The key insight from the investor meet and AGM video – which potentially can become my Investment Thesis – is,
Abbott India participates in therapies where they can support across the therapy lifecycle. This helps Abbott India to take lead in therapy shaping, the by-product of which is brand share gain. Therefore ‘Therapy Shaping’ is core to the business model and not the brand share gain
Following slide from AGM, gives gimps on how Abbott India participates across therapy life cycle
Source: Abbott AGM
Thus, the ‘Organic Therapy Shaping’ abilities can become key to for my investment thesis for Abbott India. Their current top 10 brands ( ~ 70% of the revenue) provide good insights whether – They have really taken lead in shaping therapy, or they are introducing brands in already developed therapy. The interesting part of thesis will be – are they in position to shape therapy for next 10 brands
Finally, I believe it will be good to compare what large India generic players are doing and this ‘Therapy Shaping’ is just a management narrative which weakens the foundation of my potential investment thesis
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