Aarti Drugs Q4FY22 PAT up 7.14% at Rs55.34 crore yoy as EBITDA margins compressed by 351 bps

10 May 2022 , 01:28 AM

Aarti Drugs Ltd reported 38.37% growth in sales revenues yoy for the Q4FY22 quarter on consolidated basis at Rs694.27 crore. On a sequential basis, revenues were higher for the quarter by 9.37%.

For the full year FY22, the revenues were higher by 15.5% at Rs2,489 crore. For Q4FY22, API revenues grew by 46% while API volumes grew by 23%. On a yoy basis, the formulations revenues grew 7.8% while the specialty chemicals revenues grew by 17%.

It expects the growth trajectory of the active pharma ingredients (APIs) to gather momentum in the coming quarters. Exports contributed 39% of the formulation revenues.

The consolidated net profit for Q4FY22 was up 7.14% at Rs55.34 crore while it was down on a sequential basis by -5.06%.

The reason for the fall in profits was the sharp spike in raw material costs. EBITDA for Q4FY22 was up 9.1% at Rs89 crore while EBITDA margins tapered by 351 basis points to 12.8% in the Q4FY22 quarter from 16.35 in the Q4FY21 quarter.

Net margins stood at 7.97% in Q4FY22 quarter compared to 10.29% in Q4FY21. NPM was lower sequentially against 9.18% in Q3FY22. Net cash flows got impacted by spike in receivables.

Financial highlights for Mar-22 compared yoy and sequentially

	Aarti Drugs
Rs in Crore	Mar-22	Mar-21	YOY	Dec-21	QOQ
Total Income (Rs cr)	₹ 694.27	₹ 501.75	38.37%	₹ 634.80	9.37%
Net Profit (Rs cr)	₹ 55.34	₹ 51.65	7.14%	₹ 58.29	-5.06%
Diluted EPS (Rs)	₹ 5.97	₹ 5.54		₹ 6.29
Net Margins	7.97%	10.29%		9.18%