Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
LAURUS LABS: Formulation/Synthesis outshines; API underperforms (LAURUS IN, Mkt Cap USD4.6b, CMP INR641, TP INR800, 25% Upside, Buy) Building of Non-ARV drivers/capacity on track Laurus Labs (LAURUS) 1QFY22 earnings missed our expectations. The robust performances in the Finished Dosage Formulations (FDF) and Synthesis segments were more than offset by a muted show in the Active Pharma Ingredients (API) segment. That said, in addition to having an established business in the Anti-Retrovi...
Two Directors at Laurus Labs Ltd sold 81,000 shares at between 466.072INR and 474.700INR. The significance rating of the trade was 64/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over th...
Laurus Labs: Strong traction in formulations drive earnings; (LAURUS IN, Mkt Cap USD0.6b, CMP INR430, TP INR520, 21% Upside, Buy) Forward integration benefits gain momentum; ARV-API to revive gradually After two years of earnings decline, Laurus Labs (LAURUS) witnessed strong improvement in operational performance, largely led by traction in the formulation business. This benefit was offset to some extent by the decline in the ARV-API business. We expect the formulation business to gai...
LAURUS LABS: Healthy formulation revenue, operating leverage drive earnings (LAURUS IN, Mkt Cap USD0.6b, CMP INR378, TP INR440, 16% Upside, Buy) Robust revenue trends, except in ARV-API/Hep-C: Revenue increased robustly by 21% YoY to INR7.1b (our estimate: INR6.4b) in 2QFY20, led by strong formulation (FDF) sales of INR1.6b (2QFY19: INR22m). Other-API (+61% YoY), Ingredients (+179% YoY), Oncology API (+28% YoY) and Synthesis (+14% YoY) businesses too contributed to revenue momentum. ARV-API (...
Laurus Labs: More of revenue-led growth; operating leverage yet to kick in (LAURUS IN, Mkt Cap USD0.6b, CMP INR400, TP INR470, 18% Upside, Buy) Onco/Other APIs, Synthesis and Formulations drive growth: 4QFY19 sales increased 13.4% YoY to INR6.3b (v/s our est. of INR5.6b), led by (i) strong growth in Onco APIs (11% of sales; +91% YoY), (ii) other APIs (10% of sales; +40% YoY), and (iii) Synthesis (15% of sales; +74% YoY). Formulation sales came in at INR282m v/s INR14m in 4QFY18. Hep-C API...
Laurus Labs: At an inflexion point; Formulations Business – a key driver for earnings growth (LAURUS IN, Mkt Cap USD0.6b, CMP INR404, TP INR470, 16% Upside, Buy) We believe Laurus Labs is at the cusp of strong earnings growth over FY19-21E, led by increased traction in its formulation business and changed product mix in the API segment. The recently awarded formulation contracts provide enough scope for Laurus to break-even in FY20 and improve profitability. We expect headwinds in the...
LAURUS LABS: Delayed operating leverage hurts earnings (LAURUS IN, Mkt Cap USD0.5b, CMP INR365, Under Review) APIs (ex-ARV) and Synthesis business drives revenue: Laurus Labs’ (LAURUS) revenue came in at INR5.8b (our est. INR5.8b), up 9% YoY. Growth was led by Onco APIs (8% of sales; 22% YoY), other APIs (9% of sales; 28% YoY), Hep-C APIs (6% of sales; 24% YoY) and Synthesis (9% of sales; 58% YoY). However, it was offset by muted growth in ARV APIs (66% of sales, 2% YoY). Overall, the API...
Laurus Labs: Benefits of material cost reduction efforts from 2HFY19 (LAURUS IN,Mkt Cap USD0.7b, CMP INR469, TP INR552, 18% Upside, Buy) ARV and Synthesis segments drive revenue in 1QFY19: Laurus Labs’ (LAURUS) revenue came in at INR5.3b (our estimate of INR5.5b), up 9.7% YoY. The ARV segment (69% of sales) grew 37% YoY and the Synthesis segment (10% of sales) grew 65% YoY, driving its overall revenue growth for the quarter. Additional business from finished dosages, which was very minima...
Laurus Labs: Growth to pick up from FY19 (LAURAS IN, Mkt Cap USD0.8b, CMP INR488, TP INR586, 20% Upside, Buy) Operationally in-line; PAT hit by higher interest/depreciation and tax outgo: In 4QFY18, Laurus delivered 18.3% YoY revenue growth to INR5.6b (our estimate: INR5.4b), led by 27% YoY growth in ARV-API sales (64% of total sales), 63% YoY growth in Synthesis business (8% of total sales), and addition of formulation sales of INR140m (2.4% of total sales). Pricing pressure in Hep-C and...
Laurus Labs (Laurus) has organically scaled up its business in a short span since inception in 2005. The company has developed a niche in select high-growth antiretroviral (ARV) and Hepatitis C (Hep C) therapies, posting 28% revenue CAGR over FY13-17. A strong and focussed management team, strong R&D capabilities and process chemistry skills are core to Laurus’ success. In addition, a compliant and well-established manufacturing setup gives Laurus economies of scale, making it cost competitive i...
Laurus Labs: Compliance consistency evident; gets first approval for US (LAURUS IN, Mkt Cap USD0.9b, CMP INR528, TP INR613, 16% Upside, Buy) Two key recent positive developments fortify our positive stance on Laurus Labs (LAURUS): (1) Zero 483s at Unit II (formulation) USFDA inspection and (2) first product approval (g-Viread) from Unit II. Based on our analysis of the competitive and pricing environment, we expect annual sales of USD2-3m from g-Viread. On an overall basis, we believe LA...
Laurus Labs: Weak quarter, but outlook remains sanguine (LAURUS IN, Mkt Cap USD0.9b, CMP INR516, TP INR613, 19% Upside, Buy) Lower off-take of ARV-API and fixed overheads hurt 3QFY18 performance…: Revenue declined 5.2% YoY to INR4.8b in the quarter, led by lower API sales (primarily of ARV-API and HepC-API). Better product mix led to a 412bp YoY (+93bp QoQ) expansion in the gross margin. However, higher fixed overheads led to a 132bp YoY (266bp QoQ) contraction in the EBITDA margin. In addit...
Laurus Labs (initiating coverage): Angling for growth; Cost efficient + Strong Chemistry skills + Forward integration (LAURUS IN, Mkt Cap USD0.9b, INR532, TP INR651, 22% Upside, Buy) Laurus Lab (LAURUS) is a young, R&D led, pharma company. LAURUS is one of the leading API manufacturers for ARV (Antiretrovirals) and Hep-C (Hepatitis C). LAURUS has leveraged chemistry skills towards synthesis services and manufacture specialty ingredients. LAURUS is also forward integrating to formulations fo...
HYDERABAD, India--(BUSINESS WIRE)-- Laurus Labs Ltd. (Laurus BSE: 540222, NSE: Lauruslabs, ISIN: INE947Q01010), a leading research and development driven pharmaceutical company in India announces its Q2 & H1 FY18 results. Q2 FY18 Laurus reported: Total net revenue stood at Rs. 5,386 mn EBITDA stood at Rs. 1,192 mn, Margins at 22% PAT enhanced to Rs. 488 mn EPS (Diluted) for the period improved to Rs. 4.6 per share (not annualised) C...
Laurus is a leading research and development driven pharmaceutical company in India. The Company has grown consistently to become one of the leading manufacturers of Active Pharmaceutical Ingredients (APIs) for anti-retroviral (ARV) and Hepatitis C. Laurus also manufactures APIs in Oncology and other therapeutic areas. Its strategic and early investments in R&D and manufacturing infrastructure have enabled it to become one of the leading suppliers of APIs in the ARV therapeutic area. Initiatives are in place to develop a Finished Dos...
HYDERABAD, India--(BUSINESS WIRE)-- Laurus Labs Ltd. (Laurus), a leading R&D driven pharmaceutical company in India announces its Q4 & FY17 results. FY17 Laurus reported: Total Revenue rose 6.6% to Rs.18,919 mn as compared to Rs.17,746 mn EBITDA higher by 19.3% at Rs.4,461 mn from Rs.3,740 mn PAT increased 40.0% to Rs.2,026 mn from Rs.1,477 mn EPS (Diluted) for the period stood at Rs.20 per share The Board of Directors, at their meeting held on May ...
HYDERABAD, India--(BUSINESS WIRE)-- Laurus Labs Ltd. (Laurus), a leading research and development driven pharmaceutical company in India announces its 9M & Q3 FY17 results. 9M FY17 results: Total Revenue grew by 9.7% to Rs.14,459 mn from Rs.13,179 mn EBITDA increased by 23.1% to Rs.3,199 mn versus Rs.2,598 mn PAT higher by 40.5% to Rs.1,277 mn from Rs.909 mn EPS (Diluted) for the period stood at Rs.12.9 per share (not annualised) Q3 FY17 r...
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