Themis Medicare is a distinct pharma company promoted by Mr Shantibhai Patel, a pioneer in the Indian pharmaceuticals business. Gedeon Richter, a Hungarian pharma company with over a 100 years of history, owns a meaningful stake in the company.
The company has 4 state-of-the-art manufacturing facilities at Vapi(Gujarat), Haridwar(Uttaranchal) and Hyderabad. They have a nationwide network of around 2000 stockists and field force of around 500. Company currently has presence in around 40 countries; and is looking to expand that. For more info check, http://www.themismedicare.com/
PRESENT DAY NUMBERS
CMP on Day06 Aug2014: Rs 120 Market cap: 102 crores BV: 68 FV: 10
Revenue FY13: 173 cr (FY12 157 cr) Net profit(loss): (4.7 cr) [FY12 (32.4 cr)]
Debt: 90 cr
BRIEF HISTORY
Originally established as Themis chemicals, in joint partnership with Gedeon Richter, Hungary. This company holds the distinction of becoming the 2nd company in the world and the 1st in India to produce Vitamin B12 by non-sterile fermentation. This also became the 2nd company in the world (and 1st in India) to produce Ethambutol Dihydrochloride.
MULTIBAGGER POTENTIAL
1. Increase of 50% in Formulations(higher margins) sales over last year (FY 2013)
2. Focus on anti malarial, Anesthesia, pain management and other research based products
3. Long term partnership signed with Novartis India for exclusive marketing rights of certain innovative products
4. Tie up with Beta healthcare on the international front
5. From loss making previous quarters; there is a profit of 1.2 cr during the current quarter(FY 2015 Q1); Turnaround clearly visible and evident
INTERESTING INFO
1. Break through development of Diclofenac injection using patented technology (in the year 2013)
2. Introduction of oil free Emal (alpha beta artheether injection) in ampoules and PFS (pre-filled syringes)
3. THEMISALTM, a unique gel for stopping bleeding enters European market (in 2006)
4. Themis develops and introduces SEPGARDTM; a unique wound healing agent for the first time in India (in 2002)
MY TAKE
Themis medicare is an innovator company in true spirits. The last couple of years had been very tough for the company. Poor financial performance coupled with quarterly losses impacted the share price badly and it touched a low of 40 rs this year. How ever the worst seems to be over. The management took some concrete steps in the last few quarters and a turn-around is around the corner. This would be a good time to accumulate this stock.
Market cap of 100 cr for this innovator company with an enviable track record (in innovation) is downright cheap. Deeply undervalued; so to say. Even a conservative estimate of 500 CR market cap is not too unrealistic or ambitious. It is just a matter of time and a few good quarters.
A strong potential multibagger!!
Disclosure: I own 1500 shares in Themis Medicare (and intend to add more)
The company has 4 state-of-the-art manufacturing facilities at Vapi(Gujarat), Haridwar(Uttaranchal) and Hyderabad. They have a nationwide network of around 2000 stockists and field force of around 500. Company currently has presence in around 40 countries; and is looking to expand that. For more info check, http://www.themismedicare.com/
PRESENT DAY NUMBERS
CMP on Day06 Aug2014: Rs 120 Market cap: 102 crores BV: 68 FV: 10
Revenue FY13: 173 cr (FY12 157 cr) Net profit(loss): (4.7 cr) [FY12 (32.4 cr)]
Debt: 90 cr
BRIEF HISTORY
Originally established as Themis chemicals, in joint partnership with Gedeon Richter, Hungary. This company holds the distinction of becoming the 2nd company in the world and the 1st in India to produce Vitamin B12 by non-sterile fermentation. This also became the 2nd company in the world (and 1st in India) to produce Ethambutol Dihydrochloride.
MULTIBAGGER POTENTIAL
1. Increase of 50% in Formulations(higher margins) sales over last year (FY 2013)
2. Focus on anti malarial, Anesthesia, pain management and other research based products
3. Long term partnership signed with Novartis India for exclusive marketing rights of certain innovative products
4. Tie up with Beta healthcare on the international front
5. From loss making previous quarters; there is a profit of 1.2 cr during the current quarter(FY 2015 Q1); Turnaround clearly visible and evident
INTERESTING INFO
1. Break through development of Diclofenac injection using patented technology (in the year 2013)
2. Introduction of oil free Emal (alpha beta artheether injection) in ampoules and PFS (pre-filled syringes)
3. THEMISALTM, a unique gel for stopping bleeding enters European market (in 2006)
4. Themis develops and introduces SEPGARDTM; a unique wound healing agent for the first time in India (in 2002)
MY TAKE
Themis medicare is an innovator company in true spirits. The last couple of years had been very tough for the company. Poor financial performance coupled with quarterly losses impacted the share price badly and it touched a low of 40 rs this year. How ever the worst seems to be over. The management took some concrete steps in the last few quarters and a turn-around is around the corner. This would be a good time to accumulate this stock.
Market cap of 100 cr for this innovator company with an enviable track record (in innovation) is downright cheap. Deeply undervalued; so to say. Even a conservative estimate of 500 CR market cap is not too unrealistic or ambitious. It is just a matter of time and a few good quarters.
A strong potential multibagger!!
Disclosure: I own 1500 shares in Themis Medicare (and intend to add more)
Would be happy to have a chat with you on this stock. Am on the lookout for such ideas. Was wondering if you would like to share ideas like this and discuss more on this. Thanks
ReplyDeleteMy email id is manish@kayals.net
Good to c ur msg; Manish
DeleteIf you look at the 10 ideas that I have presented on this blog; they all are of a similar thought process: potential multi baggers.
In fact some of them have already become multibaggers.
My email id is: zorbayogi9@gmail.com
Write an email and we will take it further from there.
Best Regards!!
Sir can you please check the result of trigyn tech... the EPS is significantly down ... so shall we continue to hold?
ReplyDeleteHi Deba; Good Question. I will respond on the Trigyn page.
DeleteIf you ask the question related to a specific stock/company on that particular page; that would be helpful. Thanks!!
Hi Yogi -- I am following your blog for the last few months and I must say You r doing a wonderful job , Gob Bless u my friend.
ReplyDeleteOn your recent post on Themis Medicare, i compared this with TTK Healthcare and it looks to me TTK a better choice.
As you are expert can you share your view on this please.
Thanks
Subh
Hi Subhendu; Good to c ur msg. Thnx 4 ur appreciation.
DeleteWhen ever I select a stock (after good home work); it is normally on an absolute basis. My focus is to always find a good quality company, deeply undervalued and with future growth potential.
From an absolute basis; I am confident that Themis medicare, as a company will do very well in the next 2, 3, 4 years. The worst is over for them.
About TTK healthcare; I have no idea.
Whether it is better than Themis, I do not know.
One thing I am sure is; If I invest in Themis today; with a 2 - 3 year time horizon; I will make very good money. That much is enough for me. I trya nd keep it simple.
When I find time; I will surely take a look at TTK healthcare.
Best regards!!
Sir orchid chemical is also a turn around company . Pls share ur view on orchid chemicsl
ReplyDeleteMy friend, Couple years back, I had taken a high level look at Orchid.
DeleteUnmanageable debts, management issues and arbitrary decision making by the promoters were some of the factors that kept me away from that company.
If I am not able to trust the promoters; then nothing else matters.
Best regards!!