Indian Pharmaceutical Market – The Indian pharma market is main strength at world being 3rd largest supplier in terms of volume. It is popular for its massive production of generic medicines and less costly vaccines. India is largest supplier of generic medicines globally and manufactures approximately 60,000 different generic brands across 60 therapeutic segments, contributing 20% to supply of generic medicines at international level. A major portion of pharmaceutical sector is production of Active Pharmaceutical Ingredients (APIs) which contributes around 35% of market. APIs is biologically active ingredients for drugs used for medicinal production. The production of API in India is important not only in quantity but also in variety as it is third largest producer of APIs attaining 8% global share in API market. India manufactures 500 varieties of APIs, by making huge contribution of 57% to World Health Organization’s (WHO) pre-qualified list.
India has the second highest pharmaceutical companies after USA which follows US-FDA guidelines. Moreover, it has genuine number of WHO Good Manufacturing Practices (GMP) regulated plants and facilities approved by regulated bodies from different countries. This supports India in becoming top player in pharmaceutical sector providing reasonable and best-quality generic medicines over 200 countries. As per data provided by IMARC, the Indian pharmaceutical market is forecasted to reach USD 163.1 billion by 2032 at 12.3% CAGR. The rising incidences of diseases, increasing healthcare requirements, genuine government initiatives, giving preference to healthcare, and growth of healthcare infrastructure.
Global Pharmaceutical Industry – The pharma sector is important to take care of patients and growth of community as it provides various treatments and also generates employment opportunities by making huge contribution to the economy. The challenges are world landscape inflation, pandemic, and increased geopolitical tensions in 2023. The sector observed consistent focus on adopting novel therapies and genuine usage. Older populations is developed countries such as China are increasing requirement of OTC medicines and generic medicines for treating chronic diseases. The huge inflation and interest rate are affecting spending in 2022 which results in reducing demand for OTC products.
The use of AI is increasing drug discovery, development processes, clinical trials, and marketing techniques, and improve efficiency. Analytics helps pharma companies to use real-time data and historical for diagnostic, predictive, and prescriptive. After pandemic, there has been an increase of e-commerce and e-pharmacy at global level, remote patient checking, digital health solutions, and telemedicine. Moreover, retail pharmacy consistently manages ground by providing consultancy and advice which is valuable.
US Pharmaceutical Market – The US is largest pharmaceutical market globally projected at USD 711 billion and is forecasted to rise by USD 299 billion in 2028 and will reach USD 1,010 billion increasing at CAGR of 6 to 9%. The contribution made by new brands is forecasted to rise to USD 119 billion over 5 years as more than 250 new active substances is projected to be launched. This shows huge opportunity for Indian pharma companies to launch their own creative products in US market. In this article, we will learn interesting information about Alkem Laboratories Ltd share price target, market cap, ROCE, ROE, turnover, promoter, shareholding pattern, and net profit.
Alkem Laboratories Ltd – Key Points
Name of Chairman
Mr. Basudeo N Singh
Industry
Pharmaceutical
Established
1973
Headquarters
Mumbai, Maharashtra
Employees
2700
Exports
200 countries
Manufacturing facilities
19
Global workforce
20,000
Alkem Laboratories Ltd – Statistics
Market cap
Rs 56,183 crores
ROCE
19.7%
ROE
19.6%
Sales depots and CFAs
76
Stockists
8400+
Medical representatives
12,000+
Scientists onboard across 4 R&D centres
665
About Alkem Laboratories Ltd
The company has developed strong presence across world in 50 years. Alkem laboratories has build strong footprint as Indian generic company at world level providing unique, best quality products. The company has maintained strong position among top 10 domestic pharma companies for over 20 years with strong presence spreading entire value chain from building product to manufacturing and sales. The international business of company is spread over 40 countries with USA as major export market. The company has developed strong brand image among Indian and global markets with strong distribution channel of over 8,400 stockists, wide variety of product portfolio including over 800 brands, talented team with vast experience, strong commitment to over best quality and best company ethos and culture.
The company has 19 modern manufacturing unit, 18 in India and 1 in USA, the company is proud of itself having filed 176 ANDAs and 2 New Drug Applications with US FDA and has received approval of 145 ANDAs, 2 NDAs and 1100+ product registration in several international markets. All manufacturing plants go through regular audits and has received approval from different regulatory authorities such as US FDA, TGA (Australia), MHRA (UK), WHO, ANVISIA (Brazil), MCC (South Africa) and regulatory agencies from other countries. The company has inbuilt 4 technolgical based R&D centres supported by over 500 scientists looking consistently to improve its products in building dynamic market atmosphere. The company has made investment in biotechnology with its subsidiary, Enzene biosciences is observing good attention in the market with 7 biosimilar products in domestic market.
Alkem has attained top position in various Indian acute therapy areas such as Pain management, Gastro intestinal, Anti-effective, and Vitamins/Minerals. Out of top 50 pharma brands, many brands of Alkem such as Pan, Clavam, Pan-D, and Taxim-O has captured strong control over market. Alkem has achieved top position in anti-infective sector in past 10 years and is one of the top player in Indian generic division. the company is increasing its footprint in chronic therapy areas such as Dermatology, Anti-diabetics, Cardiac, and Neuro/CNS. The company has achieved ranking position as top 5 players in the IPM overall with market share of 4.02%. In therapeutic division, the company has maintained strong history with ranking among top 3 players. Therapeutic areas include anti-infectives (top position for more than 15 years), pain and analgesics (3rd rank), gastro-intestinal (rank 2), and vitamins/minerals (rank 2).
The company has made best achievements by working with huge dedication to perform best and stable team of more than 12,000 marketing representatives. The company has carried ahead its business for developing marketing brands across therapies. Moreover, the company has increase its footsteps in chronic therapy segments including, neurology/CNS, anti-diabetics, increasing market development, dermatology by attaining market share. The company has stepped into white spaces such as opthalmology and respiratory. The company has attained top position in IPM in terms of sales from new medicines launched. The company has made loyal commitment in R&D, systematic distribution channel, manage proper operations, and talented team. The company has managed strong position to increase its business as top player in pharma division.
The company is looking to aim for for its network in 40 international market excluding India and USA. The main markets include Australia, Europe, LatAm (Germany, UK) and RoW markets (Kazakhstan, East Africa, Philippines, South Africa).
Update on USFDA Inspections
Throughout the year, USFDA carried inspections of company’s manufacturing units located at Anleshwar, Mandwa, and Baddi. After inspection, results are given below:
April 2023 – The USFDA inspected manufacturing plant located at Ankleshwar. The inspection was done efficiently without any observations. On June 2023, the company received Establishment Investigation Report (EIR).
December 2023 – The inspection was done by USFDA in manufacturing unit located at Mandva. Once the inspection was done sucessfully, the company received form 483 with 3 observations. Morover, the company received EIR in March 2024 by closing inspection systematically.
March 2024 – The USFDA had done inspection of manufacturing unit located at Baddi. After ending inspection, company received Form 483 with 10 observations and company has submitted in depth prevention action plan to end inspection.
The company has made strong commitment to provide best quality medicines and comply with guidelines. The company has made investment in employees, modern technology, innovating new products to following compliance with emerging cGMP norms.
Enzene Biosciences
Enzene is innovation based biotech company and subsidiary of Alkem Laboratories. The company concentrates in building and producing biosimilars, synthetic peptides, novel biologics and phytopharmaceuticals. The company provides wide variety of biologics contract development and manufacturing (CDMO) and contract manufacturing organization services with capacity from clone development to GMP manufacturing encouraged by bio reactors capacities with a range from 20 litres to 2,000 litres. The company has developed fully automated biotech process development and manufacturing units across multiple approach and platforms by implementing amazing and modern technologies. The company has systematically took benefit of its platform to build a genuine pipelines of biosimilars that has been given on license to pharma companies at international markets by providing end-to-end CDMO services to biotechnology companies.
The company is the first to enter in international markets, the company has developed complete manufacturing platform for biologics. The company is installed with best manufacturing unit in India with modern technology in the field of monoclonal antibodies (MABs) and single use technology for drug substance checking. At present, Enzene with the helps of its subsidiary, Enzene Inc. is establishing CDMO manufacturing unit in New Jersey, USA by supporting Enzene to increase its business at world level. Enezene is looking to be partner of CDMO for US biotech firms and support them to bring the best molecules in the market. The company has done commercialization of biosimilar drug in India and has list of another eleven products in list at different phases of development. There are many series of products that has collaborated for commercial rights in evolving and regulated markets.
Performance of some of the new product launches
Brand
Rank MAT in March 2024
A to Z Amino
5
Dapanom L
4
Cetuxa
2
Alsita-MP
1
Denuril
4(+4)
Alsita
5
Carilift
2
Romiset
3
Topiroxo
1
Performance of Alkem’s top 10 brand
Brand
FY 23-24 Brand sales in crores
Market share
PAN
608.4
34.2
Clavam
592.4
15
PAN-D
523.9
32.3
Taxim-O
311.8
23
A to Z Ns
283.6
13.9
Xone
265.2
16.4
Pipzo
197.1
22.8
Gemcal
180.9
19.2
Uprise-D3
177.4
16.9
Taxim
176.6
80.8
Revenue and net profit
Particulars
FY-24 (Rs. in crores)
Sales
12,688
Expenses
10,419
EBITDA
2,249
Other income
186
Interest
112
Depreciation
299
Profit before tax
2,023
Tax (%)
(10%)
Net profit
1,811
EPS in Rs.
150.19
Balance sheet
Liabilities
Rs
Assets
Rs
Equity Capital
24
Fixed assets
2,873
Reserves
10,288
CWIP
159
Borrowings
1,418
Investments
484
Other liabilities
3,844
Other assets
12,060
Total liabilities
15,575
Total assets
15,575
Shareholding pattern (Dec. 2024)
Promoters
55.66%
FIIs
10.14%
DIIs
18.01%
Public
16.19%
Alkem Laboratories Ltd – Watch Full Video
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Alkem Laboratories Ltd Share Price Target – 2025 to 2040
Year
Minimum price (Rs)
Average price (Rs)
Maximum price (Rs)
2025
4,699
5,044
5,389
2026
5,404
5,619
5,834
2027
5,944
6,285
6,625
2028
6,717
7,153
7,589
2029
7,657
8,307
8,956
2030
9,036
9,200
9,365
2035
15,812
16,688
17,564
2040
25,300
26,378
27,456
Alkem Laboratories Ltd Share Price Target – 2025
If market faces bearish sentiments, the minimum projected price is estimated to hit Rs 4,699. The average trading price is projected to hit Rs 5,044 at the mid of the year. If market observes bullish sentiments, the maximum forecasted price is expected to reach Rs 5,389. The international business of the company has provided strong performance with huge growth in US and non-US markets. The company is planning to introduce 6 to 8 new products in US every year. The company has strong belief that new products launched will make huge contribution on growth of business.
Alkem Laboratories Ltd Share Price Target – 2026
If market faces bearish sentiments, the minimum projected price is expected to hit Rs5,404. The average trading price is projected to hit Rs 5,619 at the mid of the year. If market observes bullish sentiments, the maximum forecasted price is estimated to hit Rs 5,834. Moreover, the company successfully generated income from closed St. Louis facility in the US which was focused on controlled substance dosage manufacturing. Due to, decline in price and delay in introduction of product launches, the plant was no longer operated commercially. By maintaining operations and minimizing costs, the company is a strong position to manage US business.
Alkem Laboratories Ltd Share Price Target – 2027
If market observes downward sentiments, the minimum projected price is forecasted to hit Rs 5,944. The average trading price is projected to hit Rs 6,285 at the mid of the year. If market observes bullish sentiments, the maximum projected price is estimated to reach Rs 6,625. The company is operating its business across various categories reduces risks and meet dynamic consumer demands. The product portfolio includes generic drugs, nutraceuticals, active pharmaceuticals ingredients, generic drugs and biosimilars bringing growth through uniqueness. The R&D infrastructure is important for growth and innovation, encompassing R&D centres with talented team to build generics, transdermal drug delivery, oral films.
Alkem Laboratories Ltd Share Price Target – 2028
If market faces bearish sentiments, the minimum projected price is anticipated to hit Rs 6,717. The average trading price is projected to hit Rs 7,153 at the mid of the year. If market observes bullish signals, the maximum projected price is estimated to reach Rs 7,589. The company has entered into pharmaceutical market at global level by developing strong footprint in domestic and global markets. The 2nd largest market after India is US. The company has achieved 5th position in Indian market, the company has developed strong dominance in global regions where it manages business through subsidiaries and parent company. The market share of international sales in total sales stood at 32.2%.
Alkem Laboratories Ltd Share Price Target – 2029
If market faces bearish sentiments, the minimum projected price is estimated to reach Rs 7,657. The average trading price is projected to hit Rs 8,307 at the mid of the year. If market observes bullish sentiments, the maximum projected price is expected to hit Rs8,956. The company is actively involved in pharma sector, the main aim of company is to carry its business ahead where stakeholders feel valuable. The main focus is to deliver high quality products to establish brands among top 15 list of IPM. The brands has gathered strong recalls from customers. The company has attained top position in anti-infective market.
Alkem Laboratories Ltd Share Price Target – 2030
If market faces bearish sentiments, the minimum projected price is anticipated to hit Rs 9,036. The average trading price is projected to reach Rs 9,200 at the mid of the year. If market observes bullish sentiments, the maximum projected price is expected to reach Rs 9,365. The company has developed strong digital presence by improving IT infrastructure. The purpose is to increase our competitive edge and describe revamped organizational identity. Through strong digital infrastructure, the purpose of company is to manage operations while improving productivity.
Alkem Laboratories Ltd Share Price Target – 2035
If market observes downward signals, the minimum forecasted price is projected to hit Rs 15,812. The minimum projected price is expected to hit Rs 16,688 at the mid of the year. If market observes bullish sentiments, the maximum predicted price is estimated to reach Rs 17,564. The comprehensive pharma product portfolio includes variety of dangerous chemicals used in synthesis and formulations. To protect employees and atmosphere, the company implements strict guidelines such as engineering controls. The company consistently improve systems to reduce risks. From observing danger risks to specialised engineering and implementation of procedures.
Alkem Laboratories Ltd Share Price Target – 2040
If market observes downward trends, the minimum predicted price is expected to hit Rs25,300. The average trading price during the mid of the year is projected to touch Rs 26,378. If market observes bullish signals, the maximum projected price is estimated to hit Rs 27,456. The 70 to 75% of products are manufactured in-house in Daman and Baddi plants specially developed for manufacturing process. To fulfill the requirements of market, the company has also unique modern R&D centres with inbuilt CRO unit and Formulation R&D at Taloja and API R&D at Mandva.
FAQs
Q1) Who is the CEO of Alkem Laboratories Ltd?
Ans – The CEO of Alkem Laboratories Ltd is Mr. Dr. Vikas Gupta.
Q2) What is the NSE code of Alkem Laboratories Ltd?
Ans – The NSE code of Alkem Laboratories Ltd is INE540LO1014.
Q3) What does Alkem Laboratories Ltd do?
Ans – The company is involved in the business of manufacturing generic medicines with above 800 brands.
Q4) What is the turnover of Alkem Laboratories Ltd?
Ans – The turnover of Alkem Laboratories Ltd in FY-13 was Rs 2,485 crores which has increased to Rs 12,688 crores in FY-24.
Q5) What is the debt of Alkem Laboratories Ltd?
Ans – The Long-term borrowings is Rs 126 crores and short-term borrowings is Rs 1,110 crores. The cash and bank balance is Rs 1,952 crores. The net debt is almost negative.
Q6) Which position is Alkem Laboratories Ltd in India?
Ans – The rank of Alkem lab is among top 5 pharma companies in India with experience of over 5 decades.
Q7) Is Alkem Laboratories Ltd a good tock to buy?
Ans –Yes,Alkem Laboratories Ltd is a good stock to buy for long-term purpose. The net profit of company in FY-13 was Rs 384 crores which has increased to Rs 1,811 crores in FY-2024. The share price of company in FY-2015 was Rs 1515 which has increased to Rs 4681 in FY-25. The company has provided returns of almost 207%.
