US-focused companies to sustain revenue growth in FY25


NEW DELHI: Domestic biggies– centered on the US– are anticipated to sustain the pattern of revenue enchancment in FY25 on account of heightened drug shortages in the US market. This won’t solely present potential for quantity growth, but in addition restrict value erosion to single digits over the following 12-18 months, main to improved returns, India Ratings and Research (Ind-Ra) says.
Also, given the restricted authentic abbreviated new drug software (ANDA) filings and delays in approvals supplied by the USFDA, the drug scarcity in the US gives a possibility for Indian gamers with mandatory approvals to achieve market share in a competitive-but-attractive market.
It could also be identified that the US is dealing with an lively scarcity of 233 medication throughout 22 therapeutic classes, led primarily by discontinuation of drug manufacturing, rising demand and delays in shipments. Expanding the availability chains and rising participation from producers throughout therapeutic classes are excellent long-term options to handle the issue.
Ind-Ra believes Indian pharma companies with an inexpensive observe document, current price rationalisation and enhanced analysis & growth capabilities can seize a better market share in many of those therapeutic classes.
“The price erosion in the US generics market is expected to remain in single digits in the near future, primarily due to drug shortages. US-catering Indian generic players have seen a strong financial performance during FY24, due to lower raw material cost and stability in pricing. With improving complexity of products and recurring supply chain issues leading to uncertainty, we expect the pricing scenario in the US will remain supportive. High working capital financing requirements continue to be managed by the non-recourse account receivables purchases scheme”, Vivek Jain director, company rankings, Ind-Ra mentioned.

Nilesh Desai
Nilesh Desai
The Hindu Patrika is founded in 2016 by Mr. Nilesh Desai. This website is providing news and information mainly related to Hinduism. We appreciate if you send News, information or suggestion.


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