Cipla Pulls Ahead Of Ranbaxy: Report

Cipla competes with Ranbaxy in the antibiotic and anti-bacterial segment. Its anibiotic Ciplox, the twenty-first product in the market, has taken on Ranbaxy's Cifran, the seventh biggest brand in the industry. And since January 1996, Cifran's sales have been slowing down (growing at only 3.5 per cent on a year-to-year basis), as against 42 per cent of Ciplox, says a report prepared by Giridhar Iyengar of Peregrine Capital India.

The reason for Ranbaxy's reduced domestic market share is two-fold: its concentration on the global front at the cost of the domestic market and Cipla's focused domestic strategy, which has paid big dividends.

 

The report has estimated a 34 per cent growth in Cipla's net profit for the next two years.

The rise in net profits till 1998 will be based mainly on increased margins.