Gland Pharma Q2FY23 PAT falls -20.14% to Rs241crore as EBITDA margins compress 500 bps to 33%

27 Oct 2022 , 12:18 AM

Gland Pharma reported -3.3% lower sales revenues for the September 2022 quarter on consolidated basis at Rs1,044cr.

Revenues were higher by 21.88% in sequential terms. Gland Pharma operates in the generic injectable space.

The core markets of US, Europe, Canada and Australia saw sales rise by 3% at Rs748 crore. The India revenues fell sharply by -42% at Rs73 crore while revenues from the rest of the world was down -3% at Rs224 crore.

Core markets account for 72% of sales while rest of the world 21%. Total R&D spending in Q2FY23 stood at Rs41.40 crore or nearly 4% of sales.

It has 322 ANDA filings in the US of which 259 are approved and 69 are pending approval.

Consolidated Profit after tax (PAT) for September 2022 quarter was down -20.14% at Rs241.24 crore but was up 5.3% on sequential basis. EBITDA for the quarter fell 15% at Rs363 crore while EBITDA margins fell from 38% to 33% yoy.

The company has filed 6 ANDAs and 3 DMFs in the quarter. Gland saw positive traction in the biologics, biosimilars and the CDMO verticals, but pricing pressure continued in core markets.

Net profit margins at 23.10% in Q2FY23 is lower compared to 27.96% in Q1FY22 and against 26.74% in Q1FY23.

Financial highlights for Sep-22 compared yoy and sequentially

	Gland Pharma
Rs in Crore	Sep-22	Sep-21	YOY	Jun-22	QOQ
Total Income (Rs cr)	₹ 1,044.40	₹ 1,080.47	-3.34%	₹ 856.90	21.88%
Net Profit (Rs cr)	₹ 241.24	₹ 302.08	-20.14%	₹ 229.17	5.27%
Diluted EPS (Rs)	₹ 14.65	₹ 18.37		₹ 13.92
Net Margins	23.10%	27.96%		26.74%