The United States, the largest as well as the most competitive pharmaceuticals market in the world, helped Indian drug manufacturers push their quarterly sales revenues to further heights. Indian pharma majors such as Sun Pharma, Glenmark, Wockhardt, Dr Reddy’s Labs (DRL) and Lupin have posted better sales revenues in the recent quarter due to the higher sales in the US. All the firms attribute their higher sales to new product launches as well as establishing their existing brands.
The data of US drugs sales is an encouraging factor for the Indian pharma firms. As per IMS Health, the US generic industry is growing at more than 7%, a pace that is faster than the world pharma market. The sales of generics, which account for 65% of all prescriptions dispensed in the US, stood at $58.5 billion in 2007, while branded drugs is $228 billion.
Sun Pharma, which stands at the top slot, has achieved a 206% growth in its sales in the US market, though its net sales revenue increased 66% to Rs 1,047 crore for the first quarter of 2008-09. Between Sun and its US subsidiary, Caraco, abbreviated new drug applications (ANDA-submits for marketing approvals for copycat versions) for 56 products are approved, out of which 3 drugs each from Sun and Caraco have been approved this quarter.
Glenmark Generics Inc., US subsidiary of Glenmark, has posted a 131% growth in its sales in the first quarter following the launch of four newly approved drugs. Glenn Saldanha, MD& CEO, said, “The impressive performance of the US generic business should continue as we have received 4 ANDA approvals in the quarter and expect another 4-5 in Q2.”
Wockhardt Ltd, for which the US business contributes 19% of total sales, has witnessed a Q2 growth of 128% in the US sales, due to the 5 ANDA approvals during the period.
Four new product launches in the first quarter of FY09 has driven DRL’s North American revenues to Rs 2,800 crore, a growth of 62%. Lupin, helped by the launch of hypertension drug, Ramipiril, witnessed a 56% growth in the first quarter sales in the US formulations market.
However, Ranbaxy, which claims an overall market share of 10.3% for the second quarter in the US generic market, has seen a slight growth of 18% in the US.