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Biocon net profit up 9%

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BS Reporter Bangalore
Last Updated : Jan 26 2013 | 12:19 AM IST

Bangalore-based biotechnology major Biocon witnessed a nine per cent increase in its net profit at Rs 92 crore during the quarter ended December 31, on Rs 84 crore for the corresponding quarter last year. The company attributed the growth to volume expansions, price increases and improved export realisations.

Total revenues for the October-December period were Rs 643 crore, an increase of 24 per cent y-oy. Operating earnings were Rs 167 crore, up 25 per cent.

Kiran Mazumdar-Shaw, CMD, Biocon said: “We saw a combination of volume expansions, price increases and improved export realizations. We have performed well across all our business verticals. We continue to gain market share for Biosimilar Insulins in which now accounts for a significant part of our business.”

The company also said that during the third quarter the biopharma business witnessed a yoy growth of 22 per cent led by an improved product mix. Small Molecules sales to US and Europe remain robust and emerging markets delivered strong sales in Insulins and immunosuppressants.

“We have signed an option agreement with Bristol Myers Squibb (BMS) for the global clinical development of our oral Insulin program: IN-105. This alliance with BMS is a strategic partnership which will help us undertake targeted global trials under a US IND. BMS has the right to exercise an option for exclusive worldwide license post the completion of these trials,” added Ms Shaw.

The company’s branded formulations business delivered a growth of 35 per cent during the nine month period. Biocon also introduced several new products in the quarter across cardiology, immunology and comprehensive care.

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“Our research services arm continues to grow robustly, delivering 34 per cent YoY growth for the nine month period. We expect the recent partnership with GE to leverage novel platform technologies, thereby creating further value differentiators,” the company said.

Going forward the company aims to have higher contribution from biosimilars, research services and branded formulations to the overall revenue. The company has also indicated that it intends to touch a topline of $700 million by Fy15 from the current $450 million.

Biocon stock gained 1.6 per cent and closed at Rs 267.55 per share on NSE.

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First Published: Jan 26 2013 | 12:19 AM IST

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