Shares of micro-cap pharma stock surged nearly 4 percent after the company secured a significant order worth Rs.15–18 crores from the Tamil Nadu Medical Services Corporation (TNMSC) for the supply of generic medicines. The order marks a strong boost for the company’s domestic business and highlights its growing presence in the government procurement space.
Share Price Variation
During Friday’s trading session, Fredun Pharmaceuticals Ltd‘s share price hit an intraday high of Rs.669.00 apiece, rising 4.8 percent from its previous close of Rs.645.10 apiece. The share has retreated slightly and is currently trading at Rs.655.00 per share. Over the last five years, the shares have delivered over 350 percent returns.
Order Details
Fredun Pharmaceuticals Limited has secured a major contract from the Tamil Nadu Medical Services Corporation (TNMSC) for the supply of generic medicines, with the order valued between Rs.15 crores and Rs.18 crores. Deliveries are scheduled to begin in the first quarter of FY26 and will continue over 14 months.
The order will feature products under the company’s Fredun Gx label, recognized for its dependable and quality healthcare offerings. This tender highlights Fredun Pharma’s growing role in public health supply chains and reflects its ongoing efforts to expand access to essential and affordable medications across the country.
Management Commentary
Mr. Fredun Medhora, Managing Director of Fredun Pharmaceuticals, shared his thoughts on the milestone, stating, “We are thrilled to have been awarded this tender by TNMSC. This achievement reflects our ongoing efforts to deliver quality healthcare solutions and our commitment to serving the needs of the public health sector. We look forward to a successful collaboration with TNMSC and to making a positive impact on the healthcare landscape in Tamil Nadu.”
Financial Overview
According to its recent financial updates, Fredun Pharmaceuticals Ltd reported consolidated revenue of Rs.102.70 crores in Q3 FY25, marking an 18 percent increase from Rs.87.00 crores in Q3 FY24. Moreover, the company saw a 26 percent increase in net profit to Rs.5.33 crores, compared to Rs.4.22 crores in the corresponding period in the previous year.
Ratio Analysis
The company has a Return on Capital Employed (ROCE) of 15.69 percent and a Return on Equity (ROE) of 13.52 percent. Its Price-to-Earnings (P/E) ratio stands at 16.2, lower than the industry average of 34.49. Furthermore, the company maintains a current ratio of 3.74, a debt-to-equity ratio of 1.05, and an Earnings Per Share (EPS) of Rs.39.81.
About the Company
Fredun Pharmaceuticals Limited is a healthcare and pharmaceutical company offering a wide portfolio of products, including antihypertensives, antidiabetics, antiretroviral drugs (ARVs), and narcotics. It also manufactures dietary and herbal supplements, nutraceuticals, cosmeceuticals, and a range of animal healthcare solutions.
With this diverse product mix, the company aims to position itself as a comprehensive healthcare provider. Its primary export markets include Africa, Southeast Asia, the Commonwealth of Independent States (CIS), and Latin America.
Written by – Siddesh S Raskar
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