COMPANY PRESENTATION

FY 2020 – AUDITED
SIDO IJ | SIDO JK
Disclaimer
This presentation was prepared solely and exclusively for discussion purposes. This
presentation and/or any part there of may not be reproduced, disclosed or used without the
prior written consent of PT INDUSTRI JAMU DAN FARMASI SIDO MUNCUL TBK (SIDO
or the Company).

This presentation, as well as discussions arising there from, may contain statements
relating to future expectations and/or projections of the Company by its management team,
with respect to the Company. These statements are generally identified by forward-looking
words such as “believe”, “expect”, “may”, “will”, “plan”, “estimate”, “anticipate”, or other
similar words. These statements are presented on the basis of current assumptions which
the company’s management team believes to be reasonable and presumed correct based
on available data at the time these were made, based on assumptions regarding the
Company’s present and future business strategies, and subject to certain factors which
may cause some or all of the assumptions not to occur or cause actual results to diverge
significantly from those projected. Any and all forward looking statements made by the
Company or any persons acting on its behalf are deemed qualified in their entirety by
these cautionary statements.

This presentation is solely for informational purposes and should in no way be construed
as a solicitation or an offer to buy or sell securities or related financial instruments of the
Company.

2
Table of Contents

1 Introduction to Sido Muncul

2 Company Highlights

3 Commitment to ESG

4 Business & Financial Update FY 2020

5 Guidance & Key Initiatives FY 2021

6 Appendix

3
INTRODUCTION TO
SIDO MUNCUL
Largest herbal product manufacturer in Indonesia with leading
product portfolio and strong financials

Well-established Presence Attractive Financials Numerous Accolades

Market Cap: USD1.7bn
(Listed since 2013) FORBES – Asia Best
More than 70 years 2020 Sales: Under a Billion & 50 Best
of heritage USD 236.5mn of the Best Companies
2020 NPAT: (2020)
USD 66.2mn
Products that cater to
Indonesian Investor Daily Indonesia
2017-20 CAGR
consumers across all Top Performing Listed
Sales : +9%
demographics Companies 2020*
NPAT : +21%
(gender, age and
income groups)

OP Margin: 35% SWA Indonesia Best

122 distribution Brand Award for Tolak
points NPAT Margin: 28%
*ROA: 24% Angin, Indonesia’s #1
throughout Indonesia herbal product
ROE: 29%

Stable dividend
Various other Indonesia
payout ratio
More than 4,000 most valuable brand
averaging >90% and awards and recognitions
employees
debt free balance in ESG
sheet

5
Market data as of 30 Dec 2020, FX of 14,105 IDR/USD.
* In the IDR 5-20 trillion category.
 Established to preserve Indonesian heritage through innovation,
local knowledge and passion for good
Founded by Mrs. Rakhmat
Sulistio in 1940 with the first
formula of Jamu Tolak Angin.
In 1951, the company SIDO
MUNCUL was established
1940 1970
PT Industri Jamu dan
Farmasi Sido Muncul
was officially
incorporated
Modern production
facility was installed in Lingkungan
Industri Kecil (Semarang, Central
Java) to meet growing
market demand
1984 1997
Cornerstone-laying was held
for the construction of a new,
bigger, and modern factory
complex in Klepu, Central Java
New 32 ha factory
complex in Klepu, with
facilities having CPOB, CPOTB,
and various ISO standards, was
inaugurated
2000 2013
Conducted Initial Public
Offering with issue price
of Rp580 per share.
Ticker code: SIDO
Acquired
PT Berlico Mulia Farma
to expand business to
pharmaceutical industry
2014 2018
• Completed construction
of a new, integrated herbal
liquid production facility, with
capacity of up to 180mn
sachets/month.
• First shipment to the Philippine
Received Halal Certificate
from Indonesian Ulama Council
(MUI) and Implementation of
Polymerase Chain
Reaction (PCR)
2019 2020
• Received GOLD PROPER award
from Indonesia ministry of
environment and forestry.
• Completion of RTD production
facility.
6
Comprehensive range of products with strong brand equity and
awareness among Indonesian consumers
More than 300 SKUs

Herbal & Supplement Food & Beverages Pharmaceutical

67% OF REVENUE 30% OF REVENUE 3% OF REVENUE

• Modernized “JAMU”, using a wide
range of natural Indonesian herbs and
medicinal plants, with proven and long
history of efficacies
• Herbal-based supplements to meet the
modern lifestyle of Indonesian
consumers
• Pioneer of fruity flavor energy drink in
Indonesia, not just an energy booster
but also a refreshing drink
• Wide variety of herbal-based drinks and
confectioneries. Some with health
maintenance benefits
• Various over-the-counter drugs and
consumer health products (~60%
contribution), and prescription drugs
(~40% contribution)

Scientific and Consumer Driven Innovation

7
Experienced management team with proven track records in
business and the industry
Board of Commissioners Board of Directors

President Commissioner 40+ President Director 35+

Jonatha Sofjan Hidajat David Hidayat
>40 years experience in herbal business >35 years experience in herbal business, expertise in operations

Commissioner 40+ Director 40+

Johan Hidayat Irwan Hidayat
>40 years experience in herbal business >40 years experience in herbal business, expertise in marketing

Director
Commissioner 40+ Leonard 20+
Sigit Hartojo Hadi Santoso
>20 years experience in finance, audit, taxation and IT at
>40 years experience in herbal business
several reputable companies

Independent Commissioner Director

Young Taeg Park 35+ Darmadji Sidik 20+
>35 years experience in financial industry, now serves as >20 years experience in sales and logistics at a reputable
Chairman and Managing Partner Affinity Equity Partners consumer company

Independent Commissioner
Eric Marnandus 20+
>15 years experience in financial and consulting companies, now
serves as Executive Director at Affinity Equity Partners Indonesia

8
COMPANY HIGHLIGHTS
Key company highlights

Leading player in the fast growing Indonesia

1 consumer health market

2 Continuous product and business innovation

Track record of successful and systematic market

3 penetration

Fully-integrated and high quality supply chain, including

4 best-in-class production facility with pharmaceutical
grade certification and advanced technologies

Commitment to continuously deliver value to all

5 stakeholders

10
 Leading player in the fast growing Indonesian consumer
1
health market and #1 player in herbal segment
CAGR 2019-14
10.3% 9.3% 38.3%
 Cultural preference for herbal- 8.9% 8.3%

based and natural products 4.9%

16.7%
12.8% 13.5%
 Prevalent light digestive and 4.0%

respiratory ailments due to climatic Herbal Vitamins and OTC Sports Weight
and micro-climatic conditions Products Supplements Nutrition Management
SIDO A B C D

Compelling demographic and Herbal has the fastest growth SIDO is the market leader in the
A cultural drivers B within consumer health segment C “JAMU” industry.*

Cold Symptoms: 55% Others

Heatiness: 30% ~30%
Digestion: 5%
Herbal Analgesics: 5%
~71%
Others: 5%

Iconic brands synonymous with

Pre-cold is the most consumed Market leader in herbal cold
D category in herbal segment E herbal consumer health in F symptoms product category
Indonesia

11
Source: Euromonitor (2019), Nielsen (2020), & Company Research.
* Total Sales Volume of Jamu Industry—Nielsen FY 2020.
 1 Tolak Angin is the #1 herbal product in Indonesia

Sido Muncul has demonstrated the industry-leading capabilities in herbal medicine, through
coordinated multi-pronged strategy ensuring sustainable long-term growth
Formulation Innovation Improving the Customer Experience Quality and Certifications

 First herbal producer to modernize the
production of herbal medicines, creating a
major, standardized brand
 Innovative and convenient liquid single-use
sachet accelerated market penetration,
while also introducing other forms to
expand consumer base
 Reformulating Tolak Angin forms to
efficiently attract and target younger
generation customers
 Significant focus on improving customer
experience and perception of taste for
herbal medicine
 Tolak Angin is consumed by customers
across all demographics
 The first herbal player to obtain BPOM*
standardized certification
– Enables product to be distributed
nationally, and enter modern trade
 Among few herbal medicines to receive
‘scientifically proven’ certification
 Owns full IP rights since 2018, with
improved gross margin

Extensive Network Creating Access Innovative and Proven Marketing

 Strong relationship with local distributors  Successful 2015 marketing campaign

nationwide – easily accessible even at local educated consumers on using product as
mom and pop stores, as well as modern preventive measure vs. instant relief,
channels boosting consumption frequency

 Rapid penetration into global markets,  Use of catchy taglines with elite celebrities
including the Philippine and Nigeria also increased the frequency of product
consumption

12
* National Agency of Drug and Food Control (Badan Pengawas Obat dan Makanan).
 Kuku Bima Ener-G! is the pioneer of fruit flavored energy
1
drink in Indonesia

Going against the industry norm of energy drink formulation, taste and color, Kuku Bima
Ener-G! revolutionized the category by “thinking outside the box”

Innovative Iconic Future

 From Jamu product  ROSA! is the brand  Ready-to-Drink format
extended to energy tagline, which means offers increased
drink category STRONG in Javanese, convenience for younger
 Launched in 2004, Kuku and has become an consumer segment
Bima Ener-G! iconic slogan
 Further expansion into
introduced powder  Most of the product’s international market,
energy drinks with advertisement carry especially in Nigeria and
various fruit flavors and Indonesia tourism Malaysia
quickly became a theme, to introduce
leading player in the Indonesia culture to
energy drink category in consumers
Indonesia
 Top 2 energy drink
player in the country with
~40% market share in its
category

13
 Product portfolio expansion through continuous product
2
innovation

SIDO launches 2–3 new products or variants annually

Herbal & Supplement Food & Beverages

 SIDO’s new product development engine is driven by strong local market insights and understanding of
customers’ needs and preferences, coupled with superior R&D in herbal medicine

 This has enabled us to constantly bring new innovative products to develop new market niches

 FY 2020, SIDO launched 16 new products or variants. The new products can be purchased via online-
stores, such as: Tokopedia, Shopee, Lazada, Blibli, Bukalapak, and Sidomunculstores.com

14
 Entry to the pharmaceutical industry through acquisition
2
of PT Berlico Mulia Farma

Expansion into the pharmaceutical sector resulted in complementary organic growth

• SIDO acquired PT Berlico Mulia Farma (“Berlico”) in 2014
• Key strategic rationale was to leverage the complementary value proposition of herbal
and pharma products resulting in a wider portfolio of consumer health products
• Berlico has its indpendent manufacturing facility which produces >80 product SKUs,
from OTC drugs, consumer health products (pharmaceutical supplements and topical
medicines), to prescription drugs
• A distribution network covering 16 major cities in Indonesia

Anacetine OBH Berlico Minyak Telon Tiga Anak

(medicine to reduce fever for kids) (medicine for cough) (Ointment for baby & kids)

Suprabion Berlosid Licokalk

(blood booster multivitamin) (medicine for gastritis) (calcium multivitamin)

15
 Track record of successful and systematic market
3
penetration

SEA and
Africa
expansion
Strong distribution network (Distribution points)
 Targeted expansion across Java
 Leverage strong understanding of
Javanese consumer tastes and
preferences
 Relatable brand heritage East
 Establishment of extensive pan-Java Indonesia
distribution network, with 122 sub- expansion
distributors nationwide and access to  Focus Export Countries:
>100,000 wholesalers & retailers and  Philippine with Tolak Angin,
>2 million POS  Nigeria with Kuku Bima,
 Malaysia with Tolak Angin and Kuku Bima

West
 On-the-ground presence in Philippines
through branch office and subsidiary in Nigeria
Indonesia
expansion  Marketing support to establish the brand
awareness and product knowledge

16
 Best-in-class production facility with pharmaceutical-
4
grade certification and advanced technologies
Sido Muncul Facility Semarang Herbal Indo Plant

• Main operation is located in Klepu, Central • Main facility to extract all herbal raw materials into liquid
Java, over a 32 ha land area, manufacturing all or powder products
Herbal and F&B products
• New extraction facility was completed in 2017, with
• Total liquid herbal production capacity of up to higher extraction yield, larger capacity and improved
180mn sachet per month, after completion of efficiency in raw materials usage
new herbal manufacturing plant in 2018. Post
expansion, utilization rate for herbal production
facility is still ample at around 50%
• New 1 ha raw material storage warehouse with
storage capacity of 6-month inventory
• Commissioning a new RTD manufacturing plant

Certifications Berlico Mulia Farma

• GMP standard for Traditional Herbal Medicine • Located in Yogyakarta (near Central Java)
(CPOTB) and Pharmaceutical (CPOB)
• Manufacturer of the entire pharmaceutical product range,
• ISO 9001 for quality management system, ISO including solid, semi-solid, and liquid formats
22000 for food safety management, and ISO
• Pharmaceutical GMP standard (CPOB)
17025 for laboratory management system
• Hazard Analysis & Critical Control Point (HACCP)
to identify food safety risks, prevent hazards in
food safety, and convey legal compliance
• Halal certification for over 200 SKU products

17
5 Strong financial profile
Financial performance of SIDO has exhibited consistent growth and profitability
resulting in financial efficiency
Steady sales growth… …coupled by improving profitability
USD mn1 USD mn1 33% 35%
30% 2017-19 CAGR:
CAGR: +9%
25% EBIT: +22%

236 26% 28% NPAT: +21%

217 24%
182 196 21%
82
73 66
58 57
45 47
38

2017 2018 2019 2020

2017 2018 2019 2020 EBIT NPAT
EBIT Margin NPAT Margin

Resulting in best-in-class returns… …and strong cash position with no leverage

USD mn1

29% 73
26% 64 61
23% 23% 24% 57
20%
17% 18%

2017 2018 2019 2020 2017 2018 2019 2020

ROA ROE

18
1FX of 14,105 IDR/USD
 5 Focus on shareholder return

SIDO has embarked on a transformation journey to deliver shareholder value,

with plenty of strategic initiatives still to be completed
IDR/share 12.2
1000
First Annual FY18 FORBES – Asia Best 3.1 3.9
Sustainability Under a Billion & 50
Report, in Best of the Best
900 accordance with Companies FY18 FY19 FY20
GRI Standards
• Commercial
production of
800 the new liquid Stock
Appointed David herbal facility in split 1:2
Hidayat as the new Klepu ADTV (IDR bn)
CEO along with Indonesia 1st
new, professional • Received Halal
2019 Forbes COVID-19
700 BOD members Certificate 71.1k
Best of the Best case
Award
Gold Proper 6.7k 12.2k
Award
600
Transfer of FY18 FY19 FY20
trade secret First export First export
formulations shipment to shipment to
to SIDO & the Philippines Saudi Arabia
500
termination
of 1.5%
royalty fee
Number of Equity Shareholders
400 30th Anniversary Indonesia 1st
Mudik Bersama large-scale 11
First export
social restriction 5 6
(PSBB)
shipment to
300
Nigeria under
Muncul Nigeria FY18 FY19 FY20
Ltd

200
Dec-18

Dec-19

Dec-20
Jul-18

Jul-19

Jul-20
Mar-18

Nov-18

Mar-19

Nov-19

Mar-20

Nov-20
Apr-18

Aug-18

Apr-19

Aug-19

Apr-20

Aug-20
Feb-18

May-18

Sep-18
Oct-18

Feb-19
Jun-18

May-19

Sep-19
Oct-19

Feb-20
Jun-19

May-20

Sep-20
Oct-20
Jun-20
Jan-18

Jan-19

Jan-20

Indices Inclusion in IDX

(Excl. JCI) 19
COMMITMENT TO ESG
Commitment to environmental, social and governance
excellence
 SIDO commits to UN’s SDGs achievements, to end poverty, to
reduce inequalities and to protect the environment. The
commitment is showed by initiatives that carried out by SIDO to
support 13 goals of 17 SDGs.
 All the initiatives and activities on ESG are reported in the
Sustainability Report in accordance with GRI standards.
 For all the efforts, SIDO received GOLD PROPER from Ministry
of Environment. Of >2,000 companies only 32 companies
received GOLD PROPER.
 MSCI ESG also upgraded SIDO rating to A from BBB driven by
improvement in GCG practice.

Bergas Kidul Free cataract

Liquid waste Rain reservoir as Avocado Tourism surgery for more
Biomass pellet from Green environment
processing through source of surface Village than 50 thousand
herbal waste initiatives
WWTP water reserve to empower eyes throughout
community Indonesia

21
BUSINESS & FINANCIALS
UPDATE FY 2020
Resilient business and performance that has survived challenging
year of 2020

Consistent YoY growth % 15% 2% 5% 11% 15%

revenue growth
even during Revenue 1,078
939 731 729 798
COVID (IDR bn)

Q4'19 Q1'20 Q2'20 Q3'20 Q4'20

Margin % 24% 32% 25% 28% 27%

Resilient NPAT
margins NPAT 293
229 232 182 227
(IDR bn)
Q4'19 Q1'20 Q2'20 Q3'20 Q4'20

Strong cash Cash balance

balance 865 1,045 783 1,027 1,032
(IDR bn)

Q4'19 Q1'20 Q2'20 Q3'20 Q4'20

Experienced management team able to react
Qualitative swiftly and re-focus the business during COVID-19
factors
Minimal impact to operations during height of
COVID in Q2 2020
Implementation of effective cost cutting initiatives
to maintain margins
Strong and sustained demand for SIDO products
(product diversification)

23
Key updates as of FY 2020

16 new products or MT contribution at

variants has been 13% of total sales
launched up-to-date FY20

Outlet coverage
First export of Tolak
increased to 113K
Angin to Saudi Arabia
wholesalers &
on Aug’20
retailers

East Indonesia has the

Stock split on Sep 14th fastest growth, with
with 1:2 split ratio. 23% contribution of
total sales FY20

New SKU for PH GOLD PROPER from

market, Tolak Angin Ministry of
Care & Tolak Angin Environment
Anak

24
Weathering the pandemic and challenging economic condition
well, delivering strong performance and result of 2020
(IDR Billion – Audited)

• SIDO consolidated sales on the 4Q improved by 35% compared to 3Q driven by strong rebound on Herbal &
Supplement sales by 50% QoQ, while F&B segment remained strong with increment of 12% compared to previous
quarter.
• On the 4Q, Herbal & Supplement sales picked up driven by Tolak Angin group product as the demand started to
rise as entering the rainy season and the distributors were also increasing their inventory prior year end. While,
demand for F&B was still maintained with strong performance from healthy drink category, such as: ginger
beverages and Vit C 1000, increased around 65% and combined contribute >40% of F&B.
• Export sales also showed improvement in the 4Q. PH and NI showed an improvement in the 4Q, while MY
maintained good recovery momentum.
• Total OPEX was under control with cost to sales ratio remained stable at 20.8% slightly lower compared to FY19.
Better sales performance combined with controlled cost from the efficiency program, resulting EBIT grew by 12%
with margin of 35%. As targeted, net income grew by 16% and net margin at 28%, higher by 2% for the period
ended of 2020.
25
SIDO has proven its resiliency amidst challenging condition, with
delivering strong performance and results in 2020
(IDR Billion – Audited) Herbal & Supplements Food & Beverages Pharmaceuticals

SALES GROSS PROFIT

(%Proportional) (%Margin)

+9% 3,335 +9% 1,839 %Growth

%Growth 1,681 (55%)
3,067 108 (55%)
33
117 (3%) -8%
+0%
33 (30%)
(4%) (28%) 345 +12%
1,006 +13% (34%)
306
886 (30%)
(35%)
(29%)

1,462
2,221 1,342
2,064 (66%) +9%
(67%) +8% (65%)
(67%)

2019 2020 2019 2020

26
Not only managed to book better performance, SIDO also succeed to
manage strong cash balance and maintained high payout ratio

(IDR Billion – 2017-2020 (Au)) Capital Expenditure

400
Target
Cash & Cash Equivalents CAPEX ‘20

135

127 106
1,032
903 865
806 2018 2019 2020
Dividend Per Share

13.5 12.5
10.5 11.0

2017 2018 2019 2020 84% 88% 93% 90%

Final '18 Interim '19 Final'19 Interim '20

DPS %Payout
27
Together, We Fight COVID-19!

 To fight COVID-19, SIDO commits to give

assistance worth of IDR 15bn in total. The
donation will be used to provide medical
equipment for medical team and also social-aid.

 SIDO also cooperates with PMI, BenihBaik.com,

IDI, Rumah Perubahan, and Kitabisa.com to help
to distribute the aid to the medical worker and also
community.

 SIDO has also implemented safe work

environment to prevent the spread of the virus:
– Work-from-home arrangements, especially for
support department.
– Safety and checking protocol in every
workplace, such as checking of body
temperature at the entrances, providing hand-
sanitizer in every corner, routine sterilizing with
spraying disinfectants at all office premises, etc.

28
GUIDANCE & KEY INITIATIVES
FY 2021
Successfully manoeuvring 2020 challenges, SIDO is ready to
aim higher in 2021 with all the initiatives and strategies to be
executed swiftly

Guidance 2021:
Sales and NPAT growth >10%

Optimizing Focus on Strengthening Maintain

domestic export digital margin and
distribution and recovery and presence in improve
products expansion online business
diversification platforms and process
marketplaces

CAPEX IDR 180 - 200 billion

30
APPENDIX
P/L Statement – FY 2020 Audited

IDR Billion - Audited 2020 2019 ∆ %gr.

SALES 3,335 3,067 268 9%
COST OF GOODS SOLD (1,497) (1,387) (110) 8%
GROSS PROFIT 1,839 1,681 158 9%
%Margin 55% 55% 0%
Selling & Marketing Expenses (492) (471) (21) 4%
General & Administrative Expenses (201) (192) (9) 5%
Other Operational Expenses / Incomes 5 7 (1) -22%
OPERATING PROFIT 1,151 1,024 127 12%
%Margin 35% 33% 1%
Finance Income 49 50 (1) -1%
Finance Cost (1) (0) (0) 239%
PROFIT BEFORE INCOME TAX EXPENSES 1,200 1,074 126 12%
%Margin 36% 35% 1%
Income Tax Expense - Net (266) (266) 1 0%
PROFIT FOR THE YEAR 934 808 126 16%
%Margin 28% 26% 2%

32
Subsidiaries to support vertical integration of operations from
upstream to downstream
Solid operation support from subsidiaries to answer customer demands

PT HOTEL CANDI BARU *PUBLIC

(81.0%) (19.0%)

The commencement of The commencement of The commencement of The commencement of

operation: operation: operation: operation:
1987 2009 1993 2018

Business activities: Business activities: Business activities: Business activities:

Trading Herbal Extraction Pharmaceutical Trading

33
*Includes 229.8mn treasury shares from share buyback program between
September 2015 and February 2016
PT INDUSTRI JAMU DAN FARMASI SIDO MUNCUL TBK

HEAD OFFICE:
Office Sido Muncul, Lt 1 – Gedung Hotel Tentrem
Jl. Gajahmada No. 123
Semarang - Indonesia

BRANCH OFFICE:
Grha Muncul Mekar, fl. 8th
Jl. Panjang Arteri Kelapa Dua, No. 27
Kebon Jeruk
Jakarta Barat - Indonesia

EMAIL:
investor.relation@sidomuncul.co.id

WEBSITE:
https://investor.sidomuncul.co.id/en/home.html