Suven Life Sciences Ltd. share price target

The equity shareholders of the company whose names are recorded in the register of members and records of the depositories as a member of the company as on January 22, 2020 will be entitled to allotment of one fully paid up equity share of face value of | 1 each of SPL (resulting company) that will be issued and allotted for every fully paid up equity share of face...

Q2FY20 revenue grew by ~200% YoY on account of higher sales in CRAMS (+186%) and specialty chemicals (currently 2 products) EBITDA & PAT registered a +300% growth each YoY on account of increase in high margin commercial CRAMS sales, lower employee cost & other expenses as a percentage of sales. Clinical trial data on molecule SUVN-502 which got delayed is expected to be available in 3 weeks time and will be presented in CTAD 2019 - Alzheimer Congress at San Diego, USA ....

Q1FY20 revenue grew by a muted 4% YoY as uptick in specialty chemicals (+55%) was offset by degrowth in CRAMS (~17%YoY) and technical services (~40%YoY). EBITDA & PAT registered a 54%/47% growth YoY on account of...

Q4FY19 revenue grew by 18% YoY driven by higher sales in CRAMS(~25%YoY) segment and Specialty chemicals (~16%YoY). EBITDA &PAT; registered a 15%/9% growth YoY while margin declined by 200bps in Q4FY19 and by 348bps in FY19. Molecule SUVN-502 will be presented at Alzheimer's Association International Conference at Los Angeles on 17th July 2019, which can fetch more than Rs +400cr if successful. We expect EBITDA margin to remain around 33% range for FY1921E considering lower growth momentum and maintain our...

Nail biting wait with SUVN 502 data announcement Suven reported a strong performance during Q4FY19. Revenue grew 19% YoY, due to a 64% YoY rise in specialty chemicals. Core CRAMS grew 4% to ` 718mn, whereas commercial CRAMS fell 23% YoY to ` 420mn (` 800mn for FY19). CTS grew 26% YoY, including Taro royalty worth ` 24mn. The management expects commercial revenue to be in the range of ` 1.3mn in FY20 and flat specialty chemicals. SUVN 502 could be a positive trigger, if the data is favourable. Based on a conservative approach, we estimate a...

High emphasis on R&D; to provide long term stability while entry to formulations will bring margin benefits in future. CRAMS to provide steady revenue growth with 116+ active projects while a promising NCE (New Chemical Entity) pipeline of 13 molecules to drive the momentum....

supplies and a little, but insignificant, supply of Specialty CRAMS. 1HFY19 results broadly tracked expected growth trends overall, with CRAMS revenues up by c.9% to Rs2.5bn, Core CRAMS to Rs1.6bn (Rs910mn in Q1, Rs720mn in Q2), Commercial CRAMS...

Suven Life Sciences (SLS) is a compelling play on the recovery being witnessed in global R&D; spending, as reflected in strong fund raising by biotech start-ups as well as a fast-growing research pipeline across multiple stages of clinical trials. SLS has witnessed strong growth in revenue of 22.6% CAGR, whereas operating profit has shown growth of 42.4% CAGR over FY11 to FY18. With improved operating efficiency, we expect the EBITDA margin to expand at a higher rate than the gross margin due to lower than average R&D;...

Suven Life Sciences (SVLS) is a compelling play on the recovery being witnessed in global R&D; spending, as reflected in strong fund raising by biotech start-ups as well as a fastgrowing research pipeline across multiple stages of clinical trials. Also, the global Clinical Development & Manufacturing Organizations (CDMO) industry has undergone significant consolidation, both at the Clinical Research Organizations (CRO) level as well as at the API manufacturing level. As a result, fewer and only niche players are left in both clinical services and API manufacturing. SVLS enjoys a strong margin profile with EBITDA margin of 30%+. Earnings CAGR over FY18-20E is estimated at 19% and ROIC of 28%. We initiate coverage on SVLS with a...

ICICI Securities Ltd | Retail Equity Research We met the management of Suven Life Sciences (Suven) to understand the business model and its future plans. The company offers new chemical (NCE) based contract research & manufacturing services (CRAMS) across the value chain in drug discovery, development, manufacturing and support services in collaboration with leading global life science players. The company generated ~94% of its revenues in H1FY18 from NCE CRAMS business and the rest from technical services....

The revenue decline of 14% on QoQ basis and 15% on YoY basis was on expected lines on account of absence of prelaunch supplies last year and high value product mix in the last quarter. The same also impacted the asset utilization of the company impacting the margins in Q4FY15 compared to earlier periods.

Karvy initiates the coverage on Suven Life Sciences with a HOLD recommendation. The company's base business of CRAMS is developing with additional segments, which are expected to drive revenue growth with comparable margin performance. The NCE development of the company is progressing at the pre-determined pace.