(Bloomberg) -- Piramal Pharma Ltd. expects new molecule development and an $80 million expansion of its sterile injectable facility in Kentucky to underpin its goal of doubling revenues in the next five years, according to its Chairperson Nandini Piramal.
The Mumbai-based firm, which relies on contract manufacturing for more than half of its sales, reported 81.7 billion rupees ($973 million) in revenue in the year ended March 31, up 15% over the previous year. Its earnings before interest, taxes, depreciation, and amortization margin improved to 17% from 12% in the previous year, while debt to Ebitda ratio was at 3:1.
“We want to double our revenues,” Piramal said in an interview with Bloomberg Television’s Haslinda Amin on Friday. The company also aims to increase its Ebitda margin to 25% and reduce debt to be on par with Ebitda, she said.
Piramal said the company plans to achieve these targets mostly organically, which means filling existing capacity and from new molecules that are currently undergoing clinical trials. “Even if half of them turn commercial, we could see our ‘on-patent’ revenue grow,” she said.
Its facility in Kentucky stands to gain from political pressure to bring more drug manufacturing back to US territory, plus a shortage of sterile injectable manufacturing capacity amid the frenzy for weight loss drugs, she said.
In the fiscal year that spans across 2023 and 2024, contract manufacturing made up 58% of Piramal Pharma’s revenue.
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