Biocon Ltd, a Rs 1600 crore pharma company from Bangalore, has achieved impressive performance during the first quarter ended June 2009. Its consolidated profit, including German subsidiary, AxiCorp, has taken a quantum jump of 262 per cent and touched to Rs 54.3 crore from Rs 15 crore in the corresponding period of last year. Its consolidated net sales also moved up by 16 per cent to Rs 307.20 crore from Rs 263.9 crore. With significant growth in bottom line, its earning per share worked out to Rs 3 as against Rs 2 in the last period.
AxiCorp has delivered good performance in the period under review registering a top line of Rs 190 crore whilst delivering an operating profit of Rs 11 crore and a PAT of Rs 4 crore.
The relevance of AxiCorp to Biocon's business will only commence once Insulin receives EU market authorization which is expected to raise the operating margins from present levels. The regulatory process is on going and will take 18-24 months for completion.
Syngene and Clinigene continued to grow robustly delivering a 50 per cent growth in revenues to touch Rs 64 crore and a 169 per cent spurt in operating profits (Rs 25 crore). PAT increased to Rs 7 crore, a 133 per cent growth over the previous year.
Biocon recently announced a strategic partnership with a global generics pharma major, Mylan Inc. to develop a basket of generic biologics which are expected to deliver the next bolus of high margin growth for the global pharmaceutical generics industry.
Commenting on the results, Kiran Mazumdar-Shaw, chairman & managing director, said: "Biocon's Q1 performance has delivered robust growth across all segments. This, we believe, is a trend that holds goods prospects for the year ahead. Syngene has had a particularly strong quarter demonstrating good returns on the investments made over the last two years. We expect our pre-clinical and biologicals services to expand our customer base and increase business revenues for future quarters."
"We are making excellent progress on the research front with several programmes approaching a licensing potential. We envisage that this will deliver excellent returns on our R&D investments. Our recently announced partnership deal with Mylan positions us amongst the front runners to address the emerging global market opportunity for bio-generics. We expect the quarters ahead to remain robust and we hope to end the year on a note of strong growth both in revenues and profitability," she added.