Pharma Q1 Results Preview - High Value Products Outpacing Price Erosion: Axis Securities

Axis Securities Report

We anticipate that the pharma companies within our coverage will collectively demonstrate revenue growth of 9.4%/3.1% YoY/QoQ and Ebitda growth of 14.6%/6.3% YoY/QoQ.

Sequential growth is expected to be modest due to significant price erosion in the generic segment in the U.S. markets. The conservative growth projection reflects a strong quarter in domestic formulations and mid-single-digit growth in U.S. generics, particularly driven by products such as gRevlimid, gSpiriva, gAlbuterol, gPrezista, gLenotirade, gProlensa, gChantix, and Biosimilars, among others.

The U.S. market is anticipated to witness single digit growth with elevated pricing, while the Indian business is expected to experience a strong comeback compared to Q1 FY25.

We estimate Dr Reddy, Cipla, and Aurobindo to report gRevlimid sales of $105/$28/$30 respectively for Q1 FY25. Almost double digit revenue growth has been observed in the domestic market in Q1 FY25.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.