Torrent Pharmaceuticals Ltd. share price target

Q3 results were mostly in line with I-direct estimates (albeit skewed) on all fronts. While growth in India and Germany was mostly offset by decline in the US and Brazil, overall profitability was higher YoY amid lower on-ground activities and a lower tax rate. Overhang pertaining to two US focused plants notwithstanding, Torrent continues to impress thanks to its robust margin profile that can be attributed to global portfolio that comprises ~65% branded generics. We expect a further improvement in this matrix, product rationalisation to further strengthen margins. The company's portfolio is...

Torrent Pharma (TRP)'s 3QFY21 performance was below estimates. Recovery in the Domestic Formulation (DF) / Germany business was offset by decline in the US and currency headwinds in Brazil. Reduced opex kept profitability at elevated levels. We reduce our EPS estimates for FY21/FY22/FY23 by 4%/8%/6%, factoring in a) an increase in operational expenses with the resumption of promotional activity by MRs in the DF segment and b) the lack of new approvals due to USFDA-imposed regulatory issues at Dahej/Indrad. We continue to value...

Torrent Pharma's FY20 Annual Report analysis highlights modest revenue growth of 3.5%, led by decline in the US (4.2%) and Germany (6.1%). However, businesses in India/ROW registered growth of 8.8%/12.8%. EBITDA margins expanded 150bp to 27.3% due to higher gross margins, lower R&D; spends (at 6.2% of revenue v/s 7.0% in FY19), containment of employee expenses (at 18.0% of revenues v/s 18.3% in FY19) with reduced manpower (by 750 people), and capitalization of part employee expenses during upgradation of the Levittown facility. PAT excluding...

Torrent Pharmaceuticals Limited engages in the research, development, manufacturing, and marketing of generic pharmaceutical formulations in India, the United States, Germany, Brazil, and internationally. The company...

Q2 revenues were in line with I-direct estimates whereas profitability was higher due to better-than-expected EBITDA margins, lower than expected interest expense and tax rate. Overhang pertaining to two US focused plants notwithstanding, Torrent continues to impress thanks to its robust margin profile that can be attributed to global portfolio that comprises ~65% branded generics. We expect a further improvement in this matrix, product rationalisation to further strengthen margins. The company's portfolio is finely balanced between India, Brazil, Germany and the US with India being...

Torrent reported a mixed performance for the quarter with results missing estimates. Revenues were flat YoY, while PAT grew 27% backed by OPM expansion. Outlook for the India business is healthy and Torrent looks to outperform the industry growth. Other markets such as US are under stress, while Europe performance is likely to improve, though over medium term. USFDA response on resolution for Dahej & Indrad is awaited. Rich valuation and recent run up in stock prices leaves limited upside. Torrent Pharmaceuticals Limited (Torrent) reported a mixed performance for Q2FY2021....

Chronic share is amongst highest and relative to Alembic we reckon Torrent exudes better confidence on growth hence shouldtradeatapremiumtoAlembic. Raised our FY22 EPS by ~12% to Rs91 on improved margin...

In 2QFY21, Torrent reported muted performance in its key export markets US (20% YoY decline), Brazil (17% YoY decline, primarily due to currency depreciation) while India (7% YoY growth) aided in flattish revenues for the quarter, in-line with our estimates. However, EBITDA margin at 31.5% were marginally better than expectation led by...

Torrent Pharma (TRP) delivered in-line 2QFY21 results. Revival in the Domestic Formulations (DF) / Germany businesses was offset by muted growth in the US and currency headwinds in Brazil. Reduced opex kept profitability elevated. With the outlook for India/Germany/Brazil improving, TRP is expected to outperform the industry on new launches / better traction in existing products. Growth in the US hinges on the Dahej/Indrad regulatory resolution. We raise our EPS estimate for FY21/FY22 by 4%/2% to factor in: a) the gradual normalization of opex on marketing in Branded Generics, b)...

Torrent Pharmaceuticals Limited (TRP) engages in the research, development, manufacturing and marketing of generic pharmaceutical formulations in India, US, Germany, Brazil and internationally. The company...