Cadila Share Price History and Analysis

About Cadila

 

Cadila Healthcare Limited, incorporated and headquartered in India, operates as an integrated pharmaceutical corporation with operations spanning the whole value chain of pharmaceutical product research, development, production, marketing, and distribution. The company’s product line includes active pharmaceutical ingredients (API) and human formulations. The company’s stock is listed on the National Stock Exchange of India Limited (NSE) and the Bombay Stock Exchange Limited (BSE).

 

 

The company’s research and development objectives include New Chemical Entities (NCE), biologics, vaccines, speciality and complicated generic formulations, and API process development. The company has a global presence and sells its products in the United States, India, and Europe, as well as growing markets in Latin America, the Asia-Pacific region, and Africa. Modern, cost-effective, and regulatory-compliant manufacturing facilities assure a constant supply of high-quality products at the most competitive pricing to the company’s global clients.

 

The company is one of the leading innovation-driven pharmaceutical companies in India, with a presence across the entire pharmaceutical value chain, including R&D, manufacturing, marketing, and sales of finished dosage human formulations (generics, branded generics, and speciality formulations, including biosimilars and vaccines), active pharmaceutical ingredients (APIs), animal healthcare products, and consumer wellness products. Innovation is the company’s backbone since it enables the ongoing availability of new products for various businesses, hence ensuring commercial viability.

 

Company’s History

 

Cadila Healthcare Ltd is a well-known, research-focused, technology-driven pharmaceutical company that focuses on biotechnology, formulations, and Active Pharmaceutical Ingredients. They are a multinational pharmaceutical company with headquarters in India. They have production plants in Gujarat in Ahmedabad, Ankleshwar, and Vadodara, in Goa at Ponda, in Maharashtra at Raigad, and in Himachal Pradesh at Solan.

 

Cadila Healthcare Ltd, the main company of Zydus Cadila Group, was established in May 1995 and went public in July 1996. Pharmaceuticals, including human formulations, veterinary formulations, bulk drugs, diagnostics, herbal goods, skin care products, and over-the-counter products, are part of the company’s operations.

 

In 1996, the company formed a strategic agreement with Gulin Pharma of China and marketed the anti-malarial drug Falcigo in India. In May of 2000, the company purchased Recon Ltd’s formulation business, strengthening its position in the southern region. In 2001, they purchased German Remedies, the largest merger and acquisition in the Indian pharmaceutical industry, and in the same year, they formed a joint venture with Onconova, a company based in the United States, for collaborative research in the field of oncogenomics.

 

In April 2002, the company purchased Banyan Chemicals, a Vadodara-based firm with an FDA-approved facility in the United States. German Remedies, Recon Healthcare, Zoom Properties, and Zydus Pathline amalgamated with the business in 2003. In addition, they purchased Alpharma France, which led the group’s operations in France. In the same year, the company became Schering AG’s “Partner of Choice” for manufacturing and marketing its products in India.

 

In November 2004, the company formed a strategic alliance with the Italian Zambon Group to expand its contract manufacturing opportunities. In the same year, the company signed a long-term strategic agreement with Boehringer Ingelheim India Ltd, a wholly-owned subsidiary of Boehringer Ingelheim (BI), to produce and distribute BI’s products in India.

 

In 2005, the company formed a strategic agreement with Mallinckrodt Pharmaceuticals Generics, a business subsidiary of Tyco Healthcare, in order to promote the company’s product under a joint label. In the same year, the company formed a joint venture with Mayne Pharma of Australia to manufacture generic injectable cytotoxic (anti-cancer) drugs and active pharmaceutical ingredients (API) for international markets.

 

In 2005-2006, the company created a 50:50 joint venture with one of India’s leading biotech companies, Bharat Serums and Vaccines Ltd. (BSV), to develop, manufacture, and market a non-infringing and patented Novel Drug Delivery System (NDDS) of an approved anti-cancer medicine for worldwide markets.

 

During the 2006-2007 fiscal year, the company engaged in a share purchase agreement to buy a 97.95% ownership interest in Liva Healthcare Ltd., which manufactures and sells formulas. In Sikkim, a greenfield facility for Solid Oral Dosage Forms was constructed primarily for the domestic market. They also established a lyophilisation unit at the Moraiya plant with an annual capacity of seven and a half million doses to serve both the Indian and international markets.

 

During the 2007-2008 fiscal year, the business revamped its formulation division, Alidac, and introduced two new sub-divisions, Corza and Fortiza. In addition, they entered the nutraceutical market and founded Zydus Nutriva, a new division. The injectables factory in Moraiya has been upgraded, and its production facility in Ankleshwar has been extended.

 

To develop their branded business in Brazil, Zydus Healthcare Brasil Ltd, a wholly-owned subsidiary of the corporation, purchased 100% of the shares of Brazilian pharmaceutical company Quimica e Farmaceutica Nikkho Do Brasil Ltda. In addition, Zydus Pharmaceuticals Inc., Japan, a wholly-owned subsidiary of the corporation, bought 100% of the shares of Nippon Universal Pharmaceuticals Co., Ltd., a Japanese company that manufactures and markets pharmaceutical goods in Japan.

 

In February 2008, the company and Swedish Karo Bio entered into a three-year strategic partnership in the field of medication discovery and development. The company is in the midst of constructing a fine chemical facility in Dabhasa at a cost of approximately Rs 200 million, which will begin production in the 2008-2009 fiscal year.

 

In May 2008, the company entered the Spanish market by purchasing a 100% ownership interest in Laboratories Combix. In June 2008, the business would acquire a 70% majority stake in Simayla Pharmaceuticals of South Africa through its wholly-owned subsidiary, Zydus Healthcare SA Pty Ltd.

 

The company’s Consumer Products Division would be transferred to Carnation Nutra Analogue Foods Ltd, a subsidiary of Cadila Healthcare, and Zydus Hospital and Medical Research Pvt Ltd will be merged with the company.

 

Using monoclonal antibodies, the company entered into an agreement with WHO in August 2008 to examine the possibility of a collaboration in the development of a cocktail for the treatment of rabies.

 

Top Shareholder

 

Below is a list of the top shareholders of Cadila Share Price as of June 2022.

 

Shareholder	No. of Shares	Shareholding (%)
Zydus Family Trust	75,87,88,706	74.96%
Kotak Flexicap Fund	2,53,16,795	2.50%
Life Insurance Corporation of India	6,42,67,147	6.35%
Resident Individuals holding nominal share capital up to Rs. 2 Lakhs	6,84,41,694	6.76%

 

Top Management

 

Below is a list of Cadila top management as of June 2022

Name	Designation
Mr. Pankaj R Patel	Chairman
Mr. Ganesh N Nayak	Executive Director
Ms. Apurva S Diwanji	Independent Director
Mr. Nitin R Desai	Independent Director
Ms. Dharmishtaben N Raval	Independent Woman Director
Dr. Sharvil P Patel	Managing Director
Mr. Mukesh Patel	Non-Executive Director
Mr. Nitin D Parekh	Chief Financial Officer
Mr. Dhaval N Soni	Co. Secretary & Comp. Officer

 

Highlights From Cadila Healthcare Ltd’s Latest Quarterly Results – Q1 FY 23

 

• The operational revenue was Rs. 40,727 million, a 2% increase over the previous year.

 

• Investments in research and development (R&D) for the quarter totalled Rs. 2,842 million (or 7.0% of revenue).

 

• The reported EBITDA for the quarter was 8,330 million rupees, a decrease of 14% year-over-year. The EBITDA margin for the quarter was 20.5 per cent.

 

• The reported net profit for the quarter was Rs. 5,183 million, a 12% decrease year-over-year. Adjusted for unusual items and loss from discontinued activities, the Net Profit for the quarter decreased by 11% year-over-year to Rs. 5,295 million.

 

• The Organic CAPEX for the quarter was Rs 2,828 million.

 

• Net cash as of 30 June 2022 is Rs 5,628 million

 

Business Highlights

 

Formulation Business

 

• Revenues of Rs. 11,251 million decreased by 17% year-over-year. Excluding sales of COVID-related goods, the generics portfolio, and products that were sold, the branded prescription business climbed by 9 per cent year-over-year. The business was responsible for 29% of the total revenue.

 

• Increased market share and ranking in core therapies such as cardiovascular, gynaecological, respiratory, and pain management on a year-over-year basis throughout the quarter 

 

• Lipaglyn®, Cadila’s first NCE brand, is currently the 66th largest brand in IPM, a sequential improvement of 13 spots.

 

• Cadilla maintained a leadership position in the Nephrology segment while gaining many positions in Oncology to become one of the top two players in India.

 

Consumer Wellness Business

 

• Reported revenues of Rs 6,916 million, up 18% year-over-year. The business contributed 17% of total company revenue. They were able to re-recruit consumers for summer-heavy brands like Glucon-D and Nycil due to the timely arrival of summer and the expansion of distribution reach. This contributed to double-digit growth for these two iconic brands.

 

US formulations Business

 

• Registered revenues of Rs. 15,592 million, up 9% y-o-y and 10% q-o-q. The business accounted for forty per cent of total revenue.

 

• In constant currency terms, the company registered revenue was $ 202 million.

 

• Submitted eight ANDAs and was granted approval for seven new products (including one tentative approval) throughout the quarter.

 

• During the quarter, three filings were designated as Competitive Generic Therapies (CGT), while one approval was for the first cycle.

 

• Eight new goods were introduced throughout the quarter.

 

• On the Specialty front, commercial shipment of Nulibry® has begun (Fosdenopterin for Injection).

 

Emerging Markets (EM) Pharmaceuticals Business

 

• The company maintained its growth momentum and reported revenues of Rs. 3,155 million, up 14% year-over-year. The business was responsible for 8% of the total revenue.

 

• During the quarter, growth was widespread across the majority of geographies.

 

Europe’s formulations Business

 

• Revenues of Rs. 614 million were reported, up 3% year-over-year. The business was responsible for 2% of total revenue.

 

API Business

 

• Revenues of Rs. 1,224 million were down 10% year-over-year. The business was responsible for 3% of total revenue.

 

Alliances and Others

 

• Reported revenues of Rs. 477 million, down 6% year-over-year. The business was responsible for 1% of total revenue.

 

Management’s Take

 

Dr. Sharvil Patel Managing Director, Zydus Lifesciences Limited said, “We are encouraged by our stable Q1 FY23 performance, particularly with the rebound in US business even as Consumer Wellness and Emerging Markets sustained growth momentum. India branded formulations business, adjusting for COVID impact delivered healthy growth and we expect to improve further. Focus on cost optimization helped us sustain 20% plus EBITDA margins amid input cost pressures. We continue to advance our innovation pipeline to build a strong foundation for the future. “

 

Why Should You Invest in Cadila Healthcare Ltd.?

 

According to NITI AAYOG, the Indian healthcare industry is anticipated to reach $372 billion by 2022, driven by rising incomes, better health awareness, lifestyle disorders, and expanding insurance coverage. Healthcare is now one of India’s top industries in terms of both revenue and jobs.

 

Hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance, and medical equipment are included in healthcare. Primary care, secondary care, and tertiary care are the three major components of the Indian healthcare delivery system.

 

Primary care is the population’s initial point of contact with healthcare service providers. For instance, Sub-center (SC), Primary Health Centres (PHCs), and Community Health Centres (CHCs) are more pertinent to rural areas than Sub-center (SC).

 

Secondary care encompasses both inpatient and outpatient medical services, as well as straightforward surgical procedures. For instance, district hospitals and mid-sized hospitals.

 

The third level of the nation’s healthcare delivery system is tertiary care. These hospitals are infrastructure for specialized healthcare consultation. Hospitals with single or many specialities are examples.

 

In spite of the fact that both the public and private sectors offer healthcare services in urban and rural areas, people choose private hospitals over public hospitals for the treatment of disease, illness, and sickness. Therefore, let’s examine Zydus Lifesciences and its performance throughout time.

 

• Operating cash flow ratio: It gauges a company’s ability to meet its short-term financial obligations using the cash generated from operating activities. Its operating cash flow was Rs 1,310.70 Cr.

 

• Financial Stability: The balance sheets of healthcare organizations typically reflect significant debt loads and little equity capital. Therefore, the Debt to Equity ratio is essential for evaluating the sustainability of a corporation. The debt-to-equity ratio of 0.20 for Zydus Lifesciences is a positive sign for the company.

 

• EPS growth: Investors should check that the EPS figure is growing faster than revenue numbers since this implies that the company’s management is becoming more efficient. The EPS growth for Zydus Lifesciences was -41.88%, which is negative for the company.

 

• Operating profit margin: It influences the prospective earnings of a company. Zydus Lifesciences has an OPM of 24.01%, which is a positive indicator of profitability. It measures how well a company manages its basic overhead expenses and other operational expenses.

 

• ROE: Zydus Lifesciences has a mediocre return on equity of 6.60%. ROE is a significant financial metric for hospitals and healthcare organizations due to its quick expansion and growth. Therefore, ROE assesses the profitability of a company’s utilization of shareholder funds.

 

FAQ On Cadila Healthcare Ltd

 

• What is Cadila Healthcare Ltd’s share price, and what are the returns for Cadila share Price?

 

Cadila  share price is INR 415.35  as of  14th October 2022. Cadila Healthcare Ltd has provided a return of approximately -15.57% in the past five years as of 14th October 2022.

 

• What are the 52-week highs and lows of Cadila Share Price?

As on 14th October 2022 Cadila Share Price are: 

• • 52-wk high Rs 552
  • 52-wk low Rs 319

 

• What are the key metrics to analyse Cadila Healthcare Ltd’s Share Price?

Key metrics to analyse any share price are: a 52-week high, a 52-week low, a 1-year return, a 5-year return, etc. 

 

• Who are the peers of Cadila Healthcare Ltd?

Peers of Cadila Healthcare Ltd include Sun Pharma, Cipla, Dr Reddys Lab, Abbott India etc.

 

• What is the market cap of Cadila Healthcare Ltd?

The market cap of Cadila Healthcare Ltd is INR 42.04 Thousand crores as of 14th October 2022.
 

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