FDC at 52-wk high as Goa plant gets GMP certificate from UK drug regulator

Shares of FDC hit a 52-week high of Rs 222 on the BSE after rallying 5 per cent in intra-day trade on Friday in an otherwise range-bound market after the drug company received good manufacturing practice (GMP) certificate from UK drug regulator for its Goa plant. The stock surpassed its previous high of Rs 220, recorded on May 27, 2019.

“The Company has received GMP certificate and it continues with its approved status from UK MHRA (Medicines and Healthcare Products Regulatory Agency), for two of its Oral solid Dosage form facilities situated at L-56/57 and L-121 in Verna, Goa,” FDC said in an exchange filing.

The certificate issued on recent GMP inspection was held at the said plants, it said.

In the past two months, FDC has outperformed the market by surging 25 per cent, after reporting a healthy September quarter earnings (Q2FY20). In comparison, the S&P BSE Sensex was up 3 per cent during the same period.

The company had reported 42 per cent year on year (Y-o-Y) jump in its consolidated net profit at Rs 80.38 crore in Q2FY20, against Rs 56.70 crore in the year-ago quarter. Operational revenue rose 26 per cent to Rs 346 crore on Y-o-Y basis. EBITDA (earnings before interest, tax, depreciation and amortisation) margin improved to 21.3 per cent from 20.9 per cent during the quarter.

At 10:40 am, the stock was trading 2 per cent higher at Rs 216 on the BSE, against 0.27 per cent fall in the benchmark index. A combined 83,252 equity shares have changed hands on the counter on the NSE and BSE so far.