- 27 Apr 2022
- ICICIdirect Research
SANOFI INDIA REPORTS STEADY QUARTER EX-DIVESTED BUSINESS
SANOFI - 6452 Change: -105.95 (-1.62 %)News: Sanofi’s Q1CY22 revenues declined by 2.5% YoY, whereas EBITDA margins improved 139 bps YoY to 27.5% due to lower raw material and employee expenditures. Subsequently, EBITDA grew 2.7% YoY to Rs 194.5 crore. Adjusted PAT increased 4.2% YoY to Rs 152 crore.
Views: Sanofi India completed the transfer of Soframycin and Sofradex brands this quarter and ex-divestment of nutraceutical business last year, revenues are indicative of low single digit growth. According to IQVIA MAT Mar,22, Sanofi’s top 5 brands (Lantus, Allegra, Combiflam, Amaryl M and Clexane) has posted YoY growth of 11%. Sanofi has strong anti-diabetic franchise ~30% of the turnover, and remains a compelling MNC play with focussed approach to 1) accelerate growth in diabetes segment, 2) selective growth in established brands and 3) building key brands in consumer health portfolio.
Impact: Positive