RPG Life Sciences , a leading integrated pharmaceutical company, has announced ambitious plans to expand its presence in the over-the-counter (OTC) pharmaceutical market while reporting its financial results for the first quarter.

Strategic Expansion into OTC Market

The company has revealed its strategic intent to target the ₹500 crore OTC pharmaceutical market in India. As part of this initiative, RPG Life Sciences plans to invest ₹200 crore specifically in immunosuppressant drugs, signaling a strong commitment to this therapeutic area. This move is expected to strengthen the company's position in the growing OTC segment and complement its existing portfolio.

Focus on Global Generics

In addition to its OTC market expansion, RPG Life Sciences is placing emphasis on global generics as a key component of its long-term growth strategy. This focus on international markets aligns with the company's vision to become a more globally oriented pharmaceutical player.

Q1 Financial Performance

For the quarter ended June 30, RPG Life Sciences reported the following financial results:

The company's revenue saw a modest increase of 2.1% year-on-year, reaching ₹168.90 crore. Despite a slight dip in EBITDA margin to 24.10%, RPG Life Sciences maintained a healthy profitability level. The Profit Before Tax (PBT) remained largely stable at ₹35.40 crore.

Segment Performance

• Domestic Formulations: This segment, contributing 69% to total sales, continued to deliver market-beating growth. The company reported improved salesforce productivity and successful implementation of its 5-pillar strategy.

• International Formulations: Accounting for 19% of total sales, this segment saw growth in new products, customers, and markets.

• API (Active Pharmaceutical Ingredients): Contributing 12% to total sales, this segment faced challenges due to a fire incident in one of the manufacturing blocks. However, the company continues to focus on new customer development and is driven by a 3-pillar strategy.

Management Commentary

Mr. Ashok Nair, Managing Director of RPG Life Sciences Ltd., commented on the results: "In Q1, we have sustained our sales growth momentum, reflecting the strength of our strategic execution and operational excellence. Our Domestic Formulations business continues to deliver market-beating growth, propelled by a focused transformation agenda and a customer-centric approach."

He added, "We remain firmly on track to accelerate both our International Formulations and API segments, with growth driven by rapid onboarding of new customers, strategic expansion into newer markets, and launch of newer molecules that broaden our therapeutic reach."

Future Outlook

RPG Life Sciences is actively exploring inorganic growth opportunities across both formulations and APIs to further accelerate its growth trajectory. The company's strategic initiatives, including the expansion into the OTC market and focus on immunosuppressants, are expected to drive future growth and create value for stakeholders.

With its multi-pronged approach focusing on domestic formulations, international markets, and API development, RPG Life Sciences appears well-positioned to capitalize on various growth opportunities in the pharmaceutical sector.

Corporate Updates

In a separate announcement, the company informed that Mr. Deepak Shukla has been appointed as Chief Executive - API Business, effective July 28. This appointment is expected to strengthen the leadership team and support the company's growth initiatives in the API segment.

As RPG Life Sciences continues to execute its strategic plans and navigate the evolving pharmaceutical landscape, investors and industry observers will be keenly watching the company's performance in the coming quarters.

RPG Life Sciences Limited , a leading integrated pharmaceutical company, has announced its strategic focus on expanding its international formulations and Active Pharmaceutical Ingredient (API) business, alongside reporting a steady financial performance for the first quarter.

Strategic Expansion

The company's co-executive has confirmed RPG Life's commitment to strengthening its global presence in the formulations and API sectors. This expansion strategy encompasses:

• Attracting new clients
• Entering new markets
• Introducing new molecules to broaden treatment options

This move aligns with RPG Life Sciences' vision to establish a stronger foothold in the international pharmaceutical landscape.

Q1 Financial Highlights

For the quarter ended June 30, RPG Life Sciences reported:

The company maintained a healthy EBITDA margin of 24.1%, despite a slight decrease from the previous year. The profit before tax remained largely in line with the previous year's figure.

Segment-wise Performance

• Domestic Formulations: Contributed 69% to total sales, delivering market-beating growth.
• International Formulations: Accounted for 19% of total sales, with improving contributions from new products, customers, and markets.
• API Business: Represented 12% of total sales, with growth impacted by a fire incident in one of the manufacturing blocks.

Management Commentary

Mr. Ashok Nair, Managing Director of RPG Life Sciences Ltd., commented on the results: "In Q1, we have sustained our sales growth momentum, reflecting the strength of our strategic execution and operational excellence. Our Domestic Formulations business continues to deliver market-beating growth, propelled by a focused transformation agenda and a customer-centric approach."

He further added, "We remain firmly on track to accelerate both our International Formulations and API segments, with growth driven by rapid onboarding of new customers, strategic expansion into newer markets, and launch of newer molecules that broaden our therapeutic reach."

Future Outlook

RPG Life Sciences is actively exploring inorganic growth opportunities across both formulations and APIs to accelerate its growth trajectory. The company's strategy includes:

1. Focusing on new geographies and expanding the product launch pipeline
2. Strengthening customer relationships and onboarding high-value clients
3. Implementing digital initiatives to streamline operations
4. Evaluating M&A opportunities in target therapies and brands
5. Developing a focused new product pipeline across segments and therapies

Leadership Appointment

In a move to strengthen its API business, RPG Life Sciences has appointed Mr. Deepak Shukla as Chief Executive - API Business, effective July 28. Mr. Shukla brings with him about 25 years of experience in the pharmaceutical industry, having worked with reputed companies such as UPL Group, Teva Group, and Dr. Reddy's Laboratories.

As RPG Life Sciences continues to expand its global footprint and diversify its product portfolio, the company remains committed to delivering quality, affordable medicines while creating value for all stakeholders.