A best quarterly performance from Strides Pharma's US business ensured that the company returned to the black both on a QoQ and YoY basis in the September quarter.
Sales in the US nearly doubled to $60 million from $34 million during the same period last year. The US business contributes to half of Strides Pharma's overall sales.
The drugmaker reported a net profit of Rs 22.8 crore compared to a net loss of Rs 162.5 crore during the same period last year. It had also suffered a loss of Rs 135 crore during the June quarter.
Revenue for the quarter increased 24 percent from last year while the operating profit or EBITDA stood at a positive Rs 98 crore from an EBITDA loss of Rs 13.5 crore last year.
At 11 percent, the company's EBITDA margin turned out to be the best since the March quarter of financial year 2021.
Sales in the US business were driven by improved market share of the base portfolio, coupled with new launches. Margin saw improvement as it exited low margin drugs and changed the operating model.
The company is confident of achieveing $250M in sales in the US for the current financial year. It also expects momentum of new launches to pick up in the US.
Other Key Takeaways:
Targeting net-debt-to-EBITDA ratio of 3x
Expect Stelis Biopharma to have positive EBITDA margin within the next 12-18 months,
Speaking of Stelis Biopharma, the biologics arm of Strides received a positive recommendation from the European Medicines Agency for its drug to treat osteoporosis.
The EMA has granted market authorisation to Kauliv, a biosimilar to Forsteo, which is considered to be the gold standard in the treatment of osteoporosis.
The drug will be developed at its United States Food and Drug Administration (USFDA) and EU authority approved facilities in Bengaluru, and will scale the opportunity globally through a B2B model.
The Company has already licensed KaulivTM across 20 countries, and the commercialisation of the product will generate incremental revenues for company starting financial year 2024.
Post this announcement and the results, shares of Strides Pharma ended 7.8 percent higher.
First Published: Nov 14, 2022 10:57 PM IST
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Mahagathbandhan announces seat-sharing in Bihar, RJD to contest on 26 seats, Cong 9
Mar 29, 2024 2:25 PM
Lok Sabha elections 2024 Dibrugarh to Jorhat — key seats in Assam
Mar 29, 2024 1:11 PM
Lok Sabha Election 2024: Hajipur to Patna Sahib — key seats in Bihar
Mar 29, 2024 12:28 PM
Maharashtra farmers grapple with economic hardship ahead of Lok Sabha polls
Mar 29, 2024 4:44 AM