Torrent Pharma on July 27 reported a 2.8 percent year-on-year (YoY) rise in Q1FY22 net profit at Rs 330 crore, helped by India formulation, despite steep fall in US revenues.
The Ahmedabad-based drug maker reported Rs 321 crore net profit in the corresponding period of previous year. Total revenues rose 4 percent YoY to Rs 2,134 crore in Q1FY19, compared to previous year's Rs 2,056 crore.
The earnings before interest, tax, depreciation and ammortisation (EBITDA) margins rose 200 basis points YoY to 34 percent in Q1FY22.
India revenues that constitutes more than half of Torrent Pharma revenues grew at 18 percent YoY to Rs 1,093 crore in Q1FY22, while US revenues dropped 29 percent to Rs 266 crore.
The company attributed US sales drop to price erosion of its base business and lack of new approvals due to pending inspection of facilities. As on June 30, 2021, 54 abbreviated new drug applications (ANDAs) were pending for approval with USFDA and seven tentative approvals were received, including one tentative approval received during the quarter.
The India sales rose due to high contribution from COVID treatments and a low base last year.
As per market research firm AIOCD, Torrent’s Q1 FY22 growth was 24 percent versus the domestic formulation market growth of 37 percent.
Torrent has launched baricitinib used for COVID treatment during the quarter and is currently conducting clinical trials for molnupiravir; more partnerships under evaluation to widen COVID portfolio.
Torrent's Per Capita Per Month (PCPM) sale for the quarter was Rs 10 lakhs with a marketing field force of of 3,600. It has launched its Trade Generics division during the quarter.
German business grew 5 percent to Rs 260 crore for Q1FY22. Sales from Brazil rose 9 percent to Rs 153 crore on a YoY basis driven by both the branded and generic segments.
The research and development spending during the Q1FY22 rose 16 percent to Rs 125 crore on YoY basis.
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