2025-05-15-Jefferies-皮拉马尔制药（PIRPHARM）_2026财年为过渡年_需求前景强劲；维持买入_13页_662kb

Piramal Pharma Equity Research Summary

Company Overview

Piramal Pharma operates in three main business segments: Contract Development and Manufacturing Organization (CDMO), Complex Hospital Generics (CHG), and India Consumer Healthcare. The company has 15 global facilities and focuses on CDMO services, inhalation anesthetics, and other pharmaceutical products. Operations are mainly in CDMO, CHG, and India's consumer healthcare.

Performance

• 4QFY25 Results fell short of expectations due to modest CDMO growth (8% YoY) and margin compression.
• CDMO growth slowed from a high watermark to 8% YoY primarily due to inventory normalization in the key CDMO division, but excluding that product, growth is expected at mid-teens.

Future Outlook

Guidance

• FY26: Mid-single-digit EPS growth and mid-teens EBITDA margin expected, reflecting a transition year impact from inventory normalization.
• FY27: High teens sales growth (>15%) and ~200bps margin expansion expected.
• The company guides to high teens sales growth and potentially up to ~25% EBITDA growth during 2025-2027.

Expansion Plans

Piramal plans USD 100-125 million capex for FY26, including expansions at facilities like Riverview leading to higher revenues and capacity utilization. Capacities are planned to be expanded at facilities like Riverview and Aurora.

Valuation

• Price Target: INR 260 (+19% upside from current price INR 219)
• Valuation Metrics (based on SoTP):
  • CDMO: EV/EBITDA of 18x
  • CHG: EV/Sales of 12x
  • PAT: JE-TJE rating of 18x

Analyst Recommendations

• Rating: Maintain Buy.
• 12-Month Target: INR 260.

Investment Thesis

Piramal is a high-growth story with reasonable valuation. Upside risks from sharp margin expansion in CDMO and strong low teens/mid-teens growth in CHG. Downside risks include poor execution in CDMO.

Key Takeaways

PD

• Strong demand outlook persists, especially in CDMO with innovations in ADC sector.
• Inventory normalization is expected to reverse in FY27 allowing for a revenue bounce.
• Investment thesis revolves around CDMO growth and margin improvement post FY27.

End of Summary