Lupin Bets On Respiratory, Injectables To Sustain Growth, Margins In US Market

Lupin's Global Executive Director and Chief Financial Officer Ramesh Swaminathan is hopeful of sustaining margins and growth in the US market on the back of new product launches.

In the September quarter of the current financial year, Lupin Ltd. has reported a 13% revenue rise to Rs 5,672.7 crore as compared to Rs 5,038.6 crore in the same period a year ago. Net profit rose 74% year-on-year to Rs 852.6 crore versus Rs 489.7 crore.

The company’s US business grew 6% YoY but dipped sequentially. The pharma major posted sales of $220 million, compared to $213 million last year. Lupin had recorded sales of $227 million in Q1FY25.

Referring to the Q2 results, Swaminathan said that the good run in the top line was supported by new launches across the world, especially in the American market.

“The last couple of quarters, there has been the Mirabegron launch—25 mg in the previous quarter (Q1), 50 mg in the current quarter (Q2). So, obviously, the sales mix of the top line has contributed tremendously to the improvement in the gross margins,” he said. Mirabegron is a medication used to treat an overactive bladder.

According to Swaminathan, his company is witnessing strong performance in the US. “We are minting between $220 million to $230 million, and Mirabegron continues to perform pretty well, as well as the inline products on the respiratory front—both albuterol and Spiriva,” he said.

Lupin is on track to continue its strong momentum despite some price erosion in the space, he said, adding, “We are still hopeful about the overall American markets given our richness of pipeline. There's a host of products we're lining up on the respiratory front and the injectables front and the like, which will help us to kind of sustain the growth as well as the margin trajectory.”

While Donald Trump is back as the President of the US, the top executive believes that irrespective of the regime, things will be normal for Lupin.

Swaminathan said, “Given the fact that every government would be very keen on ensuring that there is a fair supply of medicines for this population, I don't think this industry is going to be impacted very much at all.”

Shares of Lupin Ltd. closed marginally lower at Rs 2,097.20 at the NSE on Friday, while benchmark Nifty 50 ended 0.21% lower at 24,148.20.