In This Article:
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Revenue from Operations: INR3,821 crore, up 10% year-on-year and 6% sequentially on a like-for-like basis.
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Total Group Revenue: INR3,856 crore, a growth of 7% year-on-year and 6% sequentially.
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Group Core EBITDA: INR1,007 crore, up 4% year-on-year with a core operating margin of 26%.
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Reported EBITDA: INR787 crore, with a margin of 20%, representing a growth of 16% on a like-for-like basis.
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Profit Before Tax and Exceptional Items: INR138 crore, improving from a loss position last year.
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Reported Net Profit: INR25 crore; Adjusted Net Profit: INR13 crore.
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Biosimilars Revenue: INR2,289 crore, up 14% year-on-year on a like-for-like basis.
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Generics Revenue: INR686 crore, growing 10% sequentially but declining 2% year-on-year.
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Research Services Revenue: INR944 crore, up 11% year-on-year and 6% sequentially.
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Syngene EBITDA: INR302 crore, up 16% year-on-year and sequentially, with a margin improvement to 31%.
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R&D Investment: INR199 crore, corresponding to 7% of revenues excluding Syngene.
Release Date: January 31, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Biocon Ltd (BOM:532523) reported a 10% year-on-year growth in operating revenue, driven by strong performance in biosimilars and research services.
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The company successfully completed FDA audits across three sites, enhancing its regulatory compliance and operational capabilities.
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Biocon Ltd (BOM:532523) achieved key product approvals in both biologics and generics, with new product launches planned for Q4.
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The biosimilars segment showed a 14% year-on-year revenue growth, with strong market share gains in the U.S. and Europe.
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The company has a clear line of sight for multiple new product launches, including biosimilar ustekinumab, which is expected to drive future growth.
Negative Points
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The generics segment experienced a marginal year-on-year decline of 2%, despite a 10% sequential growth.
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Pricing pressures continue to affect the generics business, impacting profitability.
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Reported net profit was only INR25 crore, with adjusted net profit at INR13 crore, indicating challenges in achieving higher profitability.
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The company faces significant debt obligations, with net debt at approximately 1.3 billion USD, which could impact financial flexibility.
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R&D expenses remain high, corresponding to 7% of revenues, which may pressure margins if not offset by successful product launches.
Q & A Highlights
Q: What is the expected market uptake for the upcoming launch of the Stelara biosimilar? A: Shreehas Tambe, CEO and MD of Biocon Biologics, stated that they are excited about the global launch of the biosimilar ustekinumab, targeting both the U.S. and European markets. They are working closely with commercial and government customers to ensure competitiveness, acknowledging the dynamics seen with other biosimilars like adalimumab.