Auro Pharma stock surges 4% despite 79.5% yoy decline in Q3 profit at Rs604.3 crore

10 Feb 2022 , 12:08 PM

Aurobindo Pharma Limited reported a sharply lower 79.5% yoy profit at Rs604.3cr in the quarter ended December 31, 2021 (Q3FY22) against Rs2,947.9cr in Q3FY21. The company’s revenue declined 1% yoy to Rs6,002cr from Rs6,364.9cr yoy.

US formulations revenue declined by 13.4% on a yoy basis to Rs2,745.2cr.  Europe formulation revenue stood at Rs1,694cr, an increase of 1.4% over the corresponding previous quarter. Growth Markets grew by 2.8% qoq to Rs397cr. ARV revenue improved by 7.4% qoq to Rs156cr. API revenue for the quarter was at Rs1,010cr vs. Rs682.5cr in the corresponding previous period.

EBIDTA before Forex and Other income stood at Rs1,016.3cr; EBITDA margin for the quarter was 16.9%. Research & Development (R&D) spend at Rs393cr, 6.6% of revenues (Q2 FY22: 6.7%). Received final approval for 4 ANDAs including 1 injectable product from the USFDA. Basic & Diluted EPS is Rs10.32 per share.

The company stock was in demand on Thursday. At around 12.10 pm, Aurobindo Pharma Ltd was trading at Rs682.50 per share up by Rs27.25 or 4.16% from its previous closing of Rs655.25 per share on the BSE.

K Nithyananda Reddy, Vice-Chairman and Managing Director of the Company said: “The quarter’s performance was impacted by high input and freight costs, that weighed on profitability. However, our business was resilient in delivering steady revenues, led by API business benefitting from improved demand for our key products.

We made progress in optimizing our working capital during the quarter that has strengthened our balance sheet further. We remain committed to resolve the regulatory issues affecting some of our facilities and are continuing to make steady progress in our complex generic product development plans. As a company, we are focused on executing on our key growth drivers to drive sustained improvement in profitability and enhance stakeholder value.”