Strides Pharma/OneSource – The Last Stand Will Create Wealth?

Q1 FY25 CONCALL DETAILS

• Stelis

  • Won a contract in novel biologic – 10-year supply – top 3 global animal health pharma company. Product is yet to be approved, post that market formation will happen.

  • Teriparatide

    • PTH DDC is approved by UK MHRA.

    • Expect PTH to be launched in EU/UK in H2 FY25.

    • Will be out licensed to about 30-odd customers

  • GLP

    • Total 15 logos

    • 50mn$ capex would be needed to take fill finish capacity from 40mn devices to 200mn devices. It would take 3 years to get to that capacity.

  • 15 RFPs issued in Q1 FY25

  • Expect to have 50mn$ revenue and 35% EBITDA margin in FY25

• SteriScience

  • One of the largest buying groups in NA – 3 IP owned products – multiyear supply contract

  • 4 RFPs issued in Q1 FY25

• Capsules

  • Capacity went up from 1bn to 2.4bn.

  • Expanded capacity is fully booked. Will start utilizing the capacity from H2.

  • CDMO contracts from top 2 global private labelers will commence in H2 FY25

• OneSource

  • Expect 60mn$ of EBITDA for the year, exit run rate of 20mn$

• US Market

  • First full quarter of gSuprep sales

  • First dormant product – significant one – launched from Endo portfolio

• Growth Markets

  • Expect access market allocation to go up from 25mn$ to 33mn$

• Other Regulated Markets

  • Products in EU will be launched in H2

Disc – I have bought the shares of the company in the last 30 days. Not a buy or sell reco, not a SEBI registered analyst.