The shares of this leading pharmaceutical firm surged by 14 percent to an intraday high of ₹412.30 per share on Tuesday after a successful site inspection by ANVISA, Brazil GMP (Good Manufacturing Practices).
At 1:15 p.m., IOL Chemicals & Pharmaceuticals Ltd. shares were trading at ₹408.50 per share, up 13 percent on the National Stock Exchange from the previous close price. The company has a market capitalization of ₹2,404 crore.
According to the filing, the company has successfully passed the Brazilian Health Regulatory Agency’s (ANVISA) GMP audit for all 10 API manufacturing units located in Barnala, Punjab. The inspection, carried out by ANVISA, Brazil GMP (Good Manufacturing Practices), occurred from March 11 to March 15, 2024, with no observations reported.
IOL Chemicals & Pharmaceuticals Ltd. is a leading pharmaceutical (API) company and a significant player in the specialty chemicals space. It serves the domestic and export markets.
It is the leading manufacturer of Ibuprofen, producing 12,000 metric tonnes annually, and stands as the sole globally integrated company with a 35% market share. Additionally, it holds the position of India’s largest single-location producer of ethyl acetate and is the second-largest producer of isobutyl benzene (IBB), commanding approximately 30% of the global market share in the latter.
Revenue distribution showcases a significant reliance on the pharmaceuticals segment, contributing to 61% of total revenue, while the specialty chemicals business segment constitutes the remaining 39%.
Over the past six months, shares of IOL Chemicals & Pharmaceuticals Ltd have experienced an 18% decline, yet they have shown a notable 43% increase over the course of a year.
With a diverse clientele, the company serves customers across several countries, including France, Austria, Belgium, Hungary, Spain, Germany, Italy, the USA, Australia, Canada, Mexico, South Africa, and among others.
The company’s revenue has slightly decreased by 0.5%, from ₹523 crores in Q3 FY23 to ₹520 crores in Q3 FY24. However, during the corresponding period, the company’s net profit declined, dropping from ₹24 crore to ₹23 crore.
Written by Omkar Chitnis
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