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Health Technology

Cipla Ltd.

  • 621.40 INR
  • -16.15
  • -2.53%
  • India
    Jul 17, 2018
  • Ticker
    BOM(500087)
  • Prev. close
    637.55
  • Market cap (INR)
    513,349.62M
  • Market cap (USD)
    7,500.72M
  • Shares
    805.19M

Company Background

Cipla is a major Indian generic drugmaker, competing for second place in the industry in India in terms of the size of its business. It has been doing business in 170 countries and has over 30 production bases. It is a long-established company compared with other Indian leading generic drugmakers. The predecessor of Cipla was founded by K. A. Hamied in 1935, long before India's independence in 1947. It is said that Mahatma Gandhi visited Cipla and asked Hamied to supply medicines that were desperately needed in India at the time. During World War II, Hamied crisscrossed the country to supply medicines that were in short supply due to stagnant imports.

As a trailblazer in India's pharmaceutical industry, Cipla has been busily expanding its business in Africa and other emerging economies. In particular, it is well-known for its low-cost HIV drug. In 2013, it turned a South African company it did business with into a wholly owned subsidiary.

K. A. Hamied's son Yusuf, who earned a doctorate in organic chemistry from the University of Cambridge, took over the company in 1972 and has been serving as the chairman. The founding family owns nearly 40% of the shares in the company.

Business Summary

Cipla Ltd. engages in the manufacture and distribution of healthcare products and bulk drugs. The company operates through two segments: Pharmaceuticals and New Ventures. The Pharmaceuticals segment develops, manufactures, sells and distributes generic or branded generic medicines as well as active pharmaceutical ingredients. The New Ventures segment includes the operations of the two wholly owned subsidiaries, Cipla Health Ltd., a consumer healthcare company and Cipla BioTec Pvt. Ltd, which is into the business of Biosimilars. It also includes CipTec, a division within the company, which is to establish a strong specialty business in U.S. with significant focus on business development and evaluating investment opportunities. Its products portfolio includes prescription drugs, animal healthcare products, bulk drugs, OTC products, agrochemicals and technology. Cipla was founded by Khwaja Abdul Hamied in 1935 and is headquartered in Mumbai, India.

Financial Highlights

Mar 2018 INRUSD
Revenue152,192.50M2,360.81M
Gross Profit57,679.10M894.72M
Operating income15,035.60M233.23M
Income before tax16,694.60M258.96M
Net income14,105.30M218.80M
EBITDA28,263.80M438.42M
Diluted EPS17.500.27
Dividends Per Share----
Total Assets228,605.50M3,505.05M
Total liabilities82,789.20M1,269.35M
Total equity142,291.90M2,181.66M
Operating cash flow----
Currency in INRCurrency in USD

Historical Data

 Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018
Revenue 97,994.20M 109,507.60M 134,420.40M 142,298.10M 152,192.50M
Gross Profit 35,410.40M 40,668.40M 46,429.40M 48,235.80M 57,679.10M
Operating income 14,733.30M 12,634.80M 17,463.70M 15,212M 15,035.60M
Income before tax 18,800.40M 16,542.50M 17,270.30M 12,221.70M 16,694.60M
Net income 13,884.10M 11,807.70M 13,599.90M 10,063.90M 14,105.30M
EBITDA 18,459.70M 17,681.90M 25,005.50M 23,926.60M 28,263.80M
Diluted EPS 17.27 14.66 16.89 12.50 17.50
Dividends Per Share 2 2 2 2 --
Total Assets 147,931.20M 173,834.50M 211,281.80M 209,700.50M 228,605.50M
Total liabilities 46,931.90M 64,014.80M 92,449.70M 79,923.50M 82,789.20M
Total equity 100,503.50M 108,014.90M 115,162.20M 125,254.20M 142,291.90M
Operating cash flow 15,069.80M 10,379M 15,885.70M 22,350.60M --
 Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018
Revenue 1,621.50M 1,790.99M 2,053.13M 2,122.04M 2,360.81M
Gross Profit 585.93M 665.13M 709.16M 719.32M 894.72M
Operating income 243.79M 206.64M 266.74M 226.85M 233.23M
Income before tax 311.08M 270.55M 263.78M 182.25M 258.96M
Net income 229.73M 193.11M 207.72M 150.07M 218.80M
EBITDA 305.45M 289.18M 381.93M 356.80M 438.42M
Diluted EPS 0.28 0.23 0.25 0.18 0.27
Dividends Per Share 0.03 0.03 0.03 0.02 --
Total Assets 2,476.97M 2,777.74M 3,190.48M 3,229.39M 3,505.05M
Total liabilities 785.83M 1,022.90M 1,396.04M 1,230.82M 1,269.35M
Total equity 1,682.84M 1,725.99M 1,739.01M 1,928.91M 2,181.66M
Operating cash flow 249.35M 169.74M 242.63M 333.30M --

Valuation Measures

Mar 2018
PER30.98
ROA6.43%
ROE10.54%
Operating margin9.87%
Profit margin9.26%

Key executives

  • Chief Executive Officer, MD & Director: Umang Vohra
  • Global Chief Financial Officer: Kedar Upadhye
  • Secretary & Compliance Officer: Rajendra Chopra
  • Senior Vice President & Head-Corporate Finance: Dinesh Jain
  • Executive Vice Chairman: Samina Vaziralli

Shareholders

  • HAMIED YUSUF KHWAJA (20.7%)
  • AHMED SOPHIE (5.7%)
  • First State Investment Management (UK) Ltd. (5.6%)
  • HAMIED MUSTAFA KHWAJA (4.2%)
  • ICICI Prudential Asset Management Co. Ltd. (4.1%)
  • Life Insurance Corp. of India (3.2%)
  • HDFC Asset Management Co. Ltd. (Invt Mgmt) (2.8%)
  • VAZIRALLI SAMINA (2.2%)
  • Norges Bank Investment Management (1.7%)
  • The Vanguard Group, Inc. (1.4%)

Contact Details

Related Companies

  • Cipla Croatia d.o.o
  • Cipla Europe NV
  • Inyanga Trading 386 (Pty) Ltd.
  • Cipla USA, Inc.
  • Meditab Holdings Ltd.
  • Cipla FZE
  • Jay Precision Pharmaceuticals Pvt Ltd.
  • Medispray Laboratories Pvt Ltd.
  • Saba Investment Ltd.
  • Cipla (EU) Ltd.
  • Cipla Holding BV
  • Cipla Ventures
  • Hamsons Laboratories Llp
  • Golden Cross Pharma Pvt Ltd.
  • Meditab Specialities Pvt Ltd.
  • Cipla Medpro South Africa Limited

Competitors

  • Novartis AG
  • Pfizer Inc.
  • Dr. Reddy's Laboratories Ltd.
  • Lupin Limited
  • Biocon Limited
  • Amneal Pharmaceuticals, Inc. Class A
  • Unichem Laboratories Limited
  • GlaxoSmithKline Pharmaceuticals Limited
  • CMG Pharmaceutical Co., Ltd.
  • Cytori Therapeutics, Inc.
  • Mycenax Biotech Inc.
Last Updated on 17 Jul, 2018

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