Mumbai: Drugmaker Cadila Healthcare Ltd plans to invest about Rs300 crore as capex in formulations and active pharmaceutical ingredients (API) segments in FY11, its chairman and managing director said on Thursday.
“We see a good (growth) numbers from key markets like US, France, Brazil and Japan even this year (FY11) as well,” Pankaj Patel told Reuters in a telephonic interview.
“We have some new product approvals coming up in these markets... and it will help us continue growing,” he added.
The company had spent about Rs250 crore as capex in FY10.
It expects to receive about 12 new US FDA approvals in FY11, he said.
“The approval number would be similar to the one we received last year,” Patel said.
Earlier, it reported a net profit of Rs119 crore in the Jan-March quarter compared with Rs58 crore the same period last year.
During FY10, company’s formulation exports business grew by 45%, while income from API vertical increased by 28%, it said in a statement.
“We expect this trend to continue in the current fiscal,” he added.
The company also plans to raise its research and development activities by about 20-25% in the current financial year as against FY10, he added.
This is a substantial jump from what the company had spent on R&D last year, he added.
Cadila has submitted the results of the final trial of H1N1 vaccine used to prevent swine flu infection, Patel said.
“We expect final approval coming in another few weeks and then it (vaccine) would hit the market,” he added.
The market size for H1N1 vaccine in India in case of high-risk population is about 4-5 million doses, he said.
“If we consider population coming in contact with people having H1N1 infections then the market size would be around 10-12 million doses,” he said.
Simayla Pharmaceuticals, a fully-owned unit of Cadila in South Africa, has filed for 60 new drug approvals with respective authorities, he said.
“Most of these approvals will start coming now... this business (unit) can produce good results for us in three years’ time,” he said. The company’s South African unit, Zydus Cadila SA, had raised its stake in Simayla Pharma to 100% from earlier 70% in December 2009.
Shares of Cadila Healthcare ended at Rs561.7, down 0.13% in a firm Mumbai market.