Torrent Pharma gains on good Q1 results

The company's consolidated revenue for Q1FY20 was at Rs 2,022 crore as compared to Rs. 1,872 in Q1FY19, a growth of 8 per cent YoY. EBITDA was at Rs. 558 crore, up by 11 per cent YoY and EBITDA margin was 28 per cent. Net profit for the quarter was at Rs. 216 crores as compared to Rs. 163 crore in Q1FY19, a growth of 33 per cent YoY. The company had reported a net loss of Rs. 152 crore in Q4FY19. Gross margins for the June quarter was at 72 per cent.

On a segmental basis, domestic sales accounted for the biggest share of Torrent Pharma's revenue for Q1FY20. India revenue grew 9 per cent to Rs. 907 crore as against Rs. 830 in Q1FY19, up by 9 per cent, while the US market grew the most up by 13 per cent at Rs. 376 crore as against Rs. 334 crore in previous quarter.

The company's R&D spend for the quarter was reported as Rs. 136 crore as against Rs. 128 crore in Q1FY19.

Reacting to this result, on Wednesday, the stock of Torrent Pharma closed at Rs. 1,592.70 per share, up by Rs. 124.10 or 8.45 per cent on BSE. The stock was up nearly 11 per cent during the day to hit an high of Rs. 1,623.95 per share.