Gland Pharma Q2 Results FY2023, Net Profit at Rs. 2412 million

On 25th October 2022, Gland Pharma announced its second quarter results for the period ending 30th September 2022. 

Q2FY23 Performance updates:

-  Revenue from operations was reported at Rs. 10,444 million, with a drop by 3% YoY.
- The company reported EBITDA at Rs. 3625 million, with a drop by 15% YoY.
- The company reported PAT at Rs. 2412 million, with a drop of 20% YoY
- The Company has generated Rs. 3,956 million of cash flow from operations during first half of FY23. As of September 2022, the company had a total of Rs. 38,200 million of Cash and Bank balances.
 

Gland Pharma Q2FY2023 Result Video:

Business Highlights:

- Core markets of the US, Europe, Canada, and Australia accounted for 72% of revenue during Q2FY23 as compared to 67% in Q2FY22.  
- Sale to the US market is comprised of products sold to both US customers and Indian customers for US markets. For Q2FY23 direct sales to US customers were Rs. 5,984 million and to Indian customers for US markets were Rs. 754 million, totaling Rs. 6,738 million. Total sales to the US market grew by 5% YoY.
- The rest of the World markets, accounted for 21% of Q2FY23 revenue for the quarter and maintained a similar level of revenue contribution as compared to Q2FY22. The company has witnessed a recovery of business in its key market in MENA
- India market accounts for 7% of Q2FY23 revenue as compared to 12% in Q2FY22. The insulin line was operational during the second half of the quarter. Input costs continued to remain high due to supply-side challenges for the core portfolio impacting sales.
- The total R&D expense for Q2FY23 was Rs. 414 million which is 4.0% of revenue.
- During the quarter that ended September 30, 2022, the Company has filed 6 ANDAs, and 3 DMFs and received 6 ANDA approvals
- As of September 30, 2022, we along with our partners had 322 ANDA filings in the United States, of which 259 were approved and 63 pending approvals.
- Total Capex incurred during the quarter ended September 30, 2022, was Rs. 411 million. During the first half of the current financial year, the total Capex incurred was Rs. 825 million.

Commenting on the results, Mr. Srinivas Sadu, MD & CEO of Gland Pharma said “We closed this quarter Q2 FY23, with a revenue of Rs. 10,444 Million and a PAT of Rs. 2,412 Million. We continue to make investments in R&D and were able to complete 6 ANDA filings during this quarter. Although we have seen increased competition in our new products, we remain confident of our launch pipeline that will ensure sustainable growth. We are seeing positive momentum in our Biologics/Biosimilar CDMO business.”
 

The share price of Gland Pharma dropped by 14.56%.