Marksans Pharma Ltd
Marksans Pharma Gains 4% on Australian Approval for Goa Facility & Growth Potential

Business and Industry Overview:  

Marksans Pharma Ltd. is a medical company based in Mumbai, India. It makes and sells medicines in over 50 countries, including the U.S., U.K., Europe, and Australia. The company makes two types of medicines—OTC medicines that people can buy without a prescription and prescription medicines that need a doctor’s approval. It makes medicines for pain, cough and cold, digestion, heart problems, brain and nerve issues, cancer, diabetes, and infections. Marksans Pharma has modern factories that follow strict quality rules set by health authorities like the US FDA, UK MHRA, and Australian TGA. The company has a research team with 50+ scientists who develop new medicines and improve old ones. It has over 300 medicines, 1,500 product versions (SKUs), and 2,000 employees. Marksans Pharma is one of the top five Indian medicine companies in the U.K. and is growing fast in the U.S. It is working to expand more by entering new markets, making new medicines, and increasing production. The pharmaceutical industry makes medicines. These medicines help people stay healthy. They also treat different diseases. The industry includes research, manufacturing, and selling medicines. India is a big medicine maker in the world. It supplies medicines to over 150 countries. Indian medicines are affordable and of good quality. 

Indian companies make low-cost vaccines. They also make important medicines for diseases like HIV. Many people from other countries come to India for medical treatment. Indian treatment is cheap and advanced. The Indian pharma industry is growing fast. It is expected to be US$ 130 billion by 2030. By 2047, it may reach US$ 450 billion. Indian companies are expanding in the U.S., Europe, and other markets. India has many approved medicine factories. These factories follow high global standards. They are approved by the US FDA, WHO, and other agencies. The government is helping the industry. It is giving money and making new policies. It allows foreign companies to invest in Indian pharma. The Pradhan Mantri Bhartiya Jan Aushadhi Kendras sell cheap generic medicines. The PLI scheme helps India make more medicines. India makes medicines at a low cost. It is cheaper than many other countries. With better technology and strong demand, the Indian pharma industry will keep growing. It will help people all over the world. 

Marksans Pharma is a big medicine company. It sells good and affordable medicines. It sells in over 50 countries. It is among the top five Indian pharma companies in the U.K. The company makes two types of medicines. One is an Over-the-Counter (OTC) medicine. The other is prescription medicine. These medicines help in pain relief, cold, digestion, cancer, diabetes, and infections. Marksans Pharma has modern factories. These factories follow global health standards. Marksans Pharma has a strong research team. More than 50 scientists work there. They make new and better medicines. The company makes medicines at a low cost. This is because it is produced in India. Marksans Pharma has a fast and strong supply chain. This helps in quick and safe delivery. The company is growing fast. It is expanding in the U.S. and Europe. It is also using new technology. This helps in making better medicines. But it has low prices. It has good quality. It has strong research. It has a global presence. This makes it a strong player. The company is ready for more growth in the future. 

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Marksans Pharma is growing in many countries. It’s a UK-based company, Relonchem Ltd, that got approval from the UK MHRA. Now, it can sell Baclofen 10 mg Tablets in the UK. This medicine is used to treat muscle spasms. It helps people with multiple sclerosis and spinal injuries. The company also got approval from the Australian TGA. This approval is for its Goa factory. Now, the factory can make tablets and hard capsules for Australia. This helps the company expand in the Australian market. Marksans Pharma had good financial results in the third quarter of 2024-25. The company made ₹681.85 crore in sales. It earned ₹138.77 crore profit before tax. This shows strong business growth. There is also a change in the company’s management. Mr. S.R. Buddharaju, an Independent Director, completed his 10-year term. His term ended on March 31, 2025. He is no longer a director. He is also not a member of any Board Committees now. The company thanked him for his work and appreciated his contributions. The company’s share price was ₹221.97 on April 1, 2025. This shows that investors are interested in the company. Marksans Pharma is expanding worldwide. It is following international rules. It is making good profits. It is also managing the company well. 

Potentials: 

Marksans Pharma has big plans for the future. It wants to expand into global markets and launch more medicines in the UK, USA, Australia, and Europe. The company is also entering new countries to grow its business. To increase production, Marksans Pharma is upgrading its factories. It is investing in infrastructure, especially in the newly acquired Teva plant in Goa. This will help the company grab more opportunities in different markets. The company is working on backward integration by filing Drug Master Files (DMFs) for key products. This means controlling the supply chain and reducing dependency on external suppliers. Marksans Pharma has big plans for the UK market. It will file 34 new products in the next two years. These will be high-value medicines with strong profit potential. During a conference call, the company answered questions from analysts and investors. It said it expects double-digit growth in the UK and US markets. Growth will come from new products and better market reach. The company is also focusing on its Over-The-Counter (OTC) business. It plans to grow by acquiring other businesses in strong markets, especially in the EU. Marksans Pharma’s financial growth is strong. Revenue has gone up due to higher sales, better strategies, and good market conditions. Big investors are showing more interest in Marksans Pharma. Foreign Institutional Investors (FIIs) now hold 15.55%, and Domestic Institutional Investors (DIIs) hold 4.76% (as of Dec 2023). This means investors trust the company’s growth. 

Analyst Insights: 

  • Market capitalisation: ₹ 10,466 Cr. 
  • Current Price: ₹ 231 
  • 52-Week High/Low: ₹ 359 / 130 
  • P/E Ratio: 28.4 
  • Dividend Yield: 0.25%
  • Return on Capital Employed (ROCE): 20.6% 
  • Return on Equity (ROE): 16.5% 

Marksans Pharma is working hard to become a top pharmaceutical company. It is focusing on new products, better factories, strong finances, and global growth. It is growing well. Sales reached ₹2,474 Cr in the last year. This is 18% more than the previous year. Profit also increased by 26%. In the last five years, sales grew by 17% every year. Profit grew by 33% every year. This means the company is doing better every year. The company has very little debt. This is good because it does not have to pay a lot of interest. It uses its money well. The Return on Capital (ROCE) is 20.6%. This means the company makes ₹20.6 profit for every ₹100 it invests. The Return on Equity (ROE) is 16.5%. This means it makes ₹16.5 profit for every ₹100 of shareholders’ money. These numbers show good business performance. Big investors are buying more shares. This is a good sign. Foreign investors (FIIs) had 3.46% shares in 2022. Now they have 21.95% shares. Indian investors (DIIs) had 0.47% shares before. Now they have 4.30% shares. This means big investors trust the company. But there is one small worry. Company owners (promoters) had 48.25% shares before. Now they have only 43.87% shares. This means they sold some shares. This is something to watch. Marksans is not too expensive compared to other companies. The P/E ratio is 28.4. The industry average P/E is 36.75. This means Marksans stock is cheaper than many other pharma stocks. The stock gave 61% returns every year in the last three years. This is very high growth. The company is investing money to grow. It is expanding its factory in Goa. It is launching 34 new products in the UK. This can help the company make more sales in the future. One problem is that profit margins are lower. Before, the company had a 25% profit margin. Now, it is only 20%-21%. This means costs have increased. 

Marksans Pharma is a strong company. It is growing well. If you already own the stock, hold it. If you want to buy, wait for a better price.

Rainbow Children’s Medicare
Rainbow Children’s Medicare Q3 Results: 10.56% Net Profit Growth, ₹900 Cr Expansion Plan, and India’s First Fetal Heart Procedure

Business and Industry Overview 

Rainbow Children’s Medicare Limited is a multi-specialty and perinatal care hospital chain in India with headquarters in Banjara Hills, Hyderabad. The company provides healthcare services for children and mothers. It was founded by Dr. Ramesh Kancharla & was incorporated in 1998 it is one of India’s most paediatric multi-specialty and perinatal care hospital chains. Its unwavering commitment to delivering specialized and high-quality healthcare services has been the driving force behind its success and growth.  Currently, Rainbow Hospital Group operates 19 hospitals and 3 outpatient clinics across India. This includes eight hospitals in Hyderabad, four in Bangalore, and two each in Delhi, Chennai, Vijayawada, and Visakhapatnam.  Rainbow Children’s Hospital (Banjara Hills & Marathahalli) is India’s first pediatric hospital to receive JCI’s Gold Seal of Approval, while BirthRight Fertility (Kondapur) is India’s first standalone fertility center with JCI accreditation. 

The Indian paediatric hospitals market generated a revenue of USD 5,275.0 million in 2023 and is expected to reach USD 8,004.4 million by 2030. The Indian market is expected to grow at a CAGR of 6.1% from 2024 to 2030. It is experiencing rapid growth, driven by increasing awareness about child health, rising disposable incomes, and growing demand for specialized pediatric care, with the market projected to expand significantly in the coming years, particularly in areas like super-specialty care and advanced treatments for children; notable players include major hospital chains like Apollo Hospitals and Fortis, with a focus on establishing dedicated pediatric units within their facilities. But Rainbow Children’s Hospital is also considered to be one of the largest pediatric hospital chains in India, holding a significant market share in the pediatric hospital sector.  

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The hospital’s multi-specialist team has recently successfully performed a Fetal heart procedure on 27 weeks 27-week-old baby. It has been recorded in history as it is the world’s first fetal heart procedure on 27 weeks 27-week-old baby. This remarks India’s advancing medical treatment and a very proud move for Indian doctors.  

The hospital has also planned to add Rs 900 Cr for an additional 1000 beds over the next 4 years.  “By 2027 we plan to have eight more hospitals with over 1,000 beds more,” said Rainbow Children’s Medicare chairman & managing director Dr Ramesh Kancharla. While a chunk of the expansion will be funded via internal accruals, about Rs 120 crore will come from the proceeds remaining from the Rs 1,581 crore initial public offering (IPO) it made last year. Rainbow had raised Rs 280 crore via a fresh issue and the remaining Rs 1,301 crore by way of an offer for sale (OFS) by promoters & promoter group and investors.  

With the Q3 results coming up the company’s net profit of Rainbow Children’s Medicare rose 10.56% to Rs 68.69 crore in the quarter ended December 2024 as against Rs 62.13 crore during the previous quarter ended December 2023. Sales rose 18.49% to Rs 398.08 crore in the quarter ended December 2024 as against Rs 335.96 crore during the previous quarter ended December 2023.  

Segmental information

Rainbow Children’s Medicare Limited (RCML) has two business segments: pediatric care and women’s care.  

Pediatric care: It provides newborn care and pediatric intensive care units (ICUs). It includes taking care of babies, especially those who are sick or premature, in specialized units. 

Pediatric multi-specialty services:  It provides care for conditions like neurology, nephrology, gastroenterology, oncology, and cardiology. It has experts who specialize in different areas like brain problems (neurology), kidney issues (nephrology), stomach and digestion (gastroenterology), cancer (oncology), and heart conditions (cardiology). 

Pediatric quaternary care:  It provides organ transplantation and other complex care.  This is for really serious cases, including things like organ transplants. 

Women’s care  

Obstetrics:  It provides normal and complex obstetric care. Care for expectant mothers, from routine checkups to complicated deliveries. 

Gynecology:  It provides gynecology services which include multi-disciplinary fetal care, perinatal genetic, and fertility care. A range of services for women, including specialized care for unborn babies, genetic testing, and fertility treatments. 

Subsidiary Information

  • Rainbow Children’s Hospital Private Limited – RCHPL is a 100 % subsidiary of Rainbow Children’s Medicare.  
  • Rainbow Speciality Hospitals Private Limited – RSHPL is a subsidiary of Rainbow Children’s Medicare with 78.8 % of holdings.  
  • Rainbow Women & Children’s Hospital Private Limited – RWCHPL is a 100 % subsidiary of Rainbow Children’s Medicare.   
  • Rosewalk Healthcare Private Limited – RHPL is a 100 % subsidiary of Rainbow Children’s Medicare.  
  • Rainbow Fertility Private Limited – RFPL is a 100 % subsidiary of Rainbow Children’s Medicare.  
  • Rainbow C R O Private Limited – RCROPL is a 100 % subsidiary of Rainbow Children’s Medicare.  

Q3 Highlights

  • Net Profit has increased by 10.56% to ₹68.69 crore in Q3 FY25 compared to ₹62.13 crore in Q3 FY4.  
  • Sales have increased by 18.49% to ₹398.08 crore in Q3 FY25 compared to ₹335.96 crore in Q3 FY24. 

Financial Summary

Amount in ₹ Cr Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 336.00 398.00 1,174 1,297 
Expenses 218 264 774 865 
EBITDA 275 147 430.00 470.00 
OPM 35% 34% 34% 33% 
Other Income 9 13 19 37 
Net Profit 63.00 69.00 212 218 
NPM 18.75 17.34 18.06 16.81 
EPS 6.12 6.76 20.77 21.38