Q3FY19: Aurobindo Pharma net profit up by 19.7 per cent

Aurobindo Pharma’s net profit rose to Rs. 712.2 crore (including Rs. 50.5 crore forex gain) in the quarter ended December 2018 as against Rs. 595 crore in the corresponding quarter a year ago on the back of a strong performance in the US, Europe and emerging markets.

India’s second largest drug maker reported a total income of Rs. 5,269.7 crore for the quarter ended December 2018 as against Rs. 4,336.1 crore in the corresponding quarter last year, up 21.53 per cent YoY.

The US formulation business grew by 27.4 per cent to Rs. 2,433.2 crore and contributed 46.2 per cent of the total revenue. The European business which accounted for 24.5 per cent of the total revenue, grew 10.3 per cent YoY to Rs. 1,292.8 crore. Sales from the rest of the world grew by 36.1 per cent to Rs. 340.5 crore and made up 6.5 per cent of the company’s total revenues.

The company’s R&D spend for the quarter stood at Rs. 254.6 crore, which is 4.8 per cent of it’s revenue. It has launched seven products (including two injectables) during the quarter.

Sales of active pharmaceutical ingredients (API), one of the key raw materials used to produce drugs came in at Rs. 921.7 crore, registering a growth of 20.4 per cent.

The antiretroviral (ARV) business jumped to Rs. 281.3 crore during the quarter, up by 17.8 per cent.

ARV’s contribute 5.3 per cent to the company’s gross revenues. ARV’s are used in the treatment of HIV-AIDS.

The company filed 10 new abbreviated new drug applications (ANDAs) with the USFDA including 4 for injectable products during Q3FY19. The company received final approval for 14 ANDAs. The company has received a cumulative 397 ANDA approvals from the USFDA.

On Friday, the stock of Aurobindo Pharma was trading at Rs.769.65 per share, down  about 1 per cent on the NSE.