- 30years old co. engaged in R&D, mfg & marketing of bulk drugs, intermediates and custom synthesis of APIs (CMS)
- Cleared 15 USFDA audit without failure.
- 93% of revenues through regulated markets
-3 Mfg Sites Total capacity - 729 Kilo Ltr
- Cleared 15 USFDA audit without failure.
- 93% of revenues through regulated markets
-3 Mfg Sites Total capacity - 729 Kilo Ltr
-Unit 3 (197KL) was acquired 2017 for about Rs.100cr & it was largely funded through debt.
-Unit 3 still hasn't contributed to the rev. & it is expected to contribute in FY21
-Business is divided into 2 main segments
1.GENERIC DRUG SUBSTANCE
2.Custom Manufacturing Solutions (CMS
-Unit 3 still hasn't contributed to the rev. & it is expected to contribute in FY21
-Business is divided into 2 main segments
1.GENERIC DRUG SUBSTANCE
2.Custom Manufacturing Solutions (CMS
1.GENERIC DRUG SUBSTANCE (GDS) contributed 68% to FY20 Topline
is further divided into 2 verticals.
1.Prime Api's (High Vol. Low Value)
2.Niche Api's(Low vol. high Value)
is further divided into 2 verticals.
1.Prime Api's (High Vol. Low Value)
2.Niche Api's(Low vol. high Value)
2.Niche Api- 25 molecules,patents for some molecules
are yet to expire.
- Imp. Mol. salmeterol, propofol, paliperidone, brinzolamide, dorzolamide and olanzapine
-Segment is the profitability driver.
- Salmetrol wil be key growth driver in North America.
are yet to expire.
- Imp. Mol. salmeterol, propofol, paliperidone, brinzolamide, dorzolamide and olanzapine
-Segment is the profitability driver.
- Salmetrol wil be key growth driver in North America.
CMS
-Providing contract manufacturing solutions (CMS) to innovator pharma and biotech companies.
-Offers both smallscale clinical trial quantities and commercial-scale requirements.
-Key Products- Bilasten, Austedo,Trulance etc.
-Austedo Alone can contribute 20Cr to PAt at peak
-Providing contract manufacturing solutions (CMS) to innovator pharma and biotech companies.
-Offers both smallscale clinical trial quantities and commercial-scale requirements.
-Key Products- Bilasten, Austedo,Trulance etc.
-Austedo Alone can contribute 20Cr to PAt at peak
In FY20 co. added 20 New Projects in CMS business
Total Projects- 76
-CMS will Be 1/3rd of business going fwd
-Development+ commercial Projects contribute majorly to rev. as they hv low failure rate.
-development+ commercial no. Stands at 32 vs 15 2years ago
Total Projects- 76
-CMS will Be 1/3rd of business going fwd
-Development+ commercial Projects contribute majorly to rev. as they hv low failure rate.
-development+ commercial no. Stands at 32 vs 15 2years ago
-Entire rev. from this segment r derived frm d regulated markets US, Europe and Japan.
-This segment is expected to be major growth driver doing ahead.
- Co. added 4-5 advanced projects during d year which r expected to get commercialised in the next 12-36 months.
-This segment is expected to be major growth driver doing ahead.
- Co. added 4-5 advanced projects during d year which r expected to get commercialised in the next 12-36 months.
UNIT3 - after acq. in 2017 it was still not operationalized nor AUDITED.
Mgt is planning to use it move some production from UNiIT1&2 to UNIT3.
they hv completed the validation of two large volume molecules – Ciprofloxacin and Levetiracetam & 2 more r in pipeline.
Mgt is planning to use it move some production from UNiIT1&2 to UNIT3.
they hv completed the validation of two large volume molecules – Ciprofloxacin and Levetiracetam & 2 more r in pipeline.
After acq of unit 3 Co. faced many hurdles.
-FY18 & 19 performance was effected due to raw mat. price volatility.
-ve operating Leverage due to low utilization.
-Postponement of some order in CMS business.
-Dependence on China less than 30%.
-FY18 & 19 performance was effected due to raw mat. price volatility.
-ve operating Leverage due to low utilization.
-Postponement of some order in CMS business.
-Dependence on China less than 30%.
Overall d co. is getting back on Track after subdued performance for 2 years.
Risks:
-Raw mat price volatility
-Due to Covid-19 funding to biotec co's might be effected resulting in lower offtake in CMS business.
-Innovator co. might drop molecules in CMS business impacting grwth
Risks:
-Raw mat price volatility
-Due to Covid-19 funding to biotec co's might be effected resulting in lower offtake in CMS business.
-Innovator co. might drop molecules in CMS business impacting grwth
Comments
Post a Comment