Ajanta Pharma Ltd - Stock Valuation and Financial Performance

BSE: 532331 | NSE: AJANTPHARM | Pharmaceuticals & Drugs | Mid Cap

Ajanta Pharma Share Price

2,188.60 48.20 2.25%
as on 12-Apr'24 10:20

DeciZen - make an informed investing decision on Ajanta Pharma

Overall Rating
Bole Toh

1. Quality

2. Valuation

Fair

3. Price Trend

Semi Strong

Ajanta Pharma stock performance -

mw4me loader
P/E Ratio (CD):
36.28
Market Cap:
26,691.6 Cr.
52-wk low:
1,232
52-wk high:
2,355.1

Is Ajanta Pharma Ltd an attractive stock to invest in?

1. Is Ajanta Pharma Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Ajanta Pharma Ltd is a good quality company.

2. Is Ajanta Pharma Ltd undervalued or overvalued?

The key valuation ratios of Ajanta Pharma Ltd's currently when compared to its past seem to suggest it is in the Fair zone.

3. Is Ajanta Pharma Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Ajanta Pharma Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Ajanta Pharma:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Ajanta Pharma Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 38.3%38.6%38.3%36.6%25.5%17.9%17.7%23.3%21.7%16.6%-
Value Creation
Index
1.71.81.81.70.90.30.30.70.60.2-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 1,2081,4741,7341,9832,1262,0552,5882,8903,3413,7434,036
Sales YoY Gr.-22%17.7%14.4%7.2%-3.3%25.9%11.7%15.6%12%-
Adj EPS 17.623.731.239.334.929.632.750.352.643.658.4
YoY Gr.-34.5%31.7%26%-11.1%-15.3%10.7%53.5%4.7%-17.1%-
BVPS (₹) 4563.790.2118.6154.5171.5198.5230.8254.8269.1293.2
Adj Net
Profit
232312415518461387428652674549736
Cash Flow from Ops. 212279326609281375457576562792-
Debt/CF from Ops. 0.60.30.3000.10.1000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 13.4%12%13.1%12%
Adj EPS 10.6%4.5%10%-17.1%
BVPS22%11.7%10.7%5.6%
Share Price 23.6% 26.4% 23.9% 74%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
4743.540.837.625.518.117.723.321.516.520.8
Op. Profit
Mgn %
30.534.334.335.53127.62734.627.921.726.4
Net Profit
Mgn %
19.221.223.926.121.718.816.622.620.214.718.2
Debt to
Equity
0.20.10.10000000-
Working Cap
Days
125116121120143206210233228207128
Cash Conv.
Cycle
3949625158889310412212582

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 20.80%

Sales growth is growing at healthy rate in last 3 years 13.09%

Net Profit is growing at healthy rate in last 3 years 10.01%

Sales growth is not so good in last 4 quarters at 8.02%

Latest Financials - Ajanta Pharma Ltd.

Standalone Consolidated
TTM EPS (₹) 60.5 58.4
TTM Sales (₹ Cr.) 3,894 4,036
BVPS (₹.) 284 293.2
Reserves (₹ Cr.) 3,551 3,667
P/BV 7.46 7.23
PE 35.04 36.28
From the Market
52 Week Low / High (₹) 1231.95 / 2355.05
All Time Low / High (₹) 1.88 / 2355.05
Market Cap (₹ Cr.) 26,692
Equity (₹ Cr.) 25.2
Face Value (₹) 2
Industry PE 48

Management X-Ray of Ajanta Pharma:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *15.3716.6020.0917.4219.8711.4113.2312.4312.3312.26
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Ajanta Pharma

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales1,2081,4741,7341,9832,1262,0552,5882,8903,3413,743
Operating Expenses 8409681,1471,2961,4671,4891,9051,8912,4122,959
Manufacturing Costs107144190211243207244270330387
Material Costs284290317323317296538515678869
Employee Cost 157201257295376431486548646785
Other Costs 291334383467530555638558758918
Operating Profit 369505587687658566683999929783
Operating Profit Margin (%) 30.5%34.3%33.9%34.6%31.0%27.6%26.4%34.6%27.8%20.9%
Other Income 141721242421922611699
Interest 965101128106
Depreciation 44524461607296116125131
Exceptional Items 0-80000-4000
Profit Before Tax 330456559648623514664900909745
Tax 96146143141154127196246197157
Profit After Tax 234310416507469387468654713588
PAT Margin (%) 19.4%21.0%24.0%25.6%22.0%18.8%18.1%22.6%21.3%15.7%
Adjusted EPS (₹)17.723.531.538.435.529.635.750.455.646.7
Dividend Payout Ratio (%)15%17%17%23%0%20%24%13%11%15%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 5938411,1911,5662,0402,2442,5982,9953,2643,388
Share Capital 18181818181818171725
Reserves 5758231,1731,5482,0222,2272,5812,9783,2473,362
Minority Interest0000000000
Debt1135161113444221
Long Term Debt5233151111221
Short Term Debt611846003343000
Trade Payables125109146178250225362374327423
Others Liabilities 1191458278136403568738604893
Total Liabilities 9491,1461,4791,8232,4262,9063,5724,1094,1974,705

Fixed Assets

Gross Block4925507168951,4171,5791,9652,1302,2072,283
Accumulated Depreciation213262265306365411502598703786
Net Fixed Assets2792884515891,0531,1681,4631,5321,5041,496
CWIP 8815519925461262132108153209
Investments 6360771821907879176147535
Inventories155159205211351436496766791816
Trade Receivables2022593723234604597757381,0201,057
Cash Equivalents 60137437093101205210212331
Others Assets10190133194219402422578371260
Total Assets 9491,1461,4791,8232,4262,9063,5724,1094,1974,705

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 212279326609281375457576562792
PBT 330456559648623514664900909745
Adjustment 5151538652627111592131
Changes in Working Capital -75-82-12426-254-83-123-209-20067
Tax Paid -94-146-161-151-140-118-155-230-239-151
Cash Flow From Investing Activity -188-158-209-383-256-223-224-282-74-560
Capex -131-104-298-296-263-342-234-170-130-165
Net Investments -66-6178-8851151-9629-391
Others 96111259-1628-4
Cash Flow From Financing Activity -20-105-117-2020-147-129-318-460-108
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing -4-15-19-72000000
Interest Paid -9-6-5-10-1-7-5-7-2
Dividend Paid -15-35-123-1140-79-113-83-82-90
Others 7-4930-151-67-8-230-370-16
Net Cash Flow 416024254104-2428124
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)47.4743.2440.9336.772618.0719.3223.3822.7717.68
ROCE (%)54.5256.4351.5945.7234.4923.8427.4432.229.3722.57
Asset Turnover Ratio1.461.421.331.2110.770.80.770.820.85
PAT to CFO Conversion(x)0.910.90.781.20.60.970.980.880.791.35
Working Capital Days
Receivable Days535766636782879495100
Inventory Days45393838487066788477
Payable Days165147146183246293199261189157

Ajanta Pharma Ltd Stock News

Ajanta Pharma Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Ajanta Pharma on 12-Apr-2024 10:20 is ₹2,188.6.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 10:20 the market cap of Ajanta Pharma stood at ₹26,691.6.
The latest P/E ratio of Ajanta Pharma as of 12-Apr-2024 10:20 is 35.04.
The latest P/B ratio of Ajanta Pharma as of 12-Apr-2024 10:20 is 7.46.
The 52-week high of Ajanta Pharma is ₹2,355.1 and the 52-week low is ₹1,232.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Ajanta Pharma is ₹3,894 ( Cr.) .

About Ajanta Pharma Ltd

Ajanta Pharma is established in 1973. Committed to 'Serve Health Care Needs Worldwide', the company produces a comprehensive range of specialty products targeting different therapeutic segments for treatment of patients, customised to each market it is present in. The company's Institutional business comprises of India Business and Africa Business. In India, company is a reliable supplier for various government bodies like Armed forces, government hospitals, canteens, stores department, etc. The product basket for India market includes multivitamins, antibiotics, eye drops, cough syrups, etc. In Africa, the company was the first Generic Company to obtain 'WHO Pre-Qualification' for Anti-Malarial product, a combination of Artemether plus Lumefantrine. It has been innovating on this product since then and has given many new variations for patient convenience and compliance.

As a part of the company’s philosophy to build sustainable and scalable business model, it set its eye on entering the world’s largest and most stringent pharmaceutical market-USA. It carved out select product portfolio which include complex technology products to get the competitive advantage in the market place. It has also made substantial investments in its R&D facilities and thereby acquired required technical and regulatory expertise to penetrate the market. It has an advanced Research & Development Centre for finished formulations and Active Pharmaceutical Ingredient (API) synthesis of different dosage forms.

Business area of the company

Ajanta Pharma is a specialty pharmaceutical company engaged in development, manufacturing and marketing of quality finished dosages. Its business includes Branded Generics in emerging markets of Asia and Africa, Generics in the developed markets of USA and Institution sales. Emerging markets are the major contributors in company’s branded generic business where it is present across Asia and Africa. It has designed customised basket of products for each of these markets and serve wide range of therapeutic segments like Anti-Biotic, Anti-Malarial, Anti-Diabetic, Cardiology, Gynecology, Orthopedics, Pediatric, Respiratory & General Health products.

Awards and accreditations

  • 2011: Gold Trophy for Quality Excellence from Indian Drug Manufacturer's Association.
  • 2015: Listed in Top 100 Companies of Asia by Bio Spectrum Asia, Ranked 76th.
  • 2015: Listed in Fortune India Next 500, being 3rd largest wealth creator during last 5 years, Ranked 20th in Net Profit and 182nd in Sales.
  • 2015: Fastest wealth creator in last 5 years as per a study by Motilal Oswal.
  • 2016: Listed in ‘Fastest Growing Company in India’ and Ranked 21st by Outlook Business Magazine.
  • 2017: Ajanta listed among fastest growing pharma company, ranked 11th in revenue by Businessworld.
  • 2017: Listed among Out Performers List of Outlook Business, ranked 1st Among Stock Return.
  • 2017: Listed among ‘Forbes India Super 50 Companies’ for the 3rd year in a row.
  • 2017: Listed in BT 500 ranked 148th in Market Capitalisation, 327th in sales & 102nd in Profit.
  • 2017: Ranked 186th in Next Super 100 companies by Business India.
  • 2017: Listed as Fastest Wealth Creator for the 3rd year in a row by Motilal Oswal.
  • 2018: Listed in Fortune 500 list of Indian companies Ranked 3rd in wealth creation.
  • 2018: Top Export Performer Award' by the Federation of Indian Export Organisations.

Major events and milestones

  • 1973: Ajanta started with re-packing of generic products.
  • 1979: Launched branded OTC (Over the Counter) products.
  • 1979: First Manufacturing Facility set up in India- (Chikalthana).
  • 1986: Started production at second manufacturing facility in India-(Paithan).
  • 1989: Launched block buster OTC product '30+' in India.
  • 1992: Foray in international market.
  • 1995: Established subsidiary in Mauritius with manufacturing facility.
  • 2000: Got listed on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).
  • 2005: Strategic shift from OTC to Innovative Specialised Prescription Products in Ophthal, Dermatology & Cardiology.
  • 2007: Set-up dedicated fully equipped R&D facility in Mumbai.
  • 2009: Bought a manufacturing facility at Chitegaon to fuel the company's growth.
  • 2009: API facility set up in Waluj for captive consumption.
  • 2009: First Generic Company in the world to get WHO Geneva Pre-qualification for Anti-Malarial Drug.
  • 2010: Entered Philippines market with unique product portfolio through Ajanta Pharma Philippines Inc.
  • 2011: Emerged as a strong speciality player in domestic market in Ophthalmology, Dermatology and Cardiology with many brands holding leadership positions.
  • 2012: Ranked among the Top 10 Pharma companies in Franco Africa.
  • 2013: Began Sales in the USA.
  • 2014: Second Dedicated R&D centre set up in Kandivli for India and Emerging Markets.
  • 2014: Inaugurated a New Facility in Dahej, Bharuch, Gujarat, India.
  • 2015: Launch of Montelukast lR Tablets and Chewable Tablets.
  • 2015: Launch of Montelukast Sodium Oral Granules.
  • 2016: USFDA Approval for Almotriptan Malate Tablets.
  • 2017: Inaugurated & commissioned first phase at a New Facility in Guwahati, Assam, India.
  • 2017: Dahej facility receives successful US FDA approval.
  • 2017: Launch of Eletriptan Hydrobromide tablets in US market. 
  • 2017: USFDA approval for Entacapone tablets. 
  • 2017: Approval and launch of Clonidine Hydrochloride extended release tablets.
  • 2018: Commissioned Ajanta's 1st ever Derma facility in Guwahati.
  • 2019: New manufacturing facility for oral solid inaugurated at Pithampur.
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