The top management of drug-maker Lupin told shareholders that its domestic business was not on the block.
India is a very important market, and growing at 12 to 14 per cent. It is a base, and Lupin will “always be in that,” the Founder-Chairman, Dr D.B. Gupta, told shareholders in his opening remarks, flanked by his daughter, wife and son, who are also on the company's board of directors.
In fact, the company looks to touch $3 billion by 2013-14, he added, at the close of the shareholder meeting on Wednesday.
Earlier, responding to shareholder queries, the Lupin Managing Director, Dr Kamal K. Sharma, reiterated that “there is no design to sell the India business,” which contributes about 30 per cent of the total business.
Out-licensing deals
The company has been talking to multinationals for out-licensing deals, he told Business Line , adding it already has 20 products through such alliances and another six were in the pipeline.
Lupin Director, Ms Vinita Gupta, observed that talks for such collaborations may have been misread, triggering rumours of a sale. Lupin strives to reach the $3-billion-mark through a combination of organic and inorganic growth, she said.
Initiatives taken in the US, India and Japan markets will buoy this growth, she said, adding that India and the US will continue to contribute between 30 and 35 per cent of the total business. Japan, presently at 11 per cent of revenues should grow to 15 per cent of business, she said.
In fact, Japan is growing at about 15 per cent, said Dr Sharma, twice the industry benchmark in Japan, he added.
Q1 numbers
The company's performance for the three months ended June 30, 2011 saw net profit grow by 7 per cent to Rs 210 crore, as compared to Rs 196 crore in the corresponding period of the previous year.
“Backed by 24 quarters of consistent performance, we continue to witness sustained growth across all our markets. This quarter's business performance was primarily fuelled by strong growth from India and Japan,” said Dr Sharma. Lupin clocked net sales of Rs 1,543 crore, up 17 per cent from Rs 1,316 crore in the corresponding period of the previous year.