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COVID-related drugs, low base skyrockets YoY growth in Apr’21

* IPM growth was 51.5% YoY in Apr’21 v/s 10.3% YoY in Mar’21. Strict lockdowns in Apr’20 had impacted sales last year (11% YoY decline in Apr’20). This, coupled with strong COVID-19 drug sales, led to a sharp spike in YoY growth for Apr’21.

* Anti-Infectives/VMNs/Pain Therapies exhibited a growth of 134%/76%/64% YoY. Anti-Infectives therapies grew sharply (~2.3x) in Apr’21 YoY v/s an 8.5% YoY growth in Mar’21.

* Respiratory sales recovered with a 50% YoY growth in Apr’21 as against a 15.1% YoY decline in Mar’21.

* NLEM/non-NLEM (~18%/~82% of IPM) grew 56.1%/50.5% YoY.  On a MAT basis, industry growth stood at 6.6% YoY.

Volume/price/NP drive IPM growth in the quarter-ending Apr’21

* For the quarter ending Apr’21, YoY growth was 19.4%. Price/NP growth of 5.6%/5.1% YoY was further boosted by an 8.8% volume increase.

* For the quarter-ending Apr’21, NLEM/non-NLEM (~17%/~83% of IPM) grew 17.4%/20% YoY.

Glenmark, Emcure, Hetero, Cipla, and Alkem outperform

* In Apr’21, Glenmark Pharmaceuticals (181% YoY), Emcure Pharmaceuticals (+94%), Cipla (73.5%), and Alkem Laboratories (63.7%) delivered robust growth.

* Glenmark grew on the back of strong offtake in Anti-Infectives (~29% of sales), which grew 16x YoY, driven by FabiFlu that became the numero uno IPM drug in Apr’21.

* Cipla’s growth was driven by Anti-Infectives, which grew 1.5x YoY due to the use of Cipremi (Remdesivir) in the treatment of COVID-19.

* Alkem saw good traction in VMN (+88% YoY) and Anti-Infectives (+70%).

* Torrent Pharmaceuticals, Sun Pharmaceutical Industries, Lupin, and Alembic Pharmaceuticals also showed better traction, albeit lower than the industry in Apr’21 (+27.4%/+32.8%/+38.3% YoY/46.5% YoY).

* On a MAT basis, JB Chemicals & Pharmaceuticals/Merck India/GlaxoSmithKline Pharmaceuticals reported the highest price growth (+9.3%/7.9%/6.9% YoY). Glenmark saw the highest growth in new launches (+27.3% YoY) on a MAT basis.

VMN, Cardiac, and Gastrointestinal drove sales growth on a MAT basis

* Chronic therapies and immunity boosters drove growth on a MAT basis in Apr’21, with VMN/Cardiac/Gastrointestinal growing 14.7%/12.8%/10% YoY.

* Respiratory/Ophthalmic therapy sales declined 5.2%/3.2% YoY, impacting overall growth.

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