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Key MeetingTakeaways

US business:

* Pivoting from supply-focused to volume-focused strategy i.e. getting more market share with focus on cost optimization. Expects hit on medium-term perspective on account of the same.

* Supply disruptions coupled with increased competition is leading to the inability to take price increases in the US markets. There is pressure in the base portfolio. However, Q1FY22 looks like the bottom in terms of margins.

Domestic business:

* Acute business driven by covid (Azithral); However rest of the portfolio is also expected to grow at a double-digit growth rate. Will outperform IPM. Azithral is a price-controlled product hence it is EBITDA dilutive.

* Margins for domestic were impacted on account of marketing expenses. Q2FY22 margins are likely to sustain.

Theophylline:

* Impact on Q1FY22 was lower; the full impact will be seen in Q2FY22. Niche products to lead the price increase in the US.

Sartans:

* Comfortable on the pricing front even with increasing competition. Pricing in Sartans seems to be settled.

* New peers coming in won't dent as larger players have already entered and Chinese competition may come back. However, pricing may not create a dent from here on.

Injectable plant:

* Target action date is in August end for a couple of products and hence injectable plant clearance is expected in the short to medium term. Have 5-7 filings from the plant and on clearance should launch 1 product immediately.

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