Pharmaceutical stocks with high dividend yield
Pharmaceutical stocks with high dividend yield: Pharmaceutical companies discover, develop, manufacture, and sell medicines for humans and animals. This segment consists of innovators/research companies that focus on drug discovery and generic drug manufacturers that produce lower-cost copies of branded drugs.
Companies pay dividends to increase shareholder value, and measuring returns benefits investors who expect a steady stream of income. In this article, we will look at companies in the pharmaceutical industry with high dividend yields.
Pharmaceutical stocks with high dividend yield
Pharmaceutical stock with high dividend yield #1: Sanofi India
Sanofi India Sanofi is one of the entities operating in India. It was incorporated in May 1956 under the name of Hoechst Fedco Pharma Private Limited. The name has changed several times over the years, including Hoechst Pharmaceuticals Private Limited, Hoechst India Limited, Hoechst Marion Roussel Limited, and Aventis Pharma Limited.
It currently employs over 3,000 people across India. We operate a large manufacturing facility with a factory in Goa and 12 Contract Manufacturing Organizations (CMOs) located across India. Sanofi, a French multinational pharmaceutical and healthcare company, holds a 60.37% stake through all shares. Subsidiary company Company, Hoechst GmbH, as of the December quarter.
Note: If you want to learn candlestick and chart trading from scratch, here are some of the best books available on Amazon! Get the book now!
The company’s dividend yield is 6.78%. They generate revenue from operations in various geographies, with India accounting for 84.54%, Singapore 14.38% and Rest of the World 1.06% in FY23. They group their revenue into a single segment: Pharmaceuticals.
Sanofi India reports its financial performance every year in December. The operating revenue of the company was Rs. 2,770.1 crore in FY22 compared to Rs. It declined by 6.30% to 2,956.60 crore in FY21. Net profit recorded 140 million won. 620.60 crore in FY22 compared to Rs. It declined by 34.28% to Rs 944.40 crore in FY21.
In FY21, the company recorded $48.92 billion in exceptional items, including the underperforming sale of its nutraceuticals business to Universal Nutrisciences for $58.7 billion. The exceptions in FY22 were customer lists and other databases related to the distribution business of Soframycin and Sofradex undertaken by the company for Encube Ethicals Private Limited, with a total volume of Rs 136.9 crore.
Pharmaceutical stock with high dividend yield #2: Glenmark Life Sciences
Glenamrk Life Sciences was founded in 2011. Parent company Glenmark Pharmaceuticals held an 82.84% stake as of the December quarter. They specialize in the manufacturing and development of active pharmaceutical ingredients, as well as contract development and manufacturing organization (CDMO) operations.
Nirma recently received approval from the Competition Commission of India (CCI) to acquire Glenamrk Life Sciences for Rs. 5,651.50 crore or Rs. 615 per week. The company’s dividend yield is 5.30%.
glenmark life Revenues are generated across regions, with India accounting for 52.42% and Rest of the World accounting for 47.57% in FY23. They break down their revenue into Active Pharmaceutical Ingredients (APIs).
The company expects stable growth in FY24, slightly lower than previously expected. As of recent Q3FY24 records, the CDMO contract has been awarded with an off-take commitment of at least $5 million and is expected to be commercialized in 2024.
The operating revenue of the company was Rs. 2,161.22 crore compared to Rs. 2,123.21 crore, an increase of 1.79%. Net profit recorded 160 million won. 466.96 crore in FY23 compared to Rs. 418.72 crore, an increase of 11.52%. Margins were stable from FY19 to FY23 and revenue grew at a CAGR of 24.97% over four years.
Also read…
Pharmaceutical stock with high dividend yield #3: Procter and Gamble Health
Procter & Gamble Health Established in 1964. The company primarily manufactures and sells health care products such as vitamins, minerals, and supplements. Nasivion, Seven Seas, Polybion, Neurobion, Cosome, Livogen and Evion are some of the company’s brands. They have a manufacturing plant in Goa.
To enhance customer accessibility, the company’s network includes four distribution centers, 13 licensed distributors and more than 3,000 P&G Pharma licensed stockists. The company’s dividend yield is 1.15%.
Their fiscal year runs from July to June each year. Procter and Gamble Overseas owns 51.82% of the company’s shares as of the December 2023 quarter. Their revenue comes from one segment. medicineAnd based on operations across multiple geographies, with India accounting for 89.15% and Rest of the World accounting for 10.84% as of June FY23.
The operating revenue for June FY23 was Rs. 1,229.62 crore compared to Rs. It increased by 10.33% to ₹1,114.41 crore in June FY22. Net profit recorded 140 million won. 229.47 million in June FY23 compared to Rs. It increased by 19.19% to ₹192.52 crore in June FY22. The company’s revenue and net income did not reach their peak in its June 2020 financial.
Pharmaceutical stock with high dividend yield #4: Pfizer
Pfizer We started our business in 1950. They deal with the manufacture and sale of biopharmaceuticals. With a product portfolio that includes more than 16 therapies, three manufacturing facilities with a total capacity of 4.5 billion units, exports to more than 50 countries, and research in important areas such as oncology, immunology, and anti-infectives, Pfizer is positioned in every way: It’s the same. It is the fourth largest multinational pharmaceutical company in India by revenue.
The company plans to expand the total production capacity of its Goa, Ahmedabad and Visakhapatnam facilities to 4.5 billion units. They are also partnering with Zydus in Gujarat for oncology products. They are also hiring for their R&D facility in Chennai. The company’s dividend yield is 0.92%.
Pfizer segments its operating revenues into a single segment, Pharmaceuticals, and derives most of its revenues from India (97.16%). The remaining 2.83% comes from other parts of the world.
The company’s revenue was Rs. 2,424.76 crore in FY23 compared to Rs. It declined by 7.13% to 2,610.99 crore in FY22. Net profit recorded 160 million won. 623.93 crore in FY23 compared to Rs. It increased by 1.85% to ₹612.56 crore in FY22. The four-year CAGR of operating revenue and net profit was 3.89% and 9.82%, respectively.
#5 Pharmaceutical Stock with High Dividend Yield: GlaxoSmithKline Pharmaceuticals
GlaxoSmithKline Pharmaceuticals It is the Indian division of GlaxoSmithKline plc. They create and manufacture vaccines, pharmaceuticals, and consumer products. Their pharmaceutical portfolio consists of prescription medications for conditions such as asthma, infectious diseases, mental health, and digestion, as well as over-the-counter nutritional and beauty items.
Its vaccination product line includes treatments for diseases such as influenza, HPV, hepatitis, and measles. that Consumer healthcare Products include Horlicks brand packaged food and beverage powders and other retail items. As of February 2024, the company claims to be targeting double-digit growth over the next three to five years.
The company’s dividend yield is 1.37%. Glaxo generates its revenue from the pharmaceutical segment and generates its revenue across regions, with India accounting for 98.03% and Rest of the World accounting for 1.96% as of FY23.
The operating revenue of the company was Rs. 3,251.72 crore in FY23 compared to Rs. It decreased by 0.80% to ₹3,278.02 crore in FY22. Net profit recorded 140 million won. 610.68 crore in FY23 compared to Rs 1,694.71 crore in FY22, a decrease of 63.96%.
Profit from discontinued operations of Rs 1,313.95 crore in FY22 impacted revenue. According to FY23 continuous operating profit, the company’s profit increased by 59.58% year-on-year.
Read more: Bullish Stick Sandwich Pattern
conclusion
As we near the end of our article on pharmaceutical stocks with high dividend yields, companies operating in the pharmaceutical sector are likely to expand their operations. A balance between rewarding shareholders through dividends and financing production capacity expansion is important.
Indian companies manufacturing generic drugs can benefit from increased drug sales due to affordability. What do you think about the potential of these companies? Let us know your thoughts in the comments section below.
Written by Santosh
By leveraging the Stock Screener, Stock Heatmap, Portfolio Backtesting and Stock Comparison tools on the Trade Brains portal, investors have access to comprehensive tools to identify the best stocks, stay updated and informed with stock market news. invest.
Start your stock market journey now!
Want to learn stock market trading and investing? Check out exclusive stock market courses from FinGrad, a learning initiative from Trade Brains. You can sign up for free courses and webinars from FinGrad and start your trading career today. Sign up now!!
