Moneycontrol PRO
Upcoming Webinar:Watch Kushal Bhagi of Tortuga Wealth Managers decode how you can maximise your MF investments on Sept 21 @11am. Register Now

Gland Pharma Q1FY22 profit rises 12% on new launches, COVID drugs Remdesivir and Enoxaparin

Revenue from operations rose 31 percent YoY to Rs 1,153.9 crore in Q1FY22 versus Rs 884.2 crore in Q1FY21.

July 21, 2021 / 06:36 PM IST
Gland Pharma | Representative image

Gland Pharma | Representative image

  • bselive
  • nselive
Todays L/H

Drug maker Gland Pharma on July 21 reported a 12 percent year-on-year increase in net profit to Rs 350.7 crore in the quarter ended June 30. The growth in net profit was led by a mix of new products and volume growth in existing products, the company said.

Gland Pharma, owned by China's Fosun Pharma, in the corresponding period of previous the year posted a net profit of Rs 313.6 crore. Revenue from operations rose 31 percent YoY to Rs 1,153.9 crore in Q1FY22 versus Rs 884.2 crore in Q1FY21.

On a quarter-on-quarter (QoQ) basis, the net profit rose 35 percent and revenues by 30 percent.

The earnings before interest, tax, depreciation and ammortisation (EBITDA) margin stood at 41 percent in Q1FY22.

Gland's key markets --the US, Canada, Europe and Australia

-- registered a growth of 16 percent and accounted for 61 percent of total revenue during Q1FY22.


COVID-19 Vaccine

Frequently Asked Questions

View more
How does a vaccine work?

A vaccine works by mimicking a natural infection. A vaccine not only induces immune response to protect people from any future COVID-19 infection, but also helps quickly build herd immunity to put an end to the pandemic. Herd immunity occurs when a sufficient percentage of a population becomes immune to a disease, making the spread of disease from person to person unlikely. The good news is that SARS-CoV-2 virus has been fairly stable, which increases the viability of a vaccine.

How many types of vaccines are there?

There are broadly four types of vaccine — one, a vaccine based on the whole virus (this could be either inactivated, or an attenuated [weakened] virus vaccine); two, a non-replicating viral vector vaccine that uses a benign virus as vector that carries the antigen of SARS-CoV; three, nucleic-acid vaccines that have genetic material like DNA and RNA of antigens like spike protein given to a person, helping human cells decode genetic material and produce the vaccine; and four, protein subunit vaccine wherein the recombinant proteins of SARS-COV-2 along with an adjuvant (booster) is given as a vaccine.

What does it take to develop a vaccine of this kind?

Vaccine development is a long, complex process. Unlike drugs that are given to people with a diseased, vaccines are given to healthy people and also vulnerable sections such as children, pregnant women and the elderly. So rigorous tests are compulsory. History says that the fastest time it took to develop a vaccine is five years, but it usually takes double or sometimes triple that time.

View more

"This performance is driven by growth of key products like Micafungin, Enoxaparin, Heparin, Dexmedetomidine and new product launches," the company said.

India accounted for 20 percent or Rs 227 crore of Q1FY22 revenue, which witnessed a 77 percent Y-o-Y growth for the quarter.

"To support the domestic market requirement during the second wave of COVID-19, the company ramped up supply of essential drugs like Remdesivir and Enoxaparin," Gland said.

The rest of the world markets have seen a robust growth of 51 percent in line with the company's increased focus on geographic expansion.

"This is driven by increased penetration by forming new partnerships in various countries," Gland said.

The total capex incurred during the quarter ended June 30, 2021, was Rs 1,857 million.

"Our execution capability, be it uninterrupted commercial supplies, project commissioning or new product launches, is what underpins our strong performance in this quarter," said Srinivas Sadu, MD & CEO of Gland Pharma.

"It was an important milestone for the company to launch our first set of Penem products for the US market during the quarter," Sadu added.

Gland said a dedicated suite for vaccine drug product fill-finish is now ready for commercial production, while the tech transfer for the drug substance manufacturing is ongoing.
Viswanath Pilla is a business journalist with 14 years of reporting experience. Based in Mumbai, Pilla covers pharma, healthcare and infrastructure sectors for Moneycontrol.
first published: Jul 21, 2021 06:36 pm

stay updated

Get Daily News on your Browser
ISO 27001 - BSI Assurance Mark