Biocon net jumps 20% at Rs 54 crore

Biocon Limited, Bangalore-based biotech company, propelled by sales of self-developed insulin products, has reported 20 per cent higher profits at Rs 54 crore for second quarter ended September 30, 2007compared with the corresponding period last year.

Revenues grew by 12 per cent at Rs 280 crore in the quarter compared with the same period last year. EBIDTA is up 22.38 per cent at Rs 82 crore.

"Insulin, technology and licensing were significant contributor in this quarter. Biopharmaceuticals and branded formulations also showed strong performance," said Kiran Mazumdar Shaw, chairman and managing director, Biocon.

Biocon launched its insulin product two year ago. It further added that the dependence on statins, which has become a commodity, is coming down.

As for the half year (April-September), sales grew by 19 per cent at Rs 550 crore as against the corresponding period last year. Profits were up 28 per cent at Rs 107 crore in H1 FY08 and EPS was Rs 10.7.

Gets nod for cancer drug
Biocon Ltd, has received approvals from the Drug Controller General of India to market Abraxane (nanoparticles based, albumin bound paclitaxel) in India.

The drug has been approved for use in the treatment of breast cancer and will facilitate affordable high-quality supportive care therapy for cancer patients in India. Abraxane is a product of Abraxis BioScience, Inc. US.

Abraxane uses albumin, a human protein, to deliver paclitaxel, unlike the conventional form that has chemical solvents, like cremophors which are known to cause hypersensitive allergic reactions.

This eliminates the need for pre-medication with steroids or antihistamines. it also reduces infusion time from three hours for cremophor-based paclitaxel to just 30 minutes for Abraxane, the company said.

Plans to list Syngene in 2 years
Biocon plans to list its contract research services arm "� Syngene International "� in the next two years, post de-merger.

Syngene, which is currently a subsidiary of Biocon, provides customised research and development (R&D) services to pharma and biotech companies on a platform of confidentiality and intellectual property protection.

"The listing will not be immediate but over a period of time...in the next 2 years. But the company has to grow first. Currently, we have not taken a call yet. Post the listing in India, we might look at an overseas listing," said Kiran Mazumdar Shaw, CMD, Biocon.

Syngene in FY07 registered revenues of $2 million and is targeting $5 million in the current financial year. The company, since inception, has developed skills in synthetic chemistry and molecular biology.

The company is also leveraging the convergence of IT and biotech. It also conducts high value R&D in early stage drug discovery and development for a diverse global clientele.

Early this year, the company entered into a research partnership with Bristol-Myers Squibb (BMS). Through this partnership, the company is to provide R&D services for discovery and early drug development to BMS.