(Reuters) – India’s Mankind Pharma reported a better-than-expected second-quarter profit on Tuesday, driven by strong demand for its drugs to treat long-term illnesses, such as diabetes and cardiovascular diseases.
The company, which also makes Manforce condoms and Prega News pregnancy kits, said its consolidated net profit rose to 6.53 billion rupees ($77.7 million) for the quarter ended Sept. 30, a 30% climb from last year. Analysts, on average, expected a profit of 5.90 billion rupees, as per data compiled by LSEG.
Revenue contribution from its mainstay chronic illness drugs segment climbed to 35% from 34%, driving total revenue 14% higher.
KEY CONTEXT
Indian drugmakers, such as Mankind Pharma and peer Torrent Pharma, continue to benefit from steady domestic demand for their specialty drugs and those used to treat chronic illnesses.
These companies see higher demand for anti-infective medicines during the second quarter as people tend to fall sick more during the monsoons.
Last week, Torrent Pharma missed second-quarter profit estimates, hurt by the shutdown of an insulin manufacturing facility.
PEER COMPARISON
Estimates (next 12 Analysts’ sentiment
months)
RIC PE EV/EBI Revenue Profit Mean # of Stock to Div
TDA growth (%) growth rating* analyst price yield
(%) s target** (%)
Mankind Pharma 44.78 31.43 14.63 17.03 Buy 15 1.09 NULL
Ltd
Torrent 45.66 25.86 12.26 27.54 Buy 27 0.92 0.89
Pharmaceuticals
Ltd
Glenmark 30.00 17.17 13.05 210.35 Buy 10 1.10 0.15
Pharmaceuticals
Ltd
Sun 35.81 26.60 9.53 14.61 Buy 32 0.95 0.73
Pharmaceutical
Industries Ltd
* Mean of analysts’ ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** Ratio of the stock’s last close to analysts’ mean price target; a ratio above 1 means the stock is trading above the PT
JULY TO SEPTEMBER STOCK PERFORMANCE
— All data from LSEG
— $1 = 84.0660 Indian rupees
(Reporting by Kashish Tandon in Bengaluru)
Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.