Karvy Broker Research reports

Strong Results on Inventory Stocking:Revenues for the quarter increased by 10% to Rs 44.3 bn due to strong performance in US and Europe.

Mutual Fund Industry: Farm of Liquidity: In recent announcements on COVID-19 stimulus package, 375 NBFC/HFC/MFIs came under the purview of investment grade firms which can improve the ALM shortage and will help channelize newly created liquidity for mutual funds.

GlaxoSmithKline Pharmaceuticals Ltd: Outlook & Valuation: We downgrade our revenue estimates for FY21E by 4.3% to Rs 34.5 bn and introduce our revenues for FY22E.

The fifth and the final tranche of relief measures focus on policy reforms with emphasis on ease of doing business.

ECONOMIC OUTLOOK: LOST IN TRANSITION: The economic dislocation induced by Covid-19 started towards the end of FY20.

The measures announced on May 16 focused on policy measures to enable us to achieve the goal of Atma Nirbharata Self Reliance.

The company's revenue from Domestic Formulations (DF)grew by 13% to Rs.3.4 bn. US revenues grew by 84% on YoY basis to Rs. 5.8 bn. This has been on account of supply constraints in the Sartan space in the US market coupled with new launches. ROW markets grew by 61% to Rs. 1320 mn. API business degrew by 31% to Rs. 1550 mn during Q4 FY20.

Cadila Heathcare (Cadila HC) post its reorganization and productivity initiatives indomestic formulations space

Strong All Round Performance: PHNX's revenue grew 16% YoY to Rs. 5118 mn and EBITDA grew by 17% YoY toRs. 2594 Mn. EBITDA margins of 51% remained same.

Pre-sales Increased Driven by New Launches Pre-sales for the quarter were up 220% QoQ & 5% YoY to Rs. 3.2 Bn while collections increased 8% YoY to Rs. 1.65 Bn.