Credit Suisse sees Lupin’s EPS hit as Fortamet, Glumetza losing volume share

Mumbai: Credit Suisse expects Lupin’s FY18 earnings per share being impacted by 5% as recent IMS data shows negative surprise for the company with products such as Fortamet and Glumetza are losing volume share to Glucophage.

“Prescriptions for Fortamet and Glumetza market are down 13% QoQ (quarter on quarter), which could impact FY18 EPS for Lupin by 5%. The impact could be higher if the market shift continues (prices of Fortamet and Glumetza are significantly higher than Glucophage),” said Credit Suisse.

“At the Lupin level, IMS sales for Glumetza/Fortamet are down 13%/26% in 4Q FY17 over 3Q FY17; this does not factor in the entire impact from AG launch in Glumetza,” it added.

Shares of Lupin were up 0.1% at Rs 1,454 on the BSE in afternoon trade. Credit Suisse has an 'underperform' rating on Lupin with a target price of Rs 1,350.