Laurus Labs Q3 Results: Net profit rises 32% to Rs 203 crore
ANI
Synopsis
Dr. Satyanarayana Chava, founder and chief executive officer of Laurus Labs said the company is on path of diversification and strengthening non-ARV portfolio and building niche capabilities in specialty chemicals, animal health, agri-chemicals and biotech.
Drugmaker Laurus Labs on Monday posted a net profit of Rs 203 crore, a 32% year-on-year (YoY) jump for the third quarter ended December (Q3FY23), led by higher sales of contract development and manufacturing services and non-antiretroviral APIs.
Revenues rose 50% YoY to Rs 1545 crore in Q3FY23, compared to Rs 1029 crore in Q3FY22. On a QoQ basis revenues were down 2%.
The earnings before interest, tax, depreciation and ammortisation (EBITDA) rose 39% YoY to Rs 404 crores. The EBITDA margins dropped 210 basis points YoY to 26.1%.
Custom synthesis or CDMO business that constitutes about 42% of total revenues rose by three times to Rs 642 crore, while the active pharmaceutical ingredient (API) business that constitutes 41%, rose 49% YoY to ₹ 632 crore during Q3FY23.
The company said the CDMO pipeline looks encouraging and expansion in CDMO capabilities is on track to capture new business opportunities.
The formulation business contracted 33% YoY to Rs 249 crore during Q3FY23, due to soft antiretroviral (ARV) demand and pricing pressure.
"We continue to execute on our strategy, prioritize investment into durable growth pillars, scaling up capacities and deliver profitable growth in the long run," Chava said.
"Our ROCE (return on captal employed) on an annualised basis stood healthy - 26% with a comfortable balance sheet position," said V V Ravi Kumar, executive director & CFO.
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The company had reported a net profit of Rs 154 crore during the same period of the previous year. On a quarter-on-quarter (QoQ) basis , the net profit was down 13%.Revenues rose 50% YoY to Rs 1545 crore in Q3FY23, compared to Rs 1029 crore in Q3FY22. On a QoQ basis revenues were down 2%.
The earnings before interest, tax, depreciation and ammortisation (EBITDA) rose 39% YoY to Rs 404 crores. The EBITDA margins dropped 210 basis points YoY to 26.1%.
Custom synthesis or CDMO business that constitutes about 42% of total revenues rose by three times to Rs 642 crore, while the active pharmaceutical ingredient (API) business that constitutes 41%, rose 49% YoY to ₹ 632 crore during Q3FY23.
The company said the CDMO pipeline looks encouraging and expansion in CDMO capabilities is on track to capture new business opportunities.
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The formulation business contracted 33% YoY to Rs 249 crore during Q3FY23, due to soft antiretroviral (ARV) demand and pricing pressure.
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Dr. Satyanarayana Chava, founder and chief executive officer of Laurus Labs said the company is on path of diversification and strengthening non-ARV portfolio and building niche capabilities in specialty chemicals, animal health, agri-chemicals and biotech."We continue to execute on our strategy, prioritize investment into durable growth pillars, scaling up capacities and deliver profitable growth in the long run," Chava said.
"Our ROCE (return on captal employed) on an annualised basis stood healthy - 26% with a comfortable balance sheet position," said V V Ravi Kumar, executive director & CFO.
