Biocon Ltd.’s first-quarter profit rose on higher sales and lower taxes. Still, its earnings missed forecasts.
Other Highlights (YoY)
Revenue from generics saw a growth of 19% and contributed to 26% of the total revenue.
Biosimilars (Biocon Biologics Ltd.) reported growth of 29% at Rs 977 crore, accounting for 45% of the revenue.
Research services reported a growth of 8% and made up for 29% of the quarterly revenue.
There was no revenue from novel biologics during this quarter.
Kiran Mazumdar-Shaw, executive chairperson at Biocon and Biocon Biologics, said in the exchange filing that they have had a strong start to the year.
"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."
According to her, the three businesses—Biocon Generics, Biocon Biologics and Syngene—are "poised for the next phase of strong and sustainable growth" after facing challenges during the two years of the pandemic.
Research and development investments increased significantly by Rs 87 crore in this quarter, reflecting pipeline progression to deliver future growth, she said.
Of this, Biocon Biologics' R&D investments this quarter grew by 120% year-on-year to Rs 130 crore, representing 13% of its revenue.
Dr Arun Chandavarkar, managing director at Biocon Biologics, said that the strategic alliance with Serum Institute Life Sciences for vaccines and the acquisition of Viatris Inc.’s global biosimilars business "are on track for closure in the second half of this calendar year”.
Shares of Biocon closed 1.59% higher before the results were announced compared with a 0.99% rise in the benchmark Sensex.
RECOMMENDED FOR YOU
POPULAR