Alkem Laboratories Limited is engaged in the pharmaceutical business with global operations. It is involved in the development, manufacture and sale of pharmaceutical and nutraceutical products. The company originated as in 1973, and the first manufacturing unit was established at Taloja in 1978. In 1992, the company started its second manufacturing facility at Mandva, Gujarat, and then it was converted into an API facility in 2005. Alkem finished the acquisition of  Pharmacor Pty. Ltd, a generic pharmaceutical company in Australia, in 2009. The company continued its inorganic growth and gained complete control of a formulation manufacturing facility in the US in 2015. During the same year, Alkem completed its Initial Public Offering (IPO) and was listed on the Bombay Stock Exchange Limited and the National Stock Exchange of India Limited. In 2020, the company commenced a new formulation manufacturing facility in Indore and started a biologic/biosimilar manufacturing facility in Pune in the same year. It made a strategic entry into the Opthalmology segment in India with the launch of the Eyecare division in 2023.

Business Segments

• Domestic Business:Alkem administers a strong portfolio comprising over 800 brands with 1,300+ SKUs across a wide range of therapy segments in both chronic and acute areas. The segment contributed ~ 71% of total revenues in FY 2021-2022.
• US Business:The organization manufactures and supplies a wide range of generics in the US, with its primary subsidiary, Ascend. It has been ranked among the fastest-growing companies in generic drug sales during FY 2022.
• Other International Markets Business: Alkem’s other international operations include markets like Australia, Europe, Southeast Asia, Latin America, Africa, and CIS. It contributed ~7.3% of total revenue in FY 2022.

As of March 31, 2022, the company has 23 subsidiaries and a few of them are listed below:

• Pharmacor Pty Limited:It is a wholly owned subsidiary of Alkem, which is engaged in the production of generic medicines.
• Ascend Laboratories SpA:The organization is a wholly-owned subsidiary which manufactures multiple pharma products.

Key Personnel

Mr. Basudeo N. Singh, Executive Chairman Mr. Basudeo N. Singh is the current Executive Chairman of the company. He possesses over 5 decades of experience in the pharmaceutical industry of India. He is also a co-founder of the Alkem Laboratories. He has a BA (Honours) degree and an MA in political science from Patna University. In the period extending from 2007 – 2008, Mr. Singh had a stint as President of the Indian Drug Manufacturers’ Association. Corporate Action The company has no history of stock splits, bonus issues and other corporate actions.

Management Outlook

• The organization is optimistic about the potential of the domestic pharmaceutical market, which will be supported by favourable demographics, growing disposable incomes, increased access to healthcare facilities, growing consciousness towards healthcare, and increasing penetration of medical insurance.
• Alkem is positive about growth prospects in the world’s largest pharmaceutical market on the back of new product launches and US FDA-compliant manufacturing facilities in spite of pricing challenges, intense competition, and stricter regulatory compliance requirements.