Alembic has been showing very strong growth in API division and in International markets, with US price erosion still in double digits. They have launched 5 injectables so far, and plan to launch 20 products in FY24. Concall notes below.
FY24Q1
- Has grown at faster than IPM rate in both specialty and acute segments. Have increased marketing spends in India
- Growth is coming from International markets and API division
- US price erosion is still in double digit
- Filed 10-15 injectables & launched five products (4 oncology + 1 general injectable). Current portfolio is not large enough to fully benefit from current US shortages
- FY24 US launches: 20 products
- Competitive intensity is lower in injectables, there are lots of shortages in injectables
- ~200 people added in animal healthcare, has good launches lined up in non-antibiotic space, probiotics, and in some mainline veterinary products
- Staff cost has increased because of operationalization of new facilities
- R&D costs will be ~500 cr., as % of sales it will come down to 10%
Disclosure: Invested (position size here, no transactions in last-30 days)