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A Tale of Two Leaders – Sequent Scientific vs Hester Biosciences

India’s animal health industry is rapidly evolving, becoming increasingly sophisticated and globally influential. Amid this dynamic landscape, two listed players are shaping the market with distinct growth paths and unique strengths.

On one hand, Sequent Scientific Ltd has established itself as a global powerhouse specialising in veterinary formulations and active pharmaceutical ingredients (APIs), serving diverse international markets.

On the other hand, Hester Biosciences Ltd is revolutionising the sector with groundbreaking advancements in animal vaccines, particularly targeting poultry, cattle, and pets.

Together, these two industry leaders showcase India’s remarkable capabilities in animal healthcare innovation and manufacturing excellence, positioning the country as a critical hub in the global veterinary landscape.

Strategic Positioning

Sequent Scientific Ltd

  • India’s largest animal health company with presence across Europe, Turkey, and Latin America
  • Strong focus on veterinary formulations, APIs, and CDMO services
  • Companion animal segment contributing 5–8% of revenue, mostly in Europe
  • Recently merged with Viyash Life Sciences to deepen R&D and API reach

Hester Biosciences Ltd

  • India’s only fully integrated animal vaccine company
  • Present in India, Nepal, and Africa with R&D-led manufacturing
  • Fast-growing Petcare Division (+105% YoY in Q3FY25)
  • Active supplier under the National Animal Disease Control Program (NADCP)

Let’s dive deeper.

Sequent Scientific Ltd (NSE: SEQUENT | BSE: 512529)

Overview & Global Reach

  • Sequent is India’s largest animal health company with a strong global footprint spanning Turkey, Europe, Latin America, and emerging markets.
  • The company manufactures veterinary formulations and active pharmaceutical ingredients (APIs), targeting both production and companion animals.
  • Through its wholly owned subsidiary, Viyash Life Sciences, Sequent has strengthened its API and CDMO (Contract Development and Manufacturing Organisation) capabilities.

Q3 FY25 Financial Performance

  • Revenue Q3FY25: ₹3,908 crore (+18.7% YoY) – highest in 3 years.
  • EBITDA pre-ESOP Q3FY25: ₹494 crore (+64% YoY), with margins improving to 12.6%.
  • 9M FY25 Revenue: ₹11,497 crore (+14% YoY).
  • 9M EBITDA pre-ESOP: ₹1,424 crore (+116% YoY).
  • The API business also grew 16.1% YoY in Q3; a significant improvement was seen in the deworming product category.

Key Strategic Developments

  • Merger with Viyash Life Sciences: Brings synergies in R&D, manufacturing, and margin expansion.
  • Expansion into Mexico and Peru adds new growth avenues in Latin America.
  • Product Innovation: 2–3% of quarterly revenue now driven by new product launches.
  • Companion Animal Products: Contributing 5–8% of revenues (especially strong in Europe).

Technological & Market Edge

  • Received EU certifications for the Turkey plant, opening export routes to Europe and the Middle East.
  • The API factory in Mahad gained additional WHO prequalification, strengthening its global supply capabilities.
  • Operating at increasing capacity utilisation, with gross margins rising by 300 basis points YoY.

Hester Biosciences Ltd (NSE: HESTERBIO | BSE: 524669)

Overview & Specialization

  • Hester is India’s only integrated animal vaccine company serving poultry, livestock, and companion animals.
  • It has a strong presence in India, Nepal, and Africa, with production facilities and vaccine research and development centres.
  • Specialises in vaccines for diseases like Newcastle, Marek’s, Goat Pox, and PPR (Peste des Petits Ruminants).

Q3 FY25 Financial Performance

  • Poultry vaccine sales Q3FY25: +12% YoY; 9M: +20% YoY.
  • Animal healthcare division Q3FY25: –24% YoY due to market volatility.
  • Petcare division Q3FY25: +105% YoY; promising early-stage growth.
  • Nepal operations: Profitable and debt-free.
  • Africa operations (Tanzania): Loss narrowed to ₹0.57 crore from ₹13.5 crore YoY.

Product Portfolio & Expansion

  • Avian Influenza Vaccine to be launched in FY26, targeting India’s ₹100 crore market.
  • Focus on pet care, non-vaccine animal health products, and expanding cattle portfolio.
  • Participation in the National Animal Disease Control Program (NADCP) for government vaccine procurement.

Strategic Edge

  • Operates at ~70% capacity in India and ~20% in Nepal, with scope for rapid scaling.
  • Differentiates through vaccine IP, low-cost manufacturing, and regulatory expertise.

Other notable players include-

  • Venky’s India Ltd -Renowned primarily for its poultry products, Venky’s provides comprehensive solutions including poultry vaccines, animal nutrition supplements, and healthcare products, ensuring overall animal wellness and productivity.
  • Godrej Agrovet Ltd -A diversified agribusiness major, Godrej Agrovet excels in animal feed, dairy, poultry, and agri-inputs, significantly contributing to improving animal nutrition and health through innovative feed solutions and veterinary products.
  • Lasa Supergenerics Ltd -Lasa specialises in manufacturing veterinary active pharmaceutical ingredients (APIs) with a focus on anthelmintics and therapeutic products, catering primarily to livestock and poultry health segments globally.
  • Avanti Feeds Ltd -A prominent player in aquaculture, Avanti Feeds offers specialized feed and healthcare products for shrimp and fish, enhancing productivity and disease management within the aquaculture sector.
  • Zydus Lifesciences Ltd (formerly Cadila Healthcare) -Besides human pharmaceuticals, Zydus Lifesciences has a notable veterinary division offering a range of animal health products, including therapeutics and vaccines, supporting livestock and companion animal health.
  • Cipla Ltd -Known primarily for human medications, Cipla also serves the animal healthcare market through veterinary medicines addressing infections, inflammation, and parasitic conditions, providing quality therapeutic solutions for animals.
  • Sun Pharmaceutical Industries Ltd -India’s largest pharma player, Sun Pharma operates an animal health segment, delivering veterinary therapeutic products aimed at livestock and pets, emphasising quality and effectiveness.