Registers 'strong growth' in the branded formulations and research services verticals

Biotechnology company Biocon has reported revenues of Rs.2,087 crore in 2011-12, an increase of 16 per cent over the previous year. Presenting the results on Friday, company Chairman Kiran Mazumdar-Shaw said the company had done well despite lower licensing revenues following the termination of the company's pact with Pfizer to commercialise insulin products in March. The partnership, which boosted the company's bottom line by Rs.99 crore in 2010-11, registered profit of only Rs.39 crore in 2011-12.

The company's post-tax profit dipped 8 per cent during the full year, from Rs.368 crore in 2010-11 to Rs.338 crore 2011-12. Ms. Shaw said the company registered “strong growth” in the branded formulations and research services verticals.

Revenues from branded formulations amounted to Rs.259 crore (39 per cent growth year-on-year). Earnings from contracted research expanded by 29 per cent to Rs.410 crore.

“The balance sheet is robust and the cash position is strong,” she maintained. Despite “uncertain” global environment, the company expected to make “significant progress,” she added.

The company has announced a dividend of Rs.5 per share.

Revenues in the fourth quarter amounted to Rs.610 crore, an increase of 17 per cent over the corresponding quarter of 2010-11. It reported a net profit of Rs.97.80 crore, an increase of 15 per cent.

Commenting on the economic environment, Ms. Shaw urged the government “not to hide behind (the compulsion of) coalition politics” but address regulatory issues governing the biotechnology sector. She alleged that regulatory approvals were being delayed.

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