Latest news with #Narasimhan
CNBC
6 days ago
- Business
- CNBC
Swiss pharma giant Novartis bets on a breast cancer blockbuster as sales rise
Swiss pharmaceutical firm Novartis said Thursday that it expects its Kisqali breast cancer treatment to be the next blockbuster drug within its portfolio, as it looks to shift reliance away from its Entresto heart failure therapy. Sales of Kisqali, which treats metastatic breast cancer, surged 64% globally on a constant currency basis in the three months to June, the company said in its second-quarter sales report. That includes 100% growth in the U.S. It follows a 56% increase in Kisqali sales in the first quarter to March. Speaking on an earnings call, CEO Vas Narasimhan said Kisqali was the drug with the greatest scope for outperformance. Global breast cancer diagnoses and deaths are projected to increase by 2050, according to the World Health Organization's cancer agency, with 1 in 20 women worldwide expected to be diagnosed with breast cancer in their lifetime. That could translate to 3.2 million new cases and 1.1 million deaths a year worldwide by 2050 if current trends continue, the study found — significantly higher than 2022's 2.3 million new cases and 670,000-related deaths. Narasimhan also cited Novartis' "strong pipeline" of other drugs, including its Pluvicto prostate cancer treatment and Scemblix for chronic myeloid leukemia, which he said was also "on track to be a blockbuster." "We continue to drive strong performance on our ongoing launches for Kisqali, Pluvicto, and Scemblix, demonstrating the replacement power in our portfolio," he added in a statement accompanying the results. The comments come as Novartis seeks to shake its reliance on its top-selling Entreso heart failure drug, which faces U.S. patent expiry next year. Entresto brought in $7.8 billion in 2024, accounting for around 15% of the company's overall global sales. It said Thursday that it expects generic drug makers to begin producing copycat versions of the drug by mid-2025, although that timeline is "subject to ongoing IP [intellectual property] and regulatory litigation." On Wednesday, a U.S. federal judge rejected Novartis' request for a preliminary injunction to stop MSN Pharmaceuticals from selling a generic version of the drug before the patent expires. Sales of Entresto rose 22% in the second quarter, in line with the prior three-month period. "Short-term it's an important product for us," outgoing chief financial officer Harry Kirsch said of Entresto Thursday. "We have IP that we're defending. Should we be successful in further defending our appeal, each month we'll have some nice significant upside," he added. Overall, Novartis' second-quarter net sales rose 11% on a constant currency basis to $14.05 billion, just shy of the $14.18 billion estimated by analysts in an LSEG poll. Quarterly adjusted core operating income, meanwhile, rose 21% to $5.93 billion, slightly above the $5.69 billion expected. Novartis said it now expects full-year core operating income to grow by "low teens," up from "low double-digit" previously, while it retained its forecast for sales growth in the high single digits. The company also announced an up to $10 billion share buyback, citing "confidence" in its mid- and long-term growth.
Mint
07-07-2025
- Business
- Mint
For regular income in retirement, you can't beat debt mutual funds
Ojas is not someone who is ever perturbed. His friends regard him as cool and unflappable. There's a certain edge to him, a swagger that makes him stand out. Ojas is in sales and has been a top performer for most of his illustrious career, which is coming to a close. He has some investments but hasn't paid much attention to his personal finances. His elder brother Tejas has been managing his investments. Once he retires, he will need a regular income to meet his expenses. Tejas has told him about several options such as fixed deposits (FDs), bonds, non-convertible debentures (NCDs), the Post Office Monthly Income Scheme, the Senior Citizen Savings Scheme, through which he can earn a regular income in retirement. These all looked like good options to Ojas. While having lunch with his colleague Arpit, Ojas discussed plans for earning a regular income in retirement. Arpit told him withdrawing money regularly from mutual funds was one way of doing so, adding that it was a tax-efficient and flexible option. Ojas learned that this method was called systematic withdrawal. Arpit suggested he learn more about it from his financial advisor Narasimhan. Understanding systematic withdrawals Narasimhan explained the concept to him thus: Withdrawals from mutual fund investments can be set up to be monthly, quarterly, etc. They can be set up any time, stopped when no longer needed, and the amount withdrawn can be increased or decreased as required. This offers a lot of flexibility. While you can make systematic withdrawls from any type of mutual fund, it is best to do from a debt-oriented fund the goal is to set up a regular flow of income. More than anything else, the highlight of this vehicle is its tax-efficiency. A tax-efficient income stream: Mutual Funds are subject to capital gains tax on redemption. This treatment reduces the effective tax to be paid and improves the effective interest earned. FDs and bonds on the other hand are subject to income tax, which is much higher. Understanding capital gains tax: Narasimhan explained this with an example. Say you invest ₹10 lakh each in a debt mutual fund and an FD. For simplicity, and to compare like with like, we assume a uniform return of 8% a year. Let's say withdrawals are made quarterly. In the case of the FD, the 2% interest would be ₹20,000 and the tax (assumed to be 30%; ignoring cess and surcharge for the moment) would be ₹6,000, meaning the retained amount would be ₹14,000. The effective returns would thus be 5.6% a year. Narasimhan explained that this tax would not apply to Ojas if his income was below the taxable threshold. In case of mutual funds, too, the returns earned would be ₹20,000. To calculate the gains on the withdrawn units, let us assume that the mutual fund unit was bought at a net asset value (NAV) of Rs100. The number of units for a ₹10-lakh investment would be 10,000. After a quarter, ₹10 lakhs would become ₹10.2 lakh. The units being constant, the NAV would have gone up to ₹102 to reflect the ₹20,000 of earnings in the quarter. The number of units withdrawn would be 196.08 ( ₹20,000/102). Their original cost was ₹19,608 (196.08 x 100). The capital gain is thus ₹392 ( ₹20,000 – ₹19,608). The tax on this at 30% would be ₹118. the amount retained would be ₹20,000 – ₹118, or ₹19,882. This means the effective return would be 7.95% a year! Narasimhan also told Ojas that the interest on FDs, once set up, couldn't be paused, as with systematic withdrawals from mutual funds. This lack of flexibility could translate to unnecessary tax payouts. Some people set up systematic withdrawals from hybrid or even equity funds. Despite the volatility, this is fine if the withdrawals are small. However, Narasimhan said he usually recommends only debt funds for systematic withdrawals as they as far less volatile than equity funds. Narasimhan's insights left a strong impression on Ojas. He was especially struck by the favourable capital gains tax treatment and how significantly it could improve his returns. The strategy seemed like an effective tool to adopt for retirement planning, and he made a mental note to share this valuable tip with his is a hypothetical case. Suresh Sadagopan is managing director & principal officer at Ladder7 Wealth Planners and author of 'If God Was Your Financial Planner'.
Time of India
07-07-2025
- Business
- Time of India
Crafting iconic brands for the next billion consumers: ETBWS2025
It was the grand opening that set the stage for the rest of the day at the Brand World Summit 2025 . Sanjiv Mehta , executive chairman, L Catterton India invited Sudhanshu Vats , MD, Pidilite Industries to "do a bit of crystal ball gazing" into India's consumption story, particularly with an eye in 2047 – a century after India gained its independence. Vats responded with a projection of India's economic might. "India by 2047 would be anywhere between a USD20 trillion to a USD30 trillion economy," he declared, emphasising the profound impact this growth would have on per capita income and, consequently, consumption. Vats elaborated on the "magic" that unfolds in consumer spending as per capita income rises. He highlighted that if the economy touched USD 20 trillion, the per capita income would be in the range of USD 12000 and if the economy touched USD 30 trillion then the per capita income would be anywhere between USD18000-20000. "The journey from currently about USD3,000 per capita to almost USD12,000 per capita, which we will definitely go to in 2047, is going to be incredible across categories," Vats asserted, his voice brimming with optimism. He concluded this segment with an inspiring message for the audience: "It's a great time to be in India. It's a great time to be a young leader in India, and it's a fantastic time to be a young marketing leader in India." Vats even envisioned a future where "many Indian brands on the Global Map" would be a common sight. The Untapped Potential: Deep Diving into Consumer Needs Mehta then turned to Narasimhan, inviting her to add a "distinct flavor" to Vats' broad economic outlook. Drawing on her extensive experience in the Fast-Moving Consumer Goods ( FMCG ) sector, Narasimhan brought the discussion down to a granular level, using the example of oral care to illustrate India's immense consumption potential. "Even a simple thing like oral care, consumption in India, universal penetration, which is fantastic," Narasimhan began, highlighting that "every home has a toothpaste and a toothbrush." However, she quickly pointed out the significant gap: "our consumption continues to be half that of Indonesia, a third that of even markets like Brazil." This disparity, she noted, suggests the possibility of a "2x market or a 3x market just by catching up with some other countries." Narasimhan further exemplified this with the category of mouthwash, which has a mere "one per cent penetration" in India, indicating "so much headroom to grow." She emphasised that the core of India's consumption story lies in effectively segmenting the nation's 1.4 billion people. "Perhaps the way to win in India is to take this 1.4 billion, break it up, saying these are manageable sections. They have a need, and we can service that need," she explained, referencing Unilever's "winning in many Indias" strategy. She shared a recent success story from her own experience: "We've launched a purple toothpaste which we thought would appeal to a small set of people, actually much wider than we thought." This anecdote underscored her belief that "there's so much going on in India, if we spend the time to understand the consumers and make sure that we're creating for that need, this vision that you know so many people have for India, 2047 is certainly within our grasp." The Enduring Principles of Marketing in a Digital Age Mehta steered the conversation from macroeconomics to the evolving world of marketing. "I don't think there is any country in the world which is going to drive consumption as India is going to do in the next two decades," he stated emphatically. He then posed a crucial question to Narasimhan, acknowledging her journey through different eras of marketing, from pre-digital to the age of AI. "What has changed and what has not changed in the world of marketing?", he asked. Narasimhan's response was a thoughtful delineation of the immutable principles versus the evolving methods. "I'll start with what has not changed, because I think it's really important," she began. The first fundamental, she stressed, is that "brands that win serve a real need of consumers. They do it in a fashion that is authentic and delivers value, and that's not going to change." She highlighted timeless human motivations, such as a parent's desire for their child's well-being, as examples of needs that remain constant despite technological advancements. The second unwavering principle, according to Narasimhan, is the inherent intelligence of consumers. "Consumers are exceptionally smart. They know value when they see it. If you don't deliver value, you will not survive." However, she acknowledged the seismic shifts in "the how." "If in the past, you could do this absolutely one-way monologue, where you create one piece of advertising, you push that piece of advertising out to millions and millions, and you repeat. And that was the way to build brands," she explained. "Now you have the opportunity to segment, to cohort, to make small sizes, to reach individually and importantly, you have the opportunity for dialogue." She attributed this transformation directly to technology, stating, "Without tech, we would not be able to do these small cohorts... many things, create the dialogue, have the conversation, while yet staying rooted to authenticity and values." Storytelling: The Heartbeat of Brand Building Mehta picked up on Narasimhan's point about the changing methods, specifically asking Vats about the critical role of storytelling in marketing in the current tech-driven landscape. Vats emphatically declared, "Storytelling in marketing and brand building has been very, very essential. Brands were always told through stories or built through stories." While the methods of storytelling have evolved, the essence remains. He introduced his "5 Ps" framework for marketers, with "proposition or its position" being the most critical, largely conveyed through stories. The fifth P, he added, which has become increasingly vital, is "purpose," which again, can be powerfully established through stories. Vats offered a compelling anecdote about Fevicol. Vats recounted, demonstrating how the brand has come to symbolise an "ultimate bond," both in its physical strength and its association with relationships. He further reflected on his experience with other iconic brands like Hamam, Castrol, and Colors, all of which leveraged powerful storytelling. "I thought the brands the past achieved were built by people telling stories almost one on one," Vats mused. In today's tech world, he noted, "all you are doing is, once again through content, building communities, connections, and then building commerce." Narasimhan chimed in, reinforcing Vats' point, observing that many successful founders today begin with a "very personal story." These authentic narratives, she noted, "grip you saying, okay, this makes sense to me, and this is a reason for me to buy into the brand". Timeless Brands: Trust, Consistency, and Relevance Mehta then shifted gears, addressing a common perception that the "era of brand is over." He challenged this notion, citing brands that have "survived the Black Friday" and remain "timeless." He specifically pointed to Colgate as an example, a brand relevant across generations. "What makes a brand timeless?" he asked Narasimhan. Narasimhan identified three core elements. The first is an "unshaking commitment to delivering quality." She emphasised that "timelessness is a trust. It's a relationship that's built over years, and the key foundation of any relationship... is trust." For an FMCG brand, this translates directly to product quality – if Colgate promises to prevent cavities, it must deliver. The second crucial factor is consistency. "You don't want them to be A one day, B another day, C a third day. Then you're confused," she explained, drawing a parallel to human relationships. Narasimhan questioned whether the constant pursuit of novelty in modern marketing might sometimes sacrifice this vital consistency. "You can tell the same story consistently. You can do it in a refreshed manner and stay consistent. You don't have to change yourself entirely." Finally, the third element is the ability to keep pace with change. "Meats change, food habits have evolved. Therefore what you require from your toothpaste has evolved. Socialising has evolved. Therefore what you require from your toothpaste and oral care regimen has evolved. You need to keep pace with change," Narasimhan concluded. She underscored that these three principles are "all underpinned by this authenticity or purpose" that brands must embody. Mehta summarised Narasimhan's perspective: "the brand is a promise, and the timeless brand is a promise delivered consistently." Marketers as Architects of Innovation Turning to Vats, Mehta brought up Pidilite's reputation for innovative products and asked about the marketer's role in innovation. Vats emphasised the critical importance of staying "connected with your consumer or customer." He explained that "innovation happens by understanding today's needs, or unmet needs." He detailed Pidilite's extensive engagement with its three million users, including carpenters, plumbers, electricians, contractors, and now architects and interior designers. This constant dialogue, he noted, helps them understand what works and what doesn't. This deep consumer understanding fuels Pidilite's innovation engine. "A third of our portfolio is Fevicol today," Vats shared, "A fourth of our portfolio is a portfolio that did not exist, definitely seven years back, maybe even five years back." This continuous evolution, he asserted, is a direct result of "continuously listening to what your customers are saying, what your consumers are saying, and bringing the next product which is needed." He defined Pidilite's "pioneering" spirit as "nothing but listening to your customers and consumers seeing what are the unmet or underserved needs... and how are you plugging that with a brand." Global Ambitions: Indian Brands on the World Stage Mehta then posed a challenging question to Vats, reflecting on Narasimhan's experience of bringing a global brand to India. "What would it take for an Indian brand to become as big as Apple?" Vats identified two key drivers. First, the sheer growth and heft of the Indian economy. He explained that as India's economy expands, so will its exports, often including its brands. He cited Fevicol's presence in 100 countries as an example, noting its recognition in parts of Africa. Second, is the ability to build brands that stay consistent and "start with a human need". Vats highlighted universal human needs like "respect, belonging, love, leadership" as foundations upon which brands can travel globally. "Bring a point of view of yourself as a brand, bring a bit of a and understand the cultural context, first and foremost, of India. But if it is a universal human being, the brand will travel." He stressed the importance of not compromising on quality, aiming to make products that are "best in the world". Embracing AI: The Future of Marketing The discussion concluded with an inevitable topic: Artificial Intelligence (AI). Mehta acknowledged the prevailing fear that AI might displace jobs and asked Narasimhan what marketers need to do to prepare for an AI-pervasive world. Narasimhan asserted, "I don't think that we should see AI as a threat to marketeers, but more as an aid to marketers used properly." She believes AI will enable marketers to achieve the "fundamental thing that we've been talking about, which is, how can I have a one-to-one conversation with somebody?" AI, she added, allows marketers to do this "in a more seamless, faster, more efficient manner". However, she maintained that "the idea of who I am as a brand, what do I bring to you, and what need do I serve? I think it will still need to be served by humans, panel moderators or panel respondents." Mehta concluded the session by summarising the key takeaways. India's unique position on the "cusp of greatness," is driven by a newfound "self belief and confidence". Second, he reiterated that while the means and methods of marketing have dramatically changed with technology, the core principles of marketing remain timeless: "insights, creating products which meet the unmet needs, product superiority, storytelling, occupying the emotional space, building relationship with the consumers". Finally, addressing the AI revolution, he urged marketers to embrace AI, learn prompt engineering, and understand how to use tools like ChatGPT. "We don't expect marketers to learn how to build LLMs, but we certainly expect marketers to use AI, because that would make you a better marketer".
Time of India
24-06-2025
- Business
- Time of India
Colgate Palmolive to introduce more brands in India from its global portfolio
FMCG major Colgate-Palmolive (India) plans to introduce more brands here from the company's global portfolio to upscale its play in India -- one of the drivers for its growth, MD & CEO Prabha Narasimhan said on Monday. The company, having presence in the country with two brands - Colgate and Palmolive - currently operates in the oral care and personal care, and is in "active ongoing conversation" with the parent firm for expanding the portfolio. "We are very excited about what all we can do in India, both with our existing brands and portfolio, and with what we can do with the things that we can bring in from the globe. We have tremendous support from our global counterparts in terms of their excitement about what we can achieve in India," Narasimhan told PTI. About the Palmolive brand, which is currently operating in the personal care space with a premium body wash and hand wash range, Narasimhan said, they have tremendous potential and grow at 20 to 30 per cent CAGR. When asked as whether Colgate-Palmolive India Ltd (CPIL) will extend the brand Palmolive in new segments, she added she would rather focus on introducing more brands. "Actually, more than extending the brand Palmolive, we have a lot of products portfolio that is available globally. We are looking to see what of that product portfolio can legitimately be brought into India and make sense for the Indian consumer, and leverage the strengths that Colgate Palmolive India has. So that's a very active ongoing conversation," she added. CPIL, which has been operating in India for the last 88 years, currently contributes around 4 to 5 per cent of the global revenue of the Midtown Manhattan, New York City-based multinational consumer products major Colgate-Palmolive Company. According to Narasimhan, "in the coming years, the contribution of India will certainly increase." India, with its over 1.4 billion population, is always a "central part" of Colgate's global strategy and is now among five markets, which are called out as being the drivers of growth. "If you listen to our global CEO... who was speaking even recently at a conference where he talked about the fact that India will add more middle-class people in the next few years than any other country in the world, and therefore represents a tremendous opportunity for us," she said. Besides, on the channel side, CPIL, as per its strategy, is also extending its play into the fast-growing e-commerce channels , by adding more digital-first brands, exclusive to online sales channels. It has launched Colgate Purple and Max Fresh Sensories range, mouthwash sticks, which is for a small audience in the market. "We have quite a few, and we have a pipeline of many more," she added. However, she also added that traditional trade, which is neighbourhood kirana stores, is actually the bulk of CPIL's business and critical for the company. It has a "tremendous relationship" with its distributors, many of whom have been with it for decades. Earlier in May, All India Consumer Products Distributors Federation (AICPDF), an umbrella body of FMCG distributors pan-India, had called for the suspension of the purchase of all products of CPIL in Maharashtra, alleging deep discounting by it in favour of quick commerce channels. However, Narasimhan said there is "enough room" for all the channels in the market. Talking about the trend of consumers becoming more health-conscious, seeking better products and organic options, Narasimhan said consumers buy benefits and CPIL has the right science to deliver all of these benefits. Recently, the oral care segment has witnessed heightened competition, where several brands have launched their toothpaste based on ingredients derived from traditional ayurveda and organic options. "Indian consumers are sensible enough to know that they look for a benefit, they find products that deliver to that benefit, and that's our primary job," she said.
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Business Standard
23-06-2025
- Business
- Business Standard
Colgate-Palmolive to bring new global brands beyond oral care to India
Consumer goods manufacturer and oral care giant Colgate-Palmolive is looking to introduce more global brands in India in categories beyond oral care, a top executive told Business Standard on Monday. 'There are lots of brands globally that could be a good fit for India. We are in conversation to bring some of them to India. The portfolio has a lot of home care and personal care products that we think have potential in India,' Prabha Narasimhan, managing director and chief executive officer at Colgate-Palmolive, told Business Standard. The company's personal care business in the country has outpaced the category's growth rate of 20 per cent, she further said. Narasimhan was speaking to the media on the sidelines of the Oral Health Movement Summit in Delhi, an initiative launched by the company to help 4.5 million people screen their dental health and avail check-ups. Results from the screening show that almost 90 per cent of Indians face dental problems, with 41 per cent at risk of cavities, 44 per cent prone to gum issues, and 14 per cent prone to stains. According to Narasimhan, the consumption slowdown has impacted oral care categories too, along with other categories. 'The way we see the impact of the slowdown on a consumer changing their habits is not by stopping buying toothpaste or downtrading to lesser value products, but by titrating the amount of toothpaste they use per brush,' she said, adding that overall penetration of the category is not impacted. While the company's presence is skewed more towards the urban population, Narasimhan said that rural markets have been a bright spot — extremely buoyant in the last few quarters while outpacing urban. To drive urban growth, the company is betting big on premiumisation across categories. 'Another way is to make our core brands stronger to ensure that we are moving them forward in terms of the technology they offer and the benefits they deliver,' Narasimhan added. Meanwhile, the company witnessed its best year in the toothbrush category, 'driven by the availability of our Rs 20 and Rs 30 packs and selling more premium brushes in the modern trade channel. There continues to be definite headroom on both replacement and uptrading in the category,' she said. Colgate-Palmolive reported a 2 per cent year-on-year fall in revenue for the quarter ended March to Rs 1,452 crore, while its net profit declined 6.5 per cent for the same period to Rs 355 crore.
