Today: November 30, 2015, 6:01 pm

BIOCON, Growth Drivers - Long Term and Uncertain, Expenses - Near Term and Certain - new market research report published
BIOCON, Growth Drivers - Long Term and Uncertain, Expenses - Near Term and Certain - a new market research report on 2014-03-14 09:03:03
Q3FY13 result of Biocon was moderately better than our estimates. Revenue of the company grew by 24% and EBITDA grew by 18% Y-o-Y. The quarterly outperformance was largely on account of improved performance of Biopharma (ex-licensing income) driven by branded formulations, Atorvastatin launch in US, Stronger insulin in ROW markets and higher research service income.

Going forward we expect Biopharma sales (ex-licensing) to grow moderately by 6-7% despite branded formulations growing by 30% on the back of Itolizumab and growth in existing products. Small molecules contributes majority of Biopharma and are expected to remain flat going forward (2-3% growth) due to lack of new product addition. Atorvastatin launch in US will only arrest the decline in Simvastatin.

As per the company, biosimilars seem to be the biggest growth drivers in the longer term; however we do not see any visibility as of now. Company is expected to file for marketing authorization of biosimilar insulin in EU in the next one year (expected launch in CY2015); however, we are not enthused as sales of reference drugs (Insulatard and Actrapid) in EU is very limited. MABs (Trastuzumab) and oral insulin, IN-105 (licensed to BMS) may take at least 2 to 3 years before any commercial success. In the meantime company will continue to invest in R&D and Capex (for Malaysian facility).

We increase our FY13 and FY14 EPS estimates by 16% and 11% respectively accounting for higher branded formulations and Research Income. We arrive at Target price of `315 by valuing the company at 16x of FY14 EPS (ex-licensing) and valuing cash of `9750m (includes unreported licensing income) at 1x. We retain our Market Perform rating on Biocon.

Click for report details: ..

Browse all Healthcare and Medical Market Research Reports ..

Browse all Healthcare and Medical Company Profile Reports ..

Browse all Latest Market Research Reports ..

About Us is a leading online business information aggregator with over 300,000 market reports and company profiles available to our clients. Our extensive range of reports are sourced from the leading publishers of business information and provide clients with the widest range of information available. In terms of company profiles,’s online database allows clients access to market and corporate information to over 100,000 different companies. We provide clients with a fully indexed database of information where clients can find specific market reports on their niche industry sectors of interest.

Press Information

Published by
Mike King
London: +44 (0) 203 086 8600

# 484 Words
Related Articles
More From Finance
USGFX Anticipates A Rise In Forex Trading [..]
The Shanghai Composite Index has been volatile and at one stage dropped more than 30% from its June 12 peak, [..]
Credit-Yogi Recommends Reputable Debt Solution Companies To [..]
Many people who have poor credit don’t know what to do about it. They realize that their bad credit prevents [..]
Credit-Yogi Reveals Special Considerations for Military Members [..]
No one wants to have their vehicle taken back by their banks. It’s a source of stress for the individual [..]
Credit-Yogi Teaches Consumers How To Use HAMP [..]
Be Prepared to Utilize HAMP Lenders do not like to help borrowers prevent foreclosure by accessing the Obama loan modification [..]
Credit-Yogi Informs Military Members Facing Auto Repossession [..]
No one wants to have their vehicle taken back by their banks. It’s a source of stress for the individual [..]

Disclaimer: If you have any questions regarding information in this press release please contact the company added in the press release. Please do not contact pr-inside. We will not be able to assist you. PR-inside disclaims the content included in this release.