Rapat Kerja Nasional :

PT Kimia Farma Trading & Distribution

Strive for Greatness

Soleh Ayubi, PhD

Biofarma

February 2023
Our vision : the World-Class Healthcare Ecosystem, from which Medbiz was
made to accelerate seamless pharmaceutical supply chain.

Facts about Biofarma Group

#1 Largest Healthcare services network in Indonesia

(1174 retail pharmacies, 406 clinics, 72 diagnostic laboratories,
R&D Pharmacos 100k+ daily visit)

We are Top 20 Indonesia’s pharma company with USD 637 million

TPA revenue and 7.4% market share
Distribution
Currently have 1,343 products and expected to launch over 200
new products in the next 3 years

Clinics
Hospitals 500+ millions lives touched every year

5th largest pharma manufacturer, have 10 manufacturing plan spread

over Java - Bali and currently building new plant for biological line
with US FDA certification
Payor
Tele-health
Patient
1 API & HFC Manufacturing Plant

Dx lab with 6th Largest pharma distributor with 78 distribution arms

home collection (e)/Pharmacies
Level 1: Patient centric ecosystem

We already exported our products into 149 countries

Level 22: Wider ecosystem collaboration to
improve efficiency Regulatory
© February 2023 | Biofarma Group | Confidential & Proprietary
The healthcare company can achieve >94T revenue opportunity in 2027 and KFTD holds a crucial function
within the system.

Healthcare Holding 💻

Business & Corporate Development Strategy & Selective Operation** 💻 Finance 💻 Human Capital and Risk

R&D* 🔬 Manufacturing*** Distribution Healthcare Retail Insurance Digital** 💻

Service

Indonesia Healthcare Hi-TKDN Med Device 🔬 MedBiz 💻 KFD Clinic & Labs 💻 Kimia Farma Apotek 💻 Mandiri InHealth 💻 Biofarma Digital
Institute (IHI) Pharma Ingredients 🔬 IHC Hospitals 💻 Admedika 💻
Ethical drugs 🔬 SOE’s Clinics 💻
OTC product 🔬
Herbal 🔬
Cosmetic 🔬 SAM Rp 203 T SAM Rp 377 T2 SAM Rp 68 T SAM Rp 14 T SAM Rp 10 T
Essential oil 🔬 CAGR 6% CAGR 3-11% CAGR 7% CAGR 1% CAGR 14%
Vaccine 🔬 SOM Current 3% SOM Current 6% SOM Current 16% SOM Current 19% SOM Current 0.2%
Biosimilar 🔬 SOM Goal 9% SOM Goal 12% SOM Goal 12% SOM Goal 36% SOM Goal 9%

SAM1 Rp 253 T2
CAGR 8-20%
SOM Current1 2%
SOM Goal1 9%

*R&D will be assigned to all product lines in manufacturing with shared facilities such as laboratories, experts, etc. R&D will centered at IHI
**Digital here is not only a support function, but also as a new revenue stream. The value in digital transformation is beyond the SOM Goal since it has not accounted the efficiency arised and intangible impact done by Strategy & Selective Operation
***Aggregate number from 11 Biofarma Group product lines: Hospital furniture, diagnostic tools, electromedical, consumable medical devices, patient aids, generic drugs, brand-name drugs, OTC, herbs, natural extracts, vaccines, and biosimilars, Number may
exceed Rp 253 T when the market size (global/regional/national) for quinine, essential oils, cosmetics, and raw materials for chemical drugs are added
SAM: Serviceable Available Market, figures taken from McKinsey and IQVIA vary in the range of 2020-2025.
SOM: Serviceable Obtainable Market, SOM current: the market share of McKinsey and IQVIA data varies in 2020-2022, mostly in 2020. SOM goal: a realistic market share that can be achieved by 2027.
© February 2023 | Biofarma Group | Confidential & Proprietary
However to hold those function,
KFTD still has a lot of things to improve compared to the market leader, Enseval

Operational highlights
Enseval key success:

Aspects ● Strong relationship to market leaders in customer health

● Serve wide range of customer: traditional trade, modern trade, ethical
Revenue1 Rp4.6 T Rp 25.6 T trade channel (hospital, pharmacies)
● Undergo digital transformation to optimize process and increase
Branch1 48 76 efficiency
Market position1 #8 #1

Total principal1 65 223

Net margin1 2% 3%
Enseval Digital Transformation
2
COGS 91% from revenue 89% from revenue

Gross margin2 9% 11%

Sales expenses2 5% from revenue 7% from revenue

EBIT2 3% 4% EMOS MOSHealth MOSTRANS

B2B Marketplace B2C app to buy Transportation

Pharma 87% Pharma 45% platform
Consumer health 5% Consumer health 42% products (partnership management
Product portfolio1 with pharmacies) platform
Medical device 7% Medical device 5%
Others3 1% Others3 8%

1
From data 2021, BCG working team
2
From data 2019, McK working team
3 © February 2023 | Biofarma Group | Confidential & Proprietary
Raw materials, veterinary products, healthcare services
Other opportunity in B2B is to catalyze client's digital transformation.
Client needs a flexible operating model to support the demands and emerge as a prominent player.

Other B2B opportunities

• Market-fit product through

Customer and product
info and content in all
forms must be digitized,
accurate and accessible
across channels and
ecosystems
seamless synchronization
between R&D, production, sales,
and marketing
• Digitally-accelerated time to
market of the product
• Optimized supply and demand
management through end-to-end
system
• Secured data and platform
through managed service
• Robust operational capabilities
Experiences need to be e-Commerce is a change Model impact on prices
supported by robust to business modes and transparency and and back-end support with SLA
operational capabilities will change almost every distribution channel managed service
aspect of organizations disruption • Data-driven strategy through
analytics and big data
• New business model

Source: Summary Smart PBF. EY and Bio Farma. 2021

Source: PWC-studies-Digital-Product-Development-2025, PWC, 2021 © February 2023 | Biofarma Group | Confidential & Proprietary
Ambitious to connect all Indonesian pharmaceutical and consumer health business-- even
with global stakeholders, Medbiz was made to fulfill the channel demands through digital
platform.

Principal Distribution Channel

Supporter

© February 2023 | Biofarma Group | Confidential & Proprietary

Medbiz is the enabler of pharmaceutical and consumer health trading ecosystem.
Make everyone inside feels closer to each other.

Principal
Channel
Distributor

PBF (1200 outlets)

and local
distributor & drugstore

and 20+ others Supporters

Financier Logistics IT System

© February 2023 | Biofarma Group | Confidential & Proprietary

Medbiz enables better customer experience in restocking their inventory.

Before Medbiz (Order manual) Before Medbiz (Order semi-digital) Medbiz (Order full digital)

Cukup buka aplikasi, channel / outlet tidak perlu

Channel mencari salesman distributor obat Channel mencari salesman distributor obat
mencari salesman

Cukup buka aplikasi, channel / outlet tidak perlu panik

Channel panik saat stok di retail habis Channel panik saat stok di retail habis
saat stok di retail habis

Cukup buka aplikasi, channel / outlet dapat langsung

Channel harus menunggu salesman datang Channel mendapat jadwal kedatangan salesman
order 24/7

Order langsung masuk ke cabang secara real-time.

Salesman mencatat order secara manual Salesman mencatat order secara digital Waktu salesman dapat dilakukan untuk NOO (New
Open Outlet)

Salesman memeriksa ketersediaan barang di gudang Salesman memeriksa ketersediaan barang di gudang secara Ketersediaan barang di gudang dapat dilihat oleh
secara manual manual channel

Tidak ada pengiriman sehari sampai. Lebih lama Tidak ada pengiriman sehari sampai. Lebih lama menunggu Ada berbagai opsi delivery termasuk pengiriman
menunggu kedatangan barang. kedatangan barang. sehari sampai

© February 2023 | Biofarma Group | Confidential & Proprietary

© February 2023 | Biofarma Group | Confidential & Proprietary
Roadmap to success:
Next step in 2023 GTV Medbiz in KFTD
2,052 T

Operation in 38 100K+ SKU Products

province Onboarding

100% offline sales

Operation in 514
regular going to
kab/kota
Medbiz

Support 15K 48 KFTD branch

UMKM Pharmacy transaction

Serving 20K B2B 100K B2B

Customer transaction

© February 2023 | Biofarma Group | Confidential & Proprietary

New Collaboration Extended Digital Healthcare Ecosystem:
Guardian, K24, Bunda Medika Healthcare System (BMHS)
We are ready to collaborate with other players to create a complete Digital Healthcare Ecosystem

Potential Transaction Business

Company
Medbiz Medevo Medpharm Medwell Medpoint

400 Outlet at 600

Major Mall of Pharmacies
Indonesia in Indonesia

1. Guardian to join as official store in
Mediverse (Medpharm, Medevo)
2. Guardian market segment : Medium Up
Market
3. Guardian as regional player, potential for
regional expansion of Biofarma Product
4. Potential collaboration for Product
Distribution
1. K24 to join as official store in Mediverse
(MedPharm, Medevo)
2. K24 has build Factory at Sentolo-Yogya who
required EBR and Q100+ apps
3. K24 has home care service which supporting
Mediverse program (specific in Bali for
foreigners)
4. Potential collaboration for Product Distribution
1. BMHS provides Specialist Practitioner (D2D) in Medevo
2. Provides healthcare and curated news in Mediverse or Medevo
3. Drive traffic with appointment feature in Medpoint (doctor
booking, vaccination)
4. Collaboration for purchasing medicine in Medpharm
5. Collaboration for emergency/panic button, healthcare provider
6. Fulfillment product with Medbiz
7. Collaboration in Child Development feature in Mediverse

© February 2023 | Biofarma Group | Confidential & Proprietary

After having growth mindset, to perfectly execute the strategy, GRIT mentality is needed.
It is about perseverance and never give up attitude

Guts Resilience Initiative

Will allow us to overcome
adversity, obstacles, and
challenges
Will allow us to bounce
back from life’s many
defeats to enjoy our
eventual success
Tenacity
is entrepreneurial spirit that
is the staying power which
will allow us to have a
ultimately determines how
biggest ideas and build
hard we fight for something
something from it

GRIT is needed because

Talent doesn’t guarantee success Give the sense of purpose It will improve our skill We may face failure

© February 2023 | Biofarma Group | Confidential & Proprietary

Thank You
Soleh Ayubi, PhD
Chief Transformation & Digital
soleh.ayubi@biofarma.co.id

Stay connected with Biofarma Group

This document is exclusively intended for selected client employees. Distribution, quotations, and duplications – even in the
form of extracts – for third parties is only permitted upon prior written consent of Biofarma Group.

Biofarma Group used the text and charts compiled in this report in a presentation; they do not represent a complete
documentation of the presentation.

© February 2023 | Biofarma Group

Confidential & Proprietary
 Biofarma Group
© February 2023 | | Confidential & Proprietary
New Collaboration Extended Digital Healthcare Ecosystem:
Guardian, K24, Bunda Medika Healthcare System (BMHS)
We are ready to collaborate with other players to create a complete Digital Healthcare Ecosystem
Company Potential Transaction Business
Company
Medbiz Medevo Medpharm Medwell Medpoint Medtrack

1. Guardian

2. BMHS

3. K 24 Klinik

400 Outlet at 600 Pharmacies in

Major Mall of Indonesia Indonesia 1 BMHS provides Specialist Practitioner (D2D) in Medevo

Provides healthcare and curated news in Mediverse or

1 Guardian to join as official store in Mediverse, 2
1 K24 to join as official store in Mediverse, Medevo
(MedPharm),(Medevo)
(MedPharm),(Medevo)
Drive traffic with Appointment Feature in Medpoint
2 Guardian Market Segment : Medium Up Market 3
2 K24 ; has build Factory at Sentolo-Yogya who (doctor booking, vaccination)
required EBR and Q100+ apps.
3 Guardian as Regional Player, potential for regional 4 Collaboration for purchasing medicine in Medpharm
expansion of Biofarma Product
3 K24 has home care service which supporting
Mediverse program (Specific in Bali for Collaboration for Emergency/Panic Button, Healthcare
4 Potential Collaboration for Product Distribution 5
Provider
Foreigners)

4 Potential Collaboration for Product Distribution 6 Fulfillment product with Medbiz

7 Collaboration in Child Development Feature in Mediverse

© January 2023 | Biofarma Group | Confidential & Proprietary