Cipla Rating | Hold — Quarter results were ahead of expectations
Posted on 3rd June 2019 |
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| Cipla reported Q4 results ahead of expectation led by gSensipar “at-risk” exclusivity launch. Ex of this, revenues were in line while margins were c100bps ahead of expectation. Management expects US business to grow in double digits in FY20 and base margins to improve though it did not quantify the level. Cipla trading at 20x FY21 PE, factors in the base business improvement. We retain Hold, noting the mixed execution over past 12m. Strong results: Cipla reported results far ahead of expectation: Rev +6% and margins +670bps vs JEFe. The beat though was largely driven by high sales of at-risk gSensipar launch. US base ramp-up was in line: US revenues increased to $163 mn vs $118 mn in Q3. This was aided by gSensipar sales of $c40 mn and base business increased +5 mn q-o-q below JEFe of 8 mn. India business growth recovered to 10%+. Estimates: We adjust estimates for the quarter and also build Q1 of gSensipar sales in FY20. Our FY20/21 EPS change by 5/3%. Valuations full: Cipla is trading at 19.8x FY21 PE leaving no room for error. Execution for the company has been mixed. While US sales have seen a pick-up, it has been below expectations and failed to drive base-margin improvement. With challenges in EM and the tender market to sustain in the near term, the US becomes key. We expect the US ramp-up to be gradual and margin improvement to be below expectations. Retain Hold with revised TP of `535 implying 19x FY21PE. |
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Bharti Airtel defers Q2 results till Nov 14 over ambiguity on AGR verdict
Posted on 29th October 2019 |
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Bharti Airtel said on Tuesday it has postponed its second-quarter earnings report to mid-November, as the wireless operator sought clarity on the court ruling asking telecom firms to cough up overdue payments to the government.
Shares of the company, which was expected to release its quarterly numbers later in the day, dropped 3.3 per cent in early trade. |
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Rupee slips 8 paise vs US dollar in early trade amid drop in oil prices
Posted on 7th October 2019 |
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The rupee on Monday opened eight paise lower at 70.96 against the US dollar amid drop in crude oil prices and rise in Asian equities. The domestic unit on Friday closed almost flat at 70.88 against after the Reserve Bank of India (RBI) in a widely expected move cut key interest rates by 0.25 percentage point. On a weekly basis, the local unit slumped by 32 paise. |
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LIC pips private insurers in first-year premium growth during April-August
Posted on 13th September 2019 |
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In the first five months of the current financial year, first-year premiums of life insurance companies grew by 39.84% (year-on-year) at Rs 1.05 lakh crore as compared to Rs 75,588.35 crore in April-August of 2018-19. Life Insurance Corporation of India (LIC) continued to grow at a faster pace compared to private insurance players, shows the data from the Insurance Regulatory and Development Authority of India (Irdai). |
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Apollo Hospitals rules out further stake sale
Posted on 13th September 2019 |
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Apollo Hospitals Enterprise (AHEL) has ruled out further dilution of promoters’ stake in the company. The company also said its Rs 1,337-crore stake sale of Apollo Munich Health Insurance with mortgage major HDFC will be concluded by October. Following these stake sales, the promoters’ pledged position will come down from a high of 76% to 54% by October and eventually to 20% by November or December, company sources said here. |
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World trusts India on Kashmir, not us: Pakistan minister Ijaz Ahmed Shah
Posted on 13th September 2019 |
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In a major embarrassment for Pakistan and its Prime Minister Imran Khan, the country's Interior Minister Ijaz Ahmed Shah, a retired brigadier, said the international community didn't believe Pakistan's narrative on Kashmir; instead it is India whose version is trusted. |
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| Be the first person to write a business review for Cipla Rating | Hold — Quarter results were ahead of expectations |
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