Caplin Point Laboratories is planning to double its revenue from the US market from the third quarter of the current fiscal.
The Chennai-based drug maker is planning to achieve this through a combination of new product launches and increasing market share of existing products.
Caplin Point manufactures pharmaceutical formulations and therapeutics both under generic and branded categories. Its product portfolio includes tablets, capsules, Injections (liquid & lyophilized, prefilled syringes), softgel capsules, liquid orals, and ointments and creams.
The company predominantly exports to Latin America (LATAM) and African markets. In 2017-18, it entered the highly-regulated US market through its subsidiary Caplin Sterlies Ltd.
In Q1 FY24, Caplin Point reported a 21 per cent year-on-year growth in consolidated net profit of ₹104 crore and 14 per cent annual growth in revenues to ₹395 crore. LATAM and Rest of World contributed 88 per cent of the revenues, while the remaining came from the US market.
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Caplin Steriles, which is into manufacture of injectables and ophthalmic products for the US market, recorded an operating revenue of ₹46 crore during Q1 FY24.
“The sale of ₹45 crore is not the one which we are going to continue. This will double from the third and fourth quarter,” CC Paarthipan, Chairman, Caplin Point Laboratories, said in the company’s Q1 earnings call.
Caplin Point has been taking a slew of measures to scale up its US business.
Earlier this month, the company announced that it will set up a step-down subsidiary ‘Caplin Steriles USA Inc’ for direct sales, marketing and distribution of products manufactured by Caplin Steriles Ltd.
The company is planning to launch over 15 own-label products in the US within the first 12 months of the incorporation.
New products
On the production side, the company is into phase 2 & 3 expansion of Caplin Sterlies’. While phase 2 (for manufacture of injectable vials and pre-filled syringes) is expected to be completed by Q3 FY24, the third phase (for manufacture of injectable vials with Lyophilization) will be completed by Q4 FY24.
“We have a lot of orders from the US market. The phase 2 production will start in October. And machinery will be operational in the third and fourth quarters,” Paarthipan said.
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Currently, Caplin Point has a total of 23 abbreviated new drug application (ANDA) approvals of which 18 are in the name of Caplin Sterlies and its business partners. The company also has 7 ANDAs pending for US FDA approval. The company said it will file 10 more ANDAs in the next 12 months encompassing emulsion injections, suspension injections, emulsion ophthalmic and injectable bags.