Glanmark Pharmaceuticals shares will be in focus on Monday after the company initiated a recall of nearly 15 lakh bottles of a generic ADHD medication in the US market, according to the US Food and Drug Administration (USFDA).

The recall involves approximately 14.76 lakh bottles of Atomoxetine Capsules in multiple strengths, manufactured by Glenmark Pharmaceuticals Inc, USA, a subsidiary of the Mumbai-based drugmaker.

The recall was triggered due to "CGMP Deviations," with the USFDA citing the presence of N-Nitroso Atomoxetine impurity above the recommended limit.

The affected capsules, ranging from 10 mg to 100 mg in strength, were manufactured in India and are being withdrawn under a Class II recall, which applies to products where exposure may cause temporary or medically reversible adverse health consequences. The recall was initiated on January 29.

Atomoxetine is used to treat attention deficit hyperactivity disorder (ADHD), a neurodevelopmental condition that affects focus, impulse control, and activity levels, particularly in children.

Glenmark Pharma Q3 earnings

The company reported a net profit of Rs 348 crore for the December quarter, compared to a net loss of Rs 351 crore in the same period last year.

Revenue from operations in Q3FY25 stood at Rs 3,388 crore, marking a 35% increase from Rs 2,507 crore in the year-ago period. On a sequential basis, PAT declined 1.7% from Rs 354 crore in Q2FY25, while revenue fell 1.3% from Rs 3,434 crore in the previous quarter. PAT margins expanded by 10.3% YoY.

The India business jumped by 300.2% YoY to Rs 1,064 crore while the Europe business grew by 14.8% YoY to Rs 730 crore. The North America Business grew by 1.4% to Rs 781 crore. The RoW (rest of the world) business grew by 3% to Rs 749 crore.

Glenmark Pharma shares target price

As per Trendlyne data, the average target price of the stock is Rs 1,741, which shows an upside of 36% from the current market prices. The consensus recommendation from 13 analysts for the stock is a 'Buy'.

Glenmark Pharma shares performance

On Friday, Glenmark Pharma shares closed at Rs 1,278.7, down 2.6% on the BSE, while the benchmark Sensex declined 1.9%. The stock has declined 21% year-to-date but gained 198% in the last two years. The company’s market capitalization stands at Rs 36,084 crore.

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