Aurobindo Pharma Q1 Results: Profit Rises On Better Than Expected Margin Performance
Margin expansion helps Aurobindo Pharma beat profit estimates
Aurobindo Pharma Ltd.'s first-quarter profit rose, in-line with analysts' estimates.
The Hyderabad-based bulk and generic drug maker's net profit rose 10% year-on-year to Rs 571 crore in the quarter ended June, according to an exchange filing. That compares with the Rs 557-crore consensus estimate of analysts tracked by Bloomberg.
Sequentially, it rose 13%.
Aurobindo Pharma Q1 Highlights (Year-on-Year)
Revenue rose 10% to Rs 6,851 crore. (Bloomberg estimate: Rs 6,583 crore).
Ebitda rose by 19% to Rs 1,151 crore. (Bloomberg estimate: Rs 1,061-crore).
Margin rose to 16.8% against 15.5% a year ago. (Bloomberg estimate: 16.1%).
K Nithyananda Reddy, vice chairperson and managing director said in the filing that the new financial year started on a good note with strong top-line growth and margin expansion aided by improved performance across key markets.
"With our product pipeline continuing to advance, and execution of growth drivers proceeding as planned, we are confident that our fundamental strengths position us to create an upward trajectory," he said
Other Highlights (YoY)
US formulations revenue increased by 11% to Rs 3,304 crore contributing to 48% of the total revenues.
Europe formulation revenue stood at Rs 1,837 crore, with an increase of 19%. It accounted for 27% of the revenues.
Growth markets, which contributed to 7% of the revenue, grew by 13% to Rs 486 crore.
Anti-retrovirals revenue stood at Rs 190 crore.
Active pharmaceutical ingredients revenue grew by 14% to Rs 1,033 crore contributing to 15%.
Research and development spend at Rs 388 crore, 5.7% of revenues.
Received final approval for 19 abbreviated new drug applications including seven injectable products from the U.S. Food and Drug Administration.
The company launched 15 products during the quarter including five injectables.
Shares of Aurobindo Pharma closed 1.09% lower on Friday a day before the results were announced, as compared to a 0.56% fall in the benchmark S&P BSE Sensex.
