1

2

 Ranked 5th in Indian formulations market. (Source : ORG IMS MAT Jan-09).
 Presence in developed generics markets (US, Europe, Japan) and emerging markets (Brazil, South Africa, CIS, Taiwan, Philippines and select other markets in Asia Pac and Africa region).
Formulations exports grew by ~70% in last 4 years.
 Market leader in niche consumer healthcare business with strong brands
 Focusing on R&D – spending 6-7% of revenues p.a.
 Consol. ($ Mio.) FY 07-08 FY 06-07 % Gr FY 08-09 (9 m) % Gr
Operating Income 517 406
Operating PAT 56 46
27% 25%
23% 39%
Note : For convenience of understanding, INR numbers have been converted into USD by taking average exchange rate of USD 1 = INR 45.
3

 Formulations – five manufacturing plants
 Moraiya (Gujarat) - Largest integrated facility in Asia
 Baddi (Himachal Pradesh) – for domestic and regulated markets
 Sikkim – for domestic market
 Goa – for semi regulated markets
 Brazil – for catering to branded generics market
 Consumer Products
 Moraiya (Gujarat) – for Nutralite
 APIs and Fine Chemicals – three plants
 Ankleshwar and Dabhasa (Gujarat)
 Fine chemicals facility at Ahmedabad (Gujarat)
 Contract Manufacturing
 Mumbai – for Pantoprazole intermediates for Zydus Nycomed JV
 Ahmedabad – for cytotoxic injectibles for Zydus Hospira JV
 Ahmedabad – for cytotoxic facility for Zydus BSV JV
4

Revenue break-up by segment
India
Consumer
7%
India Others
4%
Exports APIs
10%
India
Formulations
50%
Exports
Formulations
27%
India APIs
2%
Revenue break-up by region
Emerging
Mkts.
12%
Domestic
(India)
63%
US & Europe
25%
5

330
Operating Income ($ Mio)
▲ 27%
517
▲
23%
406
65
▲ 21%
EBIDTA ($ Mio)
▲
31%
78
102
FY 05-06 FY 06-07 FY 07-08
37
Operating Net Profit ($ Mio)
▲ 23%
56
▲ 24%
46
FY 05-06 FY 06-07 FY 07-08
0.29
Operating EPS ($)
▲
23%
▲
24%
0.36
0.45
FY 05-06 FY 06-07 FY 07-08 FY 05-06 FY 06-07 FY 07-08
Note : Operating Net Profit = Net Profit - Exceptional Items - Non Operating Items - Non Operating Forex Gains / Losses 6

2000-01 2007-08
Othes
32%
Biologicals
2%
NSAID
12%
AI
17%
CVS
15%
GI
22%
Biologicals
4%
Diagn.
3%
CNS
2%
Othes
14%
Dermatology
3%
Pain mngt
6%
AI
10% Respi.
10%
FHC
11%
CVS
21%
GI
16%
7

• Zydus Cadila ranks 5th with $ ~275 Mio. sales.
(Source: ORG IMS MAT Jan-09)
• Leading positions in the key therapeutic segments – Cardiovascular,
Gastrointestinal, Female Healthcare and Respiratory (participated market segments, as per ORG IMS MAT Jan-09)
• 16 Zydus brands feature amongst the top 300 brands.
(Source: ORG IMS MAT Jan-09)
• Exploring opportunities in rural market – next growth driver
• Launched >40 new products and line extensions so far in FY 08-09, of which 15 were 1 st in India.
• Entered dermatology market thru acquisition of Liva Healthcare
• Strengthened position in Neutraceuticals, Orthopedic, Diagnostics and Cosmetology segments by adding devoted task forces
8

Developed generics markets
• US - the largest generic market
• Zydus Pharmaceuticals USA Inc.
•
Europe Zydus France SAS
• Laboratories Combix, Spain
• Japan-
• Nippon Universal Pharmaceuticals Ltd.
International sales projections
Emerging markets
•
Brazil
–
Nikkho (Branded), Zydus Brazil
(Generics)
•
Asia PacificSri Lanka, Myanmar,
Taiwan, Philippines
•
Africa, Middle East
–
South Africa
(Simayla), Sudan, Uganda, Algeria
•
CIS Russia , Ukraine
56
57
105 80
120
250
Formulations-emerging markets
Formulations- developed markets
APIs/intermediates- exports
2007-08 US$ 217 Mio 2010-11 E US$ 450 Mio
9

Robust regulatory pipeline
DMF Filings
ANDA filings
ANDA approvals
Products launched
22
44
71
80
 World’s largest generics market at ~ $ 35 bn, growing at 10-12%
(Source : IGPA)

Started operations in 2005
 Over half of the products use own API.
 Plan to file 12-15 ANDAs p.a.
 Launched 22 products. Plan to launch 8-10 products every year.
 Market share ranges between
5-25% in these products.
 Sales ~$ 79 Mio. (CY 2008)
 Rated as one of the fastest growing generic companies in US by IMS
10

Focus on Generics
 Eur 2 bn market, growing at ~11% (IMS)
 Over 2% share in participated market, one of the fastest growing companies.
Product Launches
 Launched >100 generic presentations in France
 Plan to launch of 12-
15 products p.a. in
France
Leveraging India’s lower cost
45
43
41
31
26
New Markets
 Entered Spanish market (5 th largest in
Europe) by acquiring
Laboratories Combix
 Planning to enter select other markets
Generics to drive our French business
29.0
Sales (Euro Mio)
21.8
29.0
11.5
6.3
18.6
10
New product filings Site variation filings
Filed Approved Launched
5.2
FY 05-06
3.2
FY 06-07
Branded Generics
FY 07-08
11

 $ 10 bn pharmaceutical market, growing at ~12% (Source : IMS)
 Entered generics market in 2005-06 thru 100% subsidiary, Zydus
Healthcare Brazil Ltda
 Filed dossiers for 40 products so far, of which 18 have been approved and all have been launched

Acquired of Nikkho do Brazil Ltda. in 2007-08 provides entry into fast growing, profitable and sustainable branded generics segment.
 A profit-making co., Nikkho has a mfg. facility and strong marketing and distribution network in Brazil.
 Present basket of ~20 brands has been expanded with launch of several new brands from pipeline of existing brands and few acquired brands.
 Crossed sales of BR 68 Mio. (~$ 35 Mio.) in CY 2008 in Brazil, expected to grow at over 20% annually.
12

 Acquired Nippon Universal Pharma. Ltd. in 2007-08 to gain entry in generics market of Japan, valued at ~$3 bn, growing at ~12% (Source : IGPA).
 Plan to introduce new products in Japan through in-licensing route as well product registrations from India .
 Presence in over 20 semi / non regulated emerging markets .
 Amongst top 3 Indian pharma cos . in Sri Lanka, Myanmar, Uganda and
Sudan.
 Focusing and developing base in rapidly growing markets of Russia,
South Africa, Taiwan and Philippines.

Recently acquired majority stake in Simayla Pharma, South Africa.
Plan to launch several new products in South Africa within next 3 years, from strong pipeline which we have built from India.
 Exports to these markets grew by >20% in last 4 years and crossed
$ 20 Mio. mark in FY07-08.
13

 Presence in low calorie sweetener and skincare products business in
India since more than 15 years.
 Sugar Free group - the healthier alternative to sugar
 Market leader in India with market share of >75% (Source : AC Nielsen).
 Growing at CAGR of over 20% for last 3 years, the brand crossed
$ 14 Mio. sales mark in FY 07-08.

Everyuth range of skincare products have also been growing at CAGR of
~ 20% for last 3 years.
 Acquired stake in Carnation Nutra-Analogue Foods Ltd., the manufacturers of Nutralite, India’s largest selling margarine

Revamped brand Nutralite post acquisition, which crossed sales of
$12 Mio. with 32% growth and registered positive bottom-line in FY 07-08.
 Restructuring of consumer business, with de-merger of consumer business from Cadila in Carnation, which is now Zydus Wellness Ltd ., is aimed at unlocking business synergies and shareholders’ value.
14

 Zydus Nycomed JV
– most successful contract manufacturing JV in India
 State of the art API mfg. plant for Pantoprazole intermediates
 Plan to expand scope of the JV, with more APIs to be sources by
Nycomed from this JV over next 2-3 years
 Zydus Hospira - JV for oncology injectables (Generics)
 State of the art cytotoxic facility located in an SEZ near Ahmedabad.

Commercial production to start from Q1 FY 09-10
 Full capacity utilisation by FY 10-11.
 Zydus BSV - JV for oncology NDDS
 State of the art mfg. plant in SEZ near Ahmedabad
 Launched NDDS product in India in 2008 as Nudoxa
 33 other contracts with innovator and generic MNCs with peak revenue potential of US$ 45 Mio.
15

 Zydus Research Centre (ZRC)
 Located in Ahmedabad
 Focused on NME Research &
NDDS
 Pharmaceutical Technology
Centre (PTC)
 2 centers
– one located in
Ahmedabad, another in Mumbai
 Focused on Finished Dosage
Form Development & NDDS
 API Process Research
 Located in
Ankleshwar/Ahmedabad
 Focused on Process Development
Scientific Talent Pool ~ 800
NME & Drug
Discovery
325
Generics /
Developmental
325
API & Others
150
11
32%
R&D Spends – FY 07-08
NME & Drug
Discovery
22
62%
Generics /
Developmental
2
6%
API & Others
~ $ 35 Mio. (~7% of revenues)
16

• NME Research, Biologicals (Biogenerics) & NDDS.
• Therapeutic Area: Dyslipidemia, Diabetes, Obesity, Inflammation.
• Infrastructure for target identification to pre-clinical research / early clinical development.
• Multiple candidates under preclinical stage.
NME Pre Clinical
ZYH1
Dyslipidemia
IND Filing
ZYI1 Inflammation
ZYH2
Diabetes
ZY01 Obesity
ZYH7 Dyslipidemia
ZYT1 Dyslipidemia
Phase 1 Phase 2 Phase 3
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Consolidated
Domestic Sales (Net)
Exports Sales
Total Net Sales
Total Operating Income
PBIDT
PBIDT % to Total Income
Net Operating Profit #
NOP % to Total Income
Operating EPS $
(not annualised)
Apr-Dec
08
273
207
480
490
101
60
0.44
$ Mio.
Apr-Dec
07
237
145
382
391
77
44
0.32
Growth y-y%
14.8%
43.4%
25.6%
25.1%
31.8%
38.6%
38.6%
Note : Operating Net Profit = Net Profit - Exceptional Items - Non Operating Items
- Non Operating Forex Gains / Losses
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This presentation may include certain “forward looking statements” , based on current expectations, within the meaning of applicable laws and regulations. Actual results may differ and the company does not guarantee realization of these statements.The Company also disclaims any obligation to revise any forward-looking statements . The viewers may use their own judgement and are advised to make their own calculations before deciding on any matter based on the information given herein www.zyduscadila.com
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