Glenmark Pharmaceuticals Ltd. share price target

Revenues grew 28.5% YoY to | 2281.3 crore (I-direct estimate: | 1849.6 crore) mainly on account of robust growth across geographies. The company witnessed 21.6% YoY growth in the US to...

ROW (+36%) and LatAm (+34%) sales. US sales of US$ 97mn were inline with our estimates.CoreoperatingmarginadjustingforforexlossofRs840mnandonetime SitagliptinrelatedlitigationcostofRs650mn)compressedby~260bpsyoyto19.8%...

However, margin performance was just about in line as improving revenue mix towards bettermargindomestic/USbusinessraisedEBITDAmarginsby80bpsto22.6%.Ledbylower salesandhighertaxincidenceof33%,PAT(adjustedforforexlossofRs270mn)was19%...

US-Big opportunities ahead: USFDA approval for Glenmark generics hasslowed from 18 in FY11 to 6 in FY15 even as 37 plain filings are pending forapproval for Glenmark. The improved approval rate (8 in H1-FY16) should sustain regular growth while incrementally gZetia (with 180 day exclusivity), gZyvox and gVoricanozole should support an 18% CAGR US formulations growth in FY15-18E.

9 US sales saw steady yoy growth of 10% despite 57% price erosion in base portfolio; GNPguidesforstrongH2ledbypickupinrecent/newlaunches Domesticformulationswereaheadofexpectationswith27%yoyimprovementdueto...

ff Management expects slowdown in Venezuela as it is hard to obtain the requisite import license. Potential threat of significant devaluation in Venezuela puts US$2030mn of company's exposure there at risk. As per our estimates, Venezuela contributed ~6% of FY15 profits. Factoring in the devaluation in FY17E, we...

company maintained its sales growth guidance of 1820% and EBITDA of ~Rs 17.5bn (implying ~22% margin) on a presumed ramp up in US generic sales and continued momentum in domestic formulations. However, modest US sales growth (8.5%) in Q1...

broadbased improvement in US sales (20%), domestic formulations (1719%), and in EuropeandROWmarkets.IttargetsanEBITDAofRs17.5bn,implyingamarginof~22% (lower than our estimate of 22.7%) and tax incidence of 2324% (we factored 22%). The...

Background: Tarka is a hypertension drug with market size of US$70mn. Glenmark had launched the drug "at-risk" in June 2010. However, the Federal Jury ruled against Glenmark in January 2011 and awarded Abbott US$16mn in...