- 27 May 2024
- ICICI Securities
GLENMARK PHARMACEUTICALS Q4FY24- WEAK SALES GROWTH MARRED BY US AND EUROPE
GLENMARK - 1443 Change: 25.50 (1.80 %)News: Revenues grew just ~2% to ₹ 3063 crore as decent India and ROW growth was neutralised by weak US and US sales. India grew ~13% to ₹ 939 crore driven by Cardiac and Dermatology therapies. ROW markets grew ~10% to ₹ 753 crore, driven by respiratory brand Ryaltris in various markets. Europe was flat at ₹ 612 crore due softness in tender markets. US de-grew -12% to ₹ 756 crore due to a challenging environment marred by lack of new launches and delay in scale-up of recent launches. EBITDA grew ~27% on a lower base to ₹ 504 crore and margins stood at 16.5%.
Views: The company continues to reshuffle business segments and geographies to optimise margins and maintain a secular growth trajectory. It has addressed the legacy debt issues by hiving off the GLS stake recently and is now looking to restructure existing businesses.
Impact: Neutral
Revenues grew just ~2% to ₹ 3063 crore as decent India and ROW growth was neutralised by weak US and US sales. India grew ~13% to ₹ 939 crore driven by Cardiac and Dermatology therapies. ROW markets grew ~10% to ₹ 753 crore, driven by respiratory brand Ryaltris in various markets. Europe was flat at ₹ 612 crore due softness in tender markets. US de-grew -12% to ₹ 756 crore due to a challenging environment marred by lack of new launches and delay in scale-up of recent launches. EBITDA grew ~27% on a lower base to ₹ 504 crore and margins stood at 16.5%.