Healthcare
Monthly
Performance of top companies in Sep’24
MAT
Sep’24
Company
growth
(%)
(%)
IPM
7.7
5.1
Abbott*
Ajanta
Alembic
Alkem*
Cipla
Dr Reddy’s
Emcure*
Eris
Glaxo
Glenmark
Intas
Ipca
JB Chemical*
Lupin
Macleods
Mankind
8.4
9.6
2.8
4.8
7.4
9.0
6.4
7.3
0.8
12.3
12.2
14.2
11.3
7.7
7.7
9.0
6.3
10.8
-5.1
1.3
5.6
7.9
3.8
1.5
-2.8
9.6
10.2
7.7
15.5
5.4
-1.5
5.1
13 October 2024
Acute therapies drag overall IPM growth for Sep’24
The Indian Pharma Market (IPM) grew 5.1% YoY in Sep’24 (vs. 7.6% in Aug’24
and 8.9% in Sep’23).
Cardiac/Derma/Anti-diabetic therapies grew at 9.7%/8.3%/7.7%, while slower
growth was experienced by Respiratory/AI, which declined 1.1%/0.3% YoY.
For the 12 months ending in Sep’24, IPM grew 7.7% YoY, led by price
growth/new launches, which contributed 4.2%/2.7% YoY to the overall
growth. However, volume growth was moderate at 0.8% YoY in Sep’24.
IPM’s top brand, Augmentin, experienced a decline of 2% YoY to INR730m with
a market share of 0.4% in Sep’24.
Out of the top 10 brands, Udiliv/Thyronorm clocked 16.5%/10.2% YoY growth of
INR569/INR572m in Sep’24.
JB Chemical/Ajanta/Intas outperform in Sep’24
Sanofi
Sun*
Torrent
Zydus*
5.7
9.4
8.6
6.9
0.5
7.5
7.0
6.8
In Sep’24, JB Chemical (up 15.5% YoY), Ajanta Pharma (up 10.8% YoY), and Intas
(up 10.2% YoY) recorded notably higher growth rates than IPM.
JB Chemical
outperformed IPM, led by a low base and strong performance
across the top four therapies in Sep’24.
Glenmark
outperformed IPM, led by a strong performance across the top four
therapies, offset by a decline in respiratory therapies in Sep’24.
Intas
outperformed IPM, led by double-digit growth in Neuro/Anti-
diabetic/Pain.
IPCA
reported industry-leading volume/price growth of 7.4%/5.8% YoY on MAT
basis. Eris posted the highest growth in new launches (up 5% YoY).
Sun Pharma,
with a market share of 7.7%, grew 7.5% YoY (+250bp vs. IPM),
driven by double-digit growth of 14.7%/14.5%/10.5% in Pain/Anti-
diabetic/VMN.
Alkem continued to underperform in the IPM owing to high acute share (~82%),
growing at 1.3% YoY in Sep’24. The slow growth can be attributed to 6.3%
decline experienced by Anti-infectives (36% of the total Alkem revenue).
Acute therapies grew at a modest rate of 3% YoY, while chronic therapies grew
at 8% YoY for Sep’24. The share of acute therapies segment in the overall IPM
stood at 61.3% for MAT in Sep’24, with YoY growth of 3%. The chronic therapies
segment (38.7% of IPM) grew 8% YoY.
Cardiac/Derma /Anti-diabetic grew 9.7%/8.3%/7.7%% YoY.
Gynaec/Pain/VMN underperformed in the IPM by 390bp/50bp/10bp, while
Respiratory/AI declined 1.1%/0.3% in Sep’24.
As of Sep’24, Indian pharma companies held a majority share of 84% in IPM,
while the remaining was held by multinational pharma companies.
Both MNCs and Indian companies registered single-digit growth QoQ in Sep’24.
In MNCs, Abbott registered the highest growth of 6.3% YoY, while Sanofi
registered a flat growth of 0.5% in Sep’24.
Cardiac/Gastro/Neuro lead YoY growth on MAT basis
India and MNC pharma experience growth moderation in Aug’24
Tushar Manudhane - Research Analyst
(Tushar.Manudhane@MotilalOswal.com)
Research Analyst: Akash Dobhada
(Akash.Dobhada@MotilalOswal.com) |
Viraj Shah
(Viraj.Shah@MotilalOswal.com)
13 October 2024
1
Investors are advised to refer through important disclosures made at the last page of the Research Report.
Motilal Oswal research is available on
www.motilaloswal.com/Institutional-Equities,
Bloomberg, Thomson Reuters, Factset and S&P Capital.