The consolidated net profit of Jubilant Life Sciences increased only by 2 per cent to Rs.152 crore in the fourth quarter ended March 2018 from Rs.149 crore due to significant higher provision for taxation of Rs.74 crore as against Rs.11 crore in the corresponding period of last year. Further, depreciation provision went up by 143 per cent to Rs.182 crore from Rs.75 crore on one-time charge of product development expenses. Its net sales went up strongly by 42 per cent to Rs.2,224 crore from Rs.1,566 crore mainly on account of higher sales from pharmaceutical division. EPS improved to Rs.9.94 from Rs.9.63 in the last period.
The company's pharmaceutical sales increased by 53.2 per cent to Rs.1,238 crore from Rs.808 crore in the similar quarter of last year and that of life sciences ingredients moved up by 23.7 per cent to Rs.970 crore from Rs.784 crore. Pharmaceutical revenue contributed 55 per cent and life science iIngredients 43 per cent respectively to revenues. The sales of drug discovery solutions, however, declined by 7.9 per cent to Rs.47 crore from Rs.51 crore.
For the full year ended March 2018, Jubilant's consolidated net sales increased by 28.8 per cent to Rs.7,465 crore from Rs.5,910 crore in the previous year and net profit by 10.3 per cent to Rs.634 crore from Rs.575 crore. The depreciation provision went up sharply to Rs.415 crore from Rs.291 crore on account of one-time charge of product development expenses of Rs.91 crore and tax expenses increased by 37.8 per cent to Rs.225 crore from Rs.163 crore. EBITDA improved by 16 per cent to Rs.1,588 crore. The EPS improved to Rs.41.25 from Rs.36.93 in the last year.
As against the equity capital of Rs.15.58 crore, reserves and surplus increased by 19 per cent to Rs.4,071 crore from Rs.3,420 crore in the previous year, a growth of 19 per cent. Total borrowings reduced to Rs.3,292 crore from Rs.3,761 crore. Inventories increased by 14 per cent to Rs.1,391 crore.
Shyam S Bhartia, chairman and Hari S Bhartia, co-chairman & managing director, said, “The company has reported a record year in terms of sales and profitability, led by strong performance in specialty injectables and life science ingredients businesses. We have a well-defined strategy of being closer to our customers with an integrated value chain, to have a de-risked business model with a diversified portfolio and strong manufacturing capabilities from fully compliant sites. We are focused on driving business growth in specialty injectables and better utilisiation of our assets in all our businesses.”
The pharmaceutical sales went up 28.9 per cent to Rs.4,017 crore from Rs.3,117 crore in the previous year and that of life sciences ingredients improved by 24.2 per cent to Rs.3,372 crore from Rs.2,714 crore. Nutritional products revenue under life sciences ingredients division increased by 23 per cent to Rs.565 crore. The sales of drug discovery solutions declined by 2.8 per cent to Rs.177 crore from Rs.182 crore. Revenues from North America increased strongly by 48 per cent to Rs.3,189 crore and contributed 79 per cent to its revenues. Its revenue from Europe and Japan reached at Rs.402 crore and contributed 10 per cent to revenues. ROW sales reached at Rs.286 crore and domestic sales stood at Rs.135 crore.
Jubilant's R&D expenditure reached at Rs.237 crore during 2017-18 which includes one-time charge of Rs.91 crore and Rs.60 crore of amortisation. It has a total of 1,008 filings across geographies including 2,929 filings in dosage and 79 filings in sterile segments. Of this, 680 dosage and 73 injectables have been approved while 255 filings are pending approval. Its filed 94 ANDA with US FDA, of which it received approval for 59 ANDAs. In the radio pharmaceuticals injectables portfolio, it has approval for 8 products in the US and in ROW it has a total of 44 registration/licenses.
The capacity enhancement project of acetic an-hydride is progressing as per plan to achieve target completion in FY19. This will provide additional revenue of Rs.300 crore. The company received contract to generate revenues of Rs.300 crore. The company is planning to invest Rs.550 crore in current year for expansion and Rs.300 crore for R&D activities.