MIRA
INFORM REPORT
|
Report Date : |
05.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
GLAXOSMITHKLINE PHARMACEUTICALS LIMITED |
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Registered
Office : |
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Country : |
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Financials (as
on) : |
31.12. 2011 |
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Date of
Incorporation : |
13.11.1924 |
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Com. Reg. No.: |
11-001151 |
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Capital
Investment / Paid-up Capital : |
Rs.847.030 millions |
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CIN No.: [Company Identification
No.] |
L24239MH1924PLC001151 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMG00196A |
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PAN No.: [Permanent Account No.] |
AAACG4414B |
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Legal Form : |
Public Limited Liability Company. Company’s Shares are Listed on the
Stock Exchanges. |
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Line of Business
: |
Manufacturing and
Selling of pharmaceuticals, chemicals including bulk drugs and formulations. |
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No. of Employees
: |
5055 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (76) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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Maximum Credit Limit : |
USD 76797000 |
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Status : |
Very Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a
well-established and a highly reputed company having good track. Financial
position of the company appears to be sound. Trade relations are reported as
fair. Business is active. Payments are reported to be regular and as per
commitments. Company can be
considered good for any normal business dealings at usual trade terms and
conditions. It can be
regarded as a promising business partner in medium to long run. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION DECLINED BY
|
Name : |
Mr. Anil |
|
Designation : |
Finance Executive |
|
Contact No.: |
91-22-24959595 |
|
Date : |
05.04.2012 |
LOCATIONS
|
Registered Office : |
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Tel. No.: |
91-22-24933871/ 24933514/ 24959595 |
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Fax No.: |
91-22-24935358/ 24959494 |
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E-Mail : |
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Website : |
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Factory 1 : |
2nd
|
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Factory 2 : |
Ambad,
Nashik, |
DIRECTORS
As on 16.02.2012
|
Name : |
Mr. Deepak S. Parekh |
|
Designation : |
Chairman |
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|
Name : |
Mr. V. Thyagarajan |
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Designation : |
Vice-Chairman |
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|
Name : |
Dr. Hasit B. Joshipura |
|
Designation : |
Managing Director |
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|
Name : |
Mr. R.R. Bajaaj |
|
Designation : |
Director |
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|
Name : |
Dr. A. Banerjee |
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Designation : |
Director (Alternate to S. Harford w.e.f. 01.08.2011) |
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|
Name : |
Mr. P.V. Bhide (w.e.f. 28.10.2010) |
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Designation : |
Director |
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|
Name : |
Mr. Simon Harford (w.e.f.
28.10.2010) |
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Designation : |
Director |
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|
Name : |
Mr. M.B. Kapadia |
|
Designation : |
Director |
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|
Name : |
Mr. Nihal Vijaya Devadas Kaviratne |
|
Designation : |
Director |
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Name : |
R. Krishnaswamy (w.e.f. 01.08.2011) |
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Designation : |
Director |
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Name : |
Mr. V. Narayanan |
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Designation : |
Director |
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Name : |
Mr. P.V. Nayak |
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Designation : |
Director |
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Name : |
A.N. Roy (w.e.f. 04.11.2011) |
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Designation : |
Director |
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|
Name : |
Mr. Ronald C. Sequeira |
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Designation : |
Director |
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|
Name : |
Mr. D. Sundaram |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Anil |
|
Designation : |
Finance Executive |
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|
|
Name : |
A.A. Nadkarni |
|
Designation : |
General Manager - Administration and Company
Secretary |
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MANAGEMENT TEAM : |
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|
Name : |
Dr. H.B. Joshipura |
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Designation : |
Managing Director |
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|
Name : |
M. B. Kapadia |
|
Designation : |
Senior Executive Director – Finance – Corporate Communications, Secretarial and Administration |
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|
Name : |
Dr. A. Banerjee |
|
Designation : |
Senior Executive Director – Primary Manufacturing
and Research |
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|
Name : |
R.C. Sequeira |
|
Designation : |
Executive Director – Human
Resources |
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|
Name : |
Dr. S. Joglekar |
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Designation : |
Executive Vice-President – Medical and
Clinical Research |
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|
Name : |
R. Bartaria |
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Designation : |
Vice-President –
Pharmaceuticals |
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|
Name : |
H. Buch |
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Designation : |
Vice-President –
Pharmaceuticals |
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Name : |
S. Khanna |
|
Designation : |
Vice-President – Finance |
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Name : |
K. Hazari |
|
Designation : |
Vice-President – Legal and
Corporate Affairs |
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|
Name : |
C.T. Renganathan |
|
Designation : |
Vice-President –
Pharmaceuticals |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2011
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
42,917,488 |
50.67 |
|
|
42,917,488 |
50.67 |
|
Total shareholding of Promoter and Promoter Group (A) |
42,917,488 |
50.67 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
3,454,434 |
4.08 |
|
|
9,762,170 |
11.53 |
|
|
14,445,538 |
17.05 |
|
|
27,662,142 |
32.66 |
|
|
|
|
|
|
1,732,996 |
2.05 |
|
|
|
|
|
|
11,959,602 |
14.12 |
|
|
192,361 |
0.23 |
|
|
238,428 |
0.28 |
|
|
2,395 |
- |
|
|
13,237 |
0.02 |
|
|
294 |
- |
|
|
215,931 |
0.25 |
|
|
6,571 |
0.01 |
|
|
14,123,387 |
16.67 |
|
Total Public shareholding (B) |
41,785,529 |
49.33 |
|
Total (A)+(B) |
84,703,017 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
84,703,017 |
- |
(1) Indian
Bodies Corporate
Individual shareholders holding nominal
share capital up to Rs.0.100 millionShareholding of securities
(including shares, warrants, convertible securities) of persons belonging to
the category “Promoter and Promoter Group”
|
Sl. |
Name of the
Shareholder |
No. of Shares
held |
As a % of |
|
1 |
Glaxo Group Limited |
30,485,250 |
35.99 |
|
2 |
Eskay Lab Limited |
5,880,000 |
6.94 |
|
3 |
Burroughs Wellcome International
Limited |
3,360,000 |
3.97 |
|
4 |
Castleton Investment Limited |
3,192,238 |
3.77 |
|
|
Total |
42,917,488 |
50.67 |
Shareholding of securities
(including shares, warrants, convertible securities) of persons belonging to
the category “Public” and holding more than 1% of the total number of shares
|
Sl. No. |
Name of the
Shareholder |
No. of Shares
held |
Shares as % of Total
No. of Shares |
|
|
1 |
Life Insurance Corporation of |
4,822,669 |
5.69 |
|
|
2 |
|
2,900,037 |
3.42 |
|
|
3 |
Abereen Global - |
1,341,550 |
1.58 |
|
|
4 |
|
1,453,669 |
1.72 |
|
|
5 |
LIC of |
965,674 |
1.14 |
|
|
6 |
General Insurance Corporation of |
1,000,225 |
1.18 |
|
|
7 |
|
1,083,356 |
1.28 |
|
|
8 |
HDFC Standard Life Insurance Company
Limited |
922,996 |
1.09 |
|
|
|
Total |
14,490,176 |
17.11 |
|
Shareholding of
securities (including shares, warrants, convertible securities) of persons (together
with PAC) belonging to the category “Public” and holding more than 5% of the
total number of shares of the company
|
Sl. No. |
Name(s) of the
shareholder(s) and the Persons Acting in Concert (PAC) with them |
Number of shares |
Shares as % of Total
No. of Shares |
|
|
1 |
Life Insurance Corporation of |
4,822,669 |
5.69 |
|
|
|
Total |
4,822,669 |
5.69 |
|
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and
Selling of pharmaceuticals, chemicals including bulk drugs and formulations. |
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Products : |
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PRODUCTION STATUS (AS ON 31.12.2011)
Installed
Capacities (per annum)
|
Class of Goods |
Unit |
Installed Capacity (a) (Per annum) |
|
Chemicals
(including Bulk Drugs) |
Tonnes |
184 |
|
Formulations |
|
|
|
Liquids – Orals, Topicals and Parenterals |
Kilo Litres |
8400 |
|
Antibiotic Vials |
Thousands |
5000 |
|
Tablets and Capsules |
Million |
7650 |
|
Solids including Powders and Ointments |
Tonnes |
2600 |
(a) Installed
capacities of the formulation factories of the Company (based on a five day
week except where continuous processes are involved and on a single shift basis)
are as certified by the Management.
(b) Licensed
capacity is not indicated as industrial licensing for all bulk drugs,
intermediates and their formulations stands abolished in terms of Press Note
No. 4 (1994 Series) dated 25th October, 1994 issued by the
Department of Industrial Development, Ministry of Industry, Government of
India.
|
Class of Goods |
Unit |
Actual Production |
|
Chemicals
(including Bulk Drugs) |
Tonnes |
1 |
|
Formulations (including Vitamin Feed Supplements)
|
|
|
|
Liquids – Orals, Topicals and Parenterals |
Kilo Litres |
7407 |
|
Antibiotic Vials |
Thousands |
520 |
|
Tablets and Capsules |
Million |
10541 |
|
Solids including Powders and Ointments |
Tonnes |
3265 |
|
Aerosols Cans |
Thousands |
154 |
GENERAL INFORMATION
|
No. of Employees : |
5055 (Approximately) |
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Bankers : |
v
Bank of v Citibank N.A. v HDFC Bank Limited v
Hong Kong and Shanghai Banking Corporation
Limited, v Standard Chartered Bank v
State Bank of v
Bank of v
Deutsche Bank |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Price Waterhouse
and Company Chartered
Accountants |
|
Address : |
252, Veer Savarkar Marg, |
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|
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Solicitors: |
Gagrat and
Company |
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|
Shareholders (the
GlaxoSmithKline (GSK) Group shareholding) in the Company : |
v Glaxo Group
Limited, v Eskaylab
Limited, v Burroughs
Wellcome International Limited, v Castleton
Investment Limited, v Holding company /
ultimate holding company of the above shareholders * v GlaxoSmithKline
plc, v GlaxoSmithKline
Finance plc, v SmithKline
Beecham plc, v Wellcome
Limited, v Wellcome
Foundation Limited, v Wellcome
Consumer Healthcare Limited, * no transactions during the year |
|
|
|
|
Subsidiary of
the Company : |
v
Biddle Sawyer Limited, a wholly owned subsidiary
of the Company |
|
|
|
|
Other related parties in the GlaxoSmithKline
(GSK) Group where common control exists and with whom the Company had transactions
during the year : |
v SmithKline
Beecham Private Limited, v GlaxoSmithKline
Pakistan Limited, v GlaxoSmithKline
Asia Private Limited, v GlaxoSmithKline
Consumer Healthcare Limited, v GlaxoSmithKline
Biologicals S.A., v GlaxoSmithKline
Services Unlimited, v Laboratoire
GlaxoSmithKline S.A.S., v GlaxoSmithKline
Pharmaceutical Sdn v GlaxoSmithKline
Export Limited, v SmithKline
Beecham Pharmaceuticals R and D, v GlaxoSmithKline
Pte Limited, v GlaxoSmithKline
Australia Pty Limited, v GlaxoSmithKline
Trading Services Limited, v GlaxoSmithKline
LLC, U.S.A v GlaxoSmithKline
Limited, v Stiefel India
Private Limited, v Glaxo Wellcome
Ceylon Limited, v
US Pharmaceuticals, |
CAPITAL STRUCTURE
As on 31.12.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
90000000 |
Equity Shares |
Rs.10/- each |
Rs.900.000 millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
84707710 |
Equity Shares |
Rs.10/- each |
Rs.847.077 millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
84703017* |
Equity Shares |
Rs.10/- each |
Rs.847.030 millions |
|
|
|
|
|
* excludes 4,693
equity shares of Rs.10 each of the Company (3,352 equity shares of Rs.10 each
of erstwhile Burroughs Wellcome (
Of the above
shares:
(i) 4,29,17,488
equity shares are held by the ultimate holding company GlaxoSmithKline plc,
Prior to the buy
back of equity shares#:
(ii) 1,28,47,546
equity shares were allotted as fully paid-up pursuant to the Scheme of
Amalgamation of Burroughs Wellcome (
(iii) 1,47,00,000
equity shares were allotted as fully paid-up pursuant to the Scheme of
Arrangement for Amalgamation of SmithKline Beecham Pharmaceuticals (India)
Limited with the Company.
(iv) 4,06,87,500
equity shares were allotted as fully paid-up bonus shares by capitalisation of
share premium and reserves.
(v) 15,00,000
equity shares were allotted as fully paid-up pursuant to contracts without
payments being received in cash.
# The Company bought back and extinguished 26,19,529 equity shares in
2005.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2011 |
31.12.2010 |
31.12.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
847.030 |
847.030 |
847.030 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
18352.318 |
18461.080 |
16744.452 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
19199.348 |
19308.110 |
17591.482 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
49.052 |
51.619 |
54.186 |
|
|
TOTAL BORROWING |
49.052 |
51.619 |
54.186 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19248.400 |
19359.729 |
17645.668 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
991.321 |
1089.331 |
928.079 |
|
|
Capital work-in-progress |
254.084 |
87.209 |
213.573 |
|
|
|
|
|
|
|
|
INVESTMENT |
1598.023 |
1603.522 |
1909.109 |
|
|
DEFERRED TAX ASSETS |
614.660 |
563.953 |
446.924 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
3301.407
|
2815.375
|
2530.169
|
|
|
Sundry Debtors |
853.116
|
470.265
|
537.347
|
|
|
Cash & Bank Balances |
19863.753
|
19480.769
|
16726.005
|
|
|
Other Current Assets |
689.744
|
528.212
|
295.341
|
|
|
Loans & Advances |
2250.683
|
1188.669
|
1055.353
|
|
Total
Current Assets |
26958.703
|
24483.290
|
21144.215
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
3396.276 |
3319.194 |
2913.753
|
|
|
Other Current Liabilities |
149.096
|
142.991
|
252.870
|
|
|
Provisions |
7623.019
|
5005.391
|
3829.609
|
|
Total
Current Liabilities |
11168.391
|
8467.576
|
6996.232
|
|
|
Net Current Assets |
15790.312
|
16015.714
|
14147.983
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
19248.400 |
19359.729 |
17645.668 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2011 |
31.12.2010 |
31.12.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
23380.340 |
21116.425 |
18707.672 |
|
|
|
Other Income |
1974.699 |
1471.072 |
1202.285 |
|
|
|
TOTAL |
25355.039 |
22587.497 |
19909.957 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Materials |
9085.120 |
7770.039 |
6922.250 |
|
|
|
Operating and
Other Expenses |
6849.863 |
5968.516 |
5239.201 |
|
|
|
TOTAL |
15934.983 |
13738.555 |
12161.451 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
9420.056 |
8848.942 |
7748.506 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
204.078 |
176.282 |
163.686 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
9215.978 |
8672.660 |
7584.820 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
2902.379 |
2858.843 |
2535.888 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
6313.599 |
5813.817 |
5048.932 |
|
|
|
|
|
|
|
|
|
|
EXCEPTIONAL ITEMS (net of tax) |
(2007.557) |
(176.936) |
73.977 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
11645.281 |
10492.341 |
8824.080 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
3811.635 |
3388.120 |
2541.090 |
|
|
|
Tax on distributed profit |
603.169 |
532.133 |
401.267 |
|
|
|
Transfer to General Reserve |
430.604 |
563.688 |
512.291 |
|
|
BALANCE CARRIED
TO THE B/S |
11105.915 |
11645.281 |
10492.341 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B. value of exports including through merchant exporters |
365.064 |
631.309 |
714.978 |
|
|
|
Recovery of expenses |
3.230 |
3.637 |
5.130 |
|
|
|
Clinical research and data management |
409.617 |
402.179 |
439.592 |
|
|
|
Research and development |
6.625 |
28.039 |
29.441 |
|
|
|
Others |
14.187 |
14.720 |
32.825 |
|
|
TOTAL EARNINGS |
798.723 |
1079.884 |
1221.966 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw and packing
materials |
706.109 |
1036.459 |
1008.869 |
|
|
|
Finished Goods |
1088.738 |
775.445 |
730.608 |
|
|
|
Components and
spare parts for machinery |
1.521 |
1.226 |
1.554 |
|
|
|
Capital Goods |
76.471 |
9.303 |
22.259 |
|
|
TOTAL IMPORTS |
1872.839 |
1822.433 |
1763.290 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
50.84 |
66.55 |
60.48 |
|
KEY RATIOS
|
PARTICULARS |
|
31.12.2011 |
31.12.2010 |
31.12.2009 |
|
PAT / Total Income |
(%) |
24.90
|
25.74
|
25.36
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
39.42
|
41.07
|
40.54
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
32.97
|
33.91
|
34.36
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.48
|
0.45
|
0.43
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.58
|
0.44
|
0.40
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.41
|
2.89
|
3.02
|
LOCAL AGENCY FURTHER INFORMATION
Details of Sundry Creditors:
|
Particulars |
31.12.2011 (Rs. in millions) |
31.12.2010 (Rs. in millions) |
31.12.2009 (Rs. in millions) |
|
Sundry Creditors |
|
|
|
|
- Micro and Small enterprises |
12.540 |
16.812 |
0.000 |
|
- Others |
3383.736 |
3302.382 |
2913.753 |
|
Total |
3396.276 |
3319.194 |
2913.753 |
HISTORY:
Subject has its roots dating back to when it established in the
year 1924. GSK is one of the oldest and leading research-based healthcare and
pharmaceutical company. The company's product assortment includes prescription
medicines and vaccines. The prescription medicines range across therapeutic
areas such as anti-infectives, dermatology, gynaecology, diabetes,
cardiovascular disease and respiratory diseases. The company is the market
leader in most of the therapeutic categories in which it operates and has six
products in the top 50 brands. GSK also offers a range of vaccines, for the
prevention of hepatitis A, hepatitis B, invasive disease caused by H,
influenzae, chickenpox, diphtheria, pertussis, tetanus and others. Vaccines
division is ranked first in a fast-growing vaccines market. GSK has two
manufacturing units in
MANAGEMENT DISCUSSION AND ANALYSIS
Finance and
Accounts
The Company
maintained its prominent position in the Pharmaceuticals market with Net Sales
(net of Excise Duty) registering a growth of 10.7%. Profit After Tax and Before
Exceptional Items grew by 8.6%. Sales of the Company’s Pharmaceuticals business
grew by 12.5%, supported by good growth in the vaccines, dermatologicals,
hormonal preparations, gastro - intestinal and oncology therapeutic segments.
Despite material cost escalations and significant expansion of the field force,
Profit Before Investment Income and Tax amounted to 33% of Net Sales. Profit
After Tax and Before Exceptional Items amounted to 27% of Net Sales.
Cash generation
from operations was favourable, with the Company continuing to look for ways
and means of deploying accumulated cash balances which remain invested largely
in bank deposits.
The Company has
not accepted any fixed deposits during the year. There was no outstanding
towards unclaimed deposit payable to depositors as on 31st December
2011.
Pharmaceuticals
Business performance and outlook
The Company
continues to enjoy a leadership position in the categories in which its products
are represented.
The Mass Specialty
business of the Company recorded double digit growth over the previous year.
Some of the key brands grew ahead of the market thereby gaining Market share.
The foray into
branded generics market with Zobactin and Esblanem yielded good results during
the year. Zobactin is ranked as the No. 2 brand (Dec MAT 2011, H.S.A) in a
market which has more than 56 brands of Piperacillin+Tazobactum. In the
Meropenem market, Esblanem is ranked at 6th position (Dec MAT 2011, H.S.A).
Mycamine an
in-licensed brand from Astellas became the 2nd largest brand (Dec MAT 2011,
SSA) in the systemic antifungal market. Calcium Citrate Malate [CCM], the high
strength Calcium, re-launched in 2010 has performed well in a cluttered market
of more than 300 calcium oral solid brands and has jumped from 19th rank to the
2nd rank brand (Dec MAT 2011, SSA) in the calcium oral solids category during
the year. In a market, with more than 70 generics, Ceftum continues to maintain
its leadership position and has been awarded a Certificate of Marketing
Excellence in Premium Brand Category by C-Marc-IPHMR in December 2011.
The Company has
taken the initiative to expand its presence in the Specialty business to widen
its footprint in
In the
cardiovascular business, the Company continues to maintain the leadership with
Lanoxin and strengthened the position with an in-licensed product, Benitec from
The Dermatology
business of the Company continues to maintain the leadership position with 15%
market share (Dec MAT 2011, SSA). The topical steroid portfolio of the Dermatology
business is growing ahead of the market. Topical antibiotics, Anti-fungal and
Anti-viral portfolio too have grown in double digits. The initiative to expand
its presence in cosmetic dermatology through the Stiefel brand promoted by the
Company has reflected in this year’s performance by significant gain in market
share. The three represented segments of cosmetic dermatology, acne, dry skin
and sun protection are supporting this growth. Dermocalm, the 19th brand of
calamine launched in 2009, attained 1st rank in 2011 (Dec MAT 2011, SSA).
Mass market
activity brands comprising of acute care classic brands had crossed many
landmarks in terms of turnover of brands. Calpol, which is ranked as No. 1
prescribed product in Indian Pharmaceutical Market as per (Dec MAT 2011, IMS Rx
audit) and Zinetac have crossed Rs.1000.000 millions. Neosporin maintained its
lead in the topical antibiotic market. Cobadex CZS remained as a leader in the
segment. Calpol T, the new introduction in pain segment, overtook 75 brands and
became No. 3 in Paracetamol+Tramadol market (Dec MAT 2011, SSA).
The Company’s
Rural Marketing initiative continued the excellent pace of growth and rapidly
expanded to many new villages. The growing equity in these markets was clearly reflective
in double digit growth across the spectrum of brands.
The Company’s
Vaccines business grew significantly higher than the overall vaccines market
growth. The key drivers of growth were brands Havrix, Varilrix and Rotarix. The
vaccines field force has doubled over the past two years thereby enabling
better reach and coverage of pediatricians and non-paed specialties across the
country. The year also saw the launch of Synflorix - a vaccine against invasive
pneumococcal disease - the leading cause of childhood mortality in
The company
continued the search for new Business Development opportunities in high growth
therapeutic areas.
Exports recorded a
sales turnover of Rs.365.100 millions comprising both Bulk Drugs and
Formulations. Exports of bulk drugs were to major markets like
Manufacturing
The Company
continues to invest in manufacturing capabilities and the supply network to
support growth at optimum product cost. Nashik site continues to deliver
Albendazole tablets to WHO as a part of the Lymphatic Filriasis eradication
programme. Nashik manufacturing site continue to focus on waste reduction
opportunities through optimising material usage and pack rationalization. There
was considerable focus on improving Environment, Health and Safety and GMP
compliance at both Nashik and Thane sites during the year.
The Nashik site
has embarked upon major investment programmes to augment the capacity of
various dose forms in line with the latest GMP requirements and the growing
market volumes.
Manufacturing
Excellence
Nashik site
continues to support sales growth through significant volume contribution by
creating supply capabilities through adding best in class manufacturing
equipments. During the year Nashik site supplied ~ 7.2 Bn dose forms. There was
focus on improving the Environment, Health and Safety at site through living
safety training, Zero access machine guarding, and LOTO programme
implementation. Nashik site has also received the WHO GMP certificate.
Future Plans:
The Pharmaceutical
R and D is planning to review all the Liquid Oral formulations with a view to
explore the possibility of substituting the sugar with artificial sweeteners to
significantly reduce the calorie content of the formulations and simplify the
processes used for manufacturing Liquid Oral products. Other cost saving
opportunities also would be explored. The department is planning to implement
SMS Technology (mass encryption technology) for major products like Eltroxin on
commercial scale.
CONTINGENT LIABILITIES NOT PROVIDED FOR:
|
Particulars |
31.12.2011 (Rs. in millions) |
|
(i) Cheques
discounted with banks |
45.383 |
|
(ii) In respect
of claims made against the Company not acknowledged as debts by the Company |
|
|
- Sales tax matters |
285.296 |
|
- Excise matters |
43.897 |
|
- Service tax
matters |
12.920 |
|
- Labour matters |
511.725 |
|
- Other legal
matters |
106.357 |
|
which net of
current tax amount to |
641.242 |
|
(iii) Taxation matters
in respect of which appeals are pending |
|
|
- Tax on matters
in dispute |
1767.644 |
|
- Other
consequential matters (net of tax) |
-- |
Notes:
Future cash
outflows in respect of (i) above are dependant on the return of cheques by
banks.
Future cash
outflows in respect of (ii) and (iii) above are determinable on receipt of
decisions / judgements pending with various forums / authorities.
FIXED ASSETS
v
v
v Freehold Buildings (Freehold buildings include investments representing ownership of residential flats.)
v
v Plant and Machinery
v Furniture and Fittings
v Vehicles
WEBSITE DETAILS:
PRESS RELEASES:
GLAXOSMITHKLINE PHARMACEUTICALS NET SALES UP 15.4%,
PAT BEFORE EXCEPTIONAL ITEMS GROWS 20.5% IN FOURTH QUARTER OF FY 2011
16th February 2012,
GlaxoSmithKline
Pharmaceuticals Limited announced its financial results for the fourth quarter
ended 31st December, 2011. The growth in Net Sales was 15.4% and Profit After
Tax and before Exceptional Items was 20.5%. The core Pharmaceuticals business
grew by 18.2% for the quarter.
For the year ended
31st December 2011, the growth in Net Sales was 10.7% and Profit
After Tax and before Exceptional Items was 8.6% while the core Pharmaceuticals
business grew by 12.5%.
The continued growth
of specialty products and vaccines, new product launches and tight expense
control helped improve profits. Despite material cost escalations and
significant expansion of the field force, Profit before Investment Income and
Tax amounted to 33% of Net Sales. The quarter saw the launch of Synflorix- a
vaccine against invasive pneumococcal disease - the leading cause of childhood
mortality in
In 2011, the Company
also expanded its Oncology portfolio by launching Votrient, indicated for the
treatment of advanced renal cell carcinoma (RCC) and RevoladeTM for the
treatment of idiopathic thrombocytopenic purpura [(ITP) (reduced platelet
count)]. Branded generics were launched in the metabolic and Steifel range of
products.
Commenting on the
performance, Dr. Hasit B. Joshipura, Managing Director, said, “Growth for the
quarter was market competitive, driven by a revival in the anti-infective and
mass markets segment. Our specialty business continued to register good growth
aided by the launch of products from our global pipeline and branded generics.
The vaccine business showed a high growth trajectory, with the Company
continuing to expand its vaccine portfolio.”
The Board
recommended a dividend of Rs. 45 per Equity Share for the year (previous year:
Rs.40 per Equity Share). If approved by the shareholders at the Annual General
Meeting, the Dividend will absorb Rs.3810.000 millions. The Dividend
Distribution Tax borne by the Company will amount to Rs.600.000 millions.
About GlaxoSmithKline:
GlaxoSmithKline
Pharmaceuticals Limited is a subsidiary of GlaxoSmithKline plc, one of the
world's leading research-based pharmaceutical and healthcare companies,
committed to improving the quality of human life by enabling people to do more,
feel better and live longer.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair and
reasonable and comparable to compensation paid to others for similar services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.05 |
|
|
1 |
Rs.81.09 |
|
Euro |
1 |
Rs.67.39 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
76 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.