Glenmark Pharmaceuticals Ltd., incorporated in the year 1977, is a Mid Cap company (having a market cap of Rs 14885.78 Crore) operating in Pharmaceuticals sector.
Glenmark Pharmaceuticals Ltd. key Products/Revenue Segments include Pharmaceuticals, Other Operating Revenue and Sale of services for the year ending 31-Mar-2021.
Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 3134.38 Crore, up 3.67 % from last quarter Total Income of Rs 3023.54 Crore and up 7.32 % from last year same quarter Total Income of Rs 2920.60 Crore. Company reported net profit after tax of Rs 274.80 Crore in latest quarter.
Investment Rationale
Glenmark Pharma’s (Glenmark) Q2FY22 performance was broadly in line with estimates, Revenue grew 6.6% YoY to Rs31.5bn (I-Sec: Rs32.2bn), EBITDA margin dropped 50bps YoY & QoQ to 18.8% as estimated and adj. PAT remained flattish at Rs2.7bn. Slow growth was mainly due to falling COVID-19 products contribution. Ex- COVID, India business grew 16.7% YoY. US business declined 4.7% QoQ due to high price erosion. The focus of the management is to de-lever the balance sheet driven by ~Rs4bn FCF in FY22E, IPO proceeds of API business (received), potential capital raise in ICHNOS Sciences (R&D arm) in FY23 and out-licensing of two molecules in FY22E which would be positive trigger.
Promoter/FII Holdings
Promoters held 46.65 per cent stake in the company as of 30-Sep-2021, while FIIs owned 29.85 per cent, DIIs 5.11 per cent.
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