Biocon, a Rs.2,500 crore India's premier biotechnology company, has reported lower consolidated profit before exceptional items of Rs.49 crore during the fourth quarter ended March 2013 as compared to Rs.98 crore in the corresponding period of last year. However, after exceptional income of Rs.202 crore (nil in the previous period) its net profit moved up by 154 per cent to Rs.249 core from Rs.98 crore. Earning per share worked out to Rs.12.4 as against Rs.4.9 in the same period of last year.
The company management declared equity dividend of 100 per cent and a special dividend of 50 per cent for the year 2012-13 pursuant to the re-licensing of insulin analogs portfolio. Dan Bradbury, former CEO of Amylase Pharmaceuticals joined the board of Biocon as an additional non-executive board member.
The company's consolidated sales for the fourth quarter increased by 7 per cent to Rs.630 crore from Rs.589 crore in the similar period of last year. Its biopharmaceuticals sales declined by 6.4 per cent to Rs.380 crore from Rs.406 crore. Its sales of branded formulations, however, improved by 29.2 per cent to Rs.84 crore from Rs.65 crore. The sales from contract research went up sharply by 41 per cent to Rs.166 crore from Rs.118 crore. The research and development expenditure declined by 18.9 per cent to Rs.43 crore from Rs.53 crore.
Kiran Mazumdar-Shaw, chairman and managing director, said, “We are pleased to close fiscal 2013 on a very strong note. The key contributors to growth this fiscal have been Research Services, Branded Formulations ad our growing biosimilar business, led by generic insulins. Biocon's insulin franchise continues to garner market share across India & emerging markets and now accounts for more than 10 per cent of our sales. This quarter saw us enhance our partnership with Mylan through the re-licensing of our portfolio of generic insulin analogs.”
The company's consolidated net sales for the year ended March 2013 increased by 18.5 per cent to Rs.2,428 crore from Rs.2,049 crore in the previous year. The sales of biopharmaceuticals increased by 10.4 per cent to Rs.1,523 crore from Rs.1,380 crore and that of branded formulations sales in India improved by 34.4 per cent to Rs.348 crore from Rs.259 crore. Its income from contract research (Syngene and Clinigene) went up by 35.9 per cent to Rs.557 core from Rs.410 crore. The principal growth drives have been oncology, comprehensive care, diabetology and bioproducts. Its major brands like Insugen, Basalog, BioMab EGFR, Evertor, Abraxane, Ivnex and Erypro contributed to sales.
The EBDITA for the year ended March 2013 improved only by 3.1 per cent to Rs.596 crore from Rs.578 crore. Its profit before tax and exceptional income increased marginally by 4.3 per cent to Rs.409 crore from Rs.392 crore. However, after adding exceptional income of Rs.202 (nil in the previous year), its net profit went up by 50.6 per cent to Rs.509 core from Rs.338 crore. Earnings per share worked out to Rs.25.5 as compared to Rs.16.9 in the previous year. As against the equity capital of Rs.100 crore during 2012-13, its reserves and surplus amounted to Rs.2,595 crore.
The company is focusing more on the execution of development plans for the generic biologics portfolio with a firm leash on costs and portfolio margins in 2014. It expects R&D costs to increase in line with the progress being made by its generic biologics and novel molecules.