Led by improved performance across all business verticals, margin expanded by 310 basis points, says Manali Bhatia of Rudra Shares & Stock Brokers.
Sequent Scientific reported robust 27 percent growth in revenue. API business grew 40.4 percent whereas formulations business grew 22.7 percent in Q2FY19. Led by improved performance across all business verticals, margin expanded by 310 basis points. This has resulted in a four-fold increase in profitability for the quarter.
Also, it has acquired EU-GMP API facility at Mahad for Albendazole and Ricobendazole products, which will accelerate the API business ahead. Four new products will be validated in both the US and EU. Moreover, in the formulations business, five new product validations are planned (including two injectables) by Sequent.
Given guidance of high revenue growth and 200 bps margin expansion in FY19, Sequent is on track to achieve the same.
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