Cipla Ltd’s Q4 revenues were in sync with the market, though covid 19-related supply delays and other remediation costs cut into operating profits.
Nevertheless, with the market positive on pharmaceutical companies and the improved growth prospects in the US, shares of Cipla gained 3.4% after a 24% run-up in the past year.
While the company’s US business slipped in Q4 with revenues declining about 25% year-on-year, investors are banking on growth in the US inhaler market in the coming quarters.
The early approval to Cipla for the first generic version of Proventil is encouraging and will aid in expanding its base in the US market.