Biocon bounces back to black, reports ₹660 crore net profit, revenue up 34%
The results came after the close of the market hours. Shares of Biocon Ltd ended at ₹284.45, down by ₹5.95, or 2.05% on the BSE.
Biotechnology major Biocon Ltd on Thursday (February 8) reported a net profit of ₹660 crore for the third quarter that ended December 31, 2023. In the corresponding quarter last year, Biocon posted a net loss of ₹41.8 crore, the company said in a regulatory filing.
The company's revenue from operations increased 34.4% to ₹3,953.7 crore as against ₹2,941.1 crore in the corresponding period of the preceding fiscal. At the operating level, EBITDA jumped 43.8% to ₹926 crore in the third quarter of this fiscal over ₹644.3 crore in the corresponding period in the previous fiscal.
EBITDA margin stood at 23.4% in the reporting quarter as compared to 21.9% in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.
Consolidated revenue for Q3 of FY24 grew 50% year-on-year to ₹4,519 crore. This growth was supported by income from the divesture of two non-core business assets of Biocon Biologics' Branded Formulations India business amounting to ₹350 crore and a gain of ₹456 crore from Biocon’s stake dilution in Bicara Therapeutics.
Net R&D investments for the quarter were ₹329 crore, representing 11% of revenue exSyngene. Profit Before Tax and exceptional items stood at ₹787 crore. Nicholas Robert Haggar has been appointed as an Independent Director on the Board of Biocon Biologics for a period of three years with effect from February 6, 2024. Also, Nitin Prabhakar Shenoy has been appointed as Head of IT & Digital Transformation at Biocon.
Biosimilars: Biocon Biologics
Biocon Biologics reported a YoY growth of 65% for Q3 of FY24 with revenue at ₹2,483 crore. EBITDA for the quarter reported a growth of 98% at ₹714 crore, representing an EBITDA margin of 29%. During the quarter, net R&D investments stood at ₹265 crore, representing 11% of Biocon Biologics’ revenue for the quarter, reflecting the advancement of our biosimilars pipeline.
Core EBITDA at ₹587 crore, with core EBITDA margins at 28%, was impacted on account of a series of transition-related expenses and one-off costs. Biocon Biologics prepaid $200 million towards reducing the acquisition-related debt during the quarter.
Research Services: Syngene
In Q3 of FY24, the research services business delivered positive performances in the development and manufacturing services divisions as well as in the dedicated centers. Syngene’s performance in Discovery Services was impacted by the slowdown of funding in the global biotech ecosystem.
In manufacturing services, the company continued to make good progress on the long-term biologics manufacturing partnership with Zoetis. Overall, the company maintained healthy EBITDA margins of 30%.
"Biocon delivered consolidated Revenue of ₹4,519 crore for Q3 of FY24, driven by 65% growth in biosimilars and 9% growth in Research Services. Consolidated EBITDA at ₹1,492 crore grew by 106%. Net profit, boosted by other income, stood at ₹660 crore," Kiran Mazumdar Shaw, Executive Chairperson, Biocon and Biocon Biologics said.
Biocon's third-quarter results came after market hours. Shares of Biocon Ltd ended at ₹284.45, down by ₹5.95, or 2.05%, on the BSE.
(Edited by : Ajay Vaishnav)
First Published: Feb 8, 2024 8:53 PM IST
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