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Last Updated on: 27 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Glenmark Pharmaceuticals Ltd

About the Company - Glenmark Pharmaceuticals Ltd

Glenmark Pharmaceuticals Ltd. is a Public Limited Listed company incorporated on 18/11/1977 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24299MH1977PLC019982 and registration number is 019982. Currently Company is involved in the business activities of Manufacture of allopathic pharmaceutical preparations. Company’s Total Operating Revenue is Rs. 8141.58 Cr. and Equity Capital is Rs. 28.22 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
PharmaceuticalsB/2, Mahalaxmi Chambers, 22, Bhulabhai Desai Road, Mumbai Maharashtra 400026csr@glenmarkpharma.com
http://www.glenmarkpharma.com
Management
NamePosition Held
Mr. Glenn SaldanhaChairman & Managing Director
Mrs. Cherylann PintoExecutive Director - Corporate Affairs
Mr. V S ManiExecutive Director & Global CFO
Mr. Rajesh V DesaiInd. Non-Executive Director
Dr. Brian W TempestInd. Non-Executive Director
Mr. Dipankar BhattacharjeeInd. Non-Executive Director
Mr. Bernard MunosInd. Non-Executive Director
Mr. Sridhar GorthiInd. Non-Executive Director
Mrs. Vijayalakshmi IyerInd. Non-Executive Director
Mr. D R MehtaInd. Non-Executive Director
Ms. Saira RamasastryInd. Non-Executive Director
Mrs. B E SaldanhaNon Executive Director

Glenmark Pharmaceuticals Ltd. Share Price Update

Share PriceValue
Today₹841.90
Previous Day₹858.70

Basic Stock Data of Glenmark Pharmaceuticals Ltd

Market Cap 26,057 Cr.
Current Price 923
High / Low942/414
Stock P/E210
Book Value 331
Dividend Yield0.27 %
ROCE14.2 %
ROE5.44 %
Face Value 1.00

Data Source: screener.in

Competitors of Glenmark Pharmaceuticals Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Sequent Scientific Ltd 3,483 Cr. 140156/61.8 25.30.00 %3.43 %8.98 % 2.00
IOL Chemicals & Pharmaceuticals Ltd 2,452 Cr. 418536/27214.2 2711.20 %13.7 %9.68 % 10.0
Marksans Pharma Ltd 7,137 Cr. 158179/64.322.5 41.40.32 %22.2 %18.6 % 1.00
Aarey Drugs & Pharmaceuticals Ltd 122 Cr. 48.068.0/21.928.9 46.80.00 %6.38 %3.33 % 10.0
Torrent Pharmaceuticals Ltd 88,309 Cr. 2,6092,700/1,44661.7 1980.85 %19.8 %20.0 % 5.00
Industry Average20,300.60 Cr674.6025.46116.500.47%13.10%12.12%5.60

Glenmark Pharmaceuticals Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales2,9522,7872,8602,9653,1473,1733,0192,7773,0183,4643,3743,0363,207
Expenses2,4002,2572,3362,3912,5572,4802,5562,3462,5392,8442,7692,5992,745
Operating Profit553530523574590693463432479620605437462
OPM %19%19%18%19%19%22%15%16%16%18%18%14%14%
Other Income-2929859-13-1642518386110-840-32-324
Interest81958376696787608397109112121
Depreciation104115111113123119132147146162147142141
Profit before tax339348338444385343270408337471-491151-124
Tax %31%29%31%31%29%30%36%48%17%38%18%-14%50%
Net Profit234248234307275240173211279291-403173-62
EPS in Rs8.298.798.2910.869.137.865.516.829.239.66-15.185.31-2.90

Glenmark Pharmaceuticals Ltd Quarterly Chart

Glenmark Pharmaceuticals Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales4,0215,0126,0056,5637,5629,0799,0749,86510,64110,94412,30512,99013,081
Expenses3,3063,9974,9145,3486,1257,0437,4578,2808,9428,8609,97810,71210,956
Operating Profit7141,0151,0911,2141,4372,0371,6171,5861,6992,0842,3272,2782,125
OPM %18%20%18%18%19%22%18%16%16%19%19%18%16%
Other Income181111-18020-448937519195-101-449-1,086
Interest147160189190179237286335377353298350440
Depreciation98127217300234264302326417444487611592
Profit before tax4887396975441,0441,4911,1191,3011,0961,3821,4418687
Tax %5%15%22%61%29%26%28%29%29%30%31%57%
Net Profit4646285462097431,109804925776970994377-1
EPS in Rs17.0222.8919.997.7226.3339.2928.4932.7827.5034.3833.3710.53-3.11
Dividend Payout %3%0%0%26%8%5%7%6%9%7%7%24%

Glenmark Pharmaceuticals Ltd Profit & Loss Yearly Chart

Glenmark Pharmaceuticals Ltd Growth

Compounded Sales Growth
10 Years:10%
5 Years:7%
3 Years:7%
TTM:2%
Compounded Profit Growth
10 Years:-2%
5 Years:-9%
3 Years:-13%
TTM:-85%
Stock Price CAGR
10 Years:5%
5 Years:9%
3 Years:25%
1 Year:106%
Return on Equity
10 Years:15%
5 Years:12%
3 Years:11%
Last Year:5%

Glenmark Pharmaceuticals Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital27272727282828282828282828
Reserves2,3752,7362,9561,7563,6014,4645,1355,5776,0427,0369,0589,4469,299
Borrowings2,2442,7653,2673,8003,9884,7244,6394,4494,8694,9863,9624,6275,182
Other Liabilities1,0871,4662,1762,7262,5752,5482,7933,2353,7293,5244,0035,2285,498
Total Liabilities5,7336,9948,4278,30910,19311,76412,59513,28914,66815,57517,05219,32920,006
Fixed Assets2,2232,8223,0912,0152,5942,7553,0303,6705,0295,1295,8876,2025,531
CWIP263654775437081,1221,3991,2221,3821,0101,2511,221
Investments00017171615302525504545
Other Assets3,2484,1665,3315,7997,0398,2858,4298,1908,3939,04010,10511,83013,210
Total Assets5,7336,9948,4278,30910,19311,76412,59513,28914,66815,57517,05219,32920,006

Glenmark Pharmaceuticals Ltd Reserves and Borrowings Chart

Glenmark Pharmaceuticals Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 8046488544823456571,6481,3241,3921,1311,109625
Cash from Investing Activity -318-558-566-712-950-1,001-1,003-883-774-662-316-515
Cash from Financing Activity -361195-98199699543-468-739-445-442-520-77
Net Cash Flow125285190-3193199177-2971742827232

Glenmark Pharmaceuticals Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days113119131140120979481838692115
Inventory Days223194191247249299244244211230208240
Days Payable220239279379308243225241210226190192
Cash Conversion Cycle1167543861152113858490110162
Working Capital Days15094836689133111766996100111
ROCE %14%18%15%16%19%21%15%15%14%15%16%14%

Glenmark Pharmaceuticals Ltd Financial Efficiency Indicators Chart

Glenmark Pharmaceuticals Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters46.63%46.63%46.63%46.65%46.65%46.65%46.65%46.65%46.65%46.65%46.65%46.65%
FIIs26.48%25.84%26.82%25.93%24.18%24.12%24.23%23.14%23.19%22.47%25.51%24.79%
DIIs9.43%9.16%9.73%9.03%10.86%10.96%10.50%10.90%10.69%10.40%9.10%10.31%
Government0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.04%0.04%0.04%0.04%0.04%
Public17.46%18.38%16.82%18.40%18.31%18.27%18.63%19.27%19.45%20.46%18.70%18.21%
No. of Shareholders2,36,7302,50,8512,75,8013,29,8703,17,3833,10,5163,12,4733,13,5403,00,1062,85,4612,36,9082,32,685

Glenmark Pharmaceuticals Ltd Shareholding Pattern Chart

No. of Glenmark Pharmaceuticals Ltd Shareholders

Glenmark Pharmaceuticals Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
HDFC Mid-Cap Opportunities Fund - Regular Plan56776000.85442.82
Aditya Birla Sun Life Flexi Cap Fund52006982.24405.63
Kotak Equity Arbitrage Fund - Regular Plan13535750.34105.57
Aditya Birla Sun Life Midcap Fund13116662.21102.3
Motilal Oswal ELSS Tax Saver Fund10000002.8378
ICICI Prudential India Opportunities Fund8587990.4966.98
Tata Arbitrage Fund7721250.7560.22
Invesco India Arbitrage Fund7641500.5859.6
ICICI Prudential Equity - Arbitrage Fund7380500.3657.56
HDFC Arbitrage Fund - Regular Plan7134000.6955.64

Glenmark Pharmaceuticals Ltd ROCE Trend

Glenmark Pharmaceuticals Ltd EPS Trend

Glenmark Pharmaceuticals Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)10.5333.3734.3827.5032.78
Diluted EPS (Rs.)10.5333.3734.3827.5032.78
Cash EPS (Rs.)35.0452.4650.1042.2844.33
Book Value[Excl.RevalReserv]/Share (Rs.)348.70334.48250.36215.12198.63
Book Value[Incl.RevalReserv]/Share (Rs.)348.70334.48250.36215.12198.63
Revenue From Operations / Share (Rs.)460.36436.08387.85377.11349.63
PBDIT / Share (Rs.)91.9788.1475.6565.8463.58
PBIT / Share (Rs.)70.3170.8959.9351.0552.03
PBT / Share (Rs.)30.7851.0848.9938.8446.09
Net Profit / Share (Rs.)13.3735.2134.3827.5032.78
NP After MI And SOA / Share (Rs.)10.5333.3734.3827.5032.78
PBDIT Margin (%)19.9720.2119.5017.4518.18
PBIT Margin (%)15.2716.2515.4513.5314.88
PBT Margin (%)6.6811.7112.6310.3013.18
Net Profit Margin (%)2.908.078.867.299.37
NP After MI And SOA Margin (%)2.287.658.867.299.37
Return on Networth / Equity (%)3.1310.3613.7312.7816.50
Return on Capital Employeed (%)13.8416.1314.8313.6415.82
Return On Assets (%)1.535.516.215.286.95
Long Term Debt / Equity (X)0.400.280.550.660.63
Total Debt / Equity (X)0.450.400.660.730.69
Asset Turnover Ratio (%)0.710.420.420.410.42
Current Ratio (X)1.961.771.751.651.67
Quick Ratio (X)1.371.231.211.131.11
Inventory Turnover Ratio (X)1.311.851.851.461.08
Dividend Payout Ratio (NP) (%)23.737.497.278.767.35
Dividend Payout Ratio (CP) (%)7.764.934.995.705.43
Earning Retention Ratio (%)76.2792.5192.7391.2492.65
Cash Earning Retention Ratio (%)92.2495.0795.0194.3094.57
Interest Coverage Ratio (X)7.428.346.044.925.36
Interest Coverage Ratio (Post Tax) (X)4.275.213.622.973.26
Enterprise Value (Cr.)16364.2715087.8616656.129188.0721154.12
EV / Net Operating Revenue (X)1.261.231.520.862.14
EV / EBITDA (X)6.316.077.804.9511.79
MarketCap / Net Operating Revenue (X)1.011.011.200.541.85
Retention Ratios (%)76.2692.5092.7291.2392.64
Price / BV (X)1.381.371.860.953.25
Price / Net Operating Revenue (X)1.011.011.200.541.85
EarningsYield0.020.070.070.130.05

Glenmark Pharmaceuticals Ltd Profitability Ratios (%)

Glenmark Pharmaceuticals Ltd Liquidity Ratios

Glenmark Pharmaceuticals Ltd Liquidity Ratios (%)

Glenmark Pharmaceuticals Ltd Interest Coverage Ratios (%)

Glenmark Pharmaceuticals Ltd Valuation Ratios

Fair Value of Glenmark Pharmaceuticals Ltd Stock

Fair Value: ₹3791.55

The stock is undervalued by 310.79% compared to the current price ₹923

*Investments are subject to market risks

Strength and Weakness of Glenmark Pharmaceuticals Ltd Stock

StrengthWeakness
  1. The stock has a high average ROCE of 16.00%, which is a positive sign.
  2. The company has higher reserves (5,344.69 cr) compared to borrowings (4,115.54 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (8.62 cr) and profit (257.69 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 60.84 and average Dividend Yield of 15.08%.
  2. The stock has a high average Working Capital Days of 98.17, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 91.58, which may not be favorable.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Glenmark Pharmaceuticals Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE