Pharma major Cipla posted a 45.1 percent growth in consolidated net profit to Rs 995.7 crore for the April-June quarter, as against Rs 686.38 crore clocked in the same period a year ago.
Notably, the drugmaker's bottomline also topped the Street's estimate of Rs 813.4 crore.
The Mumbai-based drugmaker also reported a 17.7 percent increase in consolidated revenue to Rs 6,328.9 crore in comparison to Rs 5,375.20 crore recorded in the base quarter. The Street had pegged revenue for the company at Rs 6,140.5 crore for the quarter under review.
The strong topline was aided by double-digit growth in the Indian market, coupled with the highest-ever revenue recorded in the US market. The drugmaker's US sales grew 43 percent on year in Q1, driven by robust momentum in differentiated portfolio and against expectations of a revenue moderation.
The company reported EBITDA of Rs 1,493.9 crore for the quarter, up from Rs 1,143.40 crore in the corresponding period of the last fiscal. EBITDA margin expanded to 23.6 percent, while it was 21.3 percent in the base quarter.
Following the better-than-expected results, shares of Cipla also recouped their early losses and rose to the day's high of Rs 1,076.80. Shares of the company closed at Rs 1,079, up 2.3 percent, on NSE.
Other highlights
Indian markets continued to be the major source of revenue with 44 percent contribution. Robust growth across branded prescription, trade generics and consumer health led to 12 percent growth in sales for the market in Q1.
North America sales were up 43 percent, compared with the same period a year ago. The traction in the North American base business came from good traction in base business resulting from strong demand signals and tapering of price erosion, the company said in an investor presentation.
South African private market grew 13 percent with nine launches in the reported quarter. The segment contributed 12 percent to the total revenues in the quarter.
Research and development (R&D) expenses stood at Rs 349 crore, amounting to 5.5 percent of total sales and up 27 percent on year. The rise in R&D investments were driven by continued progress of clinical trials on key pipeline assets and other developmental efforts.
Product Pipeline
Cipla has three differentiated products undergoing clinical trails in the US market, with filings for the drugs targeted in FY24 and FY25. Aside from that, the company also expects to launch 4-5 peptides along with filing a a couple of products that are aimed to be filed in the next 18 months.
As of June 30, the company had 161 approved ANDAs (Abbreviated New Drug Application Approvals) and NDAs (New Drug Application), while 31 are tentative and 77 are under approval.
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