In the US market, while the Albuterol opportunity is stabilising for Cipla, traction for Arformoterol and the high-value product launch calendar in H2 FY23 is a key watch
Robust volumes were witnessed in trade generic business as well as consumer health business in India.
PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
Cipla (CMP: Rs 908; Market Cap: Rs 73,200 crore), along with the pharma sector, has consolidated in the last five months almost in sync with the tapering of COVID opportunity. New headwinds, such as commodity inflation and elevated pricing erosion, have also emerged. We believe the sector is ripe for differentiation in terms of product launches and transition to a post-COVID business scenario. Given this background, we take a closer look at the recent management commentary, post the results, and the…
