A Comparison between the financials of: Cipla & Dr.Reddy’s Labs Name- Roshan Kumar Class Roll N o- 2022
COMPANY PROFILE AND HISTORY
Cipla Ltd is one of the leading pharmaceutical companies in India. The company focuses on development of new formulations and has a wide range of pharmaceutical products. The product portfolio includes over 1500 products across wide range of therapeutic categories. Cipla Ltd was incorporated in the year 1935 with the name Chemical Industrial & Pharmaceutical Laboratories Ltd. Khwaja Abdul Hamied the founder of Cipla gave the company all his patent and proprietary formulas for several drugs and medicines without charging any royalty. On August 17 1935 Cipla was registered as a public limited company with an authorized capital of Rs 6 lakh . .
Cipla in 1940
About Cipla Its today's share price is 795.35. Its current market capitalisation stands at Rs 66097.07 Cr. In the latest quarter, company has reported Gross Sales of Rs. 135553.4 Cr and Total Income of Rs.135729.1 Cr . Cipla announced its entry into the anti-fungal product category with Clocip , a skin infection solution. Cipla launched Cipremi , an experimental anti-viral drug remdesivir , having Emergency Use Authorisation (EUA) treatment for adult and paediatric patients hospitalized with suspected or laboratory confirmed COVID-19 infection Received approval for its Abbreviated New Drug Application (ANDA) for Albuterol Sulfate Inhalation Aerosol 90 mcg (base)/actuation Acquired four key brands from Wanbury for up to Rs. 89 crore (US$ 12.73 million) in order to strengthen its women’s health segment
COMPANY PROFILE AND HISTORY
Dr Reddy's Laboratories Ltd (DRL) is an integrated global pharmaceutical company committed to providing affordable and innovative medicines for healthier lives. Through its three businesses - Pharmaceutical Services &Active Ingredients Global Generics and Proprietary Products - Dr. Reddy's offers a portfolio of products and services including Active Pharmaceutical Ingredients (APIs) custom pharmaceutical services generics biosimilars and differentiated formulations Dr Reddy's Laboratories was incorporated in the year 1984 in Hyderabad. The company was established by Dr Anji Reddy with an initial capital outlay of Rs 25 lakh . The company made their beginning with the manufacture of Active Pharmaceutical Ingredients and Intermediates (API) and commenced operations with a single drug in a 60-tonne facility near Hyderabad India.
ABOUT DR. REDDY’S LAB It is among the top three API players in world. Dr Reddy's, a global pharmaceutical company, has its headquarters located in India. It has a global presence in more than 100 countries, with subsidiaries in the US, UK, Russia, Germany and Brazil; joint ventures in China, South Africa and Australia; representative offices in 16 countries and third–party distribution set ups in 21 countries. It is first pharmaceutical company in Asia, outside Japan, to be listed on the NYSE. It is largest player in the custom pharmaceutical services (CPS) business in India.The pharma major has launched brands like Ciprolet , Nise , Enam , Stamlo , Omez , and Ketorol among others.
CIPLA
CIPLA This is the weekly chart showing the share price of cipla for last 1 year
Cashflow statements of Cipla
Balance sheet data of cipla
Quarterly Results
REDDY’s LTD. FINACIAL STATEMENT & RATIO ANALYSIS .
Dr.Reddy’s
This is the weekly chart showing the share price of cipla for last 1 year
Cashflow statements of Dr.Reddys
Balance sheet data of Dr. Reddy’s
Quarterly Results
Conclusion Both the companies are good fundamentally but given the rise that we have seen in pharma stocks after the pandemic ,the pharma stocks are availaible at a very high price to invest in. As the stock price is high there is more risk involved in investing these stocks with less returns . But if I have to choose between these two stocks I would rather choose Dr.Reddy’s over cipla as it has given a consistent return as compared to cipla , so dr reddy may prove a good investment in long term.