Supriya Lifescience share price skyrockets 8% to 52-week high: Nearly doubles in a year as Europe sales gain traction

Stock Market today: Multibagger Supriya Lifescience share price gained more than 8% during the intraday trades to scale 52-week high. Supriya Lifescience share price opened at ₹528, around 3.5% higher than the previous close of ₹509.90. The Supriya Lifescience share price thereafter gained further more to highs of ₹555, marking gains of more than 8% on the NSE on Monday.

Supriya Lifescience that share price closed at ₹532.15 , up 4.36% on Monday, however has gained more than 67% year to date has almost doubled during last one year giving Multibagger returns to investors.

Strong Q1 Performance

Supriya Lifesciences had recently reported the Q1 performance where its net profit at Rs44.64 crore grew 56.6% year-on-year. The revenue at ₹160.6 crore grew 21.5% year on year and Earnings before interest tax depreciation and amortisation (Ebitda)

Developed market contributions support earnings growth

The strong rise in contributions from Developed markets as Europe supported sharper rise in operating performance and net profit. The company’s business in Europe picked up this year, contributing 41% to the net revenue, compared to last year which stood at 33%. 

In FY24, the Analgesic and Anaesthetic segment accounted for 46% of sales, up from 44% from the previous year and driving revenue growth. The vitamin segment did well as well, making up 13% as compared to 11% in the previous year. At 15% of revenue, the anti-histamine category continues to contribute significantly.

Growth Drivers for the Supriya Lifescience

While European contributions remains strong , nevertheless Supriya Lifescience is targeting growth around the world as per Saloni Wagh, Managing Director of the company. The US, Japan, Latin American countries as Mexico and Brazil and even Japan are the geographies, where company is targeting growth

Supriya Lifesciences also is targeting growth in the contract manufacturing space (CDMO) where big opportunities lies , highlighted Wagh. In addition new product launches will also be key drivers for growth of the company as per Wagh

Another positive remains that company has backward integration for majority of its products which will ensure margins strength

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions