Pharmaceuticals firm Strides Pharma Science Announced Q1FY23 Result : Strides reports an improved Q1FY23 with visible growth momentum Consolidated revenues at Rs 9,457m up 37% YoY Consolidated EBITDA at Rs 657m up 100%+ YoY with healthy EBITDA margin expansion Key businesses deliver steady performance, cost control measures yielding results Levers in place to deliver a strong performance in FY23 with improved profitability and a stronger balance sheet Commenting on the performance, Arun Kumar, Founder, Managing Director, and Executive Chairperson remarked, “We have started the new fiscal on a healthy note. Our strategy is now gaining traction across the front-end and partner-led businesses. Our customer engagement and strong order inflows give us confidence for even a more robust near-term performance as we progress forward. The US business has maintained growth during the quarter. However, Chestnut Ridge portfolio customer transition led to a spill of $5m to the current quarter. Adjusted for the same, the revenues in the US were at $51m with the adjusted consolidated EBITDA at ~ Rs 820m. The transition completed on 21st July and we are confident of a healthy ramp-up for the US business driven by improved performance in the base business and new launches from the combined portfolio of approved products to meet our stated growth outlook in the US. Although the Other Regulated markets witnessed a sequential decline due to currency headwinds, the long term outlook for the business remains steady. Our Emerging markets maintained the business trend, and we remain invested in the opportunity. One of the key drivers for performance this year will be our focus on cost controls. I am pleased to share that we are tracking to the plan on our control programs, and some of the major decisions taken over the last few months have started to yield savings. We remain aggressive on cost curtailment, including a significant focus around our manufacturing network optimization. With all levers in place, we are confident to deliver a strong performance in FY23 with significantly improved profitability and a stronger balance sheet.” Result PDF
Strides Pharma Science declares Q4FY22 result: All businesses return to growth with visible green shoots Guides for an encouraging FY23 with focus on growth, higher cashflows & reduction in debt Q4 Revenues at Rs 8,699m up 9% and EBITDA at Rs 461m up 100%+ over previous quarter Commenting on the performance, Arun Kumar, Founder, Executive Chairperson & Managing Director remarked, “FY22 has been a challenging year for the pharma industry and, particularly for Strides, given the significant headwinds. We have witnessed unusual price erosion and volume drops in the US, leading to significant compression in our gross margins. The other regulated markets delivered a tepid growth as the business was impacted in H1FY22 due to covid led disruptions. In light of the evolving business environment, we have made several changes to our businesses with a focus on growth, better cash flows and a significant debt reduction. Our growth across the market will be driven by portfolio expansion leveraging our approved portfolio and new customer acquisition for our IP? led B2B businesses. We will aggressively focus on the cost reduction, while one of the key actions planned for the year is to reduce our gross debt by over Rs 10b in FY23, which will bring our Net Debt to EBITDA below 3x. While the operating environment continues to evolve and is ambiguous, we stay confident of a bounce-back in FY23 to deliver significant value for our stakeholders in the coming years.” Result PDF