Laurus Labs Q2 Results: Net profit nosedives 84% YoY to Rs 37 crore
Laurus Labs on Friday reported 84% year-on-year (YoY) drop in net profit at Rs 37 crore in the second quarter ended September.
The drugmaker reported a net profit of Rs 232 crore in the corresponding quarter of the previous year. Revenue declined 22.3% YoY to Rs 1,224 crore in Q2FY24.
The company's earnings before interest, taxes, depreciation and amortization (EBITDA) dropped 58% YoY to Rs 188 crore, from Rs 448.9 crore in the year-ago period.
The EBITDA margin was at 15.3% in Q2FY24 against 28.5% in the year-ago period.
The company attributed decrease in profits and revenue on drop in revenues from CDMO-synthesis business.
It added that on quarter-to-quarter the business started recovery in-line with improving active pharmaceutical ingredient (API) and FDF (formulation) revenues.
R & D spends reported at Rs 58 crore representing 4.7% of revenues. Laurus said the API business, which constitutes little over 50%, has seen stable antiretroviral and 51% growth in oncology APIs.
«Demand for CMO opportunities is upbeat with on-going advantage from global supply chain diversification,» the company said.
On formulations the company said it it sales increased on higher volume growth and stable pricing, and additional products will be launched in the coming periods
In the CDMO business, Laurus said it signed the first Agri-chem supply contract in Q1 and the manufacturing plant will be ready in 15 to 18 months.
