Medipharm Labs Corp T.LABS

Evolving business

[prone]

MediPharm Labs Enters Landmark Commercial Agreement with Laboratrio Teuto in Brazil

 

Canada NewsWire

[subaru1]

Let's wait and see how much this commercial agreement will add to the top line revenue which may come only at the end of the 3qrt 2025. GLTA

[CADInvestor12]

What makes you think that we won't see revenue until the end of Q3?

[subaru1]

It always takes time to get things rolling, the agreement is signed, there were nothing about any orders being already ship to Teuto and before that the product is being known by the the clients it also takes time so after at least 2 or 3 qrt we will know if this market is really good for Labs. Plus what is the real market for MPL product in Brazil for the coming years is it 1 million less or more

[alleyesonme]

Initial Shipments are expected to begin in the new year after applicable import and export permits from ANVISA and Health Canada are received.

[CADInvestor12]

Fair enough, you're not wrong about how the revenue ramp up will take time. I thought you were referring to initial shipments/ pipeline fill. I have a hunch that Q1 revenue in Brazil will be around $2M, obviously depending on when the import/ export permits are received .. MPL & Teuto should be ready to hit the ground running since this launch is at least 2 quarters behind schedule due to

[alleyesonme]

CANNABIS MediPharm Labs scoops major Brazilian medical cannabis supply deal Laboratrio Teuto is one of Brazil’s top pharma companies, producing more than 700 medications  By Rowan Dunne Published 20 hours ago

[QContinuum10]

Given the total market size is $200M and given, I assume, that addressable market of Medipharm is much less, $2M in one quarter represents far too large of a market share grab.  Granted they might ramp up in that first quarter, but subsequent ones I wouldn't expect to be anywhere near the size of the first one.  Since we don't know what market segment Medipharm will participate

[subaru1]

Totally agree with you Qcont.

[Clongobongo]

The adressable market for medipharm is close or near that 200M as Brazilian pharmacy market is mostly composed of tinctures. There is limited flower from information I gathered. Also, the way medipharms revenue will evolve in that market is 100% dependent on Teutos strategy (look towards STADA for previous experience with pharma). Given Teuto is a low cost/ affordable drug provider, I would

[subaru1]

Doing my own DD i notice this fact too. Given Teuto is a low cost/ affordable drug provider Not sure that MPL will be able to get high margin profit with Teuto.

[Clongobongo]

Low cost in a pharmacy and highly regulated market isn't the same as in cad rec market. Simply check out product prices in reais on pharmacy websites and you'll quickly figure out LABS will easily get 30-50% margins.

[QContinuum10]

I take your word for the market composition although even if it is the majority tincture, that still doesn't help Medipharm given, you have to expect, that the other 40-odd other approved products then address the same market.  If Medipharm is in a regulated yet commodity-ish market segment, having Teuto obviously helps, but $200M isn't a lot of market to share with a bunch of others.

[Clongobongo]

Here's the thing though, medipharm has 4 of the 36 approvals, and 9 of those approvals are verdemed/ eurofarma. BUT, Verdemed states their products are manufactured in Canada and, it looks like they have not managed to import their products yet into the brazilian market, at least not on a significant scale. If you try to find Verdemed most recent approved products other than 50mg/ml or 25mg

[QContinuum10]

A bunch of assumptions in there I think but the general sentiment remains, let's hope Teuto can drive some business. Researching what Teuto has in the review pipeline is a legitimate bear.

[Clongobongo]

It's not that hard, if you look at the Teuto approval, you can see some documents titled with 20 Mg/ml and 50 mg/ml.

[QContinuum10]

Indeed, however confusingly, in that approval, there are no similar documents for the approved 100/250 concentrations that make up, at least to these eyes, the actual submission. If Teuto ganged the products under one submission, it isn't clear where in the process those other two products are since, if you click on the project code and history, the final status is 'approved' with no