Morepen Laboratories, makers of glucometers and blood pressure monitoring machines, is looking at a 20 per cent-odd CAGR (compounded annual growth rate) over the next “few years” as it eyes a ₹5,000-crore revenue by 2030.

The New Delhi-based company is banking on new products across verticals such as medical devices, over-the-counter (OTC) medicines and wellness offerings (nutraceuticals) to drive growth in the coming quarters.

The company has already taken a conscious decision wherein there is shift in strategy to go for more consumer-facing businesses and high-value items, whether it is in terms of exports, or catering to domestic market or in the branded business segment.

According to Varun Suri, CEO, Dr Morepen Ltd, a 20 per cent CAGR is “achievable” as the company looks to expand the OTC business in India – from ₹200 crore currently to ₹1,500 core by 2030 – and ramping up of medical devices segment – including tapping into new export markets such as the US. Focus will be on high-margin segments.

Dr Morepen Ltd, owners of India’s heritage brand Burnol, is a fully-owned subsidiary of Morepen Laboratories.

“Morepen Lab is aiming for at least 20 per cent EBITDA growth in the next few years. And right now at Dr Morepen, we will tap and expand the OTC segment,” he told businessline, post the launch of its wellness product, ‘LightLife’, aimed at weight management.

“We are identifying new areas, specially consumer-facing ones to tap into, for example, gut health segment and so on. We have got some interest from overseas markets like the UK for export of wellness offerings, but the current R&D is focussed on catering to needs of the Indian market, suiting dietary and health conditions here,” Suri added.

The company management, during a post results call, had said that it expected the medical devices segment to continue to grow at a 25-26 per cent and other businesses at 15-20 per cent, to achieve a 20 per cent CAGR.

In Q2FY25, Morepen Laboratories reported a topline of ₹443 crore, and a PAT of ₹35 crore.

QIP proceeds

Morepen Laboratories had earlier this year raised ₹200 crore through qualified institutional placement (QIP); and nearly 60 per cent of the funds raised will be towards for capex purposes targeting expansion of the medical devices portfolio.

The management, during a recent analyst call, said within the ₹200 crore, the major expansion plan was for capex – around ₹123 crore, then working capital and some other issue-related expenses.

“The whole project will be completed in 18-24 months. Of course, we are targeting it that by FY26-end, by next financial year, we should be able to consummate all the money and start all the capacities,” the management had previously said.

Medical devices account for close to 30 per cent of the topline, and the remaining 70 per cent from pharma. Going forward, the medical devices segment is expected to witness “faster growth”.