Mankind Pharma to expand over the counter products business for growth

Pharmaceutical business Mankind Pharma has segmented its consumer brands business as a wholly-owned subsidiary and aims to increase its contribution to 15% of its total revenue by scaling its brands including AcneStar.

By harnessing its new subsidiary to capitalise on growth opportunities for its brands, Mankind Pharma plans to boost its revenue, ET Bureau reported. Some of Mankind Pharma’s peers have previously differentiated their consumer businesses as subsidiaries such as Zydus Lifesciences. One benefit of creating a consumer products business is that it requires less regulatory compliance compared to a prescription pharma business.
 
Mankind Pharma first entered the over the counter products business in 2007 and its portfolio of brands includes skincare brand AcneStar as well as Manforce, HealthOk, Prega News, and Unwanted among others. In the 2024 financial year, the business reported Rs 706 crore in revenue from its consumer-facing business with an earnings before interest, tax, depreciation, and amortisation margin of 19.5%, ET Retail reported.
 
Mankind Pharma’s shares have seen 85% gains since it was listed on the markets in May, 2023. Last year, the business also acquired Bharat Serums and Vaccines in July and could unlock value for investors should it seek to raise funds in the primary market to use towards brand building investments.