Drugmaker Cipla Ltd is expected to report a consolidated net profit of Rs 723.4 crore in March quarter of FY23, a twofold jump from Rs 362.07 crore in the year-ago period, when it will share its numbers on May 12.
Brokerages polled by Moneycontrol pegged the company’s revenue at Rs 5,744.425 crore. The topline in the corresponding quarter of the previous year was at Rs 5,260 crore.
Strong traction in the domestic market, coupled with gTrokendi/gRevlimid ramp up, would be the primary contributors to the company's growth.
According to global research and broking firm Jefferies, Cipla could also be the biggest beneficiary of a strong flu season in India, which may result in a 12 percent year-on-year growth, with a room for positive surprise.
Philip Capital also sees room for a positive surprise from Cipla, given the strong operating performance, low base and contribution from gRevlimid, a blood cancer drug.
The same reason was attributed by several brokerages as the key factor for the expected stellar growth in the domestic market.
The EBIDTA margin is also likely to expand 506 basis points on year to 19.3 percent for January-March, mainly driven by a better product mix. EBITDA is short for earnings before interest, taxes, depreciation and amortisation. One basis point is one-hundredth of a percentage point.
The Street will also be watching out for the management's commentary on the Indore facility and Advair launch.
On May 11, the stock closed 0.15 percent down at Rs 943 on the National Stock Exchange.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
