Q4 FY21 (JAN-MAR 2021) Concall Summary

CADILA HEALTHCARE LIMITED

Concall Date: 27 May 2021

Revenue: ₹3,846.7 cr (▲2.5%) Net Profit: ₹679.0 cr (▲73.3%)

FINANCIAL HIGHLIGHTS
PARTICULARS Q4 FY21 Q4 FY20 Change % FY21 FY20 Change %
(₹ cr) (₹ cr) YoY (₹ cr) (₹ cr) YoY
Revenue from Operations 3,847 3,752 2.5% 15,102 14,253 6.0%
Net Profit 679 392 73.3% 2,134 1,177 81.3%
EBITDA ₹855 cr (Q4) ₹3,341 cr (FY21)
EBITDA Margin 22.2% (Q4) 22.1% (FY21)
Final Dividend ₹3.5/share

• The earnings per share (diluted) stood at ₹6.63 and ₹20.84 in Q4 FY21 and FY21, respectively.
• In FY21, its debt-to-equity (D/E) ratio was 0.35x v/s 0.77x in FY20. Additionally, they reduced their
debt by ₹3,500 crore and as of 31st March, 2021 the net debt stood at ₹3,500 crore v/s ₹7,000 crore
as on 31st March, 2020.
• In FY21, EBIDTA increased due to improvement in gross margin, cost saving, better product mix
management and its innovative product portfolio.

GEOGRAPHY-WISE GROWTH
INDIA
• In Q4, its India business which comprises of human health formulations, consumer wellness and
animal health, grew 18% YoY to ₹1,772 crore. In FY21, the revenue stood at ₹6,480 crore.
• During the quarter, the revenue from overall human health formulations business was ₹1,023 crore,
i.e., growth of 15% YoY and was largely driven by volume growth.
• The branded generics business grew by 16% YoY in Q4 and 9% YoY in FY21. The revenue for the same
stood at ₹4,040 crore in FY21.
• In Q4 FY21, the consumer wellness business grew by 22% YoY and the revenue stood at ₹600 crore,
led by volume expansion.

US
• In FY21, its US business comprising of generics and speciality portfolio, registered a revenue of ₹6,445
crore, i.e., an increase of 3% YoY.
• On the other hand, in Q4 FY21, the revenue stood at ₹1,509 crore, down by 6% QoQ. The decline was
on account of pricing pressure in few products and lower uptake.
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CADILA HEALTHCARE LIMITED

• During FY21, it filed 22 abbreviated new drug application (ANDAs) with the US Food and Drug
Administration (FDA) and it received 35 ANDAs approvals.

EMERGING MARKET
• In Q4 FY21, the revenue stood at ₹2,500 crore, an increase of 46%. The same stood at ₹1,017 crore in
FY21, i.e., up 16%.

APPROVALS & LAUNCHES

• In Q4 FY21, it launched Virafin (Pegylated Interferon alpha-2b i.e., PegIFN) to treat moderate infection
in adult Covid patients.
• It received approval for Saroglitazar Mg, for the treatment of Non-Alcoholic Fatty Liver Disease
(NAFLD) by the Drugs Controller General of India (DCGI). Saroglitazar Mg was also evaluated for the
treatment of Primary Biliary Cholangitis (PBC).
• In Q4 FY21, it received tentative approval from the US FDA for Emtricitabine and Tenofovir Disoproxil
Fumarate tablets.
• During the quarter, it received approval from Review Committee on Genetic Manipulation (RCGM)
to carry out preclinical and safety toxicity study for its second Covid vaccine, ZyCoV-MV a
recombinant measles vector vaccine.

UPDATES
• ZyCoV-D, its plasmid DNA vaccine is at an advanced stage of Phase 3 clinical trials in India. To evaluate
the efficacy of the vaccine, the trail is conducted in ~28,000 subjects across 60 sites. The population
selected for the trail include people over 60 years, between 18-60 years and between 12-18 years and
the result for the same is expected to be submitted by June, 2021.
• In Q4 FY21, it completed preclinical toxicity study for its novel biotherapeutic cocktail of monoclonal
antibodies to treat mild Covid cases and are seeking permission from the drug regulators to initiate
clinical trials.
• It received approval for emergency use of Virafin for treating moderate Covid infection in adults from
the DCGI.
• Its Desidustat showed efficacy and safety in treating Hypoxia in hospitalized Covid patients in Mexico,
results from Phase 2(b) studies.
• It has signed an agreement with Taiwan Liposome Company (TLC) to market Liposomal Amphotericin
B, a critical drug to treat Mucormycosis, i.e., Black Fungus in India.
• It launched Ujvira (Trastuzumab Emtansine), the antibody drug conjugate (ADC) biosimilar and an
effective drug for treating Breast Cancer.
• Cadila received final approval from US FDA for Propafenone Hydrochloride Extended-Release
Capsules, an anti-arrhythmic drug.
• Zydus Animal Health and Investments Limited (ZAHL), its wholly-owned material subsidiary, entered
into a business transfer agreement and other ancillary agreement to sell and transfer its animal
 Concall Summary
CADILA HEALTHCARE LIMITED

healthcare established markets undertaking to multiples alternate asset management led

consortium.

FUTURE OUTLOOK
• Going forward, it anticipates to launch one complex injectables in the US market.
• The plant which was set up for large scale manufacturing of ZyCoV-D would be ready for
commercialisation by end of June, 2021.
• It would seek permission from other regulatory authorities to file for registration of Virafin for Covid
treatment globally.
• It anticipates to launch ~30 products in US market in FY22.
• The research and development (R&D) is anticipated to be ~8% of revenue for the next 2 years.
• It anticipates to file new drug application (NDA) of Saroglitazar Mg for PBC by the end of 2023 and
the launch of the same is expected to be by FY25.
• It intends to ramp up the production capacity of Virafin, in the coming quarters.

SEBI Registration no: IHN3000007493

Disclaimer:

This document has been prepared to provide a brief summary of the conference call conducted by the companies and
is intended to be used for learning enhancements. Nothing contained herein should be construed as a
recommendation on any stock or sector.