Laurus and Divi’s both saw covid related products fall off a cliff and go to 0 in Q3FY23. Now, Laurus has resumed shipping Paxlovid in Q4FY23. It currently forms 50% of Laurus’ export revenue in Q4.
Despite this resumption, the market hasn’t reacted. One expects sequential improvement in Laurus’ numbers due to this, but ex-covid related molecules (like TLD) are still very much in the doldrums compared to volumes seen a year ago.
We have separate dedicated threads for technical charts. We do not encourage technical charts posted on individual threads as it is meant for fundamental discussions & we do not want un-necessary clutter on company’s thread.
Thanks for your input. Also what is your opinion about deviating to animal field. Have any one done that before. I have many cattles, have not found any medicines which is made by any human drug makers
Laurus Labs in my pov, is like a spawner business. making new fields and succeeding.
ARV API → Formulations → CDMO → bio and also to non arv api’s and non-arv formulations.
developing to such extent is also a great thing.
Now with animal and agro, you get new things to go for. why so? because sooner or later the cdmo will get demerged. (self-reliant subsidiary by xyz date was clearly written in investor presentation and that’s the need of that business for ip protection and assurity)
In the recent interview dr. chava himself said that time for agro takes less time for approval compared to human.
and in my view animal will also be less compared to humans. companion animal will be a high margin business(hope so unless they go for generics here).
I also agree to this. Also, it looks like, some managements always look for expanding in new fields too rapidly without checking if it is really needed for their business or not. It sometimes impact margins and reduce ROCE. I am not saying that, Laurus Labs is in this category, but some caution is needed.
I have seen this happening with Tech Mahindra in the IT sector. Aggressive revenue targets diluting margins during 2010-2020, and it has lost against the competition in terms of shareholder returns.