Piramal Pharma Targets $2 Billion Revenue by 2030.

Piramal Pharma is targeting $2 billion in revenue by 2030, driven by its three core segments: contract development and manufacturing (CDMO), complex hospital generics, and consumer healthcare. The company aims to double its revenue and triple its EBITDA to 25%, said Chairperson Nandini Piramal, highlighting the company’s ability to service global customers without reliance on China as a key factor in its CDMO operations.

The CDMO segment currently accounts for 58% of Piramal Pharma’s revenue, a share that is expected to remain consistent over the coming years. For the fiscal year ending March 31, 2024, the company reported revenues of ₹8,171 crore ($987 million).

Discussing future opportunities, Piramal pointed to an increase in requests for proposals (RFPs) in recent months, which could be influenced by shifting funding patterns in the biotech industry. However, she clarified that the company’s growth projections do not factor in potential opportunities arising from the US Biosecure Act, which, if passed, could limit US biotech firms from working with Chinese companies.

According to Piramal Pharma’s projections, the CDMO business is expected to reach $1.2 billion in revenue with a 25% EBITDA margin by 2030. Complex hospital generics are projected to generate $600 million with a similar EBITDA margin, while the consumer healthcare segment is expected to bring in $200 million with double-digit margins.

The company also plans to reduce its net debt from the current ₹4,000 crore. Growth in the CDMO space will be driven by differentiated services and on-patent molecules, while the complex hospital generics segment will focus on specialty and differentiated products. The consumer healthcare business will prioritize power brands and new product innovations to fuel its expansion.

HBL