Shares of Wockhardt Ltd closed nearly 8% higher on Monday extending the rally for a third straight day after the company reported strong growth in the first 9 months of the current financial year.
In an investor presentation, the global pharmaceutical and biotechnology company reported a 7% growth in net sales to ₹2,124 crore in 9M FY2024 compared to ₹1,959 crore during the corresponding period of the previous financial year. Wockhardt's EBITDA (earnings before interest, taxes, depreciation and ammortisation) showed a staggering 80% YoY growth from ₹96 crore in 9MFY23 to ₹173 crore in the period under review.
Shares of Wockhardt surged 9% to hit a fresh 52-week high of ₹619 apiece on BSE on Monday before closing 7.78% higher at ₹611.95 apiece.
The United Kingdom and India were the largest percentage contributors to the company's revenue, at 36% and 22%, respectively. Revenue from the US market made up 6% of the company's total receipts amid Wockhardt's restructuring and shift to third-party manufacturing in the country.
The pharma company witnessed a major fall in its external term loans, which came to ₹436 crore in September 2023 on a six-month basis from ₹2,054 in March 2020. Its total borrowings were down to ₹933 crore in 6MFY24 from ₹1,568 crore in FY21.
Wockhardt Ltd's revenue from operations fell 6.9% quarter-on-quarter from ₹753 crore to ₹701 crore in the quarter ending in December 2023, the company reported in its quarterly results released on February 14. The pharma major’s net profit swelled 17% QoQ from ₹73 crore in Q2FY204 to ₹86 crore in the quarter ending in December 2023.
Wockhardt Ltd's growth trajectory in the last three years has been led by vaccines and novel drug discovery of WCK 5222, Nafithromycin, and Emrok. Demands for diabetes biosimilars for India and emerging markets also contributed to the company's consolidated position in the market.
A total of six programmes of Wockhardt Ltd have received Qualified Infectious Disease Product (QIDP) status from the United States Food and Drug Administration (USFDA). These are eligible for a fast-track development process and priority review.
The company completed Phase 1 of WCK 5222 with 100% clinical and microbiological success. Wockhardt successfully launched Emrok in India and filed for approval in select emerging markets.
Wockhardt has signed a 15-year supply and collaboration agreement with Serum Science Ltd at the UK facility. The deal has a 51:49 profit-sharing agreement in favour of Wockhardt.
(Edited by : Ajay Vaishnav)
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