Suven Pharma Eyes $1-Billion Revenue By 2030, Driven By CDMO Expansion

Suven Pharmaceuticals is on track to achieve its ambitious $1-billion revenue target by 2030, driven by the rapid growth of its contract development and manufacturing organisation or CDMO segment, according to the company's Executive Chairman Vivek Sharma.

“If you look at large pharma companies or biotech, they are all looking for partners like us to accelerate their drug delivery as well as improve their cost margins. They are all under tremendous pressure to bring drugs to the market sooner. So as a key partner to the supply chain, we believe that the CDMO industry will continue to grow over the foreseeable future. Three key areas which we talk about as CDMO are the API, ADC, and Oligo," he said during a conversation with NDTV Profit.

"We expect, with some combination of inorganic growth, to achieve the $1 billion target by 2030,” Sharma added.

The top executive highlighted India's robust network of regulatory compliance sites, emphasising Suven Pharmaceutical's critical role within this ecosystem. The company remains optimistic about its business trajectory, particularly in the high-growth CDMO sector, which is expected to contribute significantly to the revenue goal.

The drugmaker is also committed to maintaining strong profit margins, he emphasised. 

“Our focus is to maintain a margin in the mid-thirties and then keep growing the business as we can. If there is an opportunity, we'll try to do better,” Sharma said.

Despite contributing a smaller portion of overall revenue, Sharma underscored the potential of the speciality chemicals segment.

 “We have high hopes for the business, it is not a low-key segment. We have invested in talent, we have invested in capacity, we have invested in relationships. Our credibility lies in the kind of commitments that we have been able to deliver. So we are excited with the potential,” he said.

Suven Pharmaceuticals has also been actively expanding through strategic acquisitions. Over the past year, the company acquired US-based NJ Bio and Hyderabad-based Sapala Organics, strengthening its capabilities and bringing in a world-class team.

“We expanded the API capacity in the last few years. We are working on ADC capability expansion and adding conjugation suites in NJ Bio, which was part of the acquisition. And for Oligo, we are expanding and building a GLP (Good Laboratory Practices) site in Hyderabad that will be completed by next quarter,” Sharma said.

Shares of Suven Pharmaceuticals closed 1.02% higher at Rs 1,163.05 on the NSE, while the benchmark Nifty 50 ended 0.77% lower at 23,486.85.