Biocon Q1 Net Profit Dips 95% to ₹31.4 Crore

8 Aug 2025 , 11:34 AM

Biocon Ltd posted a sharp 95.2% decline in consolidated net profit for the June quarter. The company’s earnings falls to ₹31.4 crore from ₹659.7 crore in the same period last year.

Revenue from operations rose 14.8% year-on-year to ₹3,942 crore. This is up from ₹3,433 crore in Q1FY25. On the operational front, Biocon reported an EBITDA of ₹749 crore. This marks a 20.7% YoY increase over ₹620.4 crore in the year-ago quarter. The EBITDA margin improved slightly to 19% from 18.1% last year.

Despite the steep fall in profit, Chairperson Kiran Mazumdar-Shaw maintained a positive outlook, highlighting key product milestones and approvals in the biosimilars segment. Shaw noted the successful launch of Yesafili in Canada. This marks the company’s tenth biosimilar globally, as well as USFDA approval for Insulin Aspar Biocon’s second interchangeable insulin in the U.S. market.

Biosimilars revenue grew 18% YoY to ₹2,458 crore in the quarter. This growth was driven by sustained global demand. Segment EBITDA rose 36% on a like-for-like basis to ₹645 crore. Market share gains were also seen in Europe, with Yesintek expanding into new markets, while Ogivri and Abevmy held market shares of 21% and 15%, respectively.

The company completed a major financial move during the quarter, raising ₹4,500 crore via a Qualified Institutions Placement (QIP), its first equity fundraising since the 2004 IPO. Proceeds from the QIP will be used to increase Biocon’s ownership in Biocon Biologics and support the exit of some private equity investors.

Separately, the board approved an investment of up to ₹1.4 crore in Pro-zeal Green Power Sixteen Pvt Ltd, giving Biocon a 26% equity stake via a mix of shares and convertible debentures.

The green energy deal is aimed at sourcing solar power from a captive plant, part of the company’s broader push to reduce its carbon footprint. Biocon said it remains well-positioned for long-term value creation in FY26 and beyond, supported by capacity expansion through recent U.S. acquisitions by Syngene and Biocon Generics.

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