Lupin, the fourth largest pharma major with net sales of Rs 11,200 crore plus, has posted consolidated net profit growth of 26.3 per cent during the third quarter ended December 2014 to Rs.601 crore from Rs.476 crore in the similar quarter of last year. EBDITA increased by 19.9 per cent to Rs.966 crore from Rs.806 crore. However, its consolidated net sales were under pressure and improved only by 5.4 per cent to Rs.3,145 crore from Rs.2,983 crore. EPS worked out to Rs.13.40 as against Rs.10.63 in the last period.
After the announcement of financial results, Lupin scrip declined by over Rs.7 on BSE to Rs.1547.70 from previous close. It touched to day's high at Rs.1,576.
The company's domestic net sales increased by 2.1 per cent to Rs.2,312 crore from Rs.2,264 crore in the corresponding period of last year and its international sales moved up 14.3 per cent to Rs.866 crore from Rs.758 crore. International sales contributed 72.7 per cent to its total sales and domestic sales 27.3 per cent during the quarter under review.
Revenue expenditure on R&D stood at 8.3 per cent of net sales, at Rs.416 crore as compared to Rs.379 crore. It filed 3 ANDAs and received 3 approvals from the US FDA. Cumulative filings with the US FDA stood at 203 with the company having received 108 approvals upto December 2014. Lupin filed 2 MAA during the quarter. Cumulative filings with European authorities now stand and 60 with the company having received 51 approvals to date. Capital expenditure stood at Rs.174 crore.
Its total formulation sales improved by 7 per cent to Rs.2,869 crore from Rs.2,686 crore. However, API sales declined by 7 per cent to Rs.276 crore from Rs.297 crore. Formulations sales in US improved only by 4 per cent to Rs.1,404 crore from Rs.1,353 crore and that in Europe went up by 15 per cent to Rs.80.5 crore from Rs.70.2 crore. Japanese sale declined by 8 per cent to Rs.342 crore from Rs.372 crore. Lupin's sales in South Africa increased by 9 per cent to Rs.107 crore from Rs.98 crore. Indian formulation sales improved by 14 per cent to Rs.744 crore from Rs.650 crore.
Nilesh Gupta, managing director, said, “The company's continued focus on improving operational efficiencies has led to sustained margins and profit growth notwithstanding regulatory delays that have resulted in pressures on the Topline. The performance for the three quarters taken as a whole is more representative of the growth enjoyed by the company.”
For the nine months ended December 2014, Lupin's consolidated net sales improved by 18.8 per cent to Rs.9,546 crore from Rs.8,035 crore in the corresponding period of last year. Its net profit went up sharply by 44.7 per cent to Rs.1,856 crore from Rs.1,283 crore. EBDITA improved by 36.5 per cent to Rs.3,053 crore as compared to Rs.2,237 crore.
Its international sales improved by 17.8 per cent to Rs.7,043 crore from Rs.5,981 crore and domestic sales by 21.2 per cent to Rs.2,649 crore from Rs.2,185 crore. The US and Europe sales contributed 24 per cent to total sales. The company launched 8 products during first nine months ended December 2014. It now has 74 products in the US generics market and the market leader in 30 of these products. The company's Indian sales improved by 21 per cent during January-December 2014 and that in Japan was 13 per cent. Its sales in South Africa moved up by 10 per cent. Its R&D expenditure for the first nine nine months stood at Rs.789 crore as compared to Rs.684 crore.