Haleon Pakistan (HALEON) held a Corporate Briefing today.

HALEON’s sales mix for 9M2024 includes essential (47%), Non-Essential (38%), FMCG (12%), and Toll/Exports (4%) products. In the future, more products will fall under the non-essential category, with no price regulation. The top three brands, Panadol, CAC, and Sensodyne, contribute 80% of the total turnover.

§  Recent key launches include Panadol Night, Panadol Ultra, Sensodyne Kids, and Sensodyne Access.

§  HALEON holds a 4% market share in the Pakistan pharmaceutical industry and a 25% market share in five categories.

§  Panadol is the largest brand in the pain relief category, and Sensodyne is the second-largest brand in Pakistan after Colgate.

§  Some Panadol brands are categorized as essential, while others are non-essential. Panadol Regular (Blue) is classified as a critical product.

§  HALEON produces 400 million tablets of Panadol Regular, 75 million tablets of Panadol Extra, and the remaining Panadol variants in the range of 4–5 million tablets monthly.

§  After the Jamshoro plant comes online, Panadol’s capacity will be increased from 6 billion tablets to 9 billion tablets by the end of 2025. The Jamshoro plant will improve efficiency with the latest technology and a vertically integrated setup.

§ The company plans to launch Centrum in Pakistan soon, and management expects it to become the No. 1 brand in this category by 2025. Initially, it will be imported and later locally manufactured. The total market size of this category in Pakistan is currently Rs25bn.

§  Centrum will compete with SEARLE’s product, Vitrum, which has a market size of Rs600mn.

§ The Company is conducting market research for Centrum pricing. Similar category products are currently available at Rs76–120 per tablet.

§  The company’s total net sales increased by 16% YoY to Rs27.5bn in 9M2024. OTC portfolio sales increased by 18% YoY to Rs23.2bn, FMCG sales increased by 7% to Rs3.3bn, and Tolling sales increased by 10% to Rs985mn. Meanwhile, exports declined by 27% YoY to Rs30mn in 9M2024.

§  On the outlook for next quarter, management highlighted that it will be similar to the last quarter (September 2024 quarter).

Courtesy – Topline Research