India formulation; Maintain healthy growth: PrabhudasLilladher

Prabhudas Lilladher's research report on Pharma SectorThe Indian Pharma market (IPM) grew at 11.9% in December 2015. Despite challenges of higher base of IPM growth of 13.6% in December 2014, the IPM growth of 11.9% was helped by traction in non‐NLEM volume of sales. As a result we notice strong growth in key acute therapies with large market size such as anti‐Infective, Gastrointestinal, Respiratory and Pain management. Chronic therapies surprisingly showed lower growth in large segments such as Diabetes and Cardiovascular. We believe that inclusion of more number of chronic drugs in new NLEM list led to lower offtake by channel partners and thus disrupted pricing and volume of sales in chronic therapy drugs in December 2015. Domestic Pharma has been outgrowing MNC Pharma consecutive three months including December 2015 due to launch of many brands in non‐NLEM segment. Also, the challenges of higher base of 2014 have been ceased since October 2015.

For all recommendations, click here Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More