Dear Shareholders,
It gives me great pleasure to present our Company's 33rd Annual Report. In a nutshell:
Our consolidated operational revenue for the year FY18 changed from last year of '
8,024 Mn to ' 8,151 Mn (an increase of 1.6%). On a yearly basis, EBITDA has gone down from
' 2,028 Mn in FY17 to ' 1,971 Mn in FY18 (decrease of 2.8% on Y-o-Y basis). Our
consolidated PAT for FY18 is ' 886 Mn in comparison to ' 1,127 Mn in FY17.
Since majority of the company's sales are export driven and are primarily from the
African countries, the decline in Standalone FY18 Sales was due to the economic
instability and currency devaluations in those countries.
Major Sub-Saharan African economies have been experiencing economic turbulence and
currency re-rating & devaluations, we were able to insulate to a large extent our
existing revenues from these markets, however, it did have an impact on the growth rates.
We anticipate that as these economies rebound it will help us to bring the sales growth
back on track.
The net proceeds from this transaction will be used to repay a portion of the company's
debt, fund capital expenditure for the expansion of company's manufacturing facility as
well as incentivise our shareholders.
During FY18, Kremoint Pharma Pvt. Ltd., India, a 70% subsidiary of BGPL has acquired
60% stake in Echo Rich Cosmetic India Pvt. Ltd., a Mumbai based company engaged in
manufacturing of cosmetic, personal & healthcare OTC Pharma products. Their basket of
products will further enhance BGPL's product portfolio.
The company's existing business is majorly generated from antimalarial, anti-fungal
& anti-bacterial segments. The existing and upcoming registrations in other
therapeutic segments such as antibiotic, anti-inflammatory, anti-diabetic,
anti-hypertensive, cough & cold, etc. will help us gain market share.
Bliss GVS has enjoyed a 26% CAGR over the last three years. I strongly believe that
this is a direct result of the organization being true to its principles. In response to
growing customer demands, we have continuously enhanced our R&D and production
capabilities and expanded our product portfolio across dosage forms and therapeutic
segments. Today, I am proud to say that our distribution portfolio comprises 250+ products
that are consumed across 64 countries. Specifically, we are among the world-leaders in the
Suppositories and Pessaries dosage form and our brands are recognized among the leading
ones in the generic anti-malarial segment in most African countries. Over the years, we
have thus successfully shaped sustainable business relationships across the globe that
will provide the backbone for continued future growth.
One of the great privileges of working in the pharmaceutical industry is the
opportunity to directly contribute towards the advancement of human quality of life. This
has always been our greatest source of purpose in propelling Bliss GVS forward.
Once again, our pharmaceutical business delivered stable results despite a challenging
macroeconomic environment in some of our markets. We continue to retain our leadership
positions in antimalarials across Sub-Saharan African (SSA) markets - our key brands of
Lonart and P-Alaxin delivered strong numbers across the board. Our flagship brands of
Funbact and Lofnac are household names in anti-fungal dermatology and pain management
respectively across Anglo-West Africa and East African markets and continue to grow in
these markets.
Our efforts to grow our business outside SSA markets are also showing healthy signs
with encouraging developments in both South-East Asian and CIS regions. The efforts in
these regions are largely focused on the suppositories and pessaries segment, where our
niche expertise provides a key differentiating factor. The company has recently entered
the Phillipines market & also opened offices in Myanmar & Vietnam for
registeration & marketing of our products.
Our continued investments in R&D will help drive these new initiatives in current
and new markets. I am confident that it is well-placed to build on recent investments made
in R&D and marketing to expand our presence in existing markets and build a solid
business in new markets.
To conclude, I would like to sincerely thank all shareholders, partners and employees
for their support over the last year. I believe the organization is well-placed to drive
growth in the years to come and look forward to this continuing support from all
stakeholders.
Yours sincerely,
S. N. Kamath