For Office Use:

Grade

Communication for Managers

Group Assignment 1

Company Analysis Report of

“ALEMBIC PHARMACEUTICALS LTD.”

Submitted By:

Rahul Anand (181147)

Rishi Pandya (181151)

Sneha Sinha (181159)

MBA - FT (2018-2020)

Submitted To: Prof. Harismita Trivedi

Institute of Management, Nirma University

Date of Submission: 2nd November, 2018

1|Page
 ACKNOWLEDGEMENT

We would like to express our deep appreciation and gratitude to our mentor, Prof. Harismita
Trivedi for her patience guidance, support and mentorship provided to us all the way when we first
considered this topic through the completion of the assignment. Her wisdom, knowledge and
commitment to the highest standards inspired and motivated us. We would also like to thank
Institute of Management, Nirma University to provide us with the access to various online journals
through the online library resources.

2|Page
List of Contents
TOPIC PAGE

Executive Summary .........................................................................................................................4

Business Information .......................................................................................................................5

Products & Services .........................................................................................................................4

Market ..............................................................................................................................................5

Technology ......................................................................................................................................5

Organization Information.................................................................................................................5

Historical Developments ..................................................................................................................5

Board of Directors............................................................................................................................6

Main Areas of Business ............................................................................................................... 6-7

Organizational Structure ..................................................................................................................8

Product growth and Development ............................................................................................... 8-9

Key Competitors and alliances .................................................................................................. 9-10

Achievements, Rewards and Recognition .....................................................................................10

Financial Information of Company.......................................................................................... 11-13

Performance Analysis of Company ...............................................................................................14

Performance Analysis of Company ...............................................................................................14

3|Page
Executive Summary
The pharmaceutical industry contributes significantly in local, National and international
economies. Also, this sector provides high-value, lifesaving motto, high wage, high involvement,
high employment and high revenue generating jobs. The state as well as central government are
targeting this industry for its continuous growth. This report gives an overview of Alembic
Pharmaceuticals Ltd. This also includes the basic understanding of pharma industry, its major
products, what all new technology is used recently, how the pharma sector is growing, its major
competitors, its financial report and how the company is performing. Alembic Pharmaceuticals
Limited was established in 1907 at Vadodara, now it is leading pharma company in India under
strong leadership of Mr Chirayu Amin. They are producing range of medicines in different
segments also they are investing heavily in R&D. They manufacture pharmaceutical product,
pharmaceutical substances and intermediates. It advances scientific discovery and application by
conducting 13% of its expenditure in R & D. It includes innovation, product management, and
commercialization. Alembic generate its revenue from local as well as foreign markets. Recently
they are facing heavy competition from Sanofi, Sun pharma etc. In FY2017-18 they generated
revenue of Rs 2945 Crore and recently result of Q2 FY 2018-19 suggest that company grown at
64% QoQ. Due to rupee depreciation company’s profit margin is expected to increase in this year.

4|Page
 BUSINESS INFORMATION
Brief Industry Analysis
Alembic Pharmaceuticals Limited (APL) is a heritage of more than 100 years. Alembic
Pharmaceuticals Limited was established in 1907, in the development of Indian subcontinent and
innovative pharmaceutical and pharmaceutical industry and is one of the leading pharmaceutical
companies of India today.


 Industry Size- Total revenue of global pharmaceutical industries for the year 2017 was
around USD 1070 billion and that of India was USD 55 billion. Alembic pharmaceuticals net
revenue for the year 2016-17 was USD 470.63 million and net income of USD 60.27 million
with over 9000 employees working for the company.

5|Page
  Main Industry segments and niche and their growth-The company
has established a cutting-edge research facility - Alembic Research Center (ARC) which
includes formulation research and 150 bed bioequivalence facility at Vadodara, with
emphasis on research and technology in Gujarat. Apart from this, APL has recently
invested in the state-of-the-art R & D center in Hyderabad. APL is one of the leading
industry players, with nearly 11% of the turnover for research and development.

 

 Geographical spread- As a development strategy, companies and international
generics have started to invest in the market and have actively filed the Knowledge DMF
successfully. APL has also entered Canada, Europe, Australia, South Africa and Brazil.
The company sells its brand formula to cover the remaining global markets.

 Major Players - Some of the major players in pharmaceutical industries around the
globe are- Pfizer (USD 52.54 bn), Roche(USD 44.36 bn), Sanofi(USD 36.66 bn), Johnson
&johnson(USD 36.3 bn), Merck(USD 35.4 bn), Novartis (USD 33 bn), Abbvie(USD 28.22
bn).

 Recent industry news - The company aims to find opportunities in medical field,
such as dermatology, oncology and injection formula. APL also focuses on the company's
small molecule research and drug development, promoting the network of diseases and
enzymes, autoimmune diseases and digestive signal transduction, and encouraged the
network to innovate and innovate the function of Lion Channel and Disease.

6|Page
Product & Services
Alembic Pharmaceuticals has a wide range of products that cater to diverse therapeutic segments.
It is divided into 15 segments and each segment have varieties of products:

1. Alembic specia - Centanil, GLZ XR, EXENTA.

2. Alembic Corazon - Rosave, Rosave-F, Rosave-D, Rosave-C, Rosave-Trio, Vogo,
Vogo-M,Trivogo, Alnex-NT.
3. Alembic summit - Tellzy, Eternex M, Eternex T, Glisen.
4. Alembic Zenom - Gastro SR, Ovigyn DSR, Crina NCR, Cycloset Syrup.
5. Elena - New Vehycal, Lactonic, Folinal.
6. Alembic Alcare - Richar CR, Folinal D.
7. Alembic Pharma - Roxid, CLoff, Vitaresp FX, Tetan.
8. Megacare - Azithral, Laveta, Magadol.
9. Operation Maxis - Althrocin, Wikoryl, Brozeet, Zeet.
10. Gastron - Rekool, Rekool D, Rekool L, Ulgel, Freego, Rafle.
11. Enteron - Actigut, Urdiogem 150, Urdiogem 300, Terliforce.
12. Alembic Eye care - Veldrop, Veldrop gel, Pegtears, Omegared.
13. Corium - Grocapix, Altris.
14. Alembic Ouron - Darif, Geripod.
15. Alembic Osteofit - Enzinctra-DS, Enzinctra, Ostoefit max, Cobuilt Total, Axogurd
NT, Axogurd-SR, Axogurd capsule, New Osteofit C plus, Osteofit C, Etornext P, Etornext
ER, Etornext TH, Osteofit XT, QDMRD, Osteo kit, Cortisure,Goustat.

7|Page
Hospitals - The corporate hospital department of the company focuses on a very promising
area in the healthcare industry, corporate hospitals.. These hospitals constitute a major part of the
private healthcare industry. It is present in more than 20 cities with more than 300 hospital
accounts. The hospitals are multispeciality, with a minimum bed strength of 100 in each hospital.

8|Page
Facilities & Market
Since its establishment, manufacturing proficiency has been Alembic’s area of expertise. With the
use of ultra-modern manufacturing techniques, ultra-modern facilities assist the organization in
meeting the global demand with high quality and affordable medicines. Manufacturing facilities
are available for alphabetic sources and active pharmaceutical ingredients (APIs) at different
places in the country. Alembic has 6 ingredients and 3 APIs production facilities. Five of the six
formula facilities are located near Vadodara in Gujarat, three are in Panvel and two are in Saharan.
A plant is also located in Sikkim. The Alembic is currently preparing basic fundamental sales for
the group in panelav and is providing original oncology sales and oncology engineering facilities
at the same place.
Its Karakhadi plant will produce normal injections and eye products. Sikkim's production facilities
provide a fluid and solid form of oral dose. Although Panelav and Karakhadi factories meet the
international market, Sikkim Plant caters to the domestic market. The factories have approved
various regulatory agencies to sell products in different markets.
 After the expansion of
production facilities in new areas, where Alembic was not present. They are also initiating
expansion of oral solid manufacturing at Greenfield site near Vadodara. This will help meet the
growing demand and will help to handle many new security features. Alembic also has 3
manufacturing plants for API, of which two are located in Panelav and one in Karakhadi. All three
facilities are compliant with CGMP compliance and meet the API requirements of controlled
markets. These rules are reviewed by the main regulatory agencies in all regular markets and they
are approved. Alembic’s professional manufacturing team employs more than 2,000 people and
ensures the highest work standards through strong monitoring by the quality team. Management
evaluates quality during regular review meeting and takes prompt corrective action.

Technology
The Alembic believes that R&D is a development driver for entry into a regulated and semi-
regulated market. All R&D programs are directed by the organization's philosophy of providing
affordable, high quality medicines for health care.
 
 Alembic has fine R&D centers at Baroda
and Hyderabad are the most advanced research and development centers, more than 500 scientists
working on Active Pharmaceutical Ingredients (APIs), oral solid dose forms and injections.
 


The Alembic Research Center of Vadodara is focused on new chemistry, which includes new
polymer, salts and processes which can provide opportunities first. AR & D, IP, RA, QA,
technology transfer team and USFDA inspection pilot plant acquired fully integrated R&D.
 

There is a team of about 50 scientists for the development of three main functions,
namely: formulation development, analytical laboratory development and peptide (API): In the
study of the Hyderabad Research and Development Department AG Research, Through the use of
QBD and DOE concepts for internal development control design, all development activities are

9|Page
done in accordance with global regulatory guidelines. Intellectual property portfolios are being
created for the idea of discrimination and innovation.
 
 Alembic’s bioequivalence center is
located in Vadodara and provides BA / BE services to support R&D. It is in operation since 2004.
With the most advanced facilities, Vadodara is located near one of the largest tertiary hospital
Bhailal Amin General Hospital, covering an area of more than 33000 square feet. There are more
than 120 scientists in the BA / BE study. The facilityis inspected by the USFDA, BfArM
(Germany), MPA (Sweden), ANVISA (Brazil), Moh (Turkey) and DCGI (CDSCO), and strict
compliance with various industry requirements.

10 | P a g e
 ORGANISATION INFORMATION

History Development
1907 – Established in Vadodra, Gujarat and Started manufacturing tinctures and alcohol

1940 – Started manufacturing vitamins, cough syrup, tonic and Sulphur drugs

1961 – Penicillin plant is inaugurated by Lal Bahadur Shastri

1967 – Starts manufacturing Vitamin B12

1971 – Starts manufacturing Erythromycin for the first time in India

1972 – Launches Althrocin, a brand of Erythromycin (Top selling brand at that time)

1997 – Althrocin becomes India’s top-selling brand

1999 – Starts manufacturing synthetic organic API

2001 - Starts Manufacturing Cephalosporin C

2006 – Receives FDA approval for API facilities

2010 - Demerges pharmaceuticals business from Alembic – APL listed

2013 - Launches first NDA in EU, Australia and Brazil

2014 – Forms a 50:50 joint venture in Algeria

2016 – Establishes a joint venture with Orbicular Inc.

11 | P a g e
Group Companies
 Alembic Limited
 Year Glass division
 Sherno Limited (Engg. Division)
 Paushak Limited
 Alembic Real Estate
 Bhailal Amin General Hospital (BAGH)
 Rhizen Pharmaceuticals SA
 Uday Education Society

Board of Directors:

Mr. Chirayu Amin

Chairman & CEO

Mr. KG Ramanathan

Mr. Pranav Parikh

Mr. Pranav Amin
Mr. RK Baheti Mr. Paresh Saraiya
Mr. Shuanak Amin
Mr. Milin Mehta

Dr. Archana Hingorani

Managing Director Director Finance & CFO Independent Directors

Main area of Business

Alembic Pharmaceuticals Ltd. is a group of companies across industry. It has made presence in
other industries also in Glass, real estate, chemicals, engineering, Education & Healthcare along
with pharmaceutical.

12 | P a g e
Organization Structure

Product Service Growth & Development

The company has been working on multiple products at the same time. Its products are of various
categories like General injectable, Derma, New oral solids etc. They are also planning to launch
Oncology OSD, Oncology injectable soon. This year they have launched 13 products so far and
they are planning to introduce more than 10 products this year. 226 cumulative filings are there till
date. New launches cover 2% of market share and contribute 19% of sales in last 5 years. They are
on a steady path of expanding their capabilities and in the process of creating major facilities of
1,100 Crores. Their upcoming manufacturing units for general injectable and oncology injectable
are on track and should be ready for exhibit batches by H1 2019. They have successfully integrated
joint venture for dermatology products “Aleor” into their global mainstream operations and the
business has started filing ANDAs.

13 | P a g e
Research & Development
Alembic Pharma has a very strong foundation and support in the term of Research & Development
(R & D) for Regulated & Non-Regulated market. The vision of this company is to provide health
care & wellness with its high quality medicines. The R & D center are located at two places in
India – Baroda & Hyderabad. It has around more than 500 scientist, currently working on Active
Pharmaceutical ingredients (APIs), Oral Solid Dosage forms, Injectable. It has invested around
14% of total budget on R & D. The company has been leader in active pharmaceutical ingredients,
generic drug formulations (ANDAs), and novel drug delivery systems. It has been currently
working on 95 Drug Master Files (DMFs), 63 approved ANDAs, 10 Tentative Approvals and 1
NDA – 505(b)(2) as well as 133 ANDAs filed in total. The company is focusing more on this.
There are three Alembic research center in India:
1. Alembic Research Centre at Vadodara, Gujarat
2. A G Research Centre at Hyderabad, Andhra
3. Bioequivalence Centre at Vadodara, Gujarat

Market Growth & Expansion

Key Markets:

CANADA EUROPE

USA
iNDIA

LATHAM
S.AFRICA
AUSTRALIA

14 | P a g e
Product Launches across world

USA CANADA LATAM EUROPE

48 12 2 15

SOUTH AFRICA INDIA AUSTRALIA

2 170 12

Key Alliances
There are different subsidiaries, associates and joint venture of this company.
Subsidiaries Associates Joint Venture
A G Research Private Limited Incozen Therapeutics Private Alembic Mami SPA
Alembic Global Holding SA Limited
Aleor Dermaceuticals Limited Rhizen Pharmaceuticals SA
Alembic Pharmaceuticals Rhizen Pharmaceuticals Inc.
Australia Pty Limited Dahlia Therapeutics SA
Alembic Pharmaceuticals
Europe Limited
Alembic Pharmaceuticals Inc.
Alembic Pharmaceuticals
Canada Limited
Alnova Pharmaceuticals SA
Genius LLC

15 | P a g e
Key Competitors of Company

Sun Pharma Cipla Aurobindo Pharm

Dr. Reddys Lab Lupin Ltd. Divi's Laboratories Ltd. Biocon

Ranbaxy Laboratories Ltd. Piramal Enterprises Cadila Healthcare Ltd.

Achievements, Rewards & Recognition

 Won “HR event of the year” at “Gujarat Best Employer Brand Awards 2017”.
 Won “HR event of the year” for “outstanding contribution to the cause of education”.
 MD honoured with “Transformation Leader Award”.
 Honoured at “Gujarat Seminar and conclave at Risk Management”.
 First Runner up Position in Job Safety Analysis (JSA) - at CII Industrial Safety Summit
2016.
 Mr. Pranav Amin and Mr. Shaunak Amin got FORBES INDIA AWARD for ‘NextGen
Entrepreneurs of the Year’.

16 | P a g e
 FINANCIAL INFORMATION &
PERFORMANCE ANALYSIS

Revenue:
In FY 2015-16 company earned revenue of Rs3009 Cr. Next year it declined by 0.77% and earned
Rs2985 Cr. Further next year in FY 2017-18 it declined by 1.36% and earned Rs2945 Cr.

Net Profit:
2017-18 2016-17 2015-2016
Revenue 2945 2985 3009
PAT 421.99 430.63 698.74
Net Profit ratio 14.33% 14.42% 23.22%

We can clearly see that net profit ratio is decreasing gradually from past 3 years. Many reasons are
there for this decreasing and USFDA denial for some medicine is one of that. Today they release
result of Q2 FY 2018-19 (Annexure 6) and growth is around 64% QoQ. This significant rise is due
to rupee depreciation against dollar. All pharma companies are exporting base company (their
major revenue come by exporting).

17 | P a g e
 Revenue vs Profit after tax
3500

3000

2500

2000

1500

1000

500

0
2017-18 2016-17 2015-2016

Revenue PAT

Return on equity (ROE)

We can see from annexure 5 that ROE is decreasing from last 3 years. In March’17 they reported
25.35% ROE which was 59.11% in previous year. Next year in March’18 they reported 20.78%
which is 5 basis point lesser than previous year. But due to rupee depreciation we can expect it
will go higher in next year’s result.

SWOT Analysis
Strength  Strong growth in emerging market
 Strong brand presence in India
 Azithral and Roxid are famous medicine of this company
Weakness  Constantly regulated price by the government
 Heavily dependent on Generics for its revenue generation
Opportunity  Global demand for medicine is increasing
 Increase in per capita income
 Increase in people awareness related to medical industry,
insurance
Threat  Intense competition from other companies
 Higher Price sensitivity among consumers
 Increase in wages which result in increase in cost
 Stringent Patent regulations

18 | P a g e
 PAT Revenue ROCE

Pfizer 360.07 1,968.51 13.16

Sanofi India 326.00 2,491.40 14.98

Alembic Pharma 421.99 2,945.26 22.91

Sun Pharma -494.59 7,947.60 3.77

Competitors

PAT
600

400

200

0
Pfizer Sanofi India Alembic Pharma Sun Pharma

-200

-400

-600

PAT

19 | P a g e
 Revenue
9,000.00

8,000.00

7,000.00

6,000.00

5,000.00

4,000.00

3,000.00

2,000.00

1,000.00

0.00
Pfizer Sanofi India Alembic Pharma Sun Pharma

Revenue

ROCE
25

20

15

10

0
Pfizer Sanofi India Alembic Pharma Sun Pharma

ROCE

Pfizer, Sanofi are alembic’s competitors whereas sun pharma is number one company in India in
this sector by m-cap. Pfizer, Sanofi, alembic are ranked 18, 19, 20 respectively by m-cap. PAT,
ROCE and revenues are higher for alembic which indicates that company id doing great with
respect to their competitors.

20 | P a g e
Annexure 1: Balance sheet

DESCRIPTION Mar-18 Mar-17 Mar-16 Mar-15 Mar-14

EQUITY AND LIABILITIES

Share Capital 37.70 37.70 37.70 37.70 37.70
Share Warrants & Outstanding’s 0.00 0.00 0.00 0.00 0.00
Total Reserves 2156.93 1829.62 1493.03 795.86 591.99
Shareholder's Funds 2194.63 1867.32 1530.73 833.57 629.70
Long-Term Borrowings
Secured Loans 18.80 41.95
Unsecured Loans 500.00 10.27
Deferred Tax Assets / Liabilities 44.64 43.78 42.63 31.43 22.72
Other Long Term Liabilities 13.05 12.84 12.70
Long Term Trade Payables
Long Term Provisions 61.33 57.22 28.23 9.36 6.68
Total Non-Current Liabilities 605.97 101.00 83.91 72.44 94.32
Current Liabilities
Trade Payables 601.98 430.11 499.76 316.45 281.90
Other Current Liabilities 140.28 80.35 51.32 44.29 60.62
Short Term Borrowings 121.53 8.28 149.81 25.42
Short Term Provisions 13.50 22.07 16.00 94.60 225.08
Total Current Liabilities 877.29 540.81 567.08 605.15 593.03
Total Liabilities 3677.89 2509.13 2181.72 1511.16 1317.04
ASSETS
Non-Current Assets
Gross Block 1162.61 948.64 1082.45 802.85 665.06
Less: Accumulated Depreciation 244.31 149.63 385.20 314.17 268.10
Less: Impairment of Assets
Net Block 918.30 799.01 697.25 488.68 396.96
Lease Adjustment A/c
Capital Work in Progress 740.64 347.75 92.34 83.14 20.67
Intangible assets under development
Pre-operative Expenses pending
Assets in transit
Non-Current Investments 298.89 103.04 37.46 33.33 33.33
Long Term Loans & Advances 44.37 36.53 29.96 65.03 41.64
Other Non-Current Assets 0.00 0.00 0.00
Total Non-Current Assets 2002.20 1286.33 857.01 670.18 492.60
Current Assets Loans & Advances
Currents Investments

21 | P a g e
 Inventories 669.93 574.62 533.72 382.48 310.78
Sundry Debtors 621.66 467.41 371.50 337.94 260.56
Cash and Bank 15.63 7.21 284.81 4.41 5.34
Other Current Assets 23.37 5.59 5.90
Short Term Loans and Advances 345.10 167.97 128.78 116.15 247.77
Total Current Assets 1675.69 1222.80 1324.71 840.98 824.44
Net Current Assets (Including Current
Investments) 798.40 681.99 757.63 235.83 231.42
Total Current Assets Excluding Current
Investments 1675.69 1222.80 1324.71 840.98 824.44
Miscellaneous Expenses not written off
Total Assets 3677.89 2509.13 2181.72 1511.16 1317.04
Contingent Liabilities 196.18 167.59 223.24 104.84 57.37
Total Debt (Long Term Plus Short Term) 621.53 8.28 0.00 193.61 109.40
Book Value 116.43 99.06 81.21 44.22 33.40
Adjusted Book Value 116.43 99.06 81.21 44.22 33.40

Source: Ace equity

22 | P a g e
Annexure 2: Statement of profit and loss

INCOME : March 18 March 17 March 16 March 15 March 14

Gross Sales 2945.26 2985.9 3009.02 2034.0438 1851.4971
Less: Inter divisional transfers
Less: Sales Returns
Less: Excise Duty 15.0478 7.71
Net Sales 2945.26 2985.9 3009.02 2018.996 1843.7871
EXPENDITURE :
Increase/Decrease in Stock -35.56 -18.44 -53.12 -64.924 -36.4017
Raw Material Consumed 928.91 934.18 907.65 704.4637 663.4188
Power & Fuel Cost 70.21 64.13 58.84 43.2855 32.0636
Employee Cost 582.72 527.46 453.32 296.5671 244.4594
Other Manufacturing Expenses 226.57 241.01 201.16 250.7326 261.0671
General and Administration
Expenses 269.55 283.4 219.09 137.5742 113.0153
Selling and Distribution
Expenses 273.56 298.84 237.34 230.2044 188.6077
Miscellaneous Expenses 30.69 22.78 37.19 16.2902 19.1906
Less: Expenses Capitalized
Total Expenditure 2346.65 2353.36 2061.47 1614.1937 1485.4208
Operating Profit (Excl OI) 598.61 632.54 947.55 404.8023 358.3663
Other Income 40.59 3.28 42 5.6115 4.4392
Operating Profit 639.2 635.82 989.55 410.4138 362.8055
Interest 2.22 3.21 3.68 3.1362 10.3998
PBDT 636.98 632.61 985.87 407.2776 352.4057
Depreciation 101.76 82.9 71.86 44.4127 40.4872
Profit Before Taxation &
Exceptional Items 535.22 549.71 914.01 362.8649 311.9185
Exceptional Income / Expenses
Profit Before Tax 535.22 549.71 914.01 362.8649 311.9185
Provision for Tax 113.23 119.08 215.27 76.25 73.6321
Profit After Tax 421.99 430.63 698.74 286.6149 238.2864
Extra items
Adjustments to PAT
Profit Balance B/F 691.58 653.84 338.37 148.0509 75.9307
Appropriations 1113.57 1084.47 1037.11 434.6658 314.2171
Equity Dividend % 200 200 200 175 150
Earnings Per Share 22.3867374 22.84509284 37.0684 15.2037 12.64011543
Adjusted EPS 22.3867374 22.84509284 37.0684 15.2037 12.64011543

23 | P a g e
Annexure 3: Cash flow

March 18 March 17 March 16 March 15 March 14

Profit Before Tax 535.22 549.71 914.01 362.8649 311.9185
Adjustment 81.9 84.88 72.96 34.8446 62.4421
-
Changes In working Capital -188.46 -189.44 56.63 148.5269 -43.5221
Cash Flow after changes in Working
Capital 428.66 445.15 1043.6 249.1826 330.8385
Interest Paid
Tax Paid -124.11 -117.99 -196.08 -69.1022 -67.657
Other Direct Expenses paid
Extra & Other Item
Cash From Operating Activities 304.55 327.16 847.52 180.0804 263.1815
-
Cash Flow from Investing Activities -793.58 -510.97 -291.91 198.5118 -111.0363
Cash from Financing Activities 497.79 -96.06 -276.05 17.4979 -151.0564
Net Cash Inflow / Outflow 8.76 -279.87 279.56 -0.9335 1.0888
Opening Cash & Cash Equivalents 0.69 280.56 0.99 5.3385 4.2497
Cash & Cash Equivalent on
Amalgamation / Take over / Merger
Cash & Cash Equivalent of
Subsidiaries under liquidations
Translation adj. on reserves / op cash
balances from subsidiaries
Effect of Foreign Exchange
Fluctuations
Closing Cash & Cash Equivalent 9.45 0.69 280.55 4.405 5.3385

24 | P a g e
Annexure 4: Financial ratios

Operational &
Financial March 18 March 17 March 16 March 15 March 14
Ratios

Earnings Per
22.39 22.85 37.07 15.2 12.64
Share (Rs)
Adjusted EPS
22.39 22.85 37.07 15.2 12.64
(Rs.)
Book Value
116.43 99.06 81.21 44.22 33.4
(Rs)

Dividend Pay
17.87 17.51 10.79 23.02 23.73
Out Ratio(%)

Margin Ratios

PBIDTM (%) 21.7 21.29 32.89 20.18 19.6

EBITM (%) 18.25 18.52 30.5 17.99 17.41

Pre Tax Margin

18.17 18.41 30.38 17.84 16.85
(%)
PATM (%) 14.33 14.42 23.22 14.09 12.87
CPM (%) 17.78 17.2 25.61 16.27 15.06
Performance
Ratios
ROA (%) 13.64 18.36 37.84 20.27 19.84
ROE (%) 20.78 25.35 59.11 39.17 43.74
ROCE (%) 22.91 32.46 71.75 41.44 46.52
Asset
0.95 1.27 1.63 1.44 1.54
Turnover(x)

Inventory
4.73 5.39 6.57 5.87 6.41
Turnover(x)

25 | P a g e
 Debtors
5.41 7.12 8.48 6.8 7.51
Turnover(x)
Efficiency
Ratios
Receivable
67.48 51.27 43.03 53.7 48.59
days
Inventory Days 77.12 67.74 55.57 62.2 56.93

Growth Ratio

Net Sales
-1.36 -0.77 49.04 9.5 23.53
Growth (%)

Core EBITDA
0.53 -35.75 141.11 13.12 41.11
Growth (%)

EBIT Growth
-2.8 -39.75 150.73 13.55 45.1
(%)

PAT Growth
-2.01 -38.37 143.79 20.28 51.35
(%)

Adj. EPS
-2.01 -38.37 143.81 20.28 51.35
Growth (%)

Financial
Stability Ratios

Total
0.28 0 0 0.23 0.17
Debt/Equity(x)
Current
1.91 2.26 2.34 1.39 1.39
Ratio(x)
Quick Ratio(x) 1.15 1.2 1.46 0.76 0.87

26 | P a g e
Annexure 5: Q2 result of FY 2018-19

27 | P a g e
Reference
Ace equity
https://www.moneycontrol.com/india/stockpricequote/pharmaceuticals/alembicpharmaceuticals/AP35
https://www.marketsmojo.com/Stocks?StockId=807696&Exchange=0#!#navDashboard
https://www.pharmacytimes.com/publications/supplement/2018/genericsupplement2018/alembic-
pharmaceuticals
https://thesiliconreview.com/magazines/alembic-pharmaceuticals-limited-delivering-quality-by-
developing-manufacturing-and-marketing-excellent-pharmaceutical-products-since-1907/
https://www.alembicpharmaceuticals.com/annual-report/
https://www.alembicpharmaceuticals.com/r-d/
https://www.kenresearch.com/healthcare/pharmaceuticals/alembic-pharmaceuticals-ltd-aplltd-financial-
strategic/18882-91.html
https://www.aarkstore.com/pharmaceuticals-healthcare/416232/alembic-pharmaceuticals-ltd-aplltd-
financial-and-strategic-swot-analysis-review

28 | P a g e
 Undertaking

To Whom It May Concern:

We, Rishi Pandya, Sneha Sinha, Rahul Anand, hereby declare that this assignment is
our original work and is not copied from anyone/ anywhere. If found similar to other sources, we
shall take complete responsibility of the action, taken thereof by, CFM team.

Group No. : _________________

Section : A
Batch : MBA-FT (2018-2020)
Date : 02nd November 2018

Signature : ______________ _______________ _____________

Name: Rishi Pandya Sneha Sinha Rahul Anand

Roll No.: 181151 181159 181147

29 | P a g e