1st Ever Dividend of Rs 8.75: Record Date On 22nd June; A Good Deal For A Fresh Investor?

Concord Biotech Limited is a biopharma company focused on research and development that produces finished formulations and active pharmaceutical ingredients (API) using fermentation and semi-synthetic processes. Since its founding in 2000, Concord has evolved from a firm that only produced one product to a broad-spectrum solution provider with products in several therapeutic areas. It has a strong pipeline that includes over ten products in the oncology, anti-fungal, and anti-infectives therapeutic fields.

Concord Biotech Upcoming Dividend

"The Board has recommended Dividend of Rs. 8.75 (@ 30%) per Equity Share of face value of Re. 1 each fully paid up for the Financial Year 2023-24, subject to approval by shareholders of the Company at the ensuing AGM. Pursuant to the Regulation 42 of SEBI Listing Regulations, it is hereby informed that the Company has fixed Saturday, 22nd June, 2024 as 'Record Date' for the purpose of determining entitlement for the purpose of identifying the members entitlement to receive Dividend of Rs. 8.75 (@ 30%) per Equity Share having face value of Re. 1/- each fully paid-up for the financial year 2023- 24," said the company in a regulatory filing.

"Due to typographical error the % was mentioned as 30% instead of 875% which is the correct figure," Concord Biotech informed to stock exchanges.

Concord Biotech Management Commentary On Q4 & FY24 Performance

Mr. Ankur Vaid, Joint Managing Director & Chief Executive Officer for Concord Biotech Limited said, "We are delighted to report that our revenue for Q4 FY24 stood at Rs. 319 crores, reflecting a growth of 17%. Our revenue for the entire FY24 grew by 19%, aligning with our long-term guidance. Additionally, our EBITDA and PAT grew by 26% and 28% respectively on a year-on-year basis. We are pleased to inform that, we got inspected by numerous regulatory authorities such as USFDA, Bavarian Regulatory Authority (EUGMP), ANVISA (Brazil) and Food & Drug Authority in Saudi Arabia across different facilities and have also received various product approvals in both regulated and emerging markets. Furthermore, we have filed DMFs and registered our products across various global markets."

"Our primary focus remains on expanding our geographical reach, diversifying our product portfolio, increasing our customer base and wallet share among existing customers. In FY24, in API segment, we added 2 new products in the areas of Immunosuppressants & Anti-Infectives, bringing our total product count to 30. In Formulations, we have added 21 products in the field of Nephrology, Critical Care & Rheumatology taking our total count to 98 products. We continue to invest in R&D for new product development and have a robust pipeline of more than 10 products planned for introduction over the coming years. Simultaneously, we are also exploring opportunities in CDMO business to amplify our growth prospects. With the large portfolio of fermentation-based APIs, extensive capacities and capabilities for scaling, deep domain expertise, and a broad customer base, we remain confident in our growth strategies," he further added.

Concord Biotech Share Price Target

Deven Mehata - Equity Research Analyst at Choice Broking said, "CONCORDBIO is currently trading at Rs 1579 and has recently reversed from a demand zone, forming a double bottom pattern, indicating a potential reversal and a strong bullish trend. A breakout above Rs 1600 could propel the stock towards the Rs 1666 & Rs 1717 level. On the flip side, Rs 1450 serve as crucial support levels. Furthermore, after a prolonged correction, the stock has reversed from the support level. The Relative Strength Index (RSI) is currently at 63.97, on an upward trajectory, suggesting growing buying momentum."

"Collectively, these technical indicators imply that CONCORDBIO has the potential to reach the Rs 1717 target in the near term. A prudent strategy would involve considering buying opportunities on dips at levels around Rs 1515. In summary, based on technical analysis and prevailing market conditions, CONCORDBIO appears to present a promising buying opportunity for those targeting a Rs 1717 price objective. It is crucial to implement prudent risk management strategies to navigate potential market fluctuations," the analyst stated.

Disclaimer

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