India's Glenmark Pharma posts lower profit on North America, Europe pricing woes

Glenmark Pharmaceuticals

14/08/2025 14:03

Aug 14 (Reuters) - Indian drugmaker Glenmark Pharmaceuticals GLEN.NS reported a decline in first-quarter adjusted profit on Thursday, hurt by price erosion in key North American and European markets.

Consolidated profit before taxes and exceptional items dropped 9% over the year earlier to 4.19 billion rupees ($47.8 million) during the April-June period. Net sales fell 5% to 30.59 billion rupees.

Sales in North America slipped 0.4%, while that in Europe dropped 4%, the company said in a statement.

KEY CONTEXT

Indian generic drugmakers have been grappling with weak pricing amid stiff competition in global markets. Glenmark's larger peers such as Cipla CIPL.NS and Dr Reddy's REDY.NS have also reported subdued sales in the U.S. during the reported quarter.

Glenmark's domestic business, however, continued to benefit from its lead in key chronic therapy areas, including cardiac, respiratory and dermatology therapeutics.

Diabetes, one of the company's key therapy areas, led demand in the Indian pharmaceutical market, which grew 8% in June.

Domestic sales rose 3.7% during the quarter, led by strong demand for its drugs used to treat cardiovascular and skin conditions.

PEER COMPARISON

Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
# of analysts
Stock to price target**
Div yield (%)
Glenmark Pharmaceuticals Ltd
GLEN.NS
31.06
18.18
12.63
27.71
Buy
9
0.95
0.12
Mankind Pharma Ltd
MNKI.NS
44.96
27.19
17.22
12.52
Buy
15
0.91
0.04
Torrent Pharmaceuticals Ltd
TORP.NS
46.26
27.15
12.61
25.39
Buy
29
0.93
0.91
J B Chemicals and Pharmaceuticals Ltd
JBCH.NS
31.65
20.48
12.23
18.57
Buy
12
0.86
0.74

* Mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** Ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL TO JUNE STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 87.5870 Indian rupees

Glenmark Pharma's Q1 stock performance vs peers https://reut.rs/3H46M6C

 (Reporting by Kashish Tandon in Bengaluru; Editing by Shilpi Majumdar)

 ((Kashish.Tandon@thomsonreuters.com; 8800437922;))