Covid-19 Opportunity for PI Industry – New venture in advanced intermediate API (Covid-19 Active Pharmaceutical Ingredient) manufacturing segment
PI Industry – FY21 started on a positive note with entry into the Pharma value chain!!
On June 04, 2020, in a press release on Performance of the Company for the quarter/year ended March 31, 2020.
The company disclosed about their venture in advanced intermediate API (Covid-19 Active Pharmaceutical Ingredient) manufacturing, the specifically states about that tied up with few large Pharma comps in Japan & India; supplies to start from Q1FY21
– Successfully developed and scaled up adv intermediate for a promising Covid-19 Drug (API) !!!
– Business tied up with few large Pharma comps in Japan & India; supplies to start from Q1FY21
– R&D team involved in developing key technologies of intermediates/drugs / API,
- Overall, the company said Covid-19 disrupted operations and movement of goods and resulted in partial deferment of revenue to Q1FY21. Domestic revenue was subdued due to product positioning plans getting impacted by this disruption.
- With respect to Q4 Exports increased ~12% YoY despite the unavailability of one multi Product and disrupted the global supply chain by proactive raw material inventory management and capacity planning. Both domestic and export supplies have picked up the pace with mfg operations and goods movement resuming in a gradual manner from early April.
- EBITDA Margin was broadly maintained despite the upsurge in raw material prices on Chinese imports amid the initial Covid-19 impact.
- Net Profit contracted mainly due to increased depreciation (from 24 Cr to 44 Cr).
- Exports registered solid ~30% growth YoY by volume scale-up of a few existing products and commercializing 5 new products.