
July
Veltassa® EMA approval
First launch end of 2017
September
Mircera® license
expansion with
Roche Additional volume from
2018 onwards
© Vifor Pharma
1) Core EPS = Net profit / Earnings without amortisation of intangible assets of CHF 103.7 million
18
6 HIGHLIGHTS 2017
FINANCIAL OVERVIEW
• FY 2017 net sales of CHF 1,342.1 million, up 15.0%
• FY 2017 EBITDA of CHF 511.8 million excluding Veltassa® launch costs, up 17.7%
• FY 2017 Veltassa® launch costs of CHF 231.5 million
• Core EPS1) of CHF 2.12
• Cash-positive position net of debt of CHF 191.1 million
KEY FINANCIAL HIGHLIGHTS
April 2018
© Vifor Pharma
1) Proposed per share dividend to be approved by the shareholders at the Annual General Meeting on the 15 May 2018
19
6 GUIDANCE 2017
ACHIEVED OR EXCEEDED AT ALL LEVELS
April 2018
2017 dividend at same level as 2016 CHF 2.001)
EBITDA increase (excl. Veltassa®) by more than 10% 17.7%
Net sales increase by more than 10% 15.0%
Veltassa® launch and ramp-up costs of CHF 260m CHF 231.5m
© Vifor Pharma
FY
2016
FY
2017
Change
vs. 2016
Net sales 1,167.0 1,342.1 +15.0%
Other income 100.4 91.6 -8.8%
Gross profit 821.6 915.8 +11.5%
EBITDA 322.2 280.4 -13.0%
Veltassa® launch and ramp-up costs -112.6 -231.5 N/A
EBITDA excluding launch and ramp-up
costs of Veltassa® 434.7 511.8 +17.7%
April 2018 20
P&L OVERVIEW (IN CHF MILLION) 6
• Net sales increase of 15.0%
driven by Ferinject®/Injectafer®,
Veltassa® and Velphoro®
• Veltassa® launch and ramp-up
costs tightly controlled
• EBITDA excluding Veltassa®
costs increase of 17.7% due to
sales leverage and cost
containment
© Vifor Pharma
EBITDA
372.9 322.2
280.4
112.6 231.5
372.9
434.7
511.8
2015 2016 2017
NET SALES BY BRANDS
325.7 302.1 324.0
7.4 51.7 43.2 54.4 80.8 108.9 125.0
110.3 206.8
328.6
339.9 250.9
349.5
435.6
935.4
1,167.0
1,342.1
2015 2016 2017
SALES & EBITDA OVERVIEW (IN CHF MILLION)
THREE-YEAR TREND
21
1) 2016 net sales include only four months following the acquisition of Relypsa on 1 September 2016; Veltassa® FY 2016 net sales amounted to CHF 12.3m 2) 2015 data are restated without Vifor Consumer Health
1)
6
April 2018
Ferinject®
Mircera®
Veltassa®
Others
Velphoro®
Venofer®
2)
Veltassa®
ramp-up
costs
2)
© Vifor Pharma
CHF 191.1 MILLION CASH POSITIVE NET OF DEBT
2,629.0 2,651.1
220.0 245.6 184.0
232.0
575.0 572.1
655.0 425.1
4,263.0 4,125.9
30.06.2017 31.12.2017
EQUITY RATIO OF 80.8%
3,215.0 3,332.5
333.0 204.5
387.0 449.3
328.0 139.6
4,263.0 4,125.9
30.06.2017 31.12.2017
April 2018 22
BALANCE SHEET OVERVIEW (IN CHF MILLION)
CASH POSITIVE NET OF DEBT
Cash & Cash
Equivalents
Inventories
Property &
Equipment
Goodwill & Intangibles
Receivables & Other
Long Term Liabilities
Other Current Liabilities
Current Financial
Liabilities
Shareholder’s Equity
6
© Vifor Pharma
GUIDANCE 2018
1) CHF 2.00 / share after the 1:10 split
6
In 2018 at constant exchange rates Vifor Pharma net sales are expected to grow
by more than 10% and reported EBITDA by more than 20%.
In 2020 net sales are expected to exceed CHF 2 billion and EBITDA to reach a high triple-digit
level.
For 2018 and 2019, the dividend is expected to be at the same level1) as for 2017. From 2020
onwards, the payout ratio is targeted at 35% of net income.
23 April 2018
© Vifor Pharma April 2018 24
OUTLOOK 2018
CLINICAL
PRODUCT
LAUNCHES
PARTNERING
Veltassa®: Completion of the Amber study for treatment with resistant hypertension
Veltassa®: Initiation of the Diamond outcome study for RAASi enabling
Ferroportin inhibitor: Completion of Phase I study
6
Veltassa® commercial launch in key European countries
Avacopan approval in Europe late 2018 / early 2019
Veltassa® partnering in Japan
Partnering the Japanese rights for CCX 140
IN-LICENSING Completion of one additional in-licensing deal during the course of 2018
© Vifor Pharma
CONTACT INFORMATION
Colin Bond – CFO
Phone: +41 58 851 83 53
Email: [email protected]
Investor Relations
Julien Vignot – Head Investor Relations
Phone: +41 58 851 66 90
Email: [email protected]
April 2018 25
© Vifor Pharma
DISCLAIMER
Certain statements, beliefs and opinions in this presentation are forward-looking, which reflect the Company’s or, as
appropriate, the Company’s directors’ current expectations and projections about future events. By their nature, forward-
looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to
differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and
assumptions could adversely affect the outcome and financial effects of the plans and events described herein. A multitude
of factors including, but not limited to, changes in demand, competition and technology, can cause actual events,
performance or results to differ significantly from any anticipated development. Forward-looking statements contained
in this presentation regarding past trends or activities should not be taken as a representation that such trends or activities
will continue in the future. As a result, the Company expressly disclaims any obligation or undertaking to release any update
or revisions to any forward-looking statements in this presentation as a result of any change in expectations or any change
in events, conditions, assumptions or circumstances on which these forward-looking statements are based. Neither the
Company nor its advisers or representatives nor any of its of their parent or subsidiary undertakings or any such person’s
officers or employees guarantees that the assumptions underlying such forward-looking statements are free from errors
nor does either accept any responsibility for the future accuracy of the forward-looking statements contained in this
presentation or the actual occurrence of the forecasted developments. You should not place undue reliance on forward-
looking statements, which speak only as of the date of this presentation.
April 2018 26