Shilpa Medicare - 530549

Name of Company	Shilpa Medicare
BSE Code	530549
NSE Code
ICICI Code
Established	1987
My Take	Wait n watch
Headquarters	Raichur, Karnataka
Promoters	Vishnukath Butada and family, Inani family
Story	Manufactures oncology API's, general API's and drug intermediaries. It is working on product development as well. The Company is already exporting to USA, Canada, Australia, Japan and European Countries viz., Germany, Switzerland, Netherlands, Belgium, Spain, Greece, Cyprus, Italy, United Kingdom etc., South American Countries like Mexico, Brazil, Columbia etc., African Countries like Kenya, Nigeria and West Indies etc., Asian Countries like Singapore, Taiwan, China, Malaysia, Thailand and closer to home to Iran, Egypt, Pakistan and Bangladesh.
Sector	Pharma
Sub-sector	API's with focus in oncology (cancer)
Website	http://www.vbshilpa.com
Positives	Rapidly increasing revenue and profits. ICICI has invested in this counter. NPM is 20% in qtrs jun09 to dec09. Around 10% annually in previous years. Revenues rose from 37 to 135 crores from FY05 to FY09. Expected revenues for FY10 is >200 Crores. Expected profit is 45-50 Crores. New JV with Italian company to setup manufacturing facility for its products.
Negatives	52 week low is at 47. D/E ratio is 1.43 at end FY09. Lot of SAST and insider trading mentioned on BSE. 75% of its revenues are derived from exports. At all time high of 362, P/E is 23 - too high for a small company. market cap is 750 Crores while expected FY10 revenues are 200 crores. Some of the oncology products are slated for expiry.
Peers	Solvay Pharma, Sequent Scientific