Jubilant highlights growth areas for rest of 2010 FY

Sterile injectables, specialty pharmaceuticals and discovery services will be key drivers for Jubilant Organosys over the 2010 fiscal year, according to executive finance director R Sankaraiah.

Sankaraiah made the prediction just days after the Indian group posted a buoyant set of Q1 results that were dominated by a 60 per cent leap in contract manufacturing revenue, to 1.3bn rupees (€20m).

In an email to Outsourcing-pharma he explained that gains had been driven by the addition of new customers, commercialisation of products in Phase III and it long-standing contract with US healthcare major Johnson & Johnson (J&J).

Jubilant’s specialty pharmaceuticals business also performed well during the quarter, with revenues climbing 69 per cent as a result, according to Sankaraiah, of both “growth in existing products of I-131 and the launch of Sestamibi.”

The firm’s pharma and life sciences product and services (PLSPS) maid gains, growing 18 per cent to 6.2bn rupees helped by R&D deals it signed with drugmakers AstraZeneca and Eli Lilly.

IPP and API revenues dip

Sankaraiah said that industrial and performance products (IPP) unit had been hit by “lower price realization” and “product rationalization,” with revenues falling 8 per cent due to a decline in “input material prices.”

Active pharmaceutical ingredient (API) sales too fell due to the postponement of deliveries to some customers, although Sankaraiah remained confident that the “situation is likely to be corrected in subsequent quarters.”

15% revenue growth for 2010 fiscal

Sankaraiah concluded by saying that, in addition to injectables, discovery services and specialty pharmaceuticals manufacturing, further improvement PLSPS margins would help Jubilant’s revenue for the full year grow by 15 per cent.