Piramal Pharma to invest ₹1,000 cr for expansion: Nandini Piramal

livemint.com:

₹1,000 crore over the next 18 months towards consolidating, building operational excellence, and growth through expansions, chairperson Nandini Piramal told Mint in an interview. “For the second half of the fiscal year, the company plans to deploy around ₹330 crore, focusing on revenue gain, operational excellence, and making the added brownfield capacities more productive," Piramal added. “And then probably on similar lines, ₹660 crore for the full fiscal year.

Our capex (capital expenditure) is not only a mix of maintenance, but also brownfield expansions, as and when the right opportunities appear. And we should see significant margin improvement overall." The Mumbai-based pharma company reported a 14% year-on-year (YoY) rise in its revenue from operations in the first half of the current fiscal year. This growth spans across its three operational verticals - contract development and manufacturing organisation (CDMO), complex hospital generics (CHG), and India consumer healthcare (ICH), all of which have reported double-digit growth.

After a challenging previous year, the company is now focusing on organic growth and cost control for recovery and turnaround. The company’s consumer healthcare business has been rapidly growing, with its turnover expected to reach ₹1,000 crore from ₹800 crore in the last fiscal. The segment contributes about 15% to the overall revenue and is also expected to turn profitable after breaking even.

PPL is also consolidating its CDMO businesses through acquisitions and partnerships. Investments include Hemmo Pharmaceuticals ( ₹775 crore), a 27.78% stake in Yapan Bio ( ₹101.7 crore), and a joint venture with Allergan. The company emphasizes sustainability, quality manufacturing, and compliance