 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(FY 2019-2021)

Apollo Pharmacy 202 289 359% 33.3%
Margin 5.20% 6.00% 6.40%

MedPlus 66 99 175 63.2%
Margin 2.89% 3.45% 5.70%

Wellness Forever 27 33 NA 19.7%*
Margin 3.98% 3.74% NA

Emami Frank Ross 40 46 NA 15.7%*
Margin 9.86% 10.34% NA

Thulasi Pharmacy 3 47 NA 56.7%*
Margin 2.40% 3.37% NA

 

 

 

Source: Primary Research, Secondary Research, Company filings, Technopak Analysis

Note 1: Operating EBITDA for Wellness Forever, Emami Frank Ross and Thulasi Pharmacy are computed from company filings as profit after tax plus tax
expenses, depreciation and amortization expense, and finance costs minus interest income.

Operating EBITDA for Apollo Pharmacy is as per the EBITDA Pre Ind As 116 as reported by the company in its quarterly filings. Operating EBITDA for
Medplus is calculated as EBITDA plus Employees stock option compensation expenses and Net loss on fair value changes, minus interest income and Rental
expenses. Rental expenses represents actual rental expenses incurred by the Company in the respective years without giving effect of Ind AS 116. Upon adoption
of IND AS 116 by the Company rental expenses under other expenses are now recognized as finance costs amounting to @ 465.34, 402.24, @ 338.76 for the
financial year ended 31 March 2021, 2020 and 2019 respectively and depreciation and amortization expenses amounting to % 708.47, Rs 589.34, Rs 446.33
for the financial year ended 31 March 2021, 2020 and 2019 respectively. Operating EBITDA Margin is the percentage of Operating EBITDA divided by
revenue from operations.

We believe Operating EBITDA and Operating EBITDA Margin are better measures of the operating performance of pharmacy retail businesses given the
large retail footprint involving rental expenses.

Note 2: 1 crore = 10 million

“Apollo Pharmacy Operating EBITDA numbers are reported on a like-for-like basis to its FY 2020 Operating EBITDA without taking into consideration the
restructuring that the company undertook in September 2020. Further, Apollo Pharmacy Operating EBITDA numbers don’t include operating costs related to
their Digital Offering called ‘24/7"

* CAGR for Wellness Forever, Emami Frank Ross and Thulasi Pharmacy computed for FY 2019 to FY 2020 period as FY 2021 data was not available

EBITDA AND EBITDA MARGINS

The table below sets out the EBITDA in 2 crores and EBITDA margins for key pharmacy retailers in India for financial years
2019, 2020 and 2021, and CAGR from financial years 2019 to 2021.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CAGR
Player FY 2019 FY 2020 FY 2021 (FY 2019-
2021)
Apollo Pharmac NA 445# 368# NA
Margin NA 9.20%# 7.50%#
MedPlus 131.3 151.0 238.2 34.7%
Margin 5.78% 5.26% 7.76%
Wellness Forever 73.4 90.9 81 5.4%
Margin 10.84% 10.54% 8.82%
API Holdings NA -316.3 -543.9 NA®
Margin NA -47.38% -23.29%
Tata 1 mg -287.3 -305.0 -293.6 NA®
Margin -142.02% -85.22% -94.90%
Emami Frank Ross 40 46 NA NA
Margin 9.86% 10.34% NA
Netmeds -184.81 -173.9 NA NA
Margin -61.20% -80.00% NA
Thulasi Pharmacy 3 47 NA NA
Margin 2.40% 3.37% NA

 

 

 

 

 

 

Source: Primary Research, Secondary Research, Company filings, Technopak Analysis.
NA — Not Available

NAC - Not applicable due to either negative numerator or denominator or both
# Apollo Pharmacy EBITDA and EBITDA margin numbers are basis the post Ind AS 116 EBITDA and EBITDA margin numbers reported by Apollo Hospitals

for its Pharmacy Distribution business

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