Laurus Labs Q2 net rises manifold

Drugmaker Laurus Labs has posted a manifold increase in consolidated net profit for the quarter ended September at ₹242.27 crore on the back of a strong performance in the formulations business, especially in low and middle income countries (LMIC) and new launches in various markets.

This compares with the ₹56.55 crore net profit recorded in the year-earlier period. Revenue from operations was almost 60% higher at ₹1,138.84 crore (₹712.42 crore).

Founder and CEO Satyanarayana Chava said growth in all the business divisions contributed to the increase in the revenue. “Our EBITDA margins continue to improve with better operating leverage,” he said in a statement on Thursday.

The formulations business, mainly anti-retrovirals, registered a growth of over 180% for the quarter, led by higher LMIC business and new launches in various markets. It contributed to 40% to overall revenues. The generic active pharmaceutical ingredient division reported a growth of 22% on the back of higher growth in ARV API business owing to higher volumes. Custom Synthesis continues to maintain its growth trajectory with a healthy pipeline and with good visibility, he said.

ED and CFO V. V. Ravi Kumar said, “We also saw a further improvement in gross margins, led by better product mix. With improved demand visibility and strong profitability and debt situation, we continue to undertake larger greenfield and brownfield capex for all the divisions and initiate new manufacturing units on greenfield basis.

The company has declared an interim dividend of 80 paise per equity share of ₹2 each.

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Printable version | Dec 4, 2020 12:59:53 AM |

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