AJANTA PHARMA INVESTOR PRESENTATION Q1FY16
They have once again delivered great results.
Q1-15-16 INVESTOR PRESENTATION.pdf (2.2 MB)
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Expected market size of 25 ANDAs filed in US - USD 1.5 billion (post generic)
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Con call highlights
⢠The company has maintained its guidance of 32-34% EBITDA
margins for FY16 with 16-18% revenue growth
⢠It has launched seven new products in India during this quarter,
out of which two were first to market launches
⢠The MR strength in the domestic market is 3000
⢠The African division has 1156 registered brands, 1167 brands
under registration. Major segments in the African markets are
antibiotic, anti-malarial and ortho
⢠The Asian market has 287 registered brands and 455 brands
under registration
⢠In this quarter, one new product was launched in the African
market and eight in the Asian markets
⢠Total 25 ANDAs have been filed in the US market, out of which
three were approved during the quarter taking total approval
count to five. The company is planning to launch four products
shortly. Sales during this quarter accounted for | 3 crore
⢠It aims to file more than six ANDAs every year. The expected size
of ANDAs filed till now is approximately US$1.5 billion
⢠The tax rate would remain same at the current level (full tax) but
will go down in FY17 by 300-400 bps due to commencement of
the Savli facility
⢠The management does not see any negative currency impact as
its Franco-Africa sales are in euros while Asia sales are in US
dollars
⢠The USFDA has inspected the companyâs sites in March, 2015
without any observation
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Thanks a lot @Krishna_Kishore_A for a detailed update.
By the way when this call was concluded and was it open to public?
ICICI SEC has come up with result update on Ajanta PharmaâŚ
Take a look
IDirect_AjantaPharma_Q1FY16_140815152424.pdf (286.7 KB)
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Fortune India presents award to Ajanta Pharma
(3rd Largest Wealth Creator in 5 year CAGR 93.14% in Mid-Size Companies)
Mumbai â (August 24th, 2015) â Fortune India has published list of 500 mid-size companies and
ranked them on various parameters based on the results of 2013-14.
Ajanta Pharma features very prominently in the lists. Ajantaâs ranking on various parameters is given below:
ô¸ Ranked 3rd largest Wealth Creator on 5 year CAGR 93.14%
ô¸ Ranked 10th on Return on Capital Employed (ROCE)
ô¸ Ranked 21st in Net Profit
ô¸ Ranked 182nd in Sales
On 17th August 2015, Fortune India organized an award function to present the awards to Top 10
largest wealth creator companies and Ajanta is one of those elite companies.
FORTUNE.pdf (92.3 KB)
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Ajanta pharma management on Zee Business (the Connect)
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http://www.bseindia.com/xml-data/corpfiling/AttachLive/5E6C5DB3_D071_4F86_AD74_D37DCC57ACDC_131506.pdf
Q2 results came outâŚclockwork like execution, as per my readâŚbut as usual, there is some reason for market to sneeze 
India numbers are slightly lessâŚso whatâŚwith all the bonhomie with Africa, this is the place to be
PS - investedâŚviews are biased
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Hi All,
Couple of questions :
- Any idea which of those 20 odd ANDA were approved and their market opportunity
- What is the main catalyst for APâs growth, their domestic and Africa business or their to be launched drugs in US ?
Disc : Recently invested around 3% of the portfolio
hi @amitsethiya4u,
US business is still very small for Ajanta. US business contributed just 5 cr in revenues for H1 FY16 compared to APâs total revenues of around 800 cr for H1 FY16. the domestic and africa business will continue to be main growth drivers for atleast next 2-3 years.
I am hoping that US business will come from their Dahej plant.
Disc: Invested since long with ~15% of my portfolio.
- 16.67% Sales growth Q on Q prev. yr âseems to have slowed down from the 30%ers
- Cash is back to normal
- Capex seems to be partly expended and T.L. has been increasing
- Higher Sales but the rate of growth seems to slowdown
- In FYâ14, FYâ15 Half Year sales were 45% of full FY. assuming the same this First Half FY sales were at 721.18 Cr. So total yr sales by inversion will be at 1602.66 Cr. Thatâs around 8.5% of Growth YoY vis-Ă -vis 22.35% previous year a huge deficit. If they have to do 22% then 500 Cr. next 2 qrt. Which requires 50% growth over Prev. Qrt. YoY possible but a tall order.
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Brijwanth, You are not considering the potential impact from Generics expected to be on Shelf from Jan 2016 .
Does it mean its impact on revenue would take time. I am still learning about Pharma Space, So keen to know all your views.
Disc : Invested recently 3% of my portfolio
Thanks, Vaibhav. How about 3 to 4 approved ANDAâs. Will it take 2 years for it to have an impact ?
As I said Amit I considered the impact but in my opinion it felt as a tall order but is not impossible.
Ajanta Pharma USA Inc. has launched Montelukast sodium oral granules in US market.
Approval was received in august.
http://www.bseindia.com/corporates/anndet_new.aspx?newsid=56ba66d2-4cd3-41a0-b4b4-718b9bd224b1
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why it is going for big correctionâŚfrom 1850 to 1330âŚ
is it right time to bulk up the positions in this business.
Hello Sandeep,
How to find market share information for a particular drug ??
Hi Nabendu,
Unforunately, no public source AFAIK. IMS Health tracks prescription/OTC sales and derives market share data (for a particular drug); information is behind paywall.
At times, IMS data may not portray full picture. e.g. snippet of Torrent Pharma Q2FY16 transcript
Source: http://www.torrentpharma.com/download/financials/gen_info/Transcript-Q2-FY-16.pdf
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Hello Sandeep,
Thank you for your reply and sorry, I did not form my question well !!
Sometime back u posted below content ~~~
Itâs heartening to see Ajanta gaining market share in Risperidone in the US market.
Source: https://pbs.twimg.com/media/CJm1APEUAAEA4fZ.png:large
Risperidone is a crowded place too; 12-13% market share is quite an achievement. Not clear to me if it is through Breckenridge Pharmaceuticals or through its own front-end sales and marketing team in the US.
So how to know the market share information for a particular drug in US ??
Thank You
Nabendu