CORPORATE PRESENTATION July - 2003

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CORPORATEPRESENTATION July - 2003
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Disclaimer
Except for the historical information   contained
herein, statements  in this presentation and the
subsequent discussions,which include words or
phrases such as will, aim, will likely
result, would, believe, may, expect,
  will continue, anticipate,  estimate,  
intend, plan, contemplate, seek to,
future, objective, goal, project,
should, will pursue and similar expressions
or variations of such expressions may constitute 
"forward-looking statements". These
 forward-looking statements  involve a number of
risks, uncertainties and other factors that could
cause actual results to differ materially from
those suggested by the forward-looking 
statements. These risks and uncertainties
include, but are not limited to our ability to
successfully  implement our strategy, our  growth
and expansion plans,  obtain regulatory
approvals, our provisioning  policies,
technological  changes, investment and  business
income, cash  flow projections,  our exposure to
market risks as well as other risks. Ranbaxy does
not undertake any obligation to update
forward-looking statements to reflect events or
circumstances after the date thereof.
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Our Mission
To become a Research based International
Pharmaceutical Company
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Our Vision
To become a Billion Dollar Company by 2004
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Corporate Highlights

• Amongst the Top 100 Global Pharmaceutical
  Companies
• 9th Largest Generic Company Worldwide
• Manufactures and Markets Generics, Branded
  Generics and APIs
• Products available in over 70 countries with
  Ground presence in 25 countries and Manufacturing
  operations in 7
• 6 Core Markets - USA, India, UK, Germany, China
  and Brazil
• Over 8000 multicultural, workforce

Amongst Publicly Traded Companies Source
MedAdNews Nov2002
Continued.
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Corporate Highlights

• Global Net Sales US 764, a growth of 38
• 72 Overseas Revenue
• 28 Global Brands
• NDDS
• 4 Platform Technologies
• Cipro OD, once a day ciprofloxacin licensed to
  Bayer AG. Cipro XR 500mg was launched in US in
  Jan 2003 by Bayer AG. Approval from US FDA for
  1gm awaited
• NDDR RBx 2258, First NCE licensed to Schwarz
  Pharma AG, undergoing Phase II Clinical Trials in
  India
• 2 NDAs filed in 2002 (Metformin syrup, Ofloxacin
  OD tablets)

NCE New Chemical Entity , NDDS Novel Drug
Delivery Systems , NDDR New Drug Discovery
Research , NDA New Drug Application
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Our International Presence

• Core Markets
• USA
• India
• UK

• Germany
• Brazil
• China

• Asia-Pacific
• Latin America
• China
• Vietnam
• Malaysia
• Thailand
• Myanmar
• Singapore
• Brazil
• Mexico
• Peru
• Venezuela

• USA

• India

• Middle East
• Sri Lanka
• Saudi Arabia

• Europe, CIS
• Africa
• UK
• Ireland
• Poland
• Russia
• Germany
• Ukraine
• South Africa
• Egypt
• Nigeria
• Kenya
• Ivory Coast

Products Available in over 70 Countries, Ground
Presence in 25 Countries, 6 Core Markets
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Ranbaxys Strategic Architecture
Horizon 3 Secure future options
Value
Horizon 2 Build momentum of emerging growth
engines
Innovative Research
Horizon 1 Drive core growth
Specialty Pharma
International Generics

• Global Generics Business
• Critical Mass in Focus Markets - USA
• Leveraging India Advantage

• Brand Building in Developed Markets
• Proprietary Technology Products
• Networking and Alliances

• Expanding Discovery Research
• International Clinical Development
• Rx Marketing

Time
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Research Development Focus
ANDAs
NDDR
NDDS
RANBAXY
3 Key Areas
NDDS Novel Drug Delivery Systems , NDDR New
Drug Discovery Research, ANDA Abbreviated New
Drug Application
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RD ... Key Priorities

• A New Paradigm for ANDAs
• Branded products through focussed NDDS
  applications
• Drive Discovery Output and Enhance Early
  Discovery
• Exploit Biotech Revolution for Innovative
  Pharmaceutical Research
• Leverage Alliance Network
• Increase Productivity and Shorten Development
  Timeline - New Processes, Automation and
  Efficient Organisational Structure
• Develop Leaders at all Levels

US Million
50-60
CAGR 50
37
25
RD Investments
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RD ... Product Strategy
NCEs
SPECIALITY PRODUCTS
GENERICS

• ANDA filings
• Para IVs
• Blockbuster Para IIIs
• Complex Technology and Niche Products

• NDDS Products
• NDAs , 505 b(2)
• Pseudo Brands
• Technology and Dosage Forms Innovations
• Co-development and Collaborative Research
• Derma, Paediatric, and Urology franchise

• Long term play
• Build expertise in Clinical Development
• Research Alliances

NCE New Chemical Entity , NDDS Novel Drug
Delivery Systems , NDA New Drug Application ,
ANDA Abbreviated New Drug Application
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Drug Discovery Research
NCE Pipeline
RBx 2258 Urology- BPH
Phase 2
Phase 1
RBx 7796 Pulmonary Bronchial Asthma
RBx 7644 Anti-Bacterial Gram Infection
RBx 9001 Urology- BPH
IND Filed
RBx 9841 Urology- Overactive Bladder
Pre-Clinical
RBx 8700 Anti-Infective -Tuberculosis
RBx 6198 Urology -BPH
Late Discovery

• New Therapeutic Areas
• Metabolic Disorders, Anti-Inflammatory

NCE New Chemical Entity
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Novel Drug Delivery Systems
Gastroretentive Cipro-OD and Oflox-OD 2 products
launched
Modified Matrix 8 products launched Products
under development
NDDS 4 Patented Platform Technologies
Multi-particulate Products under development
Aerogel Products under development

• Value Added Drug Delivery Systems for
• Taste Masking
• Effervescent Tablets
• Soft Gelatin Capsules
• Topical Gels

• Expansion into Transdermal and Inhalers

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International Regulatory Status
Filings
Approvals
Filings
2002
Approvals
Filings
2000 and 2001
Filings
Approvals
Approvals
1999
Western Europe
China
USA
Brazil
Excludes outsourced ANDAs
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Research Development Center

• Over 800 RD Personnel
• Dedicated Facilities for
• Innovative Research
• Generics Research
• Drug Discovery Research
• Therapeutic areas Urology, Anti-Infectives,
  Pulmonary
• Novel Drug Delivery Systems
• Focus on Creating Rx products
• Expand Technology Platforms
• Conformance to International Regulatory Framework
• Multiple Collaborative Research Programs
• New Technologies / Areas
• Biotechnology , Herbals
• Expansion Plan to add 200,000 sq feet area

R D I Gurgaon, India
R D - II Gurgaon, India
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Consolidated Financial Results - 2002
Particulars Dec 2001 (USD Mn) Dec 2002 (USD Mn)
Net Sales 553 764
EBITDA 77 163
to sales 13.8 21.3
Operating Earnings before tax 49 153
to sales 8.8 20.1
Earnings before tax 64 172
to sales 11.6 22.4
Earnings after tax minority interests 56 133
to sales 10.1 17.4
PBT / Sales
ROCE
Return on Capital Employed
EBITDA Earnings before Interest, Tax,
Depreciation Amortisation
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Global Sales
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Business Segment Contribution
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Focus on Pharmaceutical Sales
2002 Dosage Forms contribution at 85
789
CAGR 26 (Global Sales)
579
495
CAGR 37
Dosage Forms

Gross Global Sales
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Manufacturing Strengths

• Manufacturing Locations in Seven Countries
• FDA-USA / MCA-UK / MCC-South Africa /
  TGA-Australia Approved Facilities
• Established track record with FDA-USA
• Successful Partnership with Vendors for Quality
  Compliance
• High degree of Backward Integration
• Cost Leadership
• Producer of world class Generics, Branded
  Generics, Active Pharmaceutical Ingredients
  and Complex Molecules
• Over 50 in-house APIs developed

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Manufacturing Presence
China
USA
Malaysia
Ireland
Active Pharmaceuticals Ingredients
(APIs)Facility, Mohali
Dosage Forms Facility, Paonta Sahib
Nigeria
Vietnam
Active Pharmaceuticals Ingredients (APIs)
Facility, Toansa
Dosage Forms Facility, Dewas
India
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India .. Strengths

• Ranked 3 in Indian Retail Market with Domestic
  Market Share of 4.63
• Strong Brand Marketing Team with an extensive
  Distribution Network
• 3 brands in top 25
• Strong Presence in Anti-Infectives,
  Cardiovascular, Anti-inflammatory Dermatology
  segments
• Growing Presence in Central Nervous System and
  Gastro Intestinal Tract, areas
• 20 New Products Launched in the H1-2003 period
• (Chronic Therapy share 33.3 and Non
  Anti-infective 59.5)
• Largest Field Force comprising 1770 personnel

Source ORG MAT May 2003
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USA .. Leading International Expansion

• Ranked No. 28 by prescription share
• US sales for the H1-2003 were at US 213 Mn.
• USA contributes 45 of the global sales (H1-2003)
  
• It is the largest market for the Company
• Strong ANDA pipeline
• Para IVs ANDAs filed till date 24
• Potential first to file for 8-9 out of 24
• Brand Market Initiative taken off with over 200
  sales representatives.
• Increasing Sales Distribution reach

CAGR 92
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Other Core Markets

• GERMANY
• Sales of US 9 Mn.(2002)
• Field Force of 43 for promotion to doctors
• Focus on Inorganic acquisitions
• UNITED KINGDOM
• Sales of US 31 Mn. (2002)
• Ranked 6th amongst Generics market share of 3.6
• 80 product lines
• Brand Basket of 6-7 products
• BRAZIL
• Sales US 32 Mn. , growth 100(2002)
• Largest international player in generics
• Ranked 5th in generic segment and 53rd in overall
• 19 new product launched in 2002 (17 generic, 2
  branded)
• 100 products Approved / Under Received by
  ANVISA
• CHINA
• Secondary sales of US 11.5 Mn. (2002)
• Robust Pipeline for year 2003, including Cifran
  OD Zanocin OD

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Way Forward

• Building Innovation Engine at RD
• Sustain growth momentum in USA
• Attain critical mass in Europe and Latin America
• Specialty products focus for Brand marketing
• Fortifying home business leverage India base
• Seeding the Japanese market
• Networking, licensing and acquisitions
• Technology, new market entry vehicles, brands /
  proprietary products
• Global talent pool to fuel growth

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Our Mission
To become a Research based International
Pharmaceutical Company
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Thank You