Thyrocare Technologies Ltd. share price target

Thyrocare Technologies (Thyrocare) Q2FY26 revenue/EBITDA/PAT was ~1%/14%/26% ahead of our expectations. Both the pathology divisions continue to boost growth with partnership/franchise segment posting 35%/20% growth driven by an uptick in volumes (up ~24%/11%, respectively).

Thyrocare Technologies’ (Thyrocare) outperformance in Q4FY25 was driven by surge in volumes (up 15%) and realisation improvement, partially offset by higher ESOP cost.

Thyrocare Technologies (Thyrocare) has reported a strong 16.4% YoY growth in pathology segment in Q1FY25 in otherwise a seasonally weak quarter.

Thyrocare Technologies’ (Thyrocare) core business grew 18% YoY in Q4FY24 driven by 13% YoY jump in sales from franchisee and 40% from partnerships (excluding API & B2G). EBITDA margin at 21.9% was weaker (I-Sec: 25.1%) as the company has
inched up investments in marketing and promotion for new bundled test programmes like Jaanch, Her Check and Troponin I and for other initiatives.

Thyrocare’s Q2FY24 performance was in line with our expectations. Its revenue grew 9.7% YoY while the franchisee business grew faster at 20%. It reported an improvement in gross margins (+100bps YoY) due to a decline in the lowmargin Partnership business.

Thyrocare Technologies has reported an improvement in gross margin (+270bps YoY) in Q1FY24 led by a decline in low margin partnership business. The company has revamped incentive structure offered to franchisees and this should drive a strong 12-14% volume growth in this segment.

Thyrocare Technologies(Thyrocare) Q2FY23 performance was below our estimates on all fronts. Non-covid pathology revenue grew by 4.6% QoQ, but volumes were flat sequentially.

Online pharmacy startup PharmEasy announced acquisition of THYROCARE Technologies, with a view to add diagnostic services in its digital offerings through biochemistry/pathology business. PharmEasy's parent company API...

and 3) increased employee cost at 16% of sales (v/s 11% YoY and 13% QoQ). EBIT margin for diagnostic segment was 9% v/s 42% YoY. its profitability because of 1) lower gross margin at 53% (v/s 72% YoY) due to We remain negative on entire diagnostic chain due to possible structural...

Reported lowest ever EBIT margin for diagnostic segment at 25% We reduce our earnings estimate by 56% and 42% for FY21-22E and downgrade THYROCARE to SELL (earlier HOLD) with a new TP of Rs307 (earlier Rs523) 18x PE on FY22E.We believe THYROCARE earnings to be significantly impacted due to 1) loss of core business due to COVID lockdown and low footfall till 1HFY21E 2) post lockdown to struggle for competitive market share 3) high operating expenses (to comply with COVID guidelines).Despite having a track record on asset optimization, EBITDA...

IPM's MAT growth in Feb-20 was 9.7% as against 9.6% in Feb-19 and Jan-20. The growth was majorly contributed by price at 5.4%, volume at 1.9% and new product at 2.5%. In the last 12 months, contributors average growth towards price, volume and new products were 5.6%, 1.7% and 2.3% respectively. The growth attributed by new products and volume however has been on a declining trend in last 50 months, while price hike has been a key factor that has contributed to IPM's growth. With 70-75% intermediaries/API/KSM sourced from China, IPM hasn't been...

FDA continues to maintain zero tolerance towards injectable units Indian generics ranked 2nd only after US for non-compliance issues of facilities by FDA. With the regulators focus towards approving more generics, Indian majors were short of compliance that led to missed opportunity of launching day-one generics and specialty products in CY19. With USFDA issued WL in CY19 to the Indian majors, the track record of achieving compliance in injectable plant were in shambles as work culture in sterile plant lacked training and integrity. The resolution might take longer than its...

Thyrocare Q1FY20 earnings came marginally higher than our estimates on account of healthy growth in samples collected

diagnostic tests. Overall, Thyrocar increased 10% price for its sick care business in B2B segment while price of few tests in preventive care marginally reduced in Q1FY20. Management guided that the benefits of price rationalization in Aarogyam 1.1, 1.2 and 1.3 will be visible in FY20E. Hence, we expect better traction in volumes and growth in the remaining three quarters of FY20E. Management guided for increased focus on B-2-B business with higher incentives and revenues per franchisee as it focusses...

We met the management of Thyrocare Technologies (Thyrocare) to get an insight into the company's future plans as well as industry dynamics. The company operates mainly in diagnostics and nuclear imaging segments, which contribute 89% and 6% to total revenues, respectively. The diagnostic segment operates on a hub-and-spoke model and currently comprises one automated central processing lab (CPL) in Navi Mumbai and eight regional processing labs (RPL). The samples are aggregated and sent to CPL and RPL from 26 air connected hubs and...

BUY Thyrocare Technologies Ltd on Declines Between Rs. 520 - Rs. 490 for the target of Rs. 625 - Rs. 710

Strong operating performance and asset light model leading to high returns: The franchise model of the company has helped it to minimize its capital expenditure leading to higher returns on equity as well as return on capital employed. TTL's sales...

chains. It has a leadership position in (the fastest growing and highest valueadded) diagnosticserviceofferingsinwellnessandpreventivecarethismakesitanindustryleader inprofitability.Weexpectittodeliverrevenue/PATCAGRof25%/29%overFY1518.Atthe...

The company is a provider of diagnostic and related healthcare tests and services in India and is specialised in preventive and wellness segment of the diagnostics industry which has broader scope to grow with improving life style...

Thyrocare Technologies is one of the leading diagnostic chains in India with market share of ~3% amongst organised players. The core business of the company is diagnostic testing (~97.1% of sales as on 9MFY2016) while the company through its wholly owned subsidiary also operates imaging centres. A differentiated model enables higher margi..