Pharma Exports In February Indicate Improved Traction: Nuvama

Nuvama sees sustained growth momentum in key oral players, such as Ajanta Pharma Ltd., which saw export growth of over 45%. Alembic Pharmaceuticals Ltd. had a growth of over 39%, followed by Alkem Laboratories Ltd. with an export growth of 65% and Granules India Ltd. with an over 30% growth.

After a sharp dip in January, Divi's exports recovered to $78 million, a 51% YoY and 118% month-on-month growth. Top five products accounted for 40% of exports, which includes sacubitril/valsartan, naproxen, dextromethorphan, Iopamidol and valsartan.

For Lupin Ltd., exports surged 51% YoY, but slid 20% quarter-on quarter. Nuvama sees no offtake of gSpiriva in February, saying it had been on a consistent decline since October.

Ajanta Pharma Ltd.'s exports shot up 45% YoY and 22% month on month, led by both US and Asia. The January–February data indicate 24% and 54% growth in Asia and the US respectively.

Syngene International Ltd. saw a steep fall due to lower shipments to Zoetis. Revenue from Zoetis was $1.9 million versus $19 million in January. On a year-to-date basis, Syngene’s exports are up 164% to $122 million, out of which Zoetis contributed $81.5 million — 67% of the total exports during this period.

GRevlimid is expected to aid Sun Pharmaceutical Industries Ltd., Zydus Lifesciences Ltd. and Aurobindo Pharma Ltd. Largest offtake was seen in Sun Pharma ($142 million) followed by Zydus ($83 million) and Aurobindo ($33 million). GRevlimid is missing from the shipments of the other gRevlimid makers.

Excluding revlimid, Zydus was still strong and showed its exports are tracking at 11% quarter on quarter based on January–February. Sun Pharma and Dr Reddy's Laboratories Ltd. witnessed a QoQ decline of 13% and 23% respectively.