Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Trung Nguyen

Senior Credit Analyst

Credit

Glenmark’s Q3/18-19 results very much surprised on the upside, with strong revenue and earnings growth after a few weak quarters. This was thanks to product launches, which more than compensated for continued price erosion in the US. We now believe our initial full-year EBITDA forecast (INR 15.32 bn) was too conservative, and project that the actual figure will be around INR 17 bn. We also think the medium and long-term outlooks for the company are favourable, underpinned by the upcoming launches of much higher-margin speciality products, which should offset persistent price erosion for generics. Management guided for strong revenue growth of 15% over the next few years. Leverage was moderate and slightly improved. While capex exceeded guidance, management is restructuring the API business into a subsidiary, so as to better secure strategic partnerships and, likely, raise capital to fund expenditure and deleverage the parent company. Our Credit Bias remains "Stable", as Glenmark's credit metrics remain acceptable despite operational challenges being somewhat worse than expected. We maintain our "Buy" recommendation on the GNPIN '21s, which we initiated at 93 or a 7% yield (OAS of 450 bps). The Notes are approaching par (96.6, 5.8% yield or OAS of 283 bps). We will close out our trade recommendation at par.

   Glenmark’s Q3/18-19 results very much surprised on the upside, with strong revenue and earnings growth after a few weak quarters. This was thanks to product launches, which more than compensated for continued price erosion in the US. We now believe our initial full-year EBITDA forecast (INR 15.32 bn) was too conservative, and project that the actual figure will be around INR 17 bn. We also think the medium and long-term outlooks for the company are favourable, underpinned by the upcoming launches of much higher-margin speciality products, which should offset persistent price erosion for generics. Management guided for strong revenue growth of 15% over the next few years. Leverage was moderate and slightly improved. While capex exceeded guidance, management is restructuring the API business into a subsidiary, so as to better secure strategic partnerships and, likely, raise capital to fund expenditure and deleverage the parent company.    Our Credit Bias remains "Stable", as Glenmark's credit metrics remain acceptable despite operational challenges being somewhat worse than expected.    We maintain our "Buy" recommendation on the GNPIN '21s, which we initiated at 93 or a 7% yield (OAS of 450 bps). The Notes are approaching par (96.6, 5.8% yield or OAS of 283 bps). We will close out our trade recommendation at par. 

Glenmark - Earnings Flash - Q3 FY 2018-19 Results - Lucror Analytics

Glenmark Pharmaceuticals

Glenmark - Earnings Flash - Q3 FY 2018-19 Results - Lucror Analytics