Continued to witness normal operations across facilities during the quarter. Had minimal to no disruptions in shipments.
Filed multiple DMFs for generic API in regulated markets. Patent expiry of these molecules will start from 2023-2025. Should look at launch from 2024 onwards.
2 contract media APIs are being produced exclusively for innovators where all qualification works are in progress. Completed qualifications for largest player in Contrast media. Now entering contrast media for MRI with Gadolinium compound, developed processes for it, in discussion with leaders in industry. Multi billion dollar opportunity.
Custom Synthesis business has seen very positive progress, believe a few of customers NCE’s will cross phase-III and closer to launch in the coming times.
RM issues have slightly stabilized, prices reduced for some materials. Energy costs remain high.
Product mix for Generic to Custom Synthesis at 53:47.
Growth negative due to change in product mix.
Capitalized assets of 89Cr during the quarter. Cash on books at 3336Cr.
Received several opportunities in Custom Synthesis in Phase 2/3 in last 6 months.
Going forward with these new opportunities in the phase 3, should be able to see a quite a big growth. Will take about 4 to 6 quarters before they can yield totally, the qualifications, the secondary site being the formulation qualification, then commercial volumes will start.
Seeing demand for anti infectives, cough & cold, pain killers. etc..see improvement in generic business.
Became more stronger in Sartans due to backward integration. No other sartan manufacturer is backward integrated. Make own Ortho Tolyl Benzonitrile, which is the starting material that using a new technology by what is called photochemistry. RMs are common to all Sartans. Already leaders in 2 Sartans.
Have a customs synthesis project of sartan where qualification is complete, another big pharma sartan, again qualification is complete, commercial quantity manufacturing is on the progress, so with the 2 of sartans from the big pharmas and 2 sartan from own two more sartans in generic that are with decent volumes where qualifications are under progress.
Receivables being down is a good thing.
Contrast media is based on Iodine. Iodine used to be $15 per kg, now at 80-90. Developed technology to recover Iodine both organic and inorganic, from waste streams and became very cost effective. This has attracted and given more opportunities into the contrast media.
Most of the units commenced operations. 1 unit (high potent, small volume) is under construction and one other unit is under construction.
Indication that sourcing from China for either generic or custom synthesis for big pharma is going to be difficult. Causing big pharma to look outside to India as US & EU does not have capacities. Do not see any tapering in demand.
Have never seen so many opportunities in the Custom Synthesis, earlier used to get them in the very early on phase 1 and phase 2. Now, also seeing not only many opportunities in phase 1 and phase 2, but also have couple of fast-track phase 3 projects which will start yielding in 24.
Utilization around 80%-83%. About 80% on Nutraceutical utilization right now.
Since co has taken up the backward integration and also supply diversification, dependency on China this half year has reduced by 20% compared to the previous year’s half year.
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