BDR Pharmaceuticals International Pvt Ltd.

Net Revenues Increased 5% in 9M23 Year-over-Year on a Constant Currency Basis, Driven by 13% RX Growth MIAMI & BARRANQUILLA, Colombia--(BUSINESS WIRE)-- Procaps Group, S.A. (NASDAQ: PROC) (“Procaps” or the “Company”), a leading integrated international healthcare and pharmaceutical services company, today announced its financial results for the three months ended September 30, 2023 (“3Q23”) and the nine months ended September 30, 2023 ("9M23”). Financial Highlights 3Q23 & 9M23 Net revenues totaled $118 million for 3Q23, positively impacted by the performance of RX and OTC portfolios, offset by lower CDMO revenues. On a constant currency basis, net revenues increased by 2% in 3Q23. For 9M23, net revenues totaled $313 million, an increase of 5% on a constant currency basis. Gross profit for 3Q23 totaled $68 million with a 58% gross margin and totaled $176 million for 9M23 with a 56% gross margin, mainly impacted by higher costs and mix of products sold. Adjusted EBITDA was $22 million in 3Q23, with an Adjusted EBITDA margin of 19%. For 9M23, Adjusted EBITDA was $51 million. U$ million 3Q23 3Q22 Δ% 9M23 9M22 Δ% Net Revenues 118 110 7% 313 308 1.4% FX Impact on Net Revenues 6 - (12) - Constant Currency Net Revenues 112.9 110 2% 325 308 5% Gross profit 68 68 1% 176 187 -6% Gross margin 58% 61% -343 bps 56% 61% -454 bps Adjusted EBITDA 22 23 -4% 51 60 -14% FX Impact on Adjusted EBITDA 1 - (2) - Constant Currency Adjusted EBITDA 21 23 -9% 53 60 -11% Adj. EBITDA margin 19% 21% -212 bps 16% 19% -291 bps Management Commentary Procaps Chief Executive Officer, Ruben Minski, commented: “The third quarter of 2023 showed signs of improvement after a challenging first half of the year. We are encouraged by our strong operational execution and refinement of our strategic plan to ensure a stronger, more resilient organization that thrives beyond short-term hurdles. “Multiple macroeconomic factors continued to challenge the industry in our region, impacting our revenues. We continue to adapt our strategies to navigate this dynamic landscape and protect our profitability and are seeing positive trends materializing in 4Q23 which we expect will lead to improved results over 4Q22. “During the quarter we announced an agreement with BDR Pharmaceuticals for 27 oncology molecules for Latin America, including 20 TKIs (Tirosyne Kinase Inhibitors). Under the agreement, Procaps is responsible for registration, branding, marketing and commercialization throughout Latin America. We are very excited to expand our oncology portfolio in the region and add more partner companies and potentially broaden cancer treatment options with several new molecules to better serve more patients and physicians. “To support increased U.S. demand of our advanced gummy technologies for the global nutraceutical industry capacity expansion in the U.S. continue as planned with the ongoing construction of a new gummy manufacturing facility in Florida. We expect operations to commence in 1Q24 with revenues following later in the quarter. Also in the U.S. we are exploring new products, especially high potency compounds, to take advantage of the West Palm Beach facility which has production capacity of approximately 1.8 billion softgel capsules per year for our iCDMO business unit. “During the quarter we participated as one of the five sustainable sponsors at CPHI Barcelona 2023 and welcomed over 300 business partners, current and new, at our booth. We were very pleased with the level of interest across the global pharma community of attendees. “As we continue to focus on growth, and after months of considering how to best serve the Company, earlier this year I announced that leading the Company on important strategic initiatives rather than on day-to-day matters would be of better value to the Company. We have in place the necessary capabilities to position the Company for long-term success and as announced, I will transition to Executive Chairman of the Company on January 15, with the announcement of Jose Antonio Vieira as the new CEO,” concluded Minski. Guidance Update Given the slowdown in growth in some markets, especially during the month of September and October and the current macroeconomic environment, we are revising our guidance for the full year. The impact of the macroeconomic conditions that the industry has experienced through the year, followed the same pattern in the third and fourth quarter - order phasing from CDMO partners, OTC taking longer to recover, launches delays due to delay in registration approvals, and sales of brands that were postponed. The Company now expects full year 2023 net revenues growth of approximately 6% on a constant currency basis, and an adjusted EBITDA in the range of $77M - $82M. This short-term scenario does not change our medium and long-term expectations for the Latin American market. We believe this market slowdown is only temporary and in the next years the market will continue to benefit from the aging of the population, greater market access and increase in health coverage. Please check Procaps investor relations website for full Earning Release details, at: Conference Call Information: The Company will host a conference call and webcast in late January 2024, after the arrival of the new CEO. The Company will inform the market about the date and time during the month of January. Forward-Looking Statements This press release includes "forward-looking statements." Forward-looking statements may be identified by the use of words such as "forecast," "intend," "seek," "target," "anticipate," "believe," "expect," "estimate," "plan," "outlook," and "project" and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Such forward-looking statements include projected financial information. Such forward-looking statements with respect to revenues, earnings, performance, strategies, synergies, prospects, and other aspects of the businesses of Procaps are based on current expectations that are subject to risks and uncertainties. A number of factors could cause actual results or outcomes to differ materially from those indicated by such forward-looking statements. These factors include, but are not limited to: (1) the inability to successfully retain or recruits officers, key employees, or directors; (2) effects on Procaps' public securities' liquidity and trading; (3) the lack of a market for Procaps' securities; (4) changes in applicable laws or regulations; (5) the possibility that Procaps may be adversely affected by other economic, business, and/or competitive factors; (6) the Company’s inability to achieve its cost saving goals and value creating initiatives, (7) our ability to remediate our disclosed material weaknesses within certain time frames, if at all and (8) other risks and uncertainties indicated from time to time in documents filed or to be filed with the Securities and Exchange Commission ("SEC") by Procaps. Accordingly, forward-looking statements, including any projections or analysis, should not be viewed as factual and should not be relied upon as an accurate prediction of future results. The forward-looking statements contained in this press release are based on our current expectations and beliefs concerning future developments and their potential effects on Procaps. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control), or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the ability to recognize the anticipated benefits of any acquisitions contemplated or pursued by the Company, the impact of COVID-19 on Procaps' business, changes in applicable laws or regulations, the possibility that Procaps may be adversely affected by other economic, business, and/or competitive factors, and other risks and uncertainties, including those included under the header "Risk Factors" in Procaps' annual report on Form 20-F filed with the SEC, as well as Procaps' other filings with the SEC. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Accordingly, you should not put undue reliance on these statements. Important Note Regarding Unaudited Estimates and Non-IFRS Measures The Company is not able to reconcile its forward-looking non-IFRS estimates of Adjusted EBITDA presented in this press release for the year ending December 31, 2023 without unreasonable effort because of the inherent difficulty of accurately forecasting the occurrence and financial impact of the various adjusting items necessary for such reconciliation that have not yet occurred, are out of our control, or cannot be reasonably predicted, which could have a material impact on its future IFRS financial results. View source version on businesswire.com: Contacts Investor Contact: Melissa Angelini IR Director - Procaps Group ir@procapsgroup.com investor.procapsgroup.com Source: Procaps Group, S.A. View this news release online at:

MIAMI & BARRANQUILLA, Colombia--(BUSINESS WIRE)-- Procaps Group, S.A. (NASDAQ: PROC) (“Procaps” or the “Company”), a leading integrated LatAm healthcare and pharmaceutical services company, announced today that members of its executive leadership team will participate at two upcoming investor conferences. On October 5, 2023, the Company will attend BTG’s 2023 LatAm CEO Conference in New York and will be available for investor meetings. On October 12, 2023, the Company will present at Roth’s 2023 Healthcare Opportunities Conference, in New York and will be available for investor meetings. For more information on the BTG 2023 LatAm CEO Conference or Roth 2023 Healthcare Opportunities Conference, or to schedule an investor meeting with Procaps management, please contact your conference representative or you may also email your request to ir@procapsgroup.com. About Procaps Group Procaps (NASDAQ: PROC) is a leading developer of pharmaceutical and nutraceutical solutions, medicines, and hospital supplies that reach more than 50 countries on five continents. Procaps has a direct presence in 13 countries in the Americas and more than 5,500 employees working under a sustainable model. Procaps develops, manufactures, and markets over-the-counter (OTC) pharmaceutical products, prescription pharmaceutical drugs (Rx), nutritional supplements, and high-potency clinical solutions. For more information, visit or Procaps’ investor relations website investor.procapsgroup.com. Forward Looking Statements This press release includes “forward-looking statements.” Forward-looking statements may be identified by the use of words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate,” “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Such forward-looking statements include projected financial information as well as the benefits (if any) to be achieved by our agreement with BDR Pharmaceuticals, and there can be no assurance that any regulatory approvals for the molecules underlying the agreement with BDR Pharmaceuticals will be obtained. A number of factors could cause actual results or outcomes to differ materially from those indicated by such forward-looking statements. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control), or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the risks included under the header “Risk Factors” in Procaps’ annual report on Form 20-F filed with the SEC, as well as Procaps’ other filings with the SEC. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Accordingly, you should not put undue reliance on these statements.

The Agreement Substantially Increases Procaps' Participation in the Oncology Market in the LatAm Region MIAMI & BARRANQUILLA, Columbia--(BUSINESS WIRE)-- Procaps Group, S.A. (NASDAQ: PROC) (“Procaps” or the “Company”), a leading integrated LatAm healthcare and pharmaceutical services company, announced today that it has entered into an agreement with BDR Pharmaceuticals International Pvt. Limited (“BDR Pharmaceuticals”) for 27 oncology molecules for Latin America, including 20 TKIs (Tirosyne Kinase Inhibitors). Under the agreement, Procaps is responsible for registration, branding, marketing and commercialization throughout Latin America. Procaps submitted an initial set of 8 molecules to the regulatory authority in Colombia and intends to later expand into other parts of Latin America. “We are very excited to expand our oncology portfolio in the region and add more partner companies and potentially broaden cancer treatment options with several new molecules to better serve more patients and physicians with this serious and growing disease,” said Ruben Minski, CEO of Procaps Group. Oncology is one of the most relevant therapeutic areas globally, with a growing trend in Latin America driven by the aging and growth of the population and improvements in cancer survival rates. According to the International Agency for Research on Cancer, by 2040 the number of cancer cases in Central and South America is projected to increase by 91.4% and 76.5%, respectively, mostly due to lifestyle factors, ageing, screening, and infection-related cancers. The Latin American regions where Procaps operates has an aggregate population of approximately 204 million people, and the incidence of cancer affects around 0.3% of the population, which is equivalent to approximately 500,000 new cases per year. “These molecules are indicated for different types of cancer such as breast cancer, colon cancer, and chronic myeloid leukemia, among others. Many of these molecules, if approved, will likely be introduced to our region for the first time, which aligns with our mission to continue seeking to provide patients in Latin America with potential alternative and accessible therapies,” added Dr. Camilo Camacho, COO of Procaps Group About Procaps Group Procaps (NASDAQ: PROC) is a leading developer of pharmaceutical and nutraceutical solutions, medicines, and hospital supplies that reach more than 50 countries in all five continents. Procaps has a direct presence in 13 countries in the Americas and more than 5,500 employees working under a sustainable model. Procaps develops, manufactures, and markets over-the-counter (OTC) pharmaceutical products, prescription pharmaceutical drugs (Rx), nutritional supplements, and high-potency clinical solutions. For more information, visit or Procaps’ investor relations website investor.procapsgroup.com. Forward Looking Statements This press release includes “forward-looking statements.” Forward-looking statements may be identified by the use of words such as “forecast,” “intend,” “seek,” “target,” “anticipate,” “believe,” “expect,” “estimate,” “plan,” “outlook,” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Such forward-looking statements include projected financial information as well as the benefits (if any) to be achieved by our agreement with BDR Pharmaceuticals, and there can be no assurance that any regulatory approvals for the molecules underlying the agreement with BDR Pharmaceuticals will be obtained. A number of factors could cause actual results or outcomes to differ materially from those indicated by such forward-looking statements. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control), or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the risks included under the header “Risk Factors” in Procaps’ annual report on Form 20-F filed with the SEC, as well as Procaps’ other filings with the SEC. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Accordingly, you should not put undue reliance on these statements. View source version on businesswire.com: Contacts Investor Contact: Melissa Angelini ir@procapsgroup.com +1 754 260-6476 investor.procapsgroup.com Source: Procaps Group, S.A. View this news release online at: