Alembic Pharma Q4 Results Review - New Launches In U.S., Capacity Utilisation To Drive Growth: Nirmal Bang

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.Alembic Pharmaceutical Ltd. reported a mixed performance for Q4 FY24. While revenue missed estimate, margin beat estimate on the back of softening raw material prices, capacity utilization and changes in inventory. U.S. business declined by ~11% QoQ, but grew by 18% YoY. The QoQ was down on the back of some one time orders in Q3 FY24; the YoY growth was supported by product launches from new plants. Like in the past, the management is hopeful of capitalising on drug shortages in the US. India business grew by ~3% YoY, led by strong growth in specialty and animal healthcare segments, largely offset by weak growth in acute therapies. The specialty segment grew faster than IPM growth.Despite continuous spending on capex and research and development for the U.S. market, we do not see any meaningful visible large launches in the US. Additionally, there is still pricing pressure for some of the U.S. products. Near term growth is highly dependent on the success of new launches from new U.S. plants. We maintain Accumulate on Alembic Pharma with a target price of Rs 981, valuing it at 18 times FY26E earnings per share..Click on the attachment to read the full report: .Groww Moves Domicile To India From US.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Alembic Pharma Q4 Results Review - New Launches In U.S., Capacity Utilisation To Drive Growth: Nirmal Bang

Domestic business grew by ~3% YoY to Rs 5.03 billion.

NDTV Profit

NDTV Profit

Follow Us

DISCOVER US FASTER

DOWNLOAD THE APP