@anki.cool @hitesh2710 - It posted negative sales growth & 100% drop in PAT for Q1. Stock is down 20% on this. Any idea what happened?
I attended the AGM yesterday afternoon and the Q1 result came up in the meeting. As per management and my understanding, there seems to be a seasonality component to it. Given Jenburkt caters to GPs (General Practitioners), monsoon plays a role (flu, infections, etc.). Delay in monsoon has shifted the sales by a month. There are other factors at play too, leading to tepid growth for the whole domestic pharma industry as discussed in this article (https://www.business-standard.com/article/companies/pharma-sales-growth-hit-19-month-low-in-may-as-product-launches-slowed-down-119061500087_1.html).
In regards to profitability, Jenburkt has hired 50-60 additional medical representatives in Apr (some in March) for their dedicated sales effort to promote Zix Brand. This has led to increased employee costs. As the new MRs start producing, margins are likely to normalize.
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One of the independent directors has resigned stating that she can not make time for proficiency test mandated by MCA. What would you read into this?
I think it is honest submission. In fact, the more government try to increase independent director role and responsibility, more we would left with puppet of Management as independent directors. Given the kind of liability one face being indepedent director, just wondering what benefit one get? (when you are not on board of large ITC/Infosys which give good remuneration in form of fees.) Why should a rationale intelligent person become director on the company to take all the pain and no gain? In absence of such good person, we would see only āwrong peopleā being available to become independent directors.
After Satyam accouting shocks, I always have complaint. I did not need auditor for Indosys/TCS as I trust their number. However, auditor fees reduce minority shareholde EPS in those companies. I need Auditor to be watchful in Satyam where s/he end up with large audit fees to close eyes and allow wrong reporting. In both case, Minority sharheolder end up paying up for cost of auditor without any benefit. Same would be applicable to indepedent directors as well. In case, company fails to file form with MCA, it become criminal offence for all directors Such kind of regulation would attract only people which are least bothered for reputation as indepdent directors. This is my opinion and understanding and may be completely wrong.
Disclosure: Hold tracking position on Jenburkt. Not a SEBI registered analyst and also not a recommnedation to invest.
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Hi Guys I have done my some research on Jenburkt using Pat Dorsey template. please go through provide some feed back so that can I improve Regards Rajaguru
Jenburkt using Pat Dorsey.pdf (776.3 KB)
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there is not much information available on AR in this regard. could not find any other source also
Jenburkt has planned to launch Favipiravir-200 mg tablets, recommended for the treatment of mild to moderate COVID-19
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Yes too quick to launch and second company to launch after Glenmark
Presentation here
.
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As of today,several companies have started production of favipiravir
But i think they all r in api buisness
As per jenburkt pharma,they are 2nd only after glenmark(probably in branded generic)
Friends,give yr opinion
I have confirmed with my other medico friends that they are giving favipiravir in mild to moderate cases routinely
So probably,good opportunity
Thanks
I have been holding this share for long . What i observe is that the promoters are not aggressive and they are happy with the situation . Lot of cash is lying with co and this is after a long time that they have come with medicine for coronovirus being manufactured by others for them on job work basis. Co exports to USA are nil and most probabley their plant is not UD FDA compliant.
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They are not in api buisness
They outsource api molecule
They are in branded generic buisness
Their main focus is domestic general practitioners and MD doctors
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Source for this would be helpful if you can provide
Jenburkt is the second in India to introduce Favipiravir (brand name āFaviventTMā) for the treatment of COVID-19. āFaviventTM is manufactured at a pharmaceutical plant which is compliant with US-FDA (U. S. Food and Drug Administration) and EDQM (The European Directorate for the Quality of Medicines & HealthCare) standards located in the state of Telangana, with the highest safety and manufacturing protocols in place.
Above is the press release stating to be manufacturerd at plant in Telengana and the co does not have a plant in Telengana . So it would be on jobwork basis.
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As I said previously,they are not making API
They are in branded generic buis.
They outsource favipiravir api from telangana usfda plant of other company and making formulation in gujarat,sihor plant
The co says FaviventTM is manufactured at plant situated in Tenegana . If api only was taken from telangana plant ,there was no need to say so .
Results declared
Why they have always bad june quarter?
By the way,i have inquired that FAVIVENT is available in market from today
I had talk with MR of jenburkt pharma
He told that FAVIVENT is available from yesterday and
Response is very good.
First consignment already liquidate within 24 hrs.
Request to other people to inquire about same
Discā¦invested
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In my limited understanding, with Sun Pharma also announcing product launch, we shall not expect spurt in number except for one quarter. The company does not have bulk dug and they are sourcing from some vendor. I doubt that company has exclusivity which restrict entry of multiple formulators in the product. So within 6 months I except price per tablet to decline from around 30 to may be 15 or lower as number of formulators increasing. The company being second players, would gain for short term, but see not a major gain from only this product on long term prospect.
Find enclosed link for Sun Pharma launch
What I find encouraging is management ability and execution skill in sourcing bulk drug, converting in formulation and get approval from Indian regulators to market products. This is something special as a character of management, which is generally very conservative. This example demonstrates the calculated risk taking ability and that is something I would look forward with multiple such actions in medium term.
Disclosure: Invested in company with around 1% portfolio allocation for more than 2 months now. More from long term ethical management delivering moderate growth and aligning with my investing approach. Do not expect quick return and expect slow and steady return (including dividend) over 4-5 years. My view may be biased. Not recommending stock and also not a SEBi registered analyst.
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