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Showing posts with label skin care. Show all posts
Showing posts with label skin care. Show all posts

Wednesday, June 20, 2012

Diabetes, skin care will hold key for drug makers' growth: Credit Suisse


Mumbai: The next round of growth for Indian pharma companies will be driven by the fastest growing molecules in the diabetes, skincare and eye care segment according to a report by research firm Credit Suisse.

The market share of a drug company is directly related to the number of fast growing molecules in the company's pipeline, the report said.

"Every company wants to be present in the fastest-growing and high-margin molecules and launching products in the high growth segment in India is not difficult. However, in our view, execution on high growth molecules holds key" said Anubhav Agarwal, research analyst Credit Suisse in the report titled 'Does bottom analysis matter?'

According to the report 15% of sales of Indian drug makers is driven by molecules which are growing at less than 5% , and 1/6 thof sales are contributed by molecules that are growing at more than 30%, these are primarily the diabetes and cardiac products.

Credit Suisse is betting on the diabetes therapy that would play significant role in pushing the company's revenues. It says that half of diabetes segment in India is growing is a rate of 30% with maximum chunk of revenue coming from the high growing molecules. This is followed by dermatology where 70% of sales come from molecules that are growing above 15% followed by eye care molecules.

The report has given a buy call on Sun Pharma, Lupin and Glenmark, as according to the firm these companies have the best overall portfolio in the fast growing segments.