To double capex this year; targeting $1 billion revenue by FY23: Laurus Lab

On drug shortage and supply chain issues Chava said, “Our growth has nothing to do with any drugs related to COVID. Our growth predominantly came from antiretroviral, some in Oncology, and contract manufacturing for other generic companies. As of now, we haven’t seen any disruption in supply from China, although the logistic cost went up significantly we haven’t seen any disruption in supplies. We don’t expect this COVID situation right now will have major impact on the supply chain.”

On revenues, he said, “Our growth in revenue last year was close to Rs 2,000 crore. In FY21 we have put Rs 700 crore capex and we have plans to put another Rs 1,500-1700 crore in FY22-FY23 that is to grow our revenues in FY22 and FY23 and our internal target is to cross it $1 billion revenue by FY23.”

On raw material price, he said, “In my option, the raw material price increase is because of higher demand. Whereas products what we are making demand hasn’t short up significantly so we haven’t seen such an increase in raw material prices so we are not passing on any of the logistic cost increase to our customers.”