cipla ltd for brief case analysis

8/12/2019 CIPLA LTD for Brief case analysis

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CIPLA LTD

Latest Results (Rs Cr)

Period-Ended Dec-13 Dec-12 Var [%

Sales2,253.2

02,039.5

9 10.47OtherIncome 53.08 53.48 -0.75

PBIDT 45.02 54.37 -1.54

PBDT 427.72 537.07 -20.3

PBIT 373.94 48.37 -20.1

PBT 345.4 459.07 -24.71

!P"T 20.77 338.78 -23.03

#P"T 0 0 0

"P"T 20.77 338.78 -23.03

$P 342.85 41.78 -17.74

!ar"et Data (As on #rida$ #e&ruar$ 2' 21 )

Pr%ce &!s' 384.35 52 ( )*+&!s'450 *

354.4

+at. #PS&!s' 17.18 +at. P*# 22.37

t. $a.&!s $r' 30859.5 +at.#/t &!s $r' 10.58

+at. B&!s' 110.3 D%. %el &' 0.52

Stoc oement

!at%n6 Date Secr%t Te "mont &$r.' !at%n6 02-12-2013 +on6 Term Dets 72.38 """ 02-12-2013 Short Term Det 1723.5 "1 24-09-2013 :on-$onert%le Deentres 2000 In """

*+are+oldin, Pattern

&"S O: Dec 2013' Shares ;ot )ol%n6 0 0

:on Promoter $or.)ol.

41,259,301.00 5.14

Promoters295,485,978.

00 3.8

Pl%c ? Others153,252,08.

00 19.09


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29-04-2013 $ommerc%al Paer*Short Term Det 1000 "1&%n' 29-04-2013 $ommerc%al Paer*Short Term Det 1000 "1&%n' 12-03-2013 +on6 Term Dets 72.38 """

12-03-2013 Short Term Det 1723.5 "1 28-02-2013 Short Term Det 1723.5 "1

28-02-2013 +on6 Term Dets 72.38 """

08-02-2013 +on6 Term Dets 8. """

08-02-2013 Short Term Det 1723.5 "1

=%nanc%al )%6hl%6hts

@2=13

@3=13 @2 = 14

@3=14

Oerat%n6 Income2,198.

02,079.3

8 2,347.442,281.5

8

>roAth &O' - - .77 9.72

OPBDIT 75. 492.89 552.93 402.94

+ess Derec%at%on 73.9 78 81.5 82.08

+ess Interestchar6es 4.01 9.3 33.1 28.3

Other Income 4.14 53.48 4.52 53.08#Ccet%onal>a%n*+oss - - - -

PBT 1.77 459.07 502.19 345.4

+ess TaC 11.7 120.29 12.1 84.87

P"T &$oncernShare' 500.01 338.78 37.03 20.77

OPBDIT*OI 30.73 21.0 23.55 17.

P"T*OI 22.74 14.85 1.02 11.43

$oman Pro%le

$%la +%m%te &$%la' %s one o the lea%n6 harmacet%cal coman %n the omest%c ormlat%ons

se6ment A%th a maret share o E5. In a%t%on to %ts stron6 resence %n the In%an maret, the

coman 6enerates nearl 55 o %ts trnoer rom eCorts to ar%os emer6%n6 an re6late

marets. In the omest%c ormlat%ons maret, $%la has art%clarl stron6er resence %n ant%-

%nect%e an res%rator se6ment. (%th%n res%rator, %t commans oer 75 share o %nhalers %n

In%a. Oer the ast three ears &=09-11', the 6roAth %n $%laFs omest%c ormlat%ons at


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12.0 has een eloA the %nstr aera6e lar6el e to %ts h%6her resence %n some o the

matre rocts as Aell as re 6ener%c se6ments an comarat%el loAer resence %n ast-

6roA%n6 chron%cs l%e $S an "nt%-D%aet%c.

In the eCorts maret, $%la oerates thro6h artnersh%s ase s%ness moel, Ahere%n %t

eelos an manactres the rocts an rece%es l%cens%n6 %ncome an manactr%n6

reenes. The comanFs eCorts trnoer has 6roAn at a $">! &' o 17 oer the ast %e

ears. The "r%can re6%on %s maGor maret or the coman olloAe HS an #roe. To

stren6then %ts resence %n the eCorts maret, $%la %s tar6et%n6 the %nhalers se6ment %n #roe

A%th a aset o 11 rocts. >%en the h%6h entr arr%ers &e to relat%el lon6er aroal

t%me rames', the %nhalers se6ment aces relat%el l%m%te comet%t%on comare to re an%lla

6ener%cs an oer lcrat%e oortn%t or $%la to ram %ts resence %n the #roean

marets. (%th recentl eCane caac%t%es &at Inore S#', 6roA%n6 aroals %n the %nhalers

%n #roe an other non-HS marets, the coman %s l%el to re6%ster stron6 6roAth %n oerseas

marets 6o%n6 orAar.

Peror.ance /0er0ie

The $omanFs reene rom oerat%ons r%n6 the %nanc%al ear 2012-13 amonte to !s.

8,295 crore a6a%nst !s. 7,075 crore %n the re%os ear recor%n6 a 6roAth o more than 17

ercent. The omest%c trnoer %ncrease more than 14 ercent, rom J3,213 crore %n the

re%os %nanc%al ear to !s.3,81 crore %n the %nanc%al ear ner re%eA. Total eCorts

%ncrease aot 20 r%n6 the ear to !s.4,42 crore. Dr%n6 the ear ner re%eA,

oerat%n6 mar6%n %ncrease 34 ercent. Th%s Aas r%mar%l e to rect%on %n mater%al cost

on accont o %mroe real%sat%ons, chan6es %n the roct m%C an h%6her contr%t%on o

#sc%taloram %n the HS. "s a reslt, ro%t ater taC %ncrease more than 34 ercent to J1,507

crore rom J1,124 crore %n the re%os %nanc%al ear.

In orer to %l a stron6 onat%on or tre 6roAth, $%la lanche Kaa6rt%, the

transormat%on ro6ramme, r%n6 the ear ner re%eA. The ro6ramme %s a%me at rec%n6

s%ness comleC%t an stren6then%n6 oerat%ons. $%la rat%onal%Le %ts eCosre to seeral loA

ale marets an artners to rece comleC%t.

"%t%onall, on-t%me-%n-ll el%er leels %mroe tAo to threeol thro6h e%cate eort %n

the sl cha%n rocesses. The %mact o these %n%t%at%es has alrea een reco6n%Le

seeral e artners AorlA%e.

"nother cr%t%cal ocs o th%s ro6ramme %s to %mroe cost eect%eness across rocts Ah%le

hol%n6 the h%6hest stanars o re6lator, /al%t an saet re/%rements. Kaa6rt%Fs eorts

hae rece %el loss, shortene lea t%mes an eottlenece constra%ne caac%t%es

across manactr%n6 ac%l%t%es %mlement%n6 seeral %mroement %eas.

The $oman has recentl also lanche MProcrement #ect%eness #ortF to %l est %n

class rocrement ract%ces an rther real%Le cost sa%n6s.


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ranules India Ltd

Latest Results (Rs Cr)

Period-Ended Dec-13 Dec-12 Var [%

Sales 22.12 173.9 50.8

OtherIncome 0.31 0.37 -1.22

PBIDT 45.32 17.14 14.41

PBDT 41.01 12.8 223.42

PBIT 38.5 12.2 215.25

PBT 34.35 7.8 340.38

!P"T 22.99 5.43 323.39

#P"T 0 0 0

"P"T 22.99 5.43 323.39

$P 29.5 10.31 187.58

!ar"et Data (As on !onda$ !arc+ 1 21 )

Pr%ce &!s' 28.85 52 ( )*+&!s' 294 * 90.15

+at. #PS&!s' 32.57 +at. P*# 8.25

t. $a.&!s$r' 545.23

+at.#/t &!s$r' 20.28

*+are+oldin, Pattern

&"S O: Dec 2013' Shares ;ot )ol%n6 0 0

:on Promoter $or.)ol. 32,909.00 3.12

Promoters9,909,974.0

0 48.8

Pl%c ? Others4,327,077.0

0 21.33


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+at. B&!s' 133.4 D%. %el &' 0.74

Stoc oement

$re%t !at%n6

!at%n6 Date Secr%t Te"mont&$r.' !at%n6

27-12-2013 Det Pro6amme 5 "2

27-12-2013 Det Pro6amme . BBB

27-12-2013 Det Pro6amme 12.4 BBB

27-12-2013 Det Pro6amme 125.34 "2

27-12-2013 Det Pro6amme 257.32 "2

27-12-2013 +on6 Term Dets 1.38 BBB

19-11-2013 +on6 Term Dets 1.87 BBB

19-11-2013 +on6 Term Dets . BBB

19-11-2013 Short Term Det 137.98 "2 19-11-2013 Short Term Det 250.72 "2

08-11-2013 Det Pro6amme 5 "2

08-11-2013 +on6 Term Dets 1.38 BBB

08-11-2013 Det Pro6amme 257.32 "2

08-11-2013 Det Pro6amme 125.34 "2

08-11-2013 Det Pro6amme 12.4 BBB

08-11-2013 Det Pro6amme . BBB

11-09-2013 +on6 Term Dets 1.38 BBB

11-09-2013 +on6 Term Dets 5 BBB

11-09-2013 +on6 Term Dets . BBB 11-09-2013 Short Term Det 257.32 "2

11-09-2013 Short Term Det 125.34 "2

11-09-2013 +on6 Term Dets 12.4 BBB

05-09-2013 +on6 Term Dets 259.19 BBB

05-09-2013 Short Term Det 137.98 "2


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#inancial i,+li,+ts

@2 =13 @3 =13 @2 = 14 @3 =14

Oerat%n6 Income 17.84 173.9 239 22.13

>roAth &O' - - 42.40 50.8

OPBDIT 20.0 17.14 35.2 45.32+ess Derec%at%on 5.0 4.88 5.4 .+ess Interestchar6es 4.07 4.4 4.14 4.3

Other Income 0.15 0.37 0.41 0.31

#Ccet%onal>a%n*+oss - - - -

PBT 11.08 8.17 2.49 34.7

+ess TaC 3.14 2.37 8.83 11.3P"T &$oncernShare' 7.94 5.8 17. 23.31

OPBDIT*OI 11.95 .54 14.90 17.29P"T*OI 4.73 2.21 7.39 8.89

Co.4an$ Proile

Incororate as a r%ate l%m%te coman %n 1991, >ranles In%a &>I+' Aas conerte %nto a

l%c l%m%te coman %n =e.N93. It commence %ts oerat%ons %n "r.N91 as a merchant

eCorter o l r6s l%e aracetamol, 6a%enes%n an chloro hen%ram%ne maleate. The

coman eCorts to the HS, #roe, eC%co an )on6on6. S%nce 1992, >I+ concentrate on

eCort o aracetamol oAer. In "6.N94, >I+ too oer Tr%ton +aorator%es &T+', a 6ro

coman rom Ah%ch >I+ Aas rocr%n6 the r6s or eCorts. >I+ also ac/%re a s%c n%tAh%ch Aas manactr%n6 l r6s, rom the "nhra Praesh State =%nanc%al $ororat%on

&"PS=$' %n ar.N94.

>I+ %mlemente the on6o%n6 roGect taen oer rom T+ to manactre l r6s l%e ol%c

ac%, saltamol slhate, rom hen%ram%ne maleate an %rect comress%on &D$' lens o

aracetamol, thro6h the rocess o 6ranlat%on. The n%t, an #OH, %s locate at )eraa,

"nhra Praesh. $ommerc%al roct%on o ol%c ac% commence %n "6.N95. It came ot A%th a

l%c %sse %n Se.N95 to art-%nance th%s roGect.

$oman has comlete eCans%on o >a%enes%n caac%t rom 100 ts to 240 ts er

annm. $oman ha eelo%n6 neA rocts l%e Brom Phen%ram%ne aleate ? $hloroPhen%ram%ne aleate, ? %s %n rocess o eelo%n6 neA l r6 or the eCort maret.

$oman %s er mch hoel aot comanNs erormance e to eCans%on o roGect A%ll

e comlete %n the crrent ear.

The $oman set a 100 maret%n6 ss%%ar %n HS to enhance %ts eCosre %n the lar6e

harmacet%cal maret %n the Aorl. The >a6%llar lant commences %ts commerc%al roct%on

o +%ne II&%nstalle caac%t 3200 T' Ah%ch Aas commence %ts Kl,2003 an the rema%n%n6


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4000 TP" %s eCecte to 6o on stream %n the %rst hal o 2003-04. The total roGect cost %s

!s.30 crore.

Peror.ance /0er0ie

The $oman ha ole-%6%t 6roAth %n all three roct se6ments, "PIs, P=Is an =%n%she

Dosa6es. (h%le all the se6ments 6reA, the "PI se6ment const%tte the lar6est ort%on o the

reene m%C %n =13. De to the ela %n the =ormlat%on #Cans%on, more "PIs Aere sol

%nstea o e%n6 se or cat%e consmt%on. The $oman sol a lar6e ort%on o %ts "PI %n

the omest%c maret %n =13 Ah%ch le to an %ncrease %n oerall omest%c sales. The $oman

has stron6 acorers or %ts =ormlat%on D%%s%on an eCects an %ncrease %n sales %n =14

once the neA caac%t %s on-l%ne.

/4eratin, costs

Oerat%n6 costs %ncrease 17. oer the re%os ear Ah%ch %s %n-l%ne A%th reene 6roAth.

The %ncrease %n oerat%n6 costs Aas r%mar%l e to the r%s%n6 ener6 costs, cost o e %nts,

emloee costs an maret%n6 eCenses. In orer to m%t%6ate ener6 costs, the $omanocse on %mlement%n6 Oen "ccess PoAer at all o %ts In%an =ac%l%t%es. "t the en o =13,

the $oman Aas st%ll %n the rocess o %mlement%n6 the sstem t %n%she %mlementat%on %n

@1=14.

E5IDTA

#BIDT" %ncrease 7.9 rom !s. 80. $r %n =12 to !s. 87.08 $r. %n =13 altho6h the

asolte mar6%n ell 95 s to 11.35 %n =13. Th%s Aas r%mar%l e tAo reasons.

=%rst, %nstea o s%n6 %ts a%t%onal "PIs or cat%e consmt%on, the $oman sol more "PIs

%n =13 Ah%ch has a loAer ro%t mar6%n than =ormlat%ons. Secon, the $omanFs =ormlat%on#Cans%on Aas elae %n =13 an ace scale- %sses ater %ts comlet%on. The $oman

ha a%t%onal eCenses %ncl%n6 %ncrease manoAer at the ac%l%t A%thot a concrrent

%ncrease %n roct%on.

Interest

Interest l%a%l%t %ncrease 4.0 rom J17.0 $r. %n =12 to J17.7 $r. %n =13 conse/ent to an

%ncrease %n the $omanFs et ortol%o. (h%le there Aas an %ncrease, the %nterest coer 6ot

stren6thene rom 4.8C to 4.9C oer the same er%o, relect%n6 the $omanFs a%l%t to rea

%ts %nterest l%a%l%t%es.

6et 4roit

The $oman earne a net ro%t o !s. 32. $r. %n =13 s. !s. 30.0 $r. %n =12, an %ncrease

o 8.7. In l%ne A%th the net ro%t, the as%c earn%n6s er share %ncrease rom !s. 14.93 to !s.

s1.21 oer the same er%o.


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De&t Reconciliation (Rs7 Cr)

cipla ltd for brief case analysis

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