Lupin

The stock price slid into the red yesterday, disappointed with the Q4 performance of the company. For Q4FY15, Lupin posted a 1% (YoY) drop in its consolidated net profit at Rs.547 crore and this was on a completely flat net sales of Rs.3054 crore. Operating margin dropped to 25.8% from 28.7%. EBITDA was down 7% at Rs.807 crore. The company stated that higher price erosion in the US as well as a slowdown in product approvals impacted growth in the quarter.

In terms of its sales mix, in formulation, US showed a decline of 6%; the best growth of 15% each was seen in India and South Africa. The company launched 3 products in the US market during the quarter taking the number of total launches to 12 products including InspiraChamber during FY15. Lupin now has 77 products in the market and is a market leader in 28 products marketed in the US generics market. Its Europe sales increased by 9%. Lupin filed 7 ANDAs and received 3 approvals from the US FDA during the quarter. Cumulative ANDA filings with the US FDA stood at 210, as on March 31st, 2015 with the company having received 111 approvals to date. The Company has 34 First-to-Files (FTF)products which includes 15 exclusive FTF opportunities. In Europe, it filed 2 MAAs and received 1 approval during the quarter. Cumulative filings with European authorities now stand at 62 with the company having received 52 approvals to date.