Lower input costs, higher sales help Cipla post 32% higher net

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₹1,055.90 crore for the December quarter, a 31.82% rise over the corresponding quarter of last year, as per regulatory filings. Revenue during the quarter was up 13.66% YoY to ₹6,603.81 crore. The result was in line with Bloomberg’s poll of analysts tracking the company.

Analysts expected the company to post revenue of ₹6,522 crore and profit of ₹1,058 crore. Earnings before interest, taxes, depreciation, and amortization (Ebitda) during the quarter under review grew 24.9% YoY to ₹1,720 crore with an Ebitda margin of 26.3%. The company had a net cash position of ₹7,143 crore as of 31 December after the repayment of a ZAR 720 million ( ₹312 crore) loan in South Africa.

Its total debt was at ₹449 crore at the end of the December quarter. “Our focus continues on expansion in chronic therapies, growing big brands, global wellness as well as developing our R&D pipeline in respiratory and peptides," said Umang Vohra, Cipla’s MD and Global CEO. The company had to reschedule its board meeting to approve financial statements originally slated for Thursday after parts of its financial results were found on social media.

Earlier, it had issued a cautionary statement clarifying that these results were yet to undergo the necessary review and approval processes. The company mainstay pharmaceutical segment reported a revenue of ₹6,365.06 crore, up 13.88% y-o-y. Meanwhile, the new ventures segment reported a top line of ₹280.51, which was down 10.16% y-o-y.

The One India business grew by 12% y-o-y across branded prescription, trade generics, and consumer health. The branded prescription business grew at 10% driven by key therapies in the chronic portfolio as the share of chronic grew by 115 bps y-o-y to 60.3% in the quarter. The company