 "Cipla")
Pharmaceutical firm Cipla on Friday reported a consolidated net profit of Rs 939.04 crore for the quarter ended March 31 (Q4) of the financial year 2023-24 (FY24). This was a 78.6 per cent surge in profit year-on-year (Y-o-Y) from Rs 525.65 crore. The company's profit fell 11 per cent quarter-on-quarter (Q-o-Q) from Rs 1,055.90 crore reported in Q3.
Revenue from operations for the pharmaceutical firm was Rs 6,082.37 crore, a 7.3 per cent Y-o-Y growth from Rs 5,665.95 crore. Sequentially, however, revenue fell 6.5 per cent from Rs 6,505.66 crore.
The company reported a 12 per cent increase in operating profit before depreciation, interest, taxes, and amortisation (Ebitda) to Rs 1,316 crore compared to Rs 1,173 crore in the previous financial year. The Ebitda margin also improved, standing at 21.3 per cent, up from 20.5 per cent in the corresponding period last financial year.
The company reported a seven per cent Y-o-Y growth in its India business, supported by branded prescription and trade generics. In the North American region, revenue reached $226 million, marking an 11 per cent Y-o-Y increase, driven by sustained growth in key differentiated assets and the base portfolio.
Research and development (R&D) expenses for the quarter increased by 19 per cent Y-o-Y to Rs 444 crore, accounting for 7.2 per cent of the revenue. This rise is attributed to product filing costs and developmental efforts. On an annual basis, R&D costs amounted to Rs 1,571 crore, representing 6.2 per cent of the revenue.
Throughout the year, Cipla allocated Rs 1,315 crore towards capital expenditure, focusing on growth initiatives and enhancing capacities and capabilities. Cipla boasts a diverse product portfolio comprising more than 1,500 drugs catering to various segments, including anti-infective, cardiac, gynaecology, and gastrointestinal medications. Its presence extends across over 80 markets globally, reflecting its commitment to providing healthcare solutions worldwide.
For the entire financial year, Cipla's profit grew by 47 per cent Y-o-Y to Rs 4,121.55 crore, from Rs 2,801.91 crore. Revenue from operations for the pharmaceutical firm stood at Rs 25,446.63 crore, signifying a 13 per cent growth from Rs 22,473.18 crore reported at the end of FY23.
Commenting on the results, Umang Vohra, managing director and global chief executive officer (CEO), said, “I am pleased to share our performance for the year where we made substantial progress across our focused markets. In FY24, our revenues crossed the threshold of Rs 25,000 crore, while operating margins significantly improved to cross Rs 6,000 crore for the very first time, growing at a healthy 14 per cent in topline and 26 per cent in profitability Y-o-Y.
"As we enter FY25, our focus will be on our priorities of market-leading growth in our key markets, growing big brands bigger, investing in the future pipeline, as well as focusing on resolutions on the regulatory front,” Vohra added.
The company's board recommended a final dividend of Rs 13 per equity share (face value of Rs 2 per equity share) for the financial year ended March 31, 2024. The dividend, upon approval by the shareholders, will be paid within 30 days from the date of the annual general meeting (AGM).
Shares of the pharmaceutical firm closed trading at Rs 1,339.45 after the company released its quarterly earnings.
