(BSE CODE: 524164) (CMP: Rs.71)
COMPANY PROFILE
Company was
established in 1986, IOLCP is India's one of the leading generic
Pharmaceutical company,
and is significant player in the Organic chemicals space. IOLCP has wide presence
across various therapeutic categories like, Pain Management, Anti-diabetic,
Anti hypertensive, Anti Convulsants, etc.
It operates through Chemicals and
Pharmaceuticals segments.
* Chemicals Segment
The Chemicals segment
offers ethyl acetate, acetic anhydride, acetyl chloride, mono chloro acetic acid, and iso butyl benzene chemical products for
use in flexible packaging, pharmaceuticals, textiles,
food processing, pesticides, and paint industries. It is india’s leading ethyl
acetate manufacturer and exported with capacity of 87,000 TPA. It is second
largest manufacturer of ISO BUTYL BENZENE (key starting material for IBUPROFEN) after VINATI
ORGANICS
* Pharmaceuticals Segment
The Drugs segment
provides various active pharmaceutical ingredients for use in various thera- peutic categories, including pain management,
anti-diabetic, anti-hypertensive, anti-convulsants, anti-ulcer, anti-cholesterol, anti-histaminic, anti-fungal,
anti-platlet, analgesic, and diuretic. Company has
completed its de-bottlenecking/re-engineering project of its IBUPROFEN plant by
which
Capacity of IBUPROFEN
plant increase to 6200 TPA. It is world’s only largest backward integrated IBUPROFEN
producer with install capacity of 6200 TPA. In india only 2 companies are
manufacturing IBUPROFEN. One is IOLCP & second is SHASUN CHEM
IOLCP
is expanding its API product portfolio and improving cost competitiveness
through efficient manufacturing processes and systems and growing relationships
with major Indian and foreign generic companies for the sale of APIs. Its APIs
are exported worldwide and key markets include Europe, Latin America, Africa
and the Middle East. Ethyl Acetate has varied uses in different industries like
pharmaceuticals, flexible packaging and printing ink manufacturing, paints and
adhesives, etc. Its key markets in chemicals are African countries, Middle
East, SAARC countries and Russia. All its products are in demand. To meet the
rising demand in the market, IOLCP is increasing its capacity utilization by streamlining
its production processes.
INDUSTRY OVERVIEW
The
Indian chemical industry is the 3rd largest in Asia and 6th by volume in the
world. By 2025, the industry is projected to reach $403 bn. The Indian
pharmaceuticals market is the 3rd largest in terms of volume and 13th largest
in terms of value. India is the largest provider of generic drugs globally with
Indian generics accounting for 20% of the global exports in terms of volume.
The Indian pharma industry, which is expected to grow over 15% per annum
between 2015 and 2020, will outperform the global pharma industry.
FINANCIAL
SNAPSHOT
During FY16, company
has received US FDA approval for its IBUPROFEN
manufacturing
facility & company is also having approval from WHO & EDQM. With the approval from USFDA, the company is exploring
its business in USA. It has commissioned multipurpose plant in 2014.It has
17MWpower generation plant for captive consumption with adequate backups for
trouble free operations.
After Q4FY16, company
has posted turn-around numbers in second straight quarter. During Q1FY17,
IOLCP’s revenue rose 18% to Rs.162.25crore against Rs.137.23crore during the
previous quarter ended June 2016. Q1FY17, EBITDA stood at Rs.26crore against
Rs.2crore. It has reported net profit of Rs.0.73crore in Q1FY17 as against loss
of Rs.17.94crore which indicates that its bottom line has improved
substantially.
Bumper
Results In Q2FY18 and to invest Rs 200 crore in expanding its existing
manufacturing Capacities including its flagship product, Ibuprofen
- BIG EXPANSION (GROWTH ORINTED)
- OUT STANDING RESULT
- MANAGEMENT OPTIMISTIC FOR GROWTH OF COMPANY
