Institutional PresentationJune/2015
2
Disclaimer
This release contains forward-looking statements that are exclusively related to the prospects of the business. its operating
and financial results. and prospects for growth. These data are merely projections and. as such. based exclusively on our
management's expectations for the future of the business and its continued access to capital to fund its business plan.
These forward-looking statements substantially depend on changing market conditions. government regulations.
competitive pressures. the performance of the Brazilian economy and the industry. among other factors. as well as the
risks shown in our filed disclosure documents. and are therefore subject to change without prior notice.
As a goal to maintain a correlation with the Financial Statements prepared by its external auditors. the considerations and
comments contained herein are prepared on a consolidated viewpoint of the economic group Hypermarcas. and not
necessarily individualized by the various legal entities that compose the group.
In addition. unaudited information herein reflects management's interpretation of information taken from its financial
statements and their respective adjustments. which were prepared in accordance with market practices and for the sole
purpose of a more detailed and specific analysis of our results. Therefore. these additional points and data must also be
analyzed and interpreted independently by shareholders and market agents. who should carry out their own analysis and
draw their own conclusions from the results reported herein. No data or interpretative analysis provided by our
management should be treated as a guarantee of future performance or results and are merely illustrative of our directors'
vision of our results.
Our management is not responsible for compliance or accuracy of the management financial data discussed in this report.
which must be considered as for informational purposes only. and should not override the analysis of our audited
consolidated financial statements for purposes of a decision to invest in our stock. or for any other purpose.2
Agenda
Hypermarcas snapshot
Pharma division
Consumer division
Financials
3
4
OTC
Branded generics
Generics
Dermocosmetics
Sweeteners
Condoms
Skin care
Nail polish
Adult diapers
Leadership position in key markets
55% 45%R$4.8 billionPHARMA
DIVISIONCONSUMER
DIVISION
67%33% R$3.0 billionPHARMA
DIVISION CONSUMERDIVISION
* 1Q15 LTM
Ne
t re
ven
ue
Gro
ss p
rofi
t
12.311.5
9.8 10.09.3
7.9 8.1
6.76.0 5.5 5.4
4.8
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
5
8.1
10.0
13.7
18.723.8
29.8
2000 2010 2020 2030 2040 2050
29
8%
Population: 203 MM
2003 2014
55%15%
38%
60%
7%25%
A/B
C
D/E
Population aging( % of 60+)
Unemployment rate(%; LTM Average)
Brazilian market
SOURCE: IPEA (http://www.ipeadata.gov.br) and IBGE
Real monthly income(R$ K; Nov 2014; LTM Average)
Social class distribution
1.56
1.57 1.601.67 1.73
1.80 1.841.93 1.98
2.07 2.102.17
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
39
%
World: 8.3%
-17.0%
-12.0%
-7.0%
-2.0%
3.0%
8.0%
13.0%
18.0%
23.0%
28.0%
jun
-09
set-
09
dez
-09
mar
-10
jun
-10
set-
10
dez
-10
mar
-11
jun
-11
set-
11
dez
-11
mar
-12
jun
-12
set-
12
dez
-12
mar
-13
jun
-13
set-
13
dez
-13
mar
-14
jun
-14
set-
14
dez
-14
mar
-15
Broad retail Pharma and cosmetics Supermarkets Automobiles Construction materials
Retail sales
SOURCE: IBGE
Growth(6m YoY Moving Average)
1st United States
2nd China
3rd Japan
4th Germany
5th USD 36 B
6th France
7th Italy
7
Trends
Brazil pharma market overview
Ranking 2014*
1st United States
2nd China
3rd Japan
4th Germany
5th France
6th USD 24B
7th Italy
• Low levels of disease treatments
• Underdeveloped health system
• Aging of population
• Still low penetration of generics (25%* of the Pharma Market)
• Peak in economically active population
* IMS Health
Ranking 2019*
Market Expected Growth (2014-2019): 8.3% p.a.
8
OTC RX Generics
#1
#2 EMS
#3 Sanofi
#2 Novartis
#1
#3 Aché
#1 EMS
#2 Sanofi
#3
14.8%
9.3%
7.1%
7.1%
7.2%
7.0%
28.7%
16.0%
13.2%
Market share
Relevant positioning in all markets
Source: IMS Health PMB April/2015.
¹ LTM April average² May 15, 2015
632.1 MM Shares
20.1%
14.8%
6.0%
59.1%
Igarapava Participações S.A.
Maiorem S.A. de C.V
Other Controlling Shareholders
Free Float
(Founder)
• Sao Paulo Stock Exchange: - HYPE3- BRHYPEACNOR0
• Ibovespa Index Ranking: 29/70
• Trade volume¹: 2.4 MM shares/day
• ADR (HYPMY)²: 10.3 MM shares outstanding
SOURCE: BM&F Bovespa and Hypermarcas9
Ownership and listings
Ownership structure Listings
Agenda
Hypermarcas snapshot
Pharma division
Consumer division
Financials
10
11
41%
6%21%
12%
20%
OTC
BrandedGenerics(Similars)
RX
Generics
Dermocosmetics
Most diversified companyWith strong position in all segments
SOURCE: IMS Health; Company Data
1Q15 LTM revenuebreakdown
ShareRanking
OTC 14%
Branded Generics
24%
Generics 13%
Skincare 12%
Leading brands
Market share evolution – Pharma
12 Source: IMS Health – PMB.
9.2%9.3%
9.4%9.5%
9.9%10.0%
10.2%
10.6%
2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15
13
OTC: Traditional and well-established brands
Flu
Analgesics
Gastric
Other
1954 1958 1958 1961 1965
1933 1939 1958 1989 1993
1956 1965 1966 1970 1974
1904 1940 1956 1957 1967
14
Market coverage expansion plan
51%
65%
50%
31%
27%
15%
28%
36%
Total market
Generics
OTC
RX
Average 51% Average 78%
78%
80%
78%
67%
Existing productsPriority gaps
Market coverage
expansion plan
through new
products
Market coverage¹ by segment
¹ % of molecule markets in which Hypermarcas competes, IMS Health – PMB.
105
8291
123
5445
5943
51
88
120
200
2011 2012 2013 2014 YTD
# Filed # Approved # Pipeline(cumulative since 2011)
Strong focus on entering new markets and strengthening the portfolio
15
Innovation pipeline – Pharma
Source: Company’s data. Dec/2014
• Structured area
• Potential products
already in
negotiation
Partnership
accelerationStrategic
alliances
Clone
project
Internal
development
• Focus/prioritization
• Structure
increase
• New RDC
• Several products/ filed
presentations
• Better opportunity for
generics and branded
generics
• Pipeline in the
wholesale
• Prospecting initiated
How to fill the GAP?
16
Operations: High Scale, Modern Plant and Low Costs
Operations Network
17
MANUFACTURING DISTRIBUTION
• Largest distribution center in Brazil
• “Greenfield”, tailored to pharma
• High Scale: 50 thousand pallet positions in 37 thousand m²
• Largest site in Brazil• Diversified dosage forms: solids,
liquids, injectables, among others
• Modern facilities
• High Scale: Over 10 billion pills/year
• Lowest cost producer
• “1 site only”
• Low labor cost
• Logistics hub
• Fiscal incentives
• Non-unionized
Agenda
Hypermarcas snapshot
Pharma division
Consumer division
Financials
18
Ranking Share
Condoms 50%
Sweeteners 56%
Adult Diapers 30%
Skin Care 40%
Nail Polish 30%
Shaving Cream 41%
19 SOURCE: Nielsen Retail Index and Company Data
Portfolio of consumer brands
21%
40%
39%
Disposables(DPP)
Personal Care
Health
1Q15 LTM revenuebreakdown
7.6%7.7%
7.9%
8.2%8.1%
8.5%8.6%
Jan-Feb/14 Mar-Apr/14 May-Jun/14 Jul-Aug/14 Sept-Oct/14Nov-Dec/14 Jan-Feb/15
Source: Nielsen Retail Index. Value share.
Market share evolution - Consumer
20
Agenda
Hypermarcas snapshot
Pharma division
Consumer division
Financials
21
3,325
3,874
4,259
4,680
4,809
2011 2012 2013 2014 1Q15 LTM
Net revenue
22
1,684 1,7981,930 2,096 2,163
2011 2012 2013 2014 1Q15 LTM
Consumer
1,640
2,0762,329
2,584 2,646
2011 2012 2013 2014 1Q15 LTM
Pharma
Net revenue(R$ Million)
CAGR (2011-1Q15 LTM): 8.0%
CAGR (2011-1Q15 LTM): 15.9%
CAGR (2011-1Q15 LTM): 12.0%
27.4%
23.7%22.7%
21.1% 20.7%
2011 2012 2013 2014 1Q15LTM
23
Gross margin(%)
SG&A ex-marketing(%)
Marketing(%)
Gross margin and expenses
60.3%
62.2%
64.5%63.7%
63.1%
2011 2012 2013 2014 1Q15LTM
19.0% 18.3%19.6%
21.0% 20.8%
2011 2012 2013 2014 1Q15LTM
+2.8 pp
+1.8 pp
-6.7 pp
12.1%
16.8%
40.6%
Net revenue Adjusted EBITDA Net income*
CAGR(2011-14)
Acceleration of financial indicators
24 * CAGR 2012-14
Tax Credits from Income tax losses carry-
forward credits ²
(R$ Thousand)
ConsolidatedSeptember
30, 2014
• Explanatory Note
25
EV/EBITDAP/E Cash flow
Company’s main tax shields
Returns
Reason
1 Hypermarcas 2 1Q15 financial statements – explanatory note 21 (a)
Effect
Net income
Informationsource
Possible analysis impacts
Goodwill amortization ¹
• Acquisitions
• Earnings Release(Remaining Goodwill Amort. for Tax Purposes)
• Company´s Net Income
• Reduces Net Income for Tax Purposes• Reduces tax payment up to 30% in a
given year
• Goodwill Amortization
1Q15
26
EV/EBITDAP/E Cash flow
Company’s main tax shields
Returns
Reason
2 1Q15 financial statements – explanatory note 13
Effect
Net incomePossible analysis impacts
Tax credits¹
• Withhold tax from financial investments
• Tax credits from acquisitions
• Balance sheet
• Can be used to offset tax payments