BIOCON LTD.

Expanding therapies and markets

Bengaluru-headquartered Biocon Ltd is a global biopharmaceutical company engaged in manufacturing affordable medicals. The company’s pioneering spirit has paved the way for biotechnology in India, and it continues to apply the same spirit in finding novel approaches to improve patient outcomes today for a better tomorrow.

The company has four global businesses, including generics, biosimilar research, services and novel biologics. It is steadfastly investing in developing novel therapies for diabetes, oncology and immunology, and is strengthening its global reach and economies of scale. Biocon mainly operates in biologics (biosimilars), small molecules (generics), branded formulations and contract research (Syngene, Bloom Biologics). BBL, a subsidiary of Biocon, entered into a strategic alliance with SIL for access to 100 million vaccine doses per annum for 15 years.

The company has made rapid strides in its financial performance. During the last 12 years, its sales turnover has shot up over five times from Rs 2,877 crore in fiscal 2014 to Rs 15,262 crore in fiscal 2025, with operating profit surging around five times from Rs 687 crore to Rs 3,166 crore and the profit at net level inching up more than 3 times from Rs 431 crore to Rs 1,429 crore. Prospects for the company going ahead are all the more promising. Consider:

• For future growth, investors can look at the following growth triggers in its three major divisions. Biosimilars: Marketshare gains in existing biosimilars; Approvals and launches of Bevacizumab and Aspart; Generics: Expansion beyond fermentation-based APIs; Capacity augmentation of APIs; Expanding the formulations portfolio through vertical integration. CRAMS (Contract research and manufacturing services): Syngene’s consistent growth in discovery, dedicated development and manufacturing services; Execution on vaccines from post-strategic alliance with Serum Institute, and potential synergies with the acquisition of Viatris’s biosimilars business.

GLOBAL SHARE

• Of late, advanced markets are reportedly seeing a strong penetration of Biocon’s commercialised products. In Europe, biosimilar Adalimubab continues to witness a strong uptake in key markets like Germany and France, where it enjoys 18 per cent and 10 per cent marketshares respectively.
• Biocon has entered into a long-term strategic relationship with Farmanguinhos in Brazil for supply and tech transfer of a finished dose formulation of an immune suppressant product.
• The company’s marketshare rise in the US and Europe is being accompanied by a growth trajectory from emerging markets.
• Biocon launched a QIPL on June 16, 2025 to raise Rs 4,500 crore to pay off financial obligations, including OCDs issued to Goldman Sachs Mutual Fund. A successful QIP would ease its debt burden and would also scale up new biosimilars. This will remain key to its operational turnaround.

BONE CURE DRUG

• Biocon’s arm Biocon Biologics has been granted marketing authorisation by the European Commission for Bone Disease Medicines. The marketing authorisation has been granted for Vevzuo and Evfraxy biosimilars of Denosunab, used in the treatment of different bone diseases. The marketing authorisation follows a positive opinion issued by the medicine agency’s committee for medicinal products for human use on April 25, 2025. The share price (face value Rs 5) is quoted around Rs 370. Viewed in the context of better prospects for the company, the share price is expected to move up towards the Rs 500 level within a year or so. Long-term investors will do well to include this stock in their portfolio.

PERFORMANCE INDICATORS (Rs. in crore)