Pharmaceuticals company Gland Pharma announced Q2FY24 & H1FY24 results:
1. Financial Performance:
- Gland Pharma's Q2FY24 revenue stood at Rs 13,734 million, representing a YoY growth of 32%.
- The company achieved a net profit of Rs 1,941 million during Q2FY24.
- Revenue for H1FY24 was Rs 25,821 million, a 36% increase compared to the previous year.
2. Gross Profit Margin and EBITDA:
- Gland Pharma reported a gross profit margin of 63% in Q2FY24, higher than the previous year.
- The EBITDA margin for the quarter was 23%.
- Cenexi, a subsidiary of Gland Pharma, showed a gross profit margin of 77% despite an operational shutdown.
3. Geographic Revenue Breakdown:
- The USA accounted for 54% of Q2FY24 revenue, down from 65% in the same quarter last year.
- Europe and Rest of the World (ROW) markets saw growth due to the inclusion of Cenexi.
- India contributed to 6% of Q2FY24 revenue.
4. R&D Expenditure:
- Gland Pharma spent Rs 351 million on research and development in Q2FY24.
- The company filed 1 ANDA and received approval for 5 ANDAs during the quarter.
- Gland Pharma invested a total of Rs 971 million in capital expenditure during Q2FY24.
Commenting on the results, Srinivas Sadu, MD & CEO, Gland Pharma, said, “We ended the first half of FY24 with revenue of Rs 25,821 million, a 36% year-over-year increase, and a net profit of Rs 3,882 million. Pricing and market share trends have shown encouraging indicators of normalization in our key products, contributing to our revenue growth. The overall business stability is restoring confidence, and we stay optimistic about future growth with the forthcoming launches, portfolio expansion, and entry into new markets via a partner-led strategy.
Considering the annual summer shutdown in France & Belgium, revenues at Cenexi are in line with our estimates; However, the gross contribution margins saw a sequential improvement. Cenexi remains a strategic asset with a distinctive acquisition thesis, and we are committed to instituting effective measures and new investments to optimize operations and deliver long-term value to our shareholders.”