Every successful venture has a story of determination and growth. Turning your dream into a success takes a lot of hard work. Some companies start small and end up sparking a revolution. Laurus Labs, founded in 2005, is a great example of this kind of journey. With a strong focus on excellence, Laurus Labs has grown from a modest startup into a major player in the industry.
Today, let’s explore the fascinating history of Laurus Labs and discover what drives the man who now leads this company, serving multiple nations around the world!
Laurus Labs History: From Startup to Industry Leader
The story goes back to 2005 when Satyanarayana Chava took his first step toward building his dream company. He started a pharmaceutical firm with the goal of helping as many people as possible. Little did he know it would one day grow into a multinational company. It all began in Hyderabad.
Mr Chava, with experience as COO at Matrix Laboratories, had a vision. He says, “I never missed a promotion and gained experience in every department.”
This dedication indeed fueled Laurus Labs’ rise.
Today, Laurus Labs Ltd has become one of the most promising startups!
Let us take a look at Laurus Labs history!
By 2006, Laurus Labs set up its R&D wing and filed its first patent. They also struck a deal with a major Indian pharmaceutical company for oncology APIs. However, it was just the beginning.
In 2007, their R&D Centre was up and running. Unit 1 started its operations by the end of the year.
2008 was a big year.
Laurus Labs filed its first Drug Master File and began supplying products to the US.
The following year, 2009, was full of achievements.
The Department of Scientific and Industrial Research (DSIR) recognised their R&D Centre. They also commercialised four nutritional fine chemicals and launched their first product in Europe.
The excitement didn’t stop there.
In 2010, Laurus Labs received USFDA, TGA, and UK MHRA certifications for Unit 1. Their achievements continued into 2011 with KFDA certifications for both their R&D Centre and Unit 1.
2012 brought a great milestone achievement.
Laurus Labs secured a massive INR 490 million investment. This helped them acquire a majority stake in Aptuit and gain more investments from their promoters.
By 2013, Laurus Labs revenue had hit INR 10 billion mark. Unit-I got the WHO approval. The following year, 2014, saw even more growth. Laurus Labs acquired 135 acres in Visakhapatnam for expansion and started constructing Unit 2. They also set up Laurus Inc. in Delaware, US.
The year 2015 marked the start of commercial operations at Unit 3 in Visakhapatnam. They also bought a 27% stake in Sriam Labs. Their manufacturing sites were praised, with successful inspections by WHO, NIP Hungary, and the US FDA.
In 2016, Laurus Labs aced the USFDA inspection of their kilo-lab facility. They received approval from BfArM Germany for Unit 2.
Laurus Labs revenue hit INR 15 billion, and they filed their first ANDA with the USFDA and their first dossier with WHO.
By 2017, the company had successful USFDA inspections of Units 1, 2, and 3, all without critical observations. WHO and BGV Hamburg (German Regulatory Authority) also gave them high marks.
In 2018, Laurus Labs revenue finally crossed INR 20 billion. They began operations at Unit 4 and expanded into Europe with a new subsidiary in Germany. They launched their first FDF product, Tenofovir, in several markets and were certified as a Great Place to Work.
2019 was another exciting year.
Laurus Labs received an EIR for Unit 6 from the USFDA and formed a strategic partnership with the Global Fund. They delivered major tender orders ahead of schedule and achieved the highest on-time delivery in FDF orders.
2020 saw the creation of Laurus Synthesis Pvt. Ltd.
They acquired assets from an API Unit in Vizag and made headlines by buying Aspen’s South Africa subsidiary, Laurus Generics SA(PTY) Limited.
In 2021, Laurus Labs Ltd expanded even further. They incorporated Laurus Ingredients Pvt. Ltd acquired a 72.55% stake in Richcore Life Sciences Pvt Ltd (Laurus Bio).
Additionally, they invested in the CAR-T cell therapy company ImmunoACT.
2022 was a landmark year.
Laurus Labs revenue crossed INR 48 billion level.
They continued expanding, acquiring more assets, and merging Laurus Synthesis Inc. USA with Laurus Generics Inc USA. Their FDF sales also hit INR 16 billion.
In 2023, Laurus Labs reported a fantastic 50% revenue growth in Q3. This was driven by strong demand in their CDMO-Synthesis business. They also saw a 33% increase in revenue and a 26% growth in EBITDA for the first nine months.
2024 brought mixed results. Laurus Labs reported a 4.26% increase in net sales year-over-year. However, their quarterly net profit decreased by 26.58%.
Looking ahead, Laurus Labs maintains a positive outlook for FY 2025.
FY Q1-25 Overview
Laurus Labs reported ₹1,195 Cr in revenues, with 1% growth. A soft Q1 performance was expected. H2 should improve with scheduled CDMO project deliveries.
Key CDMO projects maintained momentum with strengthened scientific expertise. EBITDA was ₹171 Cr, resulting in a 14.3% margin.
Gross margins were strong at 55.1%, showing year-over-year and sequential improvement.
The company aims to deliver on medium to long-term contracts and late-phase NCE projects with improved EBITDA margins.
Laurus Labs Ltd: Transforming Medicines with Expertise and Integrity
Through every milestone, Laurus Labs Ltd has shown relentless drive and innovation. The company has grown into a global pharmaceutical and biotechnology powerhouse.
Founded in 2005, it quickly became a global leader in APIs and custom synthesis. The company excels in delivering high-quality medicines across various therapeutic areas.
What does Laurus Labs Do?
Laurus Labs is a pharmaceutical company involved in several key areas:
- They produce APIs for various therapeutic fields, including antiretrovirals, oncology, hepatitis C, and diabetes.
- Laurus Labs manufactures and supplies finished dosage forms like tablets and capsules for different medical conditions.
- The company provides contract research and manufacturing services to other pharmaceutical firms.
- Laurus Labs invests significantly in R&D to innovate and improve pharmaceutical products.
Laurus Labs Owner: Dr. Satyanarayana Chava
Laurus Labs Drug Product (DP) & Drug Substance (DS) Launches: 75+
Laurus Labs Quality Audits: 1,113
Laurus Labs Products: Active pharmaceutical ingredients (APIs) for conditions such as HIV/AIDS, cancer, Hepatitis C, and diabetes.
- The company provides a broad range of high-quality generic formulations.
- It has been recognised as a premier Contract Development & Manufacturing Organization (CDMO) for both generics and proprietary products.
- Laurus Labs invests in advanced cell and gene therapies through Laurus Bio.
Laurus Labs: Leading with Innovation, CSR, and Sustainability
Currently, Laurus Labs is one of India’s top 25 pharmaceutical companies. It excels in innovation and CSR. Their efforts span health, education, and sustainability. They are dedicated to community well-being.
They support:
- Education
It offers funds for students from low-income backgrounds. This includes building and renovating educational facilities and supporting professional education.
- Healthcare
Financial aid for pediatric heart disease is another initiative step taken. The aim is to support thalassemia centres and mental health awareness programs.
- Environmental Sustainability
Laurus Labs continues to work for Green belt development, plantation drives, and reforestation efforts.
At Laurus Labs, sustainability goes beyond just environmental efforts.
Key ESG Milestones:
- MSCI ESG Ratings: Consistent “BBB” rating, placing them among the top 20% of global pharma companies.
- Renewable Energy Investment: Acquired a 26% stake in Ethan Energy India Pvt. Ltd. for captive renewable power.
- Climate Risk Assessments: Regular evaluations and adaptation measures.
- Waste Management: Prioritizing waste reduction, recycling, and safe disposal.
- Sustainable Operations: Compliance with ISO standards for quality, environment, and safety.
Laurus Labs is dedicated to a sustainable future, integrating ESG practices into every aspect of its operations.
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FAQs| Laurus Labs History
Laurus Labs was founded in 2005 by Dr. Satyanarayana Chava in Hyderabad, India, with a focus on producing active pharmaceutical ingredients (APIs) and generic formulations.
Laurus Labs stands out for its strong presence in the production of high-quality APIs, especially for antiretrovirals, oncology, and cardiovascular drugs.
The CEO of Laurus Labs is Dr. Satyanarayana Chava.
Laurus Labs ranks 24th within the Indian pharmaceuticals sector based on market cap, as of August 22, 2024.
Laurus Labs was founded and is led by Dr. Satyanarayana Chava.
Source: Screener, LaurusLabs
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