MIRA
INFORM REPORT
|
Report Date : |
20.08.2012 |
IDENTIFICATION DETAILS
|
Name : |
GLENMARK
PHARMACEUTICALS LIMITED |
|
|
|
|
Registered
Office : |
B/2, Mahalaxmi
Chambers, 22, |
|
|
|
|
Country : |
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|
|
|
Financials (as
on) : |
31.03.2012 |
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|
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Date of
Incorporation : |
18.11.1977 |
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|
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Com. Reg. No.: |
11-19982 |
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|
|
Capital
Investment / Paid-up Capital : |
Rs.270.530 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24299MH1977PLC019982 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMG07883B |
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|
|
Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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|
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Line of Business
: |
Manufacturing and
Marketing of Pharmaceutical Products |
|
|
|
|
No. of Employees
: |
7000 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (73) |
|
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 |
|
Maximum Credit Limit : |
USD 87000000 |
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|
|
|
Status : |
Excellent |
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|
|
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed pharmaceutical company
having excellent track. It is among the top 25 players with a market share of
1.6 per cent. Financial position of the company appears to be sound. Directors are
reported to be well experienced and knowledge businessmen. Trade relations are reported as praise worthy. Business is active.
Payments are reported to be regular and as per commitments. The company can be considered good for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
A+ (Long Term Rating) |
|
Rating Explanation |
Adequate degree of safety and low credit risk. |
|
Date |
20.02.2012 |
|
Rating Agency Name |
CRISIL |
|
Rating |
A1 (Short Term Rating) |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
20.02.2012 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered / Administrative Office : |
B/2, Mahalaxmi Chambers, 22, |
|
Tel. No.: |
91-22-24964893 / 24964894 / 24964895 /
24964896 / 56549999 / 55902491 / 92 |
|
Fax No.: |
91-22-24932648 / 23512177 / 23519652 |
|
E-Mail : |
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|
Website : |
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Corporate Office : |
Gelnmark House, HDO – Corporate Building
Wing A, B D Sawant Marg, Chakala, Off Western Express Highway, Andheri (East),
Mumbai – 400 099, Maharashtra, India |
|
Tel. No.: |
91-22-40189999 |
|
Fax No.: |
91-22-40189986 |
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|
|
|
Manufacturing Facilities : |
Formulations ·
E – 37, MIDC Industrial Area, D-Road, Satpur, ·
Plot No. 7, Colvale Industrial Estate, Bardez –
403 115, ·
D-42, Plot No. 50, Kundaim Industrial Estate,
Kundaim – 403 115, ·
Village-Kishanpura, ·
Business Unit II, Village Bhattanwala, PO
Rajpura, Nalagarh District Solan, ·
Unit - III, Vill Kishanpura,
Baddi-Nalagarh Road, Dist. - Solan – 174101, Himachal Pradesh, India ·
Plot No. 2, Phase-II, Pharma Zone, Special
Economic Zone Area, Pitampur, Indore – 454 775, Madhya Pradesh, India ·
Rua Assahi, 33-1, Andar CEP: 09633-0110, Rudge
Ramos ·
Rua Frei Liberato De Gries, 548, Jardim
Arpoadar, CEP: 05572-210, ·
Glenmark Pharmaceuticals S.R.O., Fibichova 143,
56617, ·
Calle 9 Ing Meyer Oks N 593, Parque Industrial
Pilar, B1629MX Buenos Aires, Argentina
API ·
3109-C, GIDC Industrial Estate, Ankleshwar,
District Bharuch - 393 002, ·
Plot No. 163-165/170-172, Chandramouli Industrial
Estate, Mohal Bazarpeth, ·
Plot No. A80, MIDC Area, Kurkumbh, Daund, Pune
– 413 802, |
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|
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Manufacturing Facilities under
Construction : |
Formulations ·
Growth
Centre, Samik-Marchak, District API ·
Z-103
I, Dahej SEZ, Dahej District, Bharuch, ·
Plot
No. B-25, Five Star MIDC, Shendra District |
|
|
|
|
R and D Centers : |
·
Plot No.
A-607, TTC Industrial Area, MIDC, Mahape, Vashi, Navi Mumbai - 400 705, ·
Chemin
de la Combeta 5, 2300 La Chaux-de-fonds, ·
Plot
No. C 152, MIDC Sinnar Industrial Area, ·
Plot
No. M4, Taloja Industrial Area, MIDC Taloja, Takula Panvel – 410 208,
District – Raigad, |
|
|
|
|
Clinical
Research Centre : |
·
Plot
No. D 508, TTC Industrial Estate, MIDC, Turbhe, Navi Mumbai – 400 705, ·
C2 7600,
The Quorum, |
|
|
|
|
Divisional Office : |
Located at
:- ·
Mumbai ·
·
·
Chennai ·
·
·
Kolkata ·
Vadodara
·
|
|
|
|
|
Branch Office : |
·
215/216,
Adhyaru Industrial Estate, Sun Mill Compounds, Lower Parel, Mumbai – 400 013,
Tel. No. : 91-22-24982172 ·
No.
2, ·
Plot
No. 39, Vasavinagar, ·
13-14-15,
·
10/58,
Kirth Nagar Industrial Area, ·
510,
Commercial Point, 79, Lenin Sarani, Kolkata – 700 013, West Tel. No. : 91-33-22449668 / 22467318 ·
IBF
Warehousing Complex, ·
817-819,
Sidharth Complex, Tel. No. : 91-126-2337857 / 2342359 |
|
|
|
|
Overseas Office : |
·
Glenmark
Pharmaceutica LDA Lote 4 – 2 – DT, Qta Do Meio, Rua Combatentes Do Ultramar, 2675 ·
Glenmark
Pharmaceuticals ( 2798, |
DIRECTORS
As on 31.03.2012
|
Name:
|
Mr. Gracias
Saldanha |
|
Designation : |
Founder and Chairman Emeritus |
|
Qualification : |
M.Sc. with
Diploma in Management Studies |
|
|
|
|
Name : |
Mr. Glenn Saldanha |
|
Designation |
Chairman and Managing Director |
|
Qualification : |
B. Pharma /
M.B.A. |
|
|
|
|
Name : |
Mrs. Cheryl
Pinto |
|
Designation : |
Executive
Director |
|
Qualification : |
Graduate in
Pharmacy |
|
|
|
|
Name |
Mr. Rajesh V.
Desai |
|
Designation |
Executive
Director and CFO |
|
|
|
|
Name |
Mrs. B. E. Saldanha |
|
Designation |
Non Executive Director |
|
|
|
|
Name : |
Mrs. B. E. Saldanha |
|
Designation : |
Non Executive Director |
|
Qualification : |
Graduated in Arts and Law |
|
|
|
|
Name : |
Mr. Bernard
Munos |
|
Designation : |
Non Executive Director |
|
|
|
|
Name : |
Dr. Brian W
Tempest |
|
Designation : |
Non Executive
Director |
|
|
|
|
Name : |
Mr. Julio F.
Ribeiro |
|
Designation : |
Non Executive
Director |
|
Qualification : |
Ex-IPS |
|
|
|
|
Name : |
Mr. Hocine Sidi
Said |
|
Designation : |
Non Executive
Director |
|
Qualification : |
B.A.
(International Marketing) |
|
|
|
|
Name : |
Mr. Sridhar
Gorthi |
|
Designation : |
Non Executive
Director |
|
Qualification : |
B.A., L.L.B.
(Hons.) from |
|
|
|
|
Name : |
Mr. N. B. Desai |
|
Designation : |
Non Executive
Director |
KEY EXECUTIVES
|
Name : |
Mr. Marshall Mendonza |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2012
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
2,347,713 |
0.87 |
|
|
128,241,936 |
47.39 |
|
|
128,241,936 |
47.39 |
|
|
130,589,649 |
48.26 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
130,589,649 |
48.26 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
6,186,617 |
2.29 |
|
|
8,541,903 |
3.16 |
|
|
90,553,234 |
33.46 |
|
|
105,281,754 |
38.90 |
|
|
|
|
|
|
6,989,034 |
2.58 |
|
|
|
|
|
|
17,495,809 |
6.47 |
|
|
7,873,370 |
2.91 |
|
|
2,385,837 |
0.88 |
|
|
213,909 |
0.08 |
|
|
562,753 |
0.21 |
|
|
1,477,661 |
0.55 |
|
|
10,917 |
- |
|
|
120,597 |
0.04 |
|
|
34,744,050 |
12.84 |
|
Total Public shareholding (B) |
140,025,804 |
51.74 |
|
Total (A)+(B) |
270,615,453 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
|
|
- |
- |
|
|
- |
- |
|
|
- |
- |
|
Total (A)+(B)+(C) |
270,615,453 |
- |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and Marketing of
Pharmaceutical Products |
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|
Products : |
|
PRODUCTION STATUS (As on 31.03.2011)
|
Particulars |
|
Unit |
Installed Capacity |
Actual Production |
|
Injections |
|
Litres |
- |
150119 |
|
Liquid Orals |
|
Litres |
8553666 |
4825608 |
|
Lotions and
externals |
|
Litres |
870025 |
686220 |
|
Ointments and
Creams |
|
Kgs. |
1153500 |
731372 |
|
Solids and
Powders |
|
Kgs. |
113000 |
286185 |
|
Tablets and
Capsules |
|
Nos. |
1182950000 |
760097746 |
|
Aerosol Spray |
|
Nos. |
3000000 |
357213 |
|
Inhaler Capsules |
|
Nos. |
400000 |
198558 |
|
Others |
|
-- |
-- |
60142 |
Notes:
·
The products of the Company are exempt from
licencing procedures.
·
Installed capacity, being a technical matter, has not
been verified by the auditors. However, the management has certified the same.
·
Actual production includes goods manufactured at
third party manufacturing facilities on loan licence basis and at leased
facilities.
GENERAL INFORMATION
|
No. of Employees : |
7000 (Approximately) |
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Bankers : |
Bank of |
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|
Facilities : |
(Rs. in Millions)
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name: |
Walker, Chandiok and Company Chartered Accountants |
|
Address: |
Mumbai |
|
|
|
|
Cost Auditors: |
|
|
Name: |
Sevekari Khare and Associates Chartered Accountants |
|
Address: |
Mumbai |
|
|
|
|
Solicitor : |
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|
|
|
|
Subsidiary
companies: |
·
Glenmark Pharmaceuticals Europe Limited., U.K. ·
Glenmark Generics (Europe) Limited., U.K. ·
Glenmark Pharmaceuticals S.R.O., Czech Republic ·
Glenmark Pharmaceuticals SK, s.r.o., Slovak
Republic ·
Glenmark Pharmaceuticals S. A., Switzerland ·
Glenmark Holding S. A., Switzerland ·
Glenmark Generics Holding S. A., Switzerland ·
Glenmark Generics Finance S. A., Switzerland ·
Glenmark Pharmaceuticals S.R.L., Romania ·
Glenmark Pharmaceuticals Eood., Bulgaria ·
Glenmark Distributors SP z.o.o., Poland ·
Glenmark Pharmaceuticals SP z.o.o., Poland ·
Glenmark Generics Inc., USA ·
Glenmark Therapeutics Inc., USA ·
Glenmark Farmaceutica Ltda., Brazil ·
Glenmark Generics SA., Argentina ·
Glenmark Pharmaceuticals Mexico, S.A. DE C.V., Mexico ·
Glenmark Pharmaceuticals Peru SAC., Peru ·
Glenmark Pharmaceuticals Colombia Ltda., Colombia ·
Glenmark Uruguay S.A., Uruguay ·
Glenmark Pharmaceuticals Venezuela., C.A.,
Venezuela ·
Glenmark Dominicana, SRL, Dominican Republic ·
Glenmark Pharmaceuticals Egypt S.A.E., Egypt ·
Glenmark Pharmaceuticals FZE., United Arab
Emirates ·
Glenmark Impex L.L.C., Russia ·
Glenmark Philippines Inc., Philippines ·
Glenmark Pharmaceuticals (Nigeria) Limited.,
Nigeria ·
Glenmark Pharmaceuticals Malaysia Sdn Bhd.,
Malaysia ·
Glenmark Pharmaceuticals (Australia) Pty
Limited., Australia ·
Glenmark South Africa (Pty) Limited., South
Africa ·
Glenmark Pharmaceuticals South Africa (Pty)
Limited., South Africa ·
Glenmark Access Limited (formerly known as
Glenmark Exports Limited.) ·
Glenmark Generics Limited., India ·
Glenmark Generics B.V., Netherlands ·
Glenmark Arzneimittel Gmbh., Germany ·
Glenmark Generics Canada, Inc. |
|
|
|
|
Investment in
Joint Venture: |
·
Glenmark Pharmaceuticals (Thailand) Company
Limited., Thailand |
|
|
|
|
Enterprise over
which key managerial personnel exercise significant influence: |
·
Glenmark Foundation, India |
CAPITAL STRUCTURE
As on 11.08.2011
Authorised Capital : Rs.750.000 Millions
Issued, Subscribed & Paid-up Capital : Rs.270.615
Millions
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
350000000 |
Equity Shares |
Re.1/- each |
Rs.350.000 Millions |
|
4000000 |
Cumulative
Redeemable Non-convertible Preference Shares |
Rs.100/- each |
Rs.400.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs.750.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
270272053 |
At the beginning of the year |
Rs.1/- each |
Rs.270.272
Millions |
|
263450 |
Add: Issued during the year Under the Employee Stock Option Scheme, 2003 At the end of the year |
Rs.1/- each |
Rs.0.263
Millions |
|
|
|
|
|
|
|
Total |
|
Rs.270.535 Millions |
Note:
|
|
As at 31 March 2012 |
|
|
List of Shareholders holding more than 5% shares |
% of Holding |
No. of Shares |
|
Saldanha Family Trust |
47.40 |
128,241,936 |
|
HSBC Global Investment Funds Mauritius Limited |
5.38 |
14,557,222 |
As at 31 March 2012,
1,419,300 options were outstanding under Employee Stock Option Scheme 2003. On
exercise of the options so granted under Employee Stock Option Scheme 2003, the
paid-up Equity Share Capital of the Company will increase by equivalent number
of shares.
The Company has
formulated an Employee Stock Option Plan (‘ESOP’) scheme namely ESOP 2003 under
which it has made grants on various dates from time to time. Each grant has a
vesting period which varies from 1-2 years and up to 4-6 years from the date of
grant depending on the terms of the grant. The grants are made at the market
price of the equity shares of the Company on either the date or the closing
price of the date prior to day of the grant.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
270.530 |
270.270 |
269.840 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
21586.550 |
19527.140 |
17428.110 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
21857.080 |
19797.410 |
17697.950 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1149.600 |
1489.620 |
486.400 |
|
|
2] Unsecured Loans |
3614.790 |
9229.910 |
7111.150 |
|
|
TOTAL BORROWING |
4764.390 |
10719.530 |
7597.550 |
|
|
DEFERRED TAX LIABILITIES |
238.010 |
229.300 |
327.710 |
|
|
Foreign currency monetary item translation difference account |
0.000 |
0.000 |
36.210 |
|
|
|
|
|
|
|
|
TOTAL |
26859.480 |
30746.240 |
25659.420 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
2271.280 |
2261.190 |
1904.080 |
|
|
Capital work-in-progress |
655.710 |
312.530 |
468.830 |
|
|
|
|
|
|
|
|
INVESTMENT |
10832.690 |
10412.470 |
9929.200 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
96.730 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1759.270
|
1570.070 |
1503.980
|
|
|
Sundry Debtors |
3587.430
|
1893.440 |
3300.920
|
|
|
Cash & Bank Balances |
475.140
|
309.490 |
50.770
|
|
|
Other Current Assets |
1886.610
|
1344.480 |
0.000
|
|
|
Loans & Advances |
10222.480
|
15638.400 |
10511.140
|
|
Total
Current Assets |
17930.930
|
20755.880 |
15366.810 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
0.000
|
0.000 |
791.800
|
|
|
Other Current Liabilities |
4127.550
|
2797.830 |
1118.610
|
|
|
Provisions |
703.580
|
198.000 |
195.820
|
|
Total
Current Liabilities |
4831.130
|
2995.830 |
2106.230 |
|
|
Net Current Assets |
13099.800
|
17760.050 |
13260.580 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
26859.480 |
30746.240 |
25659.420 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
15646.650 |
11629.390 |
9830.280 |
|
|
|
Other Income |
551.040 |
717.520 |
91.900 |
|
|
|
TOTAL (A) |
16197.690 |
12346.910 |
9922.180 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
3376.690 |
2404.910 |
|
|
|
|
Purchases of Stock-in-trade |
1049.470 |
871.580 |
|
|
|
|
Changes in inventories
of finished goods, work-in-progress and Stock-in-trade |
(128.630) |
139.890 |
|
|
|
|
Employee benefit expenses |
2468.090 |
1741.570 |
|
|
|
|
Other expenses |
5771.280 |
3613.650 |
|
|
|
|
TOTAL (B) |
12536.900 |
8771.600 |
8197.690 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3660.790 |
3575.310 |
1724.490 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
608.690 |
857.500 |
301.580 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3052.100 |
2717.810 |
1422.910 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
211.130 |
209.880 |
212.780 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
2840.970 |
2507.930 |
1210.130 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
187.980 |
386.150 |
(74.500) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
2652.990 |
2121.780 |
1284.630 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
10294.140 |
8511.120 |
7480.980 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend on Equity Shares |
NA |
108.110 |
107.940 |
|
|
|
Tax on Proposed Dividend on Equity Shares |
NA |
17.960 |
17.930 |
|
|
|
Residual Dividend and Dividend Tax |
NA |
0.500 |
0.160 |
|
|
|
Transfer to General Reserve |
NA |
212.190 |
128.460 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
10294.140 |
8511.120 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods calculated on FOB basis |
5405.840 |
3020.010 |
2649.150 |
|
|
|
Guarantee Commission |
109.380 |
11.210 |
26.060 |
|
|
|
Interest on loan to subsidiaries |
144.800 |
308.040 |
278.250 |
|
|
|
Royalty Income |
1.850 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
5661.870 |
3339.260 |
2953.460 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
244.680 |
158.840 |
150.440 |
|
|
|
Capital Goods |
102.580 |
166.850 |
77.920 |
|
|
TOTAL IMPORTS |
347.260 |
325.690 |
228.360 |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share - Basic (Rs.) |
9.81 |
7.86 |
4.93 |
|
|
|
Earnings Per Share - Diluted (Rs.) |
9.80 |
7.85 |
4.92 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2012 |
|
Type |
|
|
1st
Quarter |
|
Net Sales |
|
|
3924.910 |
|
Total Expenditure |
|
|
3268.500 |
|
PBIDT (Excl OI) |
|
|
656.410 |
|
Other Income |
|
|
122.060 |
|
Operating Profit |
|
|
778.470 |
|
Interest |
|
|
106.950 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
671.520 |
|
Depreciation |
|
|
60.730 |
|
Profit Before Tax |
|
|
610.790 |
|
Tax |
|
|
62.540 |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
548.250 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
548.250 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
16.38
|
17.18 |
12.95 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
18.16
|
21.57 |
12.31 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
15.84
|
12.08 |
7.87 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.13
|
0.13 |
0.07 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.44
|
0.69 |
0.55 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.71
|
6.93 |
7.30 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
No |
|
31] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
32] |
Date of Birth of Proprietor/Partner/Director,
if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
RESULTS OF OPERATIONS
On Standalone basis the Company achieved a gross revenue of Rs.15646.650 millions and the Standalone operating profit before finance costs, depreciation and tax was Rs.3660.790 millions as compared to Rs.3575.310 millions in the previous year.
On Consolidated basis the Company achieved a gross revenue of Rs.40206.430 millions and the Consolidated operating profit before finance costs, depreciation and tax was Rs.7236.240 millions as compared to Rs.7327.720 millions in the previous year.
Management Discussion
and Analysis
Global Economic
Outlook
The world economy has entered a very difficult phase characte rized by significant downside risks and fragility. The financial turmoil generated by the intensification of the fiscal crisis in Europe has spread to both developing and high-income countries, and is generating significant headwinds. Capital flows to developing countries have declined by almost half as compared to last year, Europe appears to have entered recession, and growth in several major developing countries (Brazil, India, and to a lesser extent Russia, South Africa and Turkey) has slowed partly in reaction to domestic policy tightening. As a result, and despite relatively strong activity in the United States and Japan, global growth and world trade have slowed sharply.
IMF in its recent report has projected lower growth in 2012 for the world economy. It forecasts a global economic growth of 3.5% in 2012 against an estimated growth of 3.9% in 2011. The U.S and Euro economies are projected to grow at 2.1% and - 0.3% respectively.
The negative growth forecast for the Euro area is concerning.
Moreover, growth in emerging economies is also expected to comedown marginally as compared to 2011. The outlook for global economic growth dipping below 2011 levels does not augur well and is reflective of the challenges being faced.
The prospects for the global economy in 2012 remain uncertain despite positive signals in North America. This is especially due to doubts about the outcome of the euro crisis, which are likely to dampen investment activity. The high levels of private and public debt in many countries will probably also have a negative impact on demand. A significant increase in the oil price during the year would further weaken the economy. In contrast, the highly expansionary monetary policy is expected to continue supporting growth.
Global Pharma
Scenario
The global pharmaceutical market has grown at a 7% CAGR over the past six years to reach a size of US$ 880 bn, according to data from IMS Health. Within this, the generics market has been the key driver of growth, having grown at a much faster pace of 13.8% CAGR over the period, driven by large-scale patent expiries and global demand for lower-cost drugs. IMS Health forecasts the global pharma market to grow at a 5% CAGR over the next four years to reach a size of over US$ 1 trillion by 2015E (see table). Within this, the generics subsector is expected to grow at 12%-15% CAGR, helped by continuing patent expiries in the US and the faster growth in the pharmerging markets (including Brazil, Russia, India, Mexico and Turkey).
A look into the prospects of some of the key markets for Glenmark:
US Generics:
Signi_cant generics opportunity until 2015
2012 may see the biggest patent expires, but significant generics opportunity at least until 2015 will sustain momentum of growth in the US.
They believe that the growth momentum will be sustained in the US market owing to:
1. Continuing patent expiries and Para-IV challenges over 2012-15, providing fresh launch opportunities.
2. Ability to garner greater market share in the US generics market.
3. Focus on limited-competition therapeutic areas like dermatology, oral contraceptives and oncology.
The last two factors, in their view, should continue to sustain growth even beyond the patent cliff period of 2015 (which is when the number of generic launch opportunities is likely to reduce as the patent expiries begin to recede).
Domestic Indian Market
to sustain the growth momentum
They believe that the growth rate for the domestic Indian pharma market is set to rise over the medium term due to factors like continued new product launches by Indian firms and measured by them on improving effectiveness of field force additions. Although, the pricing environment hitherto, a favourable one, may pose some challenges with issues like Draft National Pharmaceutical Pricing Policy (NPPP) 2011 coming to the fore.
The domestic pharma market has grown at a 14% CAGR over the past 18 years. However, drug consumption per capita in India is still among the lowest globally. Even adjusting for India having the lowest prices in the world, the per capita consumption volumes are estimated to be 8 -12x lower than in the US and Japan. Hence, there is tremendous room for growth for the Indian industry.
ROW Markets:
Signi_cant opportunities for Growth
Since growth from the US market may begin to taper from 2015, possessing critical mass in the ROW market by 2015 may become a prerequisite to maintain the current growth trajectory for global pharma companies. Most of the “pharmerging” markets like Brazil, Mexico, Russia and other CIS countries, have a predominantly branded generics market. This, in their view, will be beneficial to companies like Glenmark as they have a deep understanding of the branded generics model and the profitable nature of the branded generics markets may also mean that profitability or cash returns may not be hit from exposure to these markets.
Innovation: a
critical success factor
Innovation leading to new drugs is critical to meeting unmet medical need. Existing drugs will continue to be important in meeting the growing demand for healthcare, particularly with the increasing use of generic medication. At the same time, advances in disease understanding and the application of new technologies will be
required to ensure the delivery of new medicines. Such approaches include personalized healthcare and predictive science as well as new types of therapy. The challenges of Improving R and D productivity is a critical challenge for the pharmaceutical industry.
Business Review
Specialty Business
Glenmark’s branded formulations business is currently organized around four regions – India, Latin America, Central Eastern Europe and Semi Regulated Markets of Africa/Asia/CIS.
For the year ended 31 March 2012; Specialty formulations business revenue was at Rs.23327.660 millions (USD 483.660 millions) as against Rs.16858.150 (USD 367.280 millions) for the corresponding previous period, registering growth of 38%.
During the financial year, the Specialty Business focused on 3 critical areas globally:
• People Development: Enhancing the productivity of their most critical resource - people through training and development initiatives and ushering in better performance of people across the value chain.
• Product Pipeline Management: Continuing with their therapeutic focus strategy, they have strived to enhance the portfolio in focus segments like Dermatology, Oncology and Respiratory, across markets.
• Operational Efficiency: With a focus on improving operational efficiency at all levels of the value chain, they streamlined their field force and aligned them with their therapeutic focus to enhance productivity. Greater control was exercised on their in-channel inventory, as well as receivables management. All these efforts have resulted in solid secondary sales growth, higher profitability and better cash flows.
India
Glenmark’s India formulations business surged ahead gaining 3 ranks in FY 12 as per IMS. The company continued to gain market share in key segments like dermatology, respiratory and cardiology. While top brands like Telma, Candid and Ascoril continued to excel, the company launched over 20 products in focus therapeutic segments to build the foundation of future growth.
Sales for the formulations business in India increased to Rs.10021.300 millions (USD 206.500 millions) for the financial year as compared to Rs.8446.880 millions (USD 184.030 millions), in the previous corresponding year, recording a growth of 19% in term. The company registered value growth of 26.4% vis-a-vis the industry growth of 15% and gained ranks to be at 22nd from 25th rank with 1.71% market share as per MAT Mar 2012. On cumulative basis, the company is the 2nd fastest growing company among top 20 companies in IPM with significant growth of 33.5%. The growth is driven by significant gains in market share and rankings of top brands as per IMS (MAT Mar 2012) data.
• Telma (Telmisartan) gained 15 ranks to be at 80th
• Telma-H (Telmisartan, Hydrochlorothiazide) has gained 52 ranks to be at 106th
• Candid B (Clotrimazole + Beclomethasone) has gained 27 ranks to be at 116th and crossed Rs.500.000 millions milestone
• Candid (Clotrimazole) has gained 39 ranks to be at 231st
• Ascoril (Expectorant + Mucolytic) stood at 92nd rank
The company strengthened its presence in following therapeutic segments with significant growth in market share as per IMS Mat Mar 11’ v/s Mat Mar 12’ respectively. Derma from Market Share (MS) 8.23% to 8.69%, Cardiac from MS 2.34% to 2.86%, Respiratory – MS 2.65% to 2.84%, Anti-infective – MS from 1.31% to 1.44%, Gynecology – MS from 1.26% to 1.43%; Pain/Analgesic - MS from 1.0% to 1.08%, and Anti-diabetic registered MS of 1.45% The company has further strengthened its presence in IPM across its core therapeutic area i.e Dermatalogy through launch of Cosmocare division. The launch of this division will consolidate their presence in Dermato-cosmoceuticals segment. They also launched a new Respicare division to consolidate their presence in acute care prioritizing brand promotion and launch of Zoltan Care division to strengthen their presence in Cardiovascular segment through focus approach.
Highlighting
Initiatives:
• Launch of MIDAS (Medical Information and Dissemination And Service) to resolve product specific and other medical queries encountered by customers
• Pharmacovigilance initiatives to report adverse events encountered
• Webinars to disseminate product benefits and to address the disease management through top KOLs
• Launch of Glenmark first product website Vwash, dedicated to women’s intimate health and hygiene, empowering women with knowledge, stating do’s / don’ts regarding woman’s hygiene
• Introduction of Toll free number to bring about awareness among patient on Eczema and Psorasis, the activity strengthen organization perception to be a scientific oriented company among Doctors and end users
ROW Markets
Glenmark’s Rest of the World (ROW) operations delivered a stellar performance across markets clocking growth of 46% in FY 11-12 over the previous _nancial year. The Russian subsidiary continued to gain ranks. It continued to improve its rankings and emerged among top 20 pharma companies in the dermatology segment and among the fastest growing companies in Russia.
In the year, Glenmark’s revenues from its ROW operations increased to Rs.5925.520 Millions (USD 122.100 Millions) from Rs.4069.660 Millions (USD 88.660 Millions) in FY 10-11; registering a growth of 46% in terms.
Russia / CIS
During the financial year, the Russian subsidiary registered strong growth in secondary sales. Acording to Pharmexpert MAT March 2012 data,the subsidiary registered value growth of 17.8% vis-a-vis that of the industry 17.4% (on a MAT basis). Glenmark is one of the fastest growing Indian pharma companies in Russia and the company now ranks 59th in the market, gaining 3 ranks vis-a-vis March 2011.
A more focused approach has been adopted with the creation of two separate business units for respiratory and dermatology segments.
The secondary sales growth for dermatology products was over 50% in the financial year. The company launched two Dermatology products Supirocin and Supirocin B in the third quarter which paved the way for the establishment of ‘Glenmark Institute of Healthy Skin’. The company’s market share in the dermatology segment in Russia increased to 1.75 from 1.56%% vis-ŕ-vis the previous financial year. On the regulatory front, new packaging design for the products of dermatology portfolio has been approved and registered.
Furthermore, registration was completed for the cosmetics range of products, which are planned to be launched in FY 13.
In other CIS markets of Ukraine, Kazakhstan and Uzbekistan; the positive trend of growth in secondary sales continued. In Ukraine, which is the largest market in the CIS region after Russia, Glenmark has recorded over 83% growth in secondary sales in the year, driven primarily by its focus brands strategy.
During the year, the company conducted several training programmes (both online and offline) to improve the effectiveness of its sales force across CIS markets. It also participated in several seminars to reach out to Doctors and Key Opinion Leaders (KOL)
Africa and Middle
East
Despite challenges in the business environment; Glenmark’s Africa and Middle East operations recorded impressive growth in overall sales. The business recorded strong secondary sales growth of over 40% backed by its power brands strategy.
The units of South Africa, Kenya, Tanzania, Egypt and UAE capitalized on the various new products launched in the first half of the year to record impressive sales growth. While Supiroban (Mupirocin) continued its robust secondary growth in South Africa, Flexilor (Lornoxicam) registered good sales numbers in Kenya. In the year the UAE subsidiary entered the metabolic disease segment by launching Glimulin(Glimepiride) in the fourth quarter.
Asia
In the year the Asian region continued to perform well registering an increase of 30% in secondary off take over the corresponding previous year. The power and focus brands strategy continued to yield rich dividends for the company and presently contribute nearly 70% to the total sales from the region. Their Malaysia, Vietnam and Myanmar units grew by around 50%; while the Philippines subsidiary recorded a growth of 25% I n FY 12.
The focus in the year was on building competencies of field staff employees in the region. With this end in mind, regional training programmes for Area Managers and Medical Representatives were conducted in all operating countries of the region.
Key product launches included Giemont (Monteleukast) in Malaysia and Dervia MS/Klenzit MS (Adapalene in microsphere technology) in Malaysia, Vietnam, Philippines and Sri Lanka. In the fourth quarter their Malaysian and Philippines subsidiaries received approval for Levocetrizine dihydrochloride tablets. In all ten products were registered in the Asia region during the year and these products are expected to drive growth for the company in FY 2013.
Latin America
Glenmark’s strong revenue growth from its LatAm and Caribbean operations over last year was powered by strong performances from its Brazil and Venezuela subsidiaries. With a strong product pipeline and continued emphasis on enhancing _eld force productivity, the company has built a strong foundation for driving future growth in the LatAm region.
In the year Glenmark’s revenue from its Latin America and Caribbean operations was at Rs. 2869.130 millions (USD 59.120 millions) as against Rs.1918.860 millions (USD 41.810 millions); a growth of 50% over previous corresponding year.
All subsidiaries in the region viz Brazil, Venezuela, Mexico, Caribbean and Peru continued to record good secondary sales growth. Brazil, the largest subsidiary contributing over 70% of sales from LatAm region grew by over 30%.
A major growth driver for the Brazil operations this year has been the strengthening of Company’s oncology and dermatology portfolios by a mix of in-licensed and in-house product launches. There was an increased focus on maximizing field force productivity as well.
The year also saw an unequivocal focus on developing a stronghold in rest of the Latin American region, especially Mexico and Venezuela, the second and third largest pharmaceutical markets in LatAm region.
Albeit over a small base, the Upper LatAm countries doubled their secondary uptake vis-a-vis the previous year. This was majorly driven by the strong product pipeline and enhanced emphasis on improving field force productivity. The Company further enhanced its oncology, respiratory and dermatology portfolios by a mix of in-house developments and in-licensing deals. The region sourced most of its oncology products from GGL’s Argentina plant, the company’s hub for manufacturing and distributing oncology products.
Central Eastern
Europe
Braving odds of a challenging business environment, Glenmark‘s Central Eastern Europe (CEE) operations posted healthy growth led by its subsidiaries in Czech Republic, Slovak Republic and Romania.
Glenmark Europe’s operations revenue for the entire financial year was Rs.1976.470 millions (USD 40.730 millions) as compared to Rs.1527.650 millions (USD 33.280 millions) for the previous corresponding financial year, an increase of 29%.
Despite the testing environment, Glenmark CEE had a successful year on all parameters. Overall, the company posted a growth in revenue of 14%, while secondary sales grew by 22% while the overall market recorded a -2% de-growth. The key markets of Czech Republic, Slovak Republic and Romania posted secondary sales growth above 25%.
The company reached its highest ever market ranking of No. 36 in the Czech market. In Slovakia too, the company reached its best ranking of No. 59 in March 2012 propelled by a 28% increase in secondary sales.
The company entered into the new market of Hungary through marketing partners and also initiated business in Baltics. Through the year, Glenmark CEE launched several new products. In Romania, the company had a successful foray into the Central Nervous System (CNS) therapy area, wherein it launched several new products successfully. Glenmark Poland entered the new therapy area of Dermatology and is looking to fortify its portfolio in this therapy area in the coming months. Overall, the company also opened a new front with the oncology and hospital portfolio and is steadily adding products according to the local strategic requirements.
US Formulations
Glenmark’ US formulations business registered a signi_cant growth on the back of its robust product portfolio focused on niche and high entry barriers segments like Dermatology, Hormones, Controlled Substances and Modi_ed Release categories. With over 80 products authorized for distribution in the US market, including 19 dermatology and 10 oral contraceptives products, the US business is all set to scale newer heights.
Glenmark Generics Inc., U.S.A. registered revenue from sale of finished dosage fomulations of Rs.12136.930 millions (USD 250.090 millions) for FY 12 against revenue of Rs.8351.560 millions (USD 181.950 millions), an increase of 45% in term over the corresponding previous year.
In the fiscal year 2012, Glenmark was granted approval of 14 Abbreviated New Drug Applications (ANDA), comprised of 12 final and 2 tentative approvals. Glenmark completed successful launch of 12 products during fiscal year 2012 consisting of a mix of semi-solid preparations, oral-contraceptives, extended release, and immediate release items.
In March 2012, the Company initiated the exclusive launch of fluticasone propionate lotion, their generic version of Nycomed’s Cutivate® lotion. Under the terms of the Settlement Agreement, Glenmark will market and distribute its Fluticasone propionate lotion under a royalty-bearing license from Nycomed US, for which they are entitled to 180 days exclusivity.
In September 2011, Glenmark Generics also completed royalty payment to Paul Capital Partners' Royalty Fund for developing dermatological products for the US market with the final tranche of USD 28.800 millions. With the exercise of the purchase option election, the company has no further obligation to pay royalties to Paul Capital.
The company launched Atovaquone and Proguanil HCl (Malarone) in September 2011 and Fluticasone lotion (Cutivate) in March 2012. The company expects Malarone’s exclusivity to run throughout FY 13, while Cutivate will have 6 months exclusivity in FY 13. Another success for the US business has been in the area of female hormonal products. Glenmark currently has 10 Oral Contraceptives (OCs) authorized for distribution by the U.S. FDA. Glenmark’s OC pipeline includes around 6 filings pending with the USFDA. In dermatology space, the company now has a portfolio of 19 products.
Glenmark’s marketing portfolio as on 31 March 2012 consisted of 77 generic products authorized for distribution in the U.S. market. The Company currently has 39 applications pending in various stages of the approval process with the US FDA, of which 17 are Paragraph IV applications.
Western Europe
Formulations
The European generics business continued to grow at a fast pace aided by its strategy of Product Sales, Licensing Revenues and expanding its presence through Distribution Partners in several European countries.
Revenues from Glenmark’s European business increased to Rs.1031.360 millions (USD 21.250 millions) as against a revenue of Rs.543.610 millions (USD 11.840 millions) in the previous financial year; an increase of 90% in term.
The European business comprises of Glenmark Generics (Europe) Limited (GGEL) which is headquartered in UK and two new entities: Glenmark Generics B.V (GGBV) based in the Netherlands and Glenmark Arzneimittel GmbH (GAG) which is incorporated in Germany.
The European business steadily expanded through product sales and licensing income and by increasing its presence through Distribution Partners in several EU countries. The UK entity built on its business through addition of new accounts. It also entered the Republic of Ireland market for the first time in FY 11-12 with a targeted portfolio of products. The Netherlands business continued supplying products to Pharmacies through health insurance contracts; while the German operation commenced sales from October 2011.
GGEL entered into 10 new out-licensing deals during 2011-12. The company also in-licensed 6 new products and won three tenders in Germany and five tenders in Netherlands. The company obtained several marketing authorizations for different markets and also filed couple of MA application for products across several EU markets through the decentralised procedure (DCP) route.
Oncology
Glenmark’s oncology business continued to _le dossiers at a healthy rate
Based out of Buenos Aires – Argentina, Glenmark’s oncology business serves as the hub for manufacturing and distribution of oncology products across Glenmark markets. The facility provides dossiers to various Glenmark geographies helping them initiate and strengthen their oncology portfolio. In the year, a total of 41 oncology dossiers were provided to various countries – Argentina, Brazil, Mexico, Peru, Middle East and Caribbean nations.
In the coming years, the business stands to play a pivotal role in the growth story of Glenmark, with increasing number of filings and launches planned in both regulated and non regulated markets.
Active Pharmaceutical
Ingredients (API)
Glenmark’s API business continued to transition from ROW markets to regulated markets. The business recorded sales in Japan for the _rst time in FY 12
With increasing pricing pressures being put on the pharma industry across the globe, the pharma industry is pressed to derive the maximum value from the entire value chain, while offering differentiated products that can demand higher margins. This makes the development of low cost- high differentiation APIs extremely critical for success of any organization.
Taking cognizance of the same, the Company strives to be a preferred partner of leading global generic companies offering advanced process chemistry skills and innovative intellectual property solutions. Leveraging its R and D infrastructure and rich R and D knowhow, Glenmark continues to develop high value, unique and challenging APIs for both internal and external demand.
During FY 12, the API business launched Telmisartan in Europe and Canada through two global generic players. First sale for the business was registered in the regulated market of Japan. During the year, the business witnessed successful inspections from USFDA / EU agencies. The business continues its leadership position for Lercanidipine, Topiramate and Amiodarone, combined with launches of 4 new products during the year viz. Atovaquone, Ropinirole, Riluzole and Terbinafine. During the year, two US DMFs were filed.
Revenue from sale of API to regulated and semi-regulated markets globally was Rs.3094.440 millions (USD 63.760 Millions) in FY 12 against Rs.2767.050 millions (USD 60.280 millions) in FY 11, recording an increase of 12% in term.
Outlook
Glenmark's short-term and long-term outlook is encouraging for several reasons. On the discovery front, the pipeline is progressing well with 6 molecules in clinics, of which one is in Phase III and two in Phase II trials. The company will also continue with its approach of out-licensing its molecules. On the generics front, with high value
patented drugs going off patent in the coming years, there is huge potential for the generics business. Glenmark is actively increasing its base in major generics markets of US and Western Europe. At same time, the specialty business will continue to build differentiated pipelines in rest of the world markets, notably the 'Pharmerging' markets. Focus will be on building size and scale organically.
The Company has also put multiple systems and processes in
place to manage its complex operations and instill efficiencies across the
value chain. Glenmark will also continue to build capabilities and nurture a
talent pool with diverse skills sets to deliver continuous results.
CONTINGENT LIABILITIES AND CAPITAL COMMITMENT NOT PROVIDED FOR
|
Particulars |
As
on 31.03.2012 Rs.
in millions |
|
(a) Claims
against the Company not acknowledge as debts |
|
|
Labour Dispute |
0.090 |
|
Disputed Taxes and Duties |
154.470 |
|
(b) Guarantees |
|
|
Bank guarantees |
19.630 |
|
Letter of comfort on behalf of subsidiaries, to the extent of limits |
15925.540 |
|
Corporate Guarantee (Refer Note) |
0.000 |
|
(c) Others |
|
|
Open letters of credit |
460.380 |
|
Indemnity Bond |
287.730 |
|
Call money payable
to Glenmark Pharmaceuticals (Thailand) Company Limited. (16,415 shares @ 50 THB per Equity Share) |
0.000 |
|
|
|
|
Note: The Company’s
subsidiary, Glenmark Generics Inc., U.S.A (GGI) (formerly known as Glenmark
Pharmaceuticals Inc., U.S.A.) (GPI) on 02 June 2006 has entered into an
Agreement with Paul Royalty Fund Holdings II (PRF) pursuant to which, PRF
will pay up to USD 27 millions to GGI for the development and
commercialisation of certain products for the US market. Further, the Company
has entered into a Master Services, License, Manufacturing and Supply
Agreement with GGI to develop and manufacture the aforesaid products, and
also issued a financial guarantee in favour of PRF for an amount not
exceeding USD 270 millions for the benefits under the said agreement. During
the year, Glenmark Generics Inc., U.S.A (GGI) has paid Paul Royalty Fund
Holdings II (PRF) an amount of Rs.1316.800 (USD 28.800 millions) pursuant to
its contractual obligation and the same has been charged to the statement of profit
and loss. |
|
STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED
30.06.2012
(Rs. in millions)
|
Sr. No.: |
Particulars |
Three months ended 30.06.2012 |
|
|
|
(Unaudited) |
|
|
|
Indian GAAP |
|
1. |
Income from Operations |
|
|
|
(a) Net Sales / Income
from Operations (Net of excise duty) |
3902.800 |
|
|
(b) Other Operating
Income |
22.110 |
|
|
Total Income from
Operations (net) |
3924.910 |
|
2. |
Expenses |
|
|
|
a. Cost of Materials
consumed |
976.370 |
|
|
b. Purchase of
Stock-in-trade |
252.310 |
|
|
c. Changes in Inventories
of finished goods, work-in-progress and |
|
|
|
stock-in-trade |
(25.800) |
|
|
d. Employee benefits
expense |
608.150 |
|
|
e. Depreciation and
Amortisation expense |
60.730 |
|
|
f. Other expenses |
1457.470 |
|
|
Total expenses |
3329.230 |
|
3. |
Profit from Operations
before Other Income, finance costs and exceptional Items ( 1-2 ) |
595.680 |
|
4. |
Other Income |
122.060 |
|
5. |
Profit from ordinary activities
before finance costs and exceptional |
|
|
|
items ( 3+4 ) |
717.740 |
|
6. |
Finance costs |
106.950 |
|
7. |
Profit from ordinary
activities after finance costs but before |
|
|
|
Exceptional Items ( 5-6 ) |
610.790 |
|
8. |
Exceptional items |
|
|
9. |
Profit from Ordinary
Activities before tax ( 7-8 ) |
610.790 |
|
10. |
Tax Expense |
62.540 |
|
11. |
Net Profit from Ordinary
Activities after tax ( 9-10 ) |
548.250 |
|
12. |
Extraordinary items |
|
|
13. |
Net Profit for the period
(11-12) |
548.250 |
|
14. |
Share of profit/(loss) of
associates |
|
|
15. |
Minority Interest |
|
|
16. |
Net Profit after taxes,
minority interest and share of profit/(loss) of |
|
|
|
associates (13-14-15) |
548.250 |
|
17. |
Paid-up Equity Share Capital
(Face value per share Re. 1) |
270.620 |
|
18. |
Reserves excluding
Revaluation reserves as per Balance sheet of |
|
|
|
previous accounting year |
|
|
19.i |
Earning Per Share (before
extraordinary items) (of Re 1/- each) (not annualised ) |
|
|
|
Basic Earnings Per Share
(in Rs.) |
2.03 |
|
|
Diluted Earnings Per
Share (in Rs.) |
2.02 |
|
19.ii |
Earning Per Share (after
extraordinary items) (of Re 1/- each) (not annualised ) |
|
|
|
Basic Earnings Per Share
(in Rs.) |
2.03 |
|
|
Diluted Earnings Per
Share (in Rs.) |
2.02 |
|
|
Particulars |
Three months ended 30/06/2012 |
|
A |
Particulars of
Shareholding |
|
|
1. |
Public Shareholding |
|
|
|
Number of Shares |
14,00,25,804 |
|
|
Percentage of
Shareholding |
51.74 |
|
2. |
Promoters and promoter
group Shareholding a) Pledged/Encumbered |
|
|
|
- Number of shares |
Nil |
|
|
- Percentage of shares
(as a % of the total shareholding of promoter and promoter group) |
Nil |
|
|
- Percentage of shares
(as a % of the total share capital of the company) |
Nil |
|
|
b) Non-encumbered |
|
|
|
- Number of Shares |
13,05,89,649 |
|
|
- Percentage of shares
(as a % of the total shareholding of promoter and promoter group) |
100.00 |
|
|
- Percentage of shares
(as a % of the total share capital of the company) |
48.26 |
|
|
Particulars |
Three months ended 30/06/2012 |
|
B |
Investors complaints Pending at the beginning
of the quarter |
- |
|
|
Received during the
quarter |
6 |
|
|
Disposed off during the
quarter |
6 |
|
|
Remaining unresolved at
the end of the quarter |
- |
Note:
1.
The
above results were reviewed by the Audit Committee and approved at the meeting
of the Board of Directors held on August 2, 2012.
2.
The
Company is exclusively in the Pharmaceutical business segment.
3.
During
the quarter ended June 30, 2012, pursuant to Employee Stock Option Scheme 2003,
the Company converted 79,950 options into equity shares of Re.1 each. As at
June 30, 2012, 1,137,850 options were outstanding, which upon exercise are
convertible into equivalent number of equity shares.
4.
Tax
expenses is computed after considering MAT credit and other income tax benefits
5.
Diluted
EPS has been computed considering the effect of conversion of ESOPs.
6.
The
Standalone Financial Statements have been prepared in accordance with
accounting principles generally accepted in India including the Accounting
Standards notified under the Companies (Accounting Standards )Rules, 2006 (as
amended).
7.
The
Company has voluntarily adopted IFRS (International Financial Reporting
Standards) in preparation of the consolidated financial statements as per the
requirements of SEBI circular dated April 5, 2010, accordingly the consolidated
results have been prepared in accordance with the recognition and measurement
principles as per IFRS and presented in the format as per clause 41 of the
listing agreement.
8.
The
disclosure is as per clause 41(v)(h) of the listing agreement and is in line with
the Revised Schedule VI to the Companies Act, 1956 revising the disclosure and
presentation of Statements.
9.
The
Figures of the quarter ended March 31, 2012 are the balancing figures between
the audited figures in respect of the full financial year and published year to
date figure upto third quarter of the relevant financial year.
10. The Company's subsidiaries at Switzerland used CHF as
the functional currency for the preparation of the Consolidated Financial
Statements. Since most of the transactions of the said subsidiaries, including
borrowings, Investments, cash flows and income and expenditures, are transacted
in USD, the said subsidiaries, with effect from the current financial year,
have used USD as its functional currency in the preparation of the consolidated
financial statements.
11. Previous period's figures have been
re-grouped/re-classified wherever necessary.
FIXED ASSETS
Tangible Assets
·
·
·
· Other buildings and premises
· Plant and Machinery
· Furniture and Fittings
· Equipments
· Vehicles
Intangible Assets
·
Computer Software
·
Brands
PRESS RELEASES
Glenmark Generics receives final ANDA approval for Montelukast Sodium
tablets, 10mg
August 6, 2012
Glenmark Generics Inc., USA a subsidiary of Glenmark Generics has been granted final abbreviated new drug approval (ANDA) from the United States Food and Drug Administration (USFDA) for Montelukast Sodium Tablets, 10mg. Glenmark will commence distribution of the product immediately.
Montelukast Sodium tablets are Glenmark's generic version of Singulair by Merck and Company Inc., indicated for the treatment of prophylaxis and chronic treatment of asthma. For the 12 month period ending March 2012, Singulair garnered annual sales of USD 3.5 billion according to IMS Health.
Glenmark's current portfolio consists of 81 products authorized for distribution in the US marketplace and 39 ANDA's pending approval with the USFDA. In addition to these internal filings, GGI continues to identify and explore external development partnerships to supplement and accelerate the growth of the existing pipeline and portfolio.
Glenmark’s Consolidated Revenue Increases by 19.83% to Rs.10404.070
Millions for Q1 FY 12-13
August 2, 2012
· Specialty Formulations Business Excluding Out-licensing Income Grew by 22.85 % to Rs.5046.450 Millions for the Quarter
· India Formulations Business Recorded a Growth 24.14 % for the Quarter
· Generics Business Registered Sales Growth of 57.67% to Rs.5300.000 Millions in Q1 FY 12-13
· US Generics Business Grew by 56.22 % for the Quarter
Glenmark Pharmaceuticals Limited (GPL), the research-led global integrated pharmaceutical company announced its first quarter results for the period ending June 30, 2012.
For the first quarter ended June 30, 2012, Glenmark's consolidated revenue was at Rs.10404.070 Millions [USD 190.620 Millions] as against Rs.8682.540 Millions [USD 191.750 Millions], an increase of 19.83 % in Rs. term. Revenue from the generics business was at Rs.5300.000 Millions (USD 97.110 Millions), as against Rs.3361.550 Millions (USD 74.240 Millions), a growth of 57.67 % in Rs. term. The Speciality formulation business revenue (ex-licensing revenue) was at Rs. 5046.450 Millions (USD 92.460 Millions) as against Rs.4107.650 Millions (USD 115.280 Millions) for the corresponding previous quarter, recording a growth of 22.85 % in Rs. term
Net Profit for the quarter ended June 30, 2012 was Rs.782.750 Millions as compared to Rs.2085.850 Millions for the previous corresponding quarter. The Net profit for the quarter is not comparable due to out-licensing income of Rs.1112.340 millions received in the previous corresponding quarter i.e Q1 FY 2011-12 and also due to MTM losses to the extent of Rs.550.000 millions recorded in this quarter Q1 FY 2013.
"Both our
generics and specialty business registered good growth," said Glenn
Saldanha, Chairman and MD, Glenmark
Pharmaceuticals Limited. "The
US business did exceptionally well recording a growth in excess of 55% on the
back of product launches in niche competition categories; while the India
business performed well and gained market share in focus segments. We are
witnessing good growth in our businesses across geographies and are confident
of maintaining this trajectory in the coming quarters."
Speciality Formulations
Sales for the formulation business in India for the first quarter ended June 30, 2012, increased to Rs. 2797.880 Millions [USD 51.260 Millions] as compared to Rs.2253.820 Millions [USD 49.780 Millions] in the previous corresponding quarter, recording a growth of 24.14 %
For the first quarter, revenue from Africa, Asia and CIS region was Rs.1384.400 Millions [USD 24.710 Millions] as against Rs. 1046.780 Millions [USD 23.120 Millions] for the previous corresponding quarter, recording an increase of 28.81 %.
Generics Business
Glenmark Generics Inc., U.S.A. registered revenue from sale of finished dosage formulations of Rs.3923.580 Millions (USD 71.890 Millions) for the first quarter of FY 2012-13 against revenue of Rs. 2511.580 Millions (USD 55.470 Millions) for the first quarter of the previous year, an increase of 56.22 % in Rs. term over the corresponding quarter of the previous year. Revenue from sale of API to regulated and semi-regulated markets globally was Rs.1004.710 Millions [USD 18.410 Millions] for the First quarter of FY 2012-13 against Rs.645.630 Millions [USD 14.260 Millions], for the first quarter of the previous year, recording an increase of 55.62 % in Rs. term.
About Glenmark Pharmaceuticals
Glenmark Pharmaceuticals Limited. (GPL) is a research-driven, global, integrated pharmaceutical company headquartered at Mumbai, India. It is ranked among the top 100 Pharma and Biotech companies of the world in terms of revenues*
.
Glenmark is a leading player in the discovery of new molecules both NCEs (new chemical entity) and NBEs (new biological entity). Glenmark has several molecules in various stages of clinical development and is primarily focused in the areas of Inflammation [asthma/COPD, rheumatoid arthritis etc.] and Pain [neuropathic pain and inflammatory pain]. The company has a significant presence in branded generics markets across emerging economies including India. GPL along with its subsidiary has 13 manufacturing facilities in four countries and has five R and D centers. Its subsidiary, Glenmark Generics Limited services the requirements of the US and Western Europe generics markets. The API business sells its products in over 80 countries, including the US, various countries in the EU, South America and India.
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.55.70 |
|
|
1 |
Rs.87.54 |
|
Euro |
1 |
Rs.68.85 |
INFORMATION DETAILS
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
73 |
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.