Strategy in Action
I am proud of the way our employees demonstrated an exemplary sense of duty in rallying together to stay true to our purpose and serve patients during this difficult time.
It is an honour to join the Strides family and it gives me great pride to address you in my first Report. Over the last thirty years Strides has come to be known for its vision value creation and agility. I would like to begin by thanking the Board for giving me the opportunity to lead this dynamic enterprise.
I assumed my position as MD & CEO at Strides at a time of unforeseen and exceptional developments. The world was already in the throes of the novel coronavirus (COVID-19) the Ranitidine withdrawal request from US FDA had just come in and it was the start of a new financial year. Therefore my immediate priority in consultation with the Board and my Management team was to establish clarity and confidence among our own employees as well as external stakeholders on these concerns.
With regard to COVID-19 our aim was clear - employee well-being and safety came first.
We established a global COVID-19 taskforce guided by our 3P model of people patients and purpose. Taking action to protect employees establishing global leadership outreach to remain in constant touch with employees worldwide and extending the emotional connect to families of employees were among our foremost steps. At the same time pharma being an essential and life-saving service we needed to be able to continue to manufacture and serve patients in need at this crucial time. We put in place extremely detailed business continuity work protocols. I am proud of the way our employees demonstrated an exemplary sense of duty in rallying together to stay true to our purpose and serve patients during this difficult time while maintaining the strictest adherence to safety and hygiene protocols.
On Ranitidine a detailed statement was released with complete chronology of events the situation as it stood and our assessment of the impact. Continuing in the same vein of transparency and clarity to shareholders regulators and other stakeholders we followed up with another detailed picture of its impact in our Q4 results presentation. While Ranitidine was one of our top five products our ex-Ranitidine growth in the U.S. market has been extremely healthy. We have now re-adjusted our U.S. base business and way forward strategy to ensure that we remain on track to grow well in the U.S. Our Other Regulated Markets (ORM) business too saw strong momentum in FY 2019-20. For our Emerging Markets (EM) and institutional businesses it was a successful reset year.
As we outlined to all of you during our Q4 of FY 2019-20 results many areas saw robust performance and we look forward to unlocking further value in the current fiscal. Overall I was happy to note that in spite of exceptional developments our well-executed reset strategy for FY 2019-20 remains on track to deliver sustainable growth.
With FY 2020-21 now well underway we stay on track to meet our aspiration. In the current fiscal our priorities are:
Delivery of growth in key markets will be the biggest focus for us - robust growth over our reset base in the U.S continued strong momentum in ORM and a recharge of our institutional business and branded generics business in Emerging Markets
While increased market share of launched products will provide a major leg of growth our R&D engine will anchor our growth plans with a strong pipeline of new filings and new launches in the U.S. ORM and institutional business
Maintaining a healthy balance sheet - sustaining gross margins high operating ratios driving efficiencies in our business working risk mitigation - will enable our business to grow responsibly and sustainably.
As a pharma company upholding a state of complete vigilance and control in our manufacturing sites is non-negotiable. Remediation work in our Puducherry site has been among the topmost priorities for the leadership team. We now await information from the US FDA on re-inspection. We do not take this lightly. There can be no room for complacency when it comes to quality compliance. It is with this view that we launched the Quality Fabric initiative in FY 2019-20. Quality Fabric is our internal initiative to strengthen and define our quality culture based on people products processes and facilities. Each employee is a custodian and stakeholder of our quality culture and this will be an ongoing project to facilitate learning and re-learning constantly on the job. I am also committed to fostering a culture of openness collaboration taking ownership and accountability. Our above efforts are aimed at ensuring timely delivery to patients and customers with the end-goal of achieving a high level of customer advocacy. Pharma is an extremely competitive industry and we need to identify and harness our core strengths in order to distinguish ourselves from others.
In fact this competitive industry in India has been the world's pharmacy for a while. And now more than ever in the year 2020 Indian pharma has found itself in focus. As the world comes together to find solutions to this global pandemic we remain ready to do our part support and work with various stakeholders. At the
same time we continue to track and monitor policy regulatory and political developments to ensure we plan ahead and build resilience.
Thank you for the trust you have reposed in Strides through the years. I wish to reassure you that your Company will remain firmly committed to upholding its values of integrity collaboration and efficiency and creating value for all its stakeholders. I look forward to the journey ahead with the guidance of the Board and the counsel and partnership of my Management colleagues employees partners customers and all our stakeholders. I wish you and your loved ones good health and well-being.