Biocon Q1 Results FY2023, PAT at Rs. 144 crores

On 27th July 2022, Biocon announced its quarterly results for the first quarter of FY2023.

Q1FY23 Key Highlights:

- The company reported its revenue from operations at Rs. 2217 crores with a growth of 23% YoY.

- The company reported its EBITDA at Rs. 478 crores with a growth of 9% YoY. The company reported its core EBITDA at Rs. 660 crores with a growth of 25% YoY.

- The EBITDA Margin was reported at 22% and the core EBITDA Margin was reported at 31%.

- Biocon reported its PAT at Rs. 144 crores with a growth of 71% YoY.

Business Highlights:

GENERICS: APIs & Generic Formulations

- During the quarter, in generic segment Biocon launched Mycophenolic Acid (MPA) Delayed-Release Tablets, the generic version of Myfortic® Delayed-Release Tablets, in the US. 

- The company obtained approvals for its oncology product Lenalidomide in the EU, Fingolimod capsules in the UAE, and Rosuvastatin tablets in Singapore. It also received a GMP certificate of compliance from the MHRA, UK for an audit conducted by the agency at its Oral Solid Dosage facility in Bengaluru. 

- Q1FY23 revenue for the segment was reported at Rs. 580 Crore, up by 19% YoY

BIOSIMILARS: Biocon Biologics Limited (BBL) 

- Biocon Biologics recorded a strong year-on-year (YoY) revenue growth of 29% in Q1FY23 at Rs 977 Crore. With two of BBL’s non-partnered monoclonal antibodies in clinical trials and continued progress on other pipeline molecules, BBL’s R&D investments this quarter grew by 120% YoY to Rs 130 Crore, representing 13% of BBL revenue.

-  Q1FY23 revenue for the segment was at Rs. 977 Crore, up 29% YoY in Q1FY23.

NOVEL BIOLOGICS:

- During the quarter, patient dosing was initiated by Biocon’s partner, Equillium, for the pivotal Phase III clinical study of Itolizumab in patients with acute graft-versus-host disease (aGVHD), as recruitment continues for the Phase 1b clinical study of Itolizumab for Lupus Nephritis. 

- Company’s Boston based associate, Bicara’s lead molecule, BCA101, has demonstrated encouraging safety, pharmacokinetic, pharmacodynamic and efficacy profiles based on the findings from the dose escalation phase of the ongoing Phase 1/1b trial, which was initiated in February 2022. BCA101, as a monotherapy and in combination with pembrolizumab, is currently being evaluated in several indications, such as head and neck squamous cell carcinoma, advanced squamous cell carcinoma of the anal canal as well as cutaneous squamous cell carcinoma. Primary results for the dose expansion arm of this study are expected in the second half of 2022. 

RESEARCH SERVICES: Syngene 

- The Company signed a long-term agreement with Zoetis for the commercial manufacturing of the drug substance for Librela®, a first-of-its-kind injectable monoclonal antibody to alleviate pain associated with osteoarthritis in dogs. 

- The Company continued to invest in infrastructure: a kilo lab was established for polymer and speciality materials in the Development Services division.

- Additionally, as part of the phase three expansion in Hyderabad, a lab was commissioned in the newly constructed Innopolis building with over 150 scientists and analysts dedicated to PROTACs, a targeted 7 protein degradation technology that offers therapeutic interventions not achievable with existing drug discovery approaches. 

Commenting on the results,  Kiran Mazumdar-Shaw, Executive Chairperson, Biocon and Biocon Biologics said: “We have had a strong start to the year. At a consolidated level, YoY revenues grew 23% backed by robust growth in both Biosimilars (29%) and Generics (19%). Core EBITDA grew 25% and margin improved to 31% compared to 30% in Q1FY22. and Net Profit grew 71% to Rs. 144 Crore. Our financial performance this quarter includes the impact of annual increments in personnel costs as well as increased input and freight costs, pursuant to pandemic and geopolitical disruptions of global supply chains. R&D investments increased significantly by Rs. 87 Crore this quarter reflecting pipeline progression to deliver future growth. All our three businesses are poised for the next phase of strong and sustainable growth which has been challenged during the two years of the COVID-19 pandemic.”