Bluejet healthcare - Boutique CDMO

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Here are some new molecules on the way, specially that ONCO and CNS molecule which has good revenue potential and is in Phase III

Category Stage Commercialization Market Size Commentary
GLP-1 peptide fragments Early validation FY27E $50–60 Bn end-product market Fragment supplier to global CDMOs; high-value chemistry
3 Onco/CNS NCE molecules Phase III, high conviction FY27E–28E >$1 Bn each Blockbuster potential; partnerships with top global innovators
Biocatalyst & enzyme-based intermediates Pilot FY27E NA Sustainable chemistry; process cost advantage

source: Q2 concall

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Esperion (NASDAQ: ESPR) announced that partner Otsuka received National Health Insurance price listing and launched NEXLETOL (bempedoic acid) in Japan on Nov 21, 2025 for treatment of hypercholesterolemia and familial hypercholesterolemia.

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Blue Jet Healthcare -

Q2 FY 25 results and concall highlights -

Q2 outcomes -

Revenues - 165 vs 208 cr, down 20 pc
EBITDA - 55 vs 69 cr, down 21 pc ( margins @ 33 vs 34 pc )
Other Income - 24 vs 12 cr
PAT - 68 vs 76 cr, down 10 pc

Segmental breakdown of sales in Q2 -

High Intensity sweetners - 34 vs 31 cr, up 7 pc
Contrast media intermediates - 80 vs 113 cr, down 29 pc
Pharma intermediates and APIs - 43 vs 59 cr, down 27 pc

H1 outcomes -

Revenues - 520 vs 371 cr, up 40 pc
EBITDA - 175 vs 113 cr, up 54 pc ( margins @ 34 vs 30 pc )
Other income - 32 vs 20 cr
PAT - 143 vs 96 cr, up 49 pc

Segmental breakdown of sales in H1 -

High intensity sweetners - 68 vs 66 cr, up 3 pc
Contrast media intermediates - 177 vs 177 cr, flat YoY
Pharma intermediates and APIs - 255 vs 119 cr, up 113 pc

Company’s total reactor capacity @ 1178 KL - across its three facilities. Has a product portfolio of 51 commercialised products - 19 contrast media products, 4 high intensity sweeteners and 28 Pharma grade products

In contrast media space ( used in X Rays, CT/MRI scans ) , top 4 players command 75 pc mkt share. Company has 4-26 yr long relationship with top 3 manufacturers. The relationship of company with its clients is very sticky as the supplies require strict control over impurities and specific product profiles. Company now aims to forward integrate into more advanced contrast media intermediates in order to realise better sales and profitability by moving up the value chain

High Intensity Sweetener business involves manufacturing and marketing of Saccharin and its salts - used in oral care products, beverages, confectionary products, pharma products, food supplements, animal feeds. Company’s Sweetners plant is FDA compliant

Company manufactures APIs and Intermediates in the CVS, CNS and Onco therapies. Supplies to 56 customers ( 40 in India, 16 international customers )

Company is currently supplying advanced intermediates for 4 APIs that are currently under patent. One is an Onco API, another one is a CNS API and 02 are Cardiovascular APIs

Comments from Q1 concall -

Additionally, company aims to add another 1000 KL reactor capacity in next 2-3 yrs in order to emerge as a globally competitive CDMO. Company intends to acquire a land parcel for the same and build 4 manufacturing blocks on the same - 2 for CM products, 01 for HI sweeteners and 01 as a multi purpose block ( mainly catering to Pharma intermediates )

Company’s new plant in Mahad ( expected to go commercial in H2 ) - focussing on Contrast media intermediates and KSMs shall position them very strongly in this space

Company is also building a state of the art R&D plant at Hyderabad focussing on newer chemistry platforms like peptides, intermediates for GLP-1s, bio-catalaysis

Notes from Q2 concall -

Company’s new Iodinated contrast media intermediate is likely to go commercial in Q4 - seeing encouraging response from the customer

Have developed a new sweetener - has a large addressable mkt ( > $ 1 billion ) and higher realisation / kg

Have started work on their 103 acres Greenfield facility at Vizag. Phase -1 at this site should tgt capacities for Contrast media products and artificial sweeteners. Already have commitments from global customers - backing this investment

Their new Mahad facility - Unit C ( focussed on backward integration ) is expected to go live in H2 FY 26

Seeing a surge in RFPs - currently tracking about 20 RFPs ( 6 are high potential, phase 3, chronic disease molecules ). New R&D center @ Hyderabad should support company’s efforts towards development of these opportunities

70 pc of company’s energy requirements are met from Solar + Renewable sources

Company aims to add another 1000 KL reactor capacity in next 2-3 yrs in order to emerge as a globally competitive CDMO ( talking about the 103 acre facility @ Vizag ) . Company intends to acquire a land parcel for the same and build 4 manufacturing blocks on the same - 2 for CM products, 01 for HI sweeteners and 01 as a multi purpose block ( mainly catering to Pharma intermediates ). Total capex outlay for this should be around 1000 cr. Should complete this capex by FY 28

Goods in transit in Q2 in contrast media segment are much higher vs Q1. Only 55 pc of goods produced in Q2 could reach the customers and the rest were in transit as on 30 Sep. These r likely to be recognised in Q3

Cash on books @ 340 cr. Company is debt free

Prescription trends for Bempedoic Acid ( the CVS drug whose intermediate is supplied by Blue Jet ) is seeing an encouraging trend. Company believes, they should see good upsides and should maintain a descent mkt share wrt supplies being sourced by the innovator ( till 2031 )

Should see other Pharma molecules ( APIs / Intermediates ) to start contributing in a more meaningful way wef FY 27 and beyond

The Contrast media sales that could not be realised in Q2 amount to aprox 75 pc

Guiding for 34-35 pc EBITDA margins for full FY 26

Blue Jet has started commercial supplies of Iodinated ABA HCL ( a key intermediate used in manufacturing of Contrast media products ) - should see a gradually rising off take wrt this product going into H2 and FY 27

In H2, contrast media revenues should be around 225 cr or so ( similar to H2 LY ). In H1, contrast media sales were @ 177 cr

Despite the heavy capex and increased R&D costs lined up for next 2 yrs, management sounded confident of sustaining 35 pc kind of EBITDA margins throughout this period on the back of strength in their base business

Company’s US revenues are about 5 pc of company’s total revenues

Disc: hold a small position, not SEBI registered, not a buy/sell recommendation, biased, posted for educational purposes

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Hi, does anyone know about impact on Divi’s (Divi’s Laboratories) move into contrast media. One of my known one told me the risk in Bluejet, I did some research and it seems to be a real threat not now but in 1-2 years as Accourding to Divis’ management contrast-media projects are in qualification and expected to start contributing commercially (management guidance points to 2026)
I started making position in it but sold it yesterday to analyze this

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Divi’s in ABA HCL only I think.
Bluejet is forward and backward integrating.

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Not an expert here The product page is showing iohexol, iopamidol, iodixanol, ioversol, plus gadolinium agents

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The global market for contrast media is valued between $5 billion and $6 billion and is dominated by four players:

  • GE HealthCare (USA): Manufacturer of Omnipaque (Iohexol) and Visipaque (Iodixanol).
  • Bracco Imaging (Italy): Manufacturer of Isovue (Iopamidol) and Vueway (Gadopiclenol).
  • Guerbet (France): Manufacturer of Xenetix (Iobitridol) and Elucirem (Gadopiclenol).
  • Bayer (Germany): Manufacturer of Ultravist (Iopromide) and Gadavist (Gadobutrol).

These companies collectively control approximately 75-80% of the global market.

Blue Jet has a portfolio of over 20+ products in the contrast media segment. ABA HCl (for Iohexol) and BGB (for Gadopiclenol) are the “hero” products that generate the bulk of the volume. Below I have covered if there is any impact on both these intermediates by entry of Divis in contrast media space.

Blue Jet’s Supply Chain for ABA HCl:

  • They partner with the Innovator. Handle the complex organic chemistry but leave the expensive iodine to the client.
  • Sells ABA HCl (Bisamide) intermediate to GE.
  • Process:
    1. 5-NIPA (Starting Material) → Esterification.
    2. Reaction with APD: Attaches the hydrophilic side chains first.
    3. Reduction: Converts Nitro group to Amino group.
    4. Result: ABA HCl (Blue Jet ships this to GE).
    5. Client Step: GE performs Iodination → Iohexol.

Divis Supply Chain:

  • Vertical Integration Strategy. Handle the Iodine in-house to create a finished API for generics.
  • Process:
    1. 5-NIPA → Iodination (Divi’s adds Iodine first).
    2. Activation: Converts to Acid Chloride (Atipadichloride).
    3. Coupling with APD: Reacts Atipadichloride with APD to attach side chains.
    4. Result: Iohexol API (Ready for formulation).

Divis installed capacities, sourced from regulatory filings (Environmental Clearance) for the now-operational Unit 3 Kakinada facility (Dedicated Contrast Media facility) using Gemini.

  • Filed API Capacity: ~300 TPA (Iohexol).
  • Filed Intermediate Capacity: 1,210 TPA (Atipadichloride).
  • Implication: Since Atipadichloride is solely a precursor for Iohexol/Iopamidol, this backend capacity supports >1,600 TPA of final API. Divis is built to capture >10% of the global market.

Impact On Blue Jet sales of ABA HCI:

  • Divis is unlikely to sell API to GE. GE has invested billions in its own supply chain (Norway/Ireland) and validated Blue Jet as a partner. Switching to Divis would require scrapping their own plants.
  • Divis will likely sell this 1,600 TPA of API to generic challengers (e.g., Sandoz, Sun Pharma) who might try to capture GE’s market by cost cutting.
  • However this is not going be an easy task because
    • GE HealthCare doesn’t just sell contrast media; they sell the CT Scanners + Injectors + Service Contracts + Contrast Media as a bundle.
    • A generic supplier (powered by Divis) can only offer the liquid. They cannot offer the machine. This “ecosystem lock-in” prevents hospitals from switching easily, even if Divis is cheaper.
  • Both Divis and Blue Jet need APD (3-Amino-1,2-propanediol) to finish the molecule. Blue Jet is building a massive APD plant (Unit 3) (Going Live in H2 FY26). If Blue Jet becomes the lowest-cost producer of APD globally, even Divis might struggle to match Blue Jet’s cost structure on the non-iodinated side of the molecule.

Blue Jet’s BGB (ButylBromoGlutarate) intermediate.

  • Critical intermediate for Gadopiclenol (Brand: Elucirem / Vueway).
  • For a NCE like Gadopiclenol (launched 2022/2023), the supply chain is tightly controlled. The FDA and EMA regulatory filings (NDA/MAA) specify the exact manufacturing site for the Critical Intermediates.
  • Blue Jet was the CDMO partner during the development phase. In the pharma industry, the partner who develops the intermediate process for an NCE becomes the exclusive supplier for the first 5-7 years of the drug’s life because validating a second supplier requires:
    • New clinical bio-equivalence studies (expensive).
    • Amending the regulatory filing (time-consuming).
  • There is no evidence in public filings of Guerbet or Bracco validating a second source for BGB yet. (Verified using Gemini)
  • Supply Chain:
    • Blue Jet manufactures BGB in India and ships this primarily to Guerbet.
    • Guerbet uses the BGB to manufacture the Gadopiclenol API at its plant in Marans, France (or Lanester).
    • Under the 2021 agreement, Guerbet manufactures the API for both companies during the initial transition period (Till ~2029). The December 2021 agreement between Guerbet and Bracco is a Manufacturing & IP Sharing deal, not just a marketing deal.
    • After the ~7-year period, Guerbet is contractually obligated to transfer the manufacturing technology to Bracco.
    • After 2029: Bracco will likely set up its own manufacturing line to reduce dependence on Guerbet.
    • Until ~2029, Blue Jet effectively ships BGB to one customer (Guerbet) who manufactures for the entire global market of Gadopiclenol.
    • As Bracco aggressively markets Vueway to compete with Bayer’s Gadavist, every success Bracco has directly increases the order volume Guerbet places with Blue Jet.
    • When Bracco starts its own manufacturing, Blue Jet will need to ensure it remains the supplier for Bracco’s new line. Given the regulatory cost of validating a new intermediate supplier, Bracco will hopefully continue buying from Blue Jet, just shipping it to a different factory.

Can Divi disrupt Blue jet’s BGB sales?

  • The primary composition of matter patent for Gadopiclenol (US Patent 10,973,934 ), assigned to Bracco, expires on August 6, 2039. A related process/purification patent (US 11,590,246) expires in January 2040.
  • As a NCE approved by the FDA in September 2022, it also has regulatory data exclusivity until 2027, preventing even the filing of a generic application.
  • The generic lock is effective for nearly 14 more years, effectively barring Divi’s from this specific molecule.
  • The only way Divi’s could touch this is if Guerbet or Bracco voluntarily hired Divi’s as a second source CDMO. However this is unlikely because:
    • Divis is building capacity for Iopamidol (~300 TPA).
    • Divis Iopamidol attacks Bracco’s Isovue. Bracco views Divis as a direct threat to its primary revenue stream (Isovue). Isovue (Iopamidol) is Bracco’s flagship product. It is one of the most widely used CT contrast agents in the US and Europe. It generates a massive portion of Bracco’s free cash flow. Therefore it is safe to say Bracco will not hire Divis for Gadopiclenol because Divis is actively trying to kill Bracco’s Iopamidol business.
  • Divis is likely targeting off-patent agents (Gadobutrol).
    • Multiple generic companies (e.g., Zydus, Hengrui, Hainan Poly) have recently received FDA approval for Generic Gadobutrol.
    • Divis management has stated they are in “Phase 3/Validation” for Gadolinium compounds. Since they are a generic API powerhouse, they are almost certainly manufacturing the API for one of these new generic entrants who want to challenge Bayer’s Gadavist.
    • If Divis attacks Bayer’s Gadavist with cheap generics, it damages Bayer. It does not hurt Blue Jet’s clients (Guerbet/Bracco), who are trying to migrate doctors away from Gadobutrol toward the superior Gadopiclenol.

Disclaimer: Invested & Biased. Even I was not aware of the impact before and was intrigued by the question. So had to spend my Friday night researching it.

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Your organic chemistry background helps a lot to understand things easily and complexity involved in the manufacturing process. GE Health care supply the CT machines with warranty for few years intially along with contrast media. But after that period, hospitals can cahnge over the contrast media as course cost cutting and maintaining the equipment locally. Is it that possible?

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Bluejet’s Bempedoic Acid (part of Pharma Intermediates & APIs) has been main driver of CVS segment. Revenue share of bempedoic acid for is ~>35% for the company (used perplexity to arrive at ballpark %). Now, Neuland has commercialized additional ~100MT Bempedoic Acid capacity in Aug’25. After commencement of this expanded capacity, Esperion could redirect certain API supplies to Neuland, away from the Blue Jet - linked supply chain.

This is a risk in my view.

However in recent concall management did say the molecule is growing very fast, there’s space for Bluejet and for other competitors, Bluejet is primary supplier, also that they are protected with long-term contracts etc.

So maybe Bempedoic Acid w.r.t CVS needs to be monitored going ahead & how it shapes up!

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If anyone has November month export data please share

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October month exports are 1,13,69,872 $
November month exports are 69,04,427 $

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Please share, where to find these numbers. Thank you in advance

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Esperion and its Canadian partner, HLS Therapeutics, have announced in November that Health Canada has approved the marketing of NILEMDO® (bempedoic acid). Commercial launch expected in Apr-Jun quarter 2026.

https://www.esperion.com/news-releases/news-release-details/esperion-partner-hls-therapeutics-announces-approval-nilemdor

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This looks really bad. Is this because of the trade restrictions?

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If you actually want to understand the business and understand the unit economics than do check out the article given below, beautifully written

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Hey,
Can you also provide the Export numbers for Dec’25? Thanks

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someone please share december export data

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Key highlights of the Export data trends for Indian Pharma CDMO for the month of Dec’25

Blue Jet exports were weak at only US $ 5.1 mn, down 25% MoM & down 55% YoY. 3Q exports were US $ 23 mn, flattish/up 1% QoQ but down 19% YoY. Key products were Isophthalamide at US $ 4.4 mn to GE Health (share at 86%), Pentanedioic at US $ 0.45 mn to Simafex Guerbet, Isophthalic acid at US $ 0.3 mn to Bracco, Spin. Saccharin exports were US $ 0.3 mn. No Bempedoic acid exports this month too.

Divi’s exports was strong at US $ 117 mn for Dec’25, up 49% MoM and up 29% YoY. 3QFY26 / Oct - Dec’25 exports at US $ 241 mn, down 10% QoQ but up 4% YoY (2Q at US $ 268 mn / 3Q last year at US $ 233 mn). Sacubitril+ Valsartan exports were strong at UD $ 42 mn (YTD at US $ 162 mn, 9MFY26 exports for Sacubitril have already overtaken FY25 export of US $ 152 mn). Iopromide (CM agent) to Bayer at US $ 8.7 mn (YTD at US $ 64 mn), BOC / FMOC at US $ 1.5 mn to Fabbrica Italiana / Corden, Ketoamide at US $ 1.0 mn & Sodium Caprate at US $ 0.6 mn to Merck MSD, Cytosine Menthyl Ester at US $ 0.8 mn to GSK.

Among key API’s in Generics segment for Divi’s include Dextromethorphan at US $ 10.1 mn, Naproxen at US $ 9.7 mn, Valsartan at US $ 7.1 mn, Carbidopa / Levodopa at US $ 6.3 mn, Valacyclovir at US $ 4.6 mn, Astafeed at US $ 4.4 mn, Gabapentin at US $ 3.8 mn, Levetiracetam at US $ 3.5 mn, Orlistat at US $ 2.9 mn, Betacarotene at US $ 1.8 mn, Mesalamine at US $ 1.6 mn, Lamotrigine at US $ 1.3 mn, Pregabalin at US $ 1.0 mn, etc.

Laurus exports were muted at US $ 30.7 mn (segment-mix of API’s at US $ 17.3 mn, Formulations at US $ 13.4 mn), down 1% MoM and down 17% YoY. 3Q exports stood at US $ 92 mn, down 21% MoM but up 18% YoY. Key drivers were Pharma intermediates totalling to US $ 3.75 mn to multiple clients like Jilin Asymchem (US $ 2.4 mn) and others like Aspen, Abbvie, Amgen, Beijing Saintsun, etc. ARV combinations stood at US $ 9.2 mn (30% share). Exports to KrKA were US $ 6.0 mn comprising of API’s of US $ 2.6 mn (like Esomeprazole, Pantoprazole, Sacubitril, Emtricitabine) & rest were formulations like Telmisartan, Sitagliptin, Valsartan, Pantoprazole, etc. Key formulations were Sacubitril + Valsartan at US $ 2.05 mn, Sitagliptin at US $ 1.2 mn, Metformin at US $ 3.2 mn, Pantoprazole at US $ 1.5 mn (entirely to KrKA), Atorvastatin at US $ 1.2 mn.

Neuland exports were robust at US $ 20.4 mn, up 143% MoM and up 72% YoY. 3Q exports stood at US $ 31.6 mn vs 2Q at US $ 38.4 mn / 3Q last year at US $ 34 mn. CMS segment includes Bempedoic acid at US $ 6.2 mn to Daiichi Sankyo, Xanomeline at US $ 2.2 mn, Viloxazine at US $ 2.2 mn to Catalent. GDS segment includes Mirtazapine at US $ 1.7 mn, Pirfenidone at US $ 1.2 mn, Ezetimibe at US $ 1.0 mn (largely to Daiichi).

Gland Pharma exports were robust at US $ 48.7 mn, up 62% MoM and up 51% YoY. 3Q exports at US $ 108 mn vs 2Q at US $ 106 mn / 3Q last year at US $ 78 mn. Key products for Gland were Dalbavancin at US $ 1.8 mn, Daptomycin at US $ 6.8 mn, Heparin / Enoxaparin at US $ 10 mn, Diazepam at US $ 2.0 mn, Rocuronium at US $ 1.95 mn, Doxycycline at US $ 1.7 mn, Ketorolac at US $ 1.5 mn, Dexmedetomidine at US $ 1.3 mn, Norepinephrine at US $ 1.2 mn, Caspofungin at US $ 1.0 mn.

Cohance exports came in at US $ 21.8 mn, up 54% MoM but down 30% YoY. 3Q exports were muted at US $ 46 mn, down 17% QoQ and down 26% YoY. Key contributors were Threo Ritalinic acid at US $ 2.5 mn to SpecGX, Chattem & Macfarlan Smith. Exports to Corteva for agri intermediates were US $ 2.6 mn. Formulation exports to Rising Pharma US stood at US $ 2.0 mn. Entacapone API stood at US $ 1.4 mn, Fluvoxamine API were US $ 1.0 mn, Methylphenidate at US $ 0.75 mn, Mebeverine at US $ 0.6 mn, Doxofylline API at US $ 0.8 mn, chemical intermediate Tert Butyl Naphthalen at US $ 0.8 mn, Chemical intermediate phenyl acetamide at US $ 1.0 mn, Tetracycline capsules at US $ 1.1 mn, Midazolam API at US $ 0.9 mn.

Syngene exports were at US $ 5.6 mn, up by 165% MoM but down 48% YoY. 3Q exports stood at US $ 17 mn, down 29% QoQ but up 60% YoY. Key contributors were Bedinvetmab (Librela) at US $ 2.8 mn to Zoetis, Elobixibat at US $ 0.65 mn to EA Pharma, supplies to Merck/MSD Animal Health for US $ 1.2 mn, Xylitol derivatives to Global Life sciences at US $ 0.2 mn.

Sai Life exports were muted at US $ 6.0 mn, down 30% MoM and down 26% YoY. 3Q exports stood at US $ 22 mn, down 55% QoQ. Key products were Bilastine API to Faes Farma at US $ 1.8 mn, Hydroxy Tetra Hydrofuran at US $ 1.0 mn to Evonik, Carboxylic acid intermediate at US $ 0.9 mn to Amerisource Bergen & Roche, Methylbenzenaminium chloride at US $ 0.6 mn to Zhejiang Raybow, Protexidine - Dihyropyrimidin at US $ 0.4 mn to Topix Pharma, Dihydroxy Butanedioate at US $ 0.3 mn to Sentry Biopharma, Cyanoethoxy Methoxyphenyl at US $ 0.3 mn to Roche Diagnostics, etc.

Aarti Pharma exports were strong at US $ 26.2 mn, up by 189% MoM and up 184% YoY. 3Q exports stood at US $ 41 mn, up by 64% QoQ and up by 36% YoY. Key contributors were Morpholino-Piperazine Dioxalate intermediate of US $ 11.0 mn (~41% of total exports) to Bayer Consumer. Another Pharma intermediate Chloropyrimidin Oxybutanoate of US $ 4.9 mn was supplied to Patheon Austria. CDMO share was higher this month at 61%. Caffeine exports were US $ 5.3 mn (20% share) followed by other API’s like Ranolazine at US $ 1.8 mn, Fluticasone at US $ 0.6 mn, Ramipril at US $ 0.4 mn, Budesonide at US $ 0.45 mn, Perindopril at US $ 0.3 mn, Mometasone at US $ 0.3 mn, Mesna at US $ 0.2 mn.

Hikal exports were US $ 17.6 mn, up 13% MoM and up 4% YoY. 3Q exports at US $ 42 mn vs 2Q at 30 mn / 3Q last year at US $ 32 mn. Key products for Hikal were Gabapentin at US $ 2.3 mn, Etiracetam at US $ 1.4 mn to UCB, Decoquinate of US $ 1.9 mn, Urolithin at US $ 1.7 mn, Pregabalin at US $ 1.2 mn, Merck supplies at US $ 1.1 mn, Initium technical at US $ 1.1 mn to BASF.

As reported by 360 One Capital / B&K View

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Can someone confirm why Bluejet has’t posted the Q3 FY26 results yet?

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They have till 14th Feb to publish, so they might within 10 days

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