Q2 FY 25 Call Summary
- See strong growth next 2 or 3 quarters, likely to achieve higher end of the guidance
- One source
- FY 25 guidance Topline $160-180m with 34% ebitda margin
- H1 was EBITDA positive, PAT loss. H2 will be significantly different
- Q4 FY 25 exit run rate – $20m EBITDA (@c. 40% EBITDA margin runrate); Strong order book, will see growth over this. Comfortable to guide $300-400m over next 3-4 years. Fully sold out on capacities.
- Fund raise – good response $100m – use $95m to pay bridge loans. Expect to be net cash by FY 27. Assumes capex of $100mn.
- Soft gelatin capacity – expansion is completed and sold out. Will increase capacity by another 1 bn units next year. Onboarded large customer, commercialize shipments this year, multi-year contract, will scale up to 1 bn units in 2.5-3 years.
- GLP – can sell complete capacity of 40 mn units 6-8 months ahead of schedule- seeing strong demand for Lira and Sema (off patent in Jan’26, supplies start Aug’25). We are first to file and have profit sharing split with Natco.
- 5-7 GLP CSAs to be commercialized in FY 26.
- GLP expansion 40mn units to 150 mn units – Strong visibility on utilization; being partly funded through customer advances.
- Microbial capacity of 4000 litres to be fully sold out in 12 months
- Teriparatide launch expected in Q4 FY 25
- Animal health biologic with innovator – 3-5 year commercialization period with meaty R&D income, will need some capex
- 10 non GLP drug device combination projects – biologics + non-peptide – 1 product approved, commercialization in Q1
- Nasal spray – has potential to completely replace loss of soft gelatin EBITDA in Strides (c. 150 crs EBITDA) – 1st filing by end of this year
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