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Torrent Pharma Q1 FY22 Conference Call Highlights | Invest Yadnya

Torrent Pharma Q1 FY22 Conference Call Highlights

Published on 29 July 2021 .Views 5 .Comments 0

Financial Highlights: Torrent Pharma Share Price

Standalone Business: Torrent Pharma Value Research

  • Revenue from operations grew by around 15% YOY while degrew by 1.8% QOQ standing at 1695 crores

  • Expenses have been flat YOY and increased by around 7.5% and stood at 1117 crores

  • EBITDA stood at 628 crores growing 1.7% YOY & 20% QOQ

  • EBITDA Margin stood at 37% with a similar increment of 1% YOY & QOQ

  • PAT stood at 274 crores declining 8% YOY & 1.7% QOQ

  • PAT margin stood at 16% declining 1% YOY & 3% QOQ

Consolidated Business: Torrent Pharma Annual Report

  • Revenue from operations grew by around 10% YOY while grew by 3.8% QOQ standing at 2134 crores

  • Expenses have risen by 4% YOY & 7% QOQ and stood at 1457 crores

  • EBITDA stood at 717 crores growing 7.8% YOY & 15% QOQ

  • EBITDA Margin stood at 34% with a similar increment of 2% YOY & QOQ

  • PAT stood at 330 crores rising 2.8% YOY & 1.8% QOQ

  • PAT margin stood at 15% declining 1% YOY & 2% QOQ

Business Highlights: Torrent Pharma Technical Chart

Consolidated Revenue Geographical Breakup: Torrent Pharma Share Chart

  • Revenues – India including Contract Research & Manufacturing (53%), Brazil (8%), US (16%) and Germany (13%)

  • Indian Business stood at 1093 crores rising 18% YOY from 925 crores

  • United States business stood at 266 crores declining 29% YOY from 373 crores

  • Germany business stood at 260 crores rising 5% YOY from 246 crores

  • Brazil business stood at 153 crores rising 9% YOY from 140 crores

  • Other countries stood at 217 crores declining 7% YOY from 234 crores

Other Business Highlights: Torrent Pharma Stock Chart

  • Torrent grew 24% in Q1FY22 as per AIOCD vs. market growth of 37% in Domestic Formulations. It witnessed new product/price/volume growth of 14%/6%/4% YoY in the Domestic Formulation segment.

  • It launched four new products and a few extensions in Nutritional products in the Indian market in 1QFY22. The next wave of new launches will be when patents expire next year.

  • The Trade Generics segment will focus mainly on Acute and some sub-Chronic products. It may look to shift some products to the Trade segment, where consumer involvement and self-medication is higher.

  • The company exhibited a higher single-digit pricing impact across the portfolio on an annualized basis.

  • Margin affected by absence of export benefits, skewness towards acute portfolio in Q1FY22

  • Growth momentum in the Domestic Formulation (DF) business was offset by a muted showing in the US business and a higher tax rate.

  • It continues to work on alternate site filings to lower the impact of USFDA regulatory issues

  • Torrent launched trade generics division with focus on acute & sub chronic products

  • The company Initially start with 50-60 SKUs, and expects 3-4% revenue contribution to India business in near term

  • The company has assigned only 25 MRs and uses external distributors to sell its products

  • Four new products launched in Q1FY22, including baricitinib and extensions in nutritional products.

  • Torrent is currently conducting clinical trials for molnupiravir and looking to widen Covid portfolio

  • The management expects the double-digit growth to continue US sales

  • The company is facing high single digit price erosion in its base portfolio due to mature portfolio and new competition

  • The company is facing Lack of new launches impacting sales and management awaits USFDA response on Indrad and Dahej plants

  • The management plans to file 10-12 ANDAs per year with focus on complex generics and 505(b)(2) NDAs

  •  As of Q1FY22 - 54 ANDAs pending approval, seven tentative approvals were received

  • The company repaid debt of 350 crores from cash flow from operations

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