Cipla's revenue to grow by 20% in current year
Cipla is having presence in over 150 countries, manufacture drugs in over 50 dosages and has a portfolio in excess of 1,500 products.
August 27, 2015 / 08:53 PM IST
Leading generic drug maker Cipla on Thursday said that it expects 20 percent growth in revenues in the current fiscal (FY 16).
"Our first quarter ended June 2015 results have shown an exceptional growth both in turnover and overall profitability. We are optimistic that in the current year, our revenues will grow by 20 percent and our profitability will be commensurate with this," Cipla's chairman Y K Hamied told shareholders at the company's 79th annual general meeting (AGM) here on Thursday.
The company's turnover doubled in last five year's to Rs 11,000 crore in FY 15. The net profit marginally declined due to statutory price reductions of a number of drug formulations in the domestic market and major diverse long term investments undertaken in building its portfolio and pipeline of newer products, Hamied said.
Cipla is having presence in over 150 countries and manufacture drugs in over 50 dosages and has a portfolio in excess of 1,500 products.
"We expect sustained growth in our business. We are hopeful of doubling our domestic sales by 2020 from the present 40 percent of our total sales. Our US business will also increase to 20 percent from the present 8 percent," Cipla managing director Subhanu Saxena told reporters on the sidelines of the AGM.
"Our top priorities for FY 16 are build and launch a robust pipeline for today and the future, strengthen our operations across manufacturing, supply chain and procurement, execute our growth strategies and integrate the recent deals signed," Saxena added.
The company is in a significant investment phase for the future and will continue to invest in our pipeline and capabilities, Saxena said, adding that its pipeline of projects is secure and more than 80 percent of our critical launches are on track. The company focuses on respiratory and look to introduce new products and devices in India, US and European markets, he added.
Commenting on drug pricing systems, Hamied said, "There is no positive drug policy in our country. The drug pricing system also requires a fresh reasonable approach. We have suggested that only high priced monopoly drugs should be under price control and drugs that are marketed by more than a few companies should be independent of this. The only way prices can come down is by free competition."