Pharmaceuticals company Glenmark Life Sciences announced Q1FY24 results: GLS registered revenue from operations of Rs 5,785 million for Q1FY24, recording a strong growth of 18.1% YoY and a decline of 6.9% compared to the high base of Q4FY23. Gross margins improved strongly in Q1FY24 trending at 57.1%, up 220 bps QoQ and 380 bps YoY; driven by lower input costs and a better product mix. EBITDA for Q1FY24 was at Rs 1,950 million up 24.8% YoY. EBITDA margins were at 33.7%, up 180 bps YoY driven by higher gross margin and offset by higher operating cost. PAT was at Rs 1,355 million in Q1FY24, registering a growth of 24.6% YoY. PAT Margin for the quarter was at 23.4%, up 120 bps YoY. R&D; expenditure for Q1FY24 was at Rs 174 million, 3% of sales. Capital expenditure for Q1FY24 was at Rs 354 million. ROICE (adjusted for Cash and CWIP) was 35% for Q1FY24 and the Fixed assets turnover ratio at 2.7x. Strong free cash generation of Rs 982 million during Q1FY24 leading to Cash & Cash Equivalents of Rs 3,820 million as on June 30 2023. Commenting on the company’s performance Dr. Yasir Rawjee, MD & CEO, Glenmark Life Sciences said, “Our performance in the quarter was driven by Generic API and the CDMO businesses. Geographically, the US, Europe, ROW and India markets spearheaded this growth. We remain focused on our strategic priorities of building capacities as well as strengthening our product pipeline. This coupled with an improved demand environment and supply situation will act as a catalyst for growth in the coming quarters.” Commenting on the company’s performance Tushar Mistry, CFO, Glenmark Life Sciences said, “I am delighted to report continued growth momentum in Q1 with improved gross margins on the back of rationalisation in input cost and improved product mix. EBITDA and PAT margins improved due to better gross margins. GLS generated strong free cash flow of Rs 98 crore during the quarter further strengthening the debt-free balance sheet.” Result PDF
Pharmaceutical company Glenmark Life Sciences announced Q4FY23 & FY23 results: Q4FY23: Revenue from operations of Rs 6,213 million for Q4FY23, recording a strong growth of 14.9% QoQ and growth of 20.9% YoY Gross Margins for Q4FY23 were at 54.9%, up 390 bps QoQ and up 450 bps YoY Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) for Q4FY23 was at Rs 2,092.7 million up 37.6% on QoQ and 42.1% YoY. EBITDA margins were at 33.7%, up 560 bps QoQ and up 500 bps YoY Profit After Tax (PAT) was at Rs 1,463.6 million in Q4FY23, registering a growth of 39.4% QoQ and 48% YoY. PAT Margin for the quarter was 23.6%. FY23: Revenue from operations for FY23 was at Rs 21,612 million, up 1.8% YoY EBITDA for FY23 was at Rs 6,712.5 million, up 6.4% YoY PAT for FY23 was at Rs 4,670 million, up 11.5% YoY R&D; expenditure for FY23 was at Rs 652 million, 3.0% of sales Capital expenditure for FY23 was at Rs 1,702 million Healthy cash generation from operation at Rs 3,134 million with free Cash flow of Rs. 1,432 million ROICE (adjusted for Cash and CWIP) was 33.5% for FY23 and the Fixed assets turnover ratio at ~3x Commenting on the company’s performance Dr. Yasir Rawjee, MD & CEO, Glenmark Life Sciences said, “At Glenmark Life Sciences we have concluded the financial year 2023 on a high note delivering revenue from operations of Rs 621 crore which grew by 15% on sequential basis and 21% YoY. The growth was driven by strong momentum in the Generic API business as well as significant recovery in demand in the CDMO business. Going forward we shall continue to focus on our strategy to prioritize investment into our growth pillars, build a strong pipeline of products and scale up our business to deliver sustainable long-term growth.” Tushar Mistry, CFO, Glenmark Life Sciences Limited said, “It gives me pleasure to inform you that our strong growth was accompanied by better margins driven by higher contribution from CDMO business, better product mix, PLI benefit and lower input costs. On the balance sheet part, working capital has eased off during the quarter driven by lower inventory levels compared to previous quarter as well as higher payable days. Our cash generation remains strong during FY23 leading to stable debt free balance sheet with healthy cash.” Result PDF
Pharmaceuticals firm Glenmark Life Sciences announced Q3FY23 results: Q3FY23: GLS registered a revenue of Rs 5,407 million for Q3FY23 from operations, recording a growth of 6.2% QoQ and 3.5% YoY. Gross margins for the quarter were at 51.0%, up 20 bps YoY, driven by product mix and PLI scheme benefit EBITDA was at Rs 1,520.6 million for Q3FY23. EBITDA margin at 28.1% remains steady on YoY basis, with a slight sequential decline mainly due lower gross margins PAT for the quarter was at Rs 1,049.9 million in Q3FY23, registering a growth of 1.2% YoY. PAT margin for the quarter was at 19.4%. Gross margins for the quarter were at 51.0%, up 20 bps YoY, driven by product mix and PLI scheme benefit. R&D; expenditure was at Rs 167.6 million, 3.1% of sales. Capital expenditure was at Rs 324 million. ROICE (adjusted for Cash and CWIP) was 32.2% for 9MFY23 and the fixed assets turnover ratio at ~3x. Commenting on the company’s performance, Dr Yasir Rawjee, MD & CEO, Glenmark Life Sciences Limited, said, “I am pleased to report that the company has continued its upward trajectory to witness steady growth both on sequential as well as YoY basis on the back of a robust performance of our external business. India, Europe and LATAM were the main catalysts for growth whereas the US witnessed a healthy recovery. The GPL business saw a strong recovery in the current quarter while the CDMO business was sluggish, and we expect it to pick up strongly from Q4 onwards.” Rawjee further added, “During 9MFY23, we launched 5 new products, and we continue to cross-sell our wide product basket to existing customers across different geographies. Overall, as the three levers of the business (External business, GPL and CDMO) are on track to perform well, I am confident of delivering steady growth with stable margins in the coming quarters.” Tushar Mistry, CFO, Glenmark Life Sciences Limited, said, “The company continues to grow steadily with revenue from operations growing 3.5% on YoY basis and 6.2% sequentially. EBITDA for the quarter at 28.1% was steady on YoY basis. Our proactive cost control measures have helped us maintain our EBITDA margins for the nine months at 30%. We are also witnessing increased capacity as Dahej block comes online. That said, we are strategically commissioning the Dahej block module-wise to keep expenses under control which will ensure steady margins in the coming quarters. Our prudent working capital management during the quarter has led to healthy cash flow generation from the operations. Reviving demand in the regulated markets and GPL business supported by excess capacity availability will propel growth in coming quarters.” Result PDF