1. At a Glance
In a market where most pharma companies pretend to “innovate” by tweaking paracetamol dosages,Sanofi Consumer Healthcare India Ltd (SCHIL)is the rare new entrant that actually split itself off from its own parent—just to sell you Combiflam without a doctor’s prescription. Formed in 2023 after its demerger from Sanofi India, SCHIL is now a ₹10,860 crore behemoth of consumer healthcare dreams, with ₹798 crore in annual sales and aprofit after tax of ₹215 crore.
The company’sQ3FY25 resultsmade the markets do a double take:Revenue ₹2,339 million (+46% YoY),PAT ₹629 million (+40% YoY)— not bad for a newly listed OTC player. With aP/E of 50.5xandROE of 83.8%, SCHIL is apparently so efficient that even accountants whisper “Om Efficiency Namah.”
TheBhagavad Gitasays:“Yogastha kuru karmani”— perform your duty with focus, without attachment to the outcome. Sanofi seems to have taken that literally: it quietly detached its consumer business, focused it like a laser beam, and now sells pain relief, allergy fixes, and vitamin D like enlightenment in blister packs.
At ₹4,692 per share, Sanofi Consumer’s market value screams “premium,” while the stock’sBook Value of ₹112andPrice-to-Book of 42xwhisper “calm down, yogi.”
2. Introduction
When a 100-year-old French pharma giant decides to hand its “mass market” business to an Indian spin-off, you know something interesting is cooking. Sanofi India, tired of juggling both insulin and ibuprofen, decided in 2023 to carve out its consumer healthcare division into a separate listed company—Sanofi Consumer Healthcare India Ltd (SCHIL).
Think of it as Sanofi saying:“Let the prescription business stay boring, and let’s give the OTC unit some influencer-style freedom.”
The company now focuses entirely onover-the-counter (OTC)medicines and self-care products:Combiflam,Allegra,Avil, andDePura— household names that sit in Indian kitchen cabinets right next to turmeric and vapor rub.
The demerger was followed by a flashy listing inSeptember 2024. Since then, the stock has been volatile — much like the mood of anyone with a cold trying to decide between Allegra and Avil. Over the past six months, the stock is down6.35%, and in the last quarter alone, it slipped10.7%. But withROCE of 111%andzero pledges, investors still sleep peacefully — probably after popping a Combiflam.
So, does SCHIL have what it takes to dominate the ₹25,000 crore Indian OTC market? Or will it end up as another demerged darling that burns bright for one listing season and then fades like a forgotten vitamin supplement?
Let’s find out.
3. Business Model – WTF Do They Even Do?
Sanofi Consumer Healthcare India Ltd is basically the cool, self-sufficient teenager that broke off from its pharma parent to focus on self-care. Its motto: “If you can buy it without a prescription, it’s probably ours.”
The company’score businessrevolves aroundOTC pharmaceuticals— products you can purchase directly from a chemist or e-commerce site. It operates acrosspain relief (Combiflam®),allergy management (Allegra®, Avil®), andvitamin and wellness (DePURA®). Together, these brands contribute the majority of its ₹798 crore topline.
SCHIL has built ahybrid distribution network: wholesalers, pharmacy chains, hospitals, and evene-commerce channels(because yes, Indians now buy Allegra online while doomscrolling). It works with multiplethird-party manufacturers, ensuring scalability without the headache of running too many factories.
With a91% domestic revenue shareand9% exports, SCHIL has presence across29 Indian statesand a few overseas markets.
Market shares? Pretty neat:
- Allegra – 8.2%in allergy care
- Avil – 6.3%in allergy
- Combiflam – 2.5%in pain relief
- DePURA – 1.5%in wellness
Basically, SCHIL owns your medicine cabinet.
4. Financials Overview
| Metric | Latest Qtr (Q3FY25) | Same Qtr Last Year | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 234 | 160 | 221 | 46.3% | 5.9% |
| EBITDA (₹ Cr) | 85 | 63 | 70 | 34.9% | 21.4% |
| PAT (₹ Cr) | 62.9 | 45 | 61 | 39.8% | 3.1% |
| EPS (₹) | 27.3 | 19.5 | 26.4 | 39.8% | 3.4% |
Annualised EPS = ₹27.3 × 4 =₹109.2At CMP ₹4,692, that’s aP/E of 43x(rounded from actual 50.5x due to volatility).
Commentary:SCHIL’s YoY revenue growth looks like it just took an Allegra boost. Margins remain strong —EBITDA at 36%,
PAT margin ~27%, and the company doesn’t seem to have any debt hangover. When your debt-to-equity is0.11, the only thing leveraged here is investor optimism.
5. Valuation Discussion – Fair Value Range
Let’s run through the three holy grails of valuation.
(i) P/E Method
- EPS (Annualised): ₹94.6
- Industry P/E: 31.2
- Current P/E: 50.5
If we normalize P/E between 35x–45x:→Fair value range = ₹3,311 – ₹4,257 per share
(ii) EV/EBITDA Method
- EV: ₹10,671 Cr
- EBITDA (TTM): ₹281 Cr→ EV/EBITDA = 38x
If we re-rate it to sector average 25x–30x:→Fair EV = ₹7,025 – ₹8,430 Cr→ Per-share equity value = ₹3,000 – ₹3,600
(iii) DCF (Discounted Cash Flow) Method (Simplified)
Assume FCF = ₹215 Cr, growth 8%, discount rate 10%.DCF Value ≈ ₹215 × (1 + 0.08) / (0.10 – 0.08) = ₹11,610 Cr (theoretical, close to market cap).
→DCF Fair Value ≈ ₹4,500 – ₹4,800 per share
📘Fair Value Educational Range:₹3,300 – ₹4,800 per share.
This fair value range is for educational purposes only and not investment advice.
6. What’s Cooking – News, Triggers, Drama
If Bollywood made a corporate thriller, Sanofi Consumer would be the suave protagonist with French ancestry and Indian charm.
Key recent events:
- May 2025:Open offer byOpal Bidco SASandClayton, Dubilier & Rice Fund XII, L.P.for26% stakeworth ₹5.99 crore (5.9m shares). Essentially, the global PE giant CD&R entered the party, taking a slice of Sanofi’s consumer spin-off.
- June 2025:CD&R acquired10.87% stake, confirming they’re serious.
- October 2025:CFONarahari Naiduresigned. Within a week,Richard D’Souzawas appointed CFO — probably before HR could even send the farewell cake.
- November 2025:Q3FY25 results blew past estimates — 46% YoY sales growth, 40% PAT growth. Press release proudly declared “steady self-care momentum.”
The company also conducted apostal ballotfor related-party transactions worth ₹1,065m (with Opella SAS and OHIPL), proving even demerged entities can’t resist family dinners.
All in all, SCHIL’s corporate kitchen is cooking — but it’s the French kind: neat, quiet, and
