Pharma firms likely to report mixed performance in Q1 on Covid-19, lockdown

Companies with higher exports are likely to benefit due to the rupee depreciation against the US dollar.

The domestic pharma companies are expected to put up a muted performance for the first quarter of the fiscal year 2020-21 (Q1FY21) on account of weak domestic business, which was adversely affected by the Covid-19-induced lockdown. The nationwide lockdown, according to analysts, led to facilities running at a lower capacity and disruption in logistics. Further, the slower pace of prescription generation in acute therapies on account of patient-doctor disconnect and delay in surgeries also impacted the overall growth in the sector. The US business, too, is expected to remain moderate on account of the crisis posed by the pandemic. However,