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
Pharmaceutical firm Glenmark Life Sciences announced Q2FY23 results: GLS registered revenue from operations of Rs 5,093 million for Q2 FY23, recording a growth of 4% QoQ and de-growth 4% (ex-covid) over a higher base of Q2 FY22 Gross Margins for the quarter were at 52.9%, up 120 bps YoY driven by a better product mix and PLI scheme benefit Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) was at Rs 1,537 million for Q2 FY23 with margins steady at 30.2% Profit After Tax (PAT) for the quarter was at Rs 1,069 million in Q2 FY23, registering a de-growth of 7.2% YoY. PAT Margin for the quarter was at 21% up by 50bps YoY Dr. Yasir Rawjee, MD & CEO, Glenmark Life Sciences Limited said, “I am pleased to share that despite global uncertainties, the Company exhibited growth on a sequential basis. External businesses (ex-GPL) was the key driver for this quarter, growing 13% YoY basis and 16% QoQ. India, LATAM, and Japan drove the growth during the quarter. The CDMO business also showed momentum, posting 27% growth QoQ. ” Dr. Rawjee further added, “I am happy to announce that we have completed the Dahej Capex and commenced commercial production from the third quarter. The new capacity will help us achieve the next leg of growth in the coming years. We remain confident of growing steadily in coming quarters with our differentiated products and wide geographical reach.” Tushar Mistry, CFO, of Glenmark Life Sciences Limited said, “The revenue for this quarter registered a 4% sequential growth despite a substantial degrowth in the GPL business. EBITDA margins at 30.2% was steady. The resilient margin profile in the face of global uncertainties has come on the back of continuous focus on cost improvement programs, efficient supply chain management and the intrinsic fact that our products are high-value niche molecules. With all the planned capex in place, the company is uniquely positioned to address the opportunities with its differentiated product offerings across a wide geography.” Result PDF
Glenmark Life Sciences announced Q1FY23 results: GLS registered revenue from operations of Rs 4,898.7 million for Q1 FY23, recording a YoY decline of 6.7% due to high base of COVID products sales last year. (+6.5% YoY excluding COVID products) Gross margins for the quarter improved to 53.3% mainly driven by booking of PLI scheme incentive. Gross Margins excluding PLI scheme incentive were stable at 52.0 % driven by better product mix and cost optimization efforts. Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) was at Rs 1,562.6 million for Q1 FY23 with margin at 31.9%. Profit After Tax (PAT) was at Rs 1,087.3 million in Q1 FY23, registering a growth of 7.7% YoY Commenting on the company’s performance, Dr. Yasir Rawjee, MD & CEO, Glenmark Life Sciences Limited said, “We are pleased with our performance in this quarter with the overall business growing steadily, ex-covid products. India, LATAM, and ROW continue to lead our growth with Europe being soft due to supply chain issues. Generic API business saw a healthy growth of 7.1% YoY ex-covid products, whereas CDMO business witnessed an impact due to inventory rationalisation at customers’ end. We are witnessing improvement in demand for APIs across geographies, and I am optimistic about continuing the growth momentum in coming quarters” Dr. Rawjee further added, “Our CAPEX plans are slightly delayed but we expect closure on some of these investments by the end of Q2 FY23. Our brownfield projects continue to be on track and will be completed by the end of this fiscal year. The addition of these new capacities will facilitate sustainable growth as we expand our product portfolio and continue to deliver higher volumes for existing products in the coming years.” Result PDF