The US market accounts for close to 50 percent of Granules' total revenue. The executive director of Granules Pharmaceuticals talks about the challenges of working in that market and how they are dealing with increasing pricing pressures
Priyanka Chigurupati, executive director of Granules Pharmaceuticals
Generics maker Granules Pharma has seen a growth of close to 17.8 percent in the US market, the company’s largest revenue generator—almost 50 percent. Granules has 27 generic products in the US market, most of which are in the prescription drugs and OTC (over the counter) segment. The company has seven manufacturing units, one of which is in the US.
“We progressively moved from being an API to a fully integrated player with dominant finished dosage sales,” says Priyanka Chigurupati, executive director of Granules Pharmaceuticals. As per the company’s quarterly results, net sales in March 2023 were at Rs1,013.88 crore, up by 11.07 percent from Rs912.85 crore in March 2022. At the same time, quarterly net profit was down by 3.06 percent, at Rs125.29 crore in March 2023.
“We are also making good inroads within Europe and contribution from the region has been on an upward trend. We are also moving towards manufacturing of complex formulations through differentiated technologies,” Chigurupati tells Forbes India. Edited excerpts from an interview:
Q. What are some of the challenges that the industry has been facing lately?
The generic pharma industry continues to suffer from price erosion in their US generics business, cost inflation and supply chain woes, thereby significantly impacting the margins of players like Granules.