ADVERTISEMENT

Pharma Q1 Preview - India Sales Will Shine, Margin Pressure To Pinch Profit Growth: Anand Rathi

Pharma Q1 Preview - India Sales Will Shine, Margin Pressure To Pinch Profit Growth: Anand Rathi

Gel capsules are seen at a factory. (Photographer: Antoine Antoniol/Bloomberg)
Gel capsules are seen at a factory. (Photographer: Antoine Antoniol/Bloomberg)

BQ Blue’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 BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Anand Rathi Report

Q1 FY22 sales of the pharma companies we cover are likely to have grown 5% YoY (on a higher base).

Such companies India business are likely to have grown 21.5% though the gains likely to have been offset by muted U.S. performances (down 12.3%) and active pharmaceutical ingredient businesses (down 1%).

Lower promotional expense in Q1 FY21 led to Ebitda margins of most India-centric companies expanding.

With these cost now returning and on this higher base, Q1 FY22 margins are likely to have contracted 276 basis points YoY to 25.9%.

Adjusted profits of companies we cover are expected to have slipped 7.8% to Rs 26.2 billion due to margin pressures.

Click on the attachment to read the full report:

Anand Rathi Healthcare Q1FY22 Results Preview.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint 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 BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.