Biocon Q1 net up 17.5%

Revenues up 22% to Rs 723 crore on back of strong performance from its portfolio of small molecules

Indian biotech major Biocon Ltd has seen its net rise 17.5% to Rs 94 crore for Q1 FY14 on back of a strong performance from its portfolio of small molecules. In a filing on the NSE, the company said that its revenues, meanwhile, were up 22% to Rs 723 crore.

The EBITDA of the company rose 26% to Rs 175 crore for the period.

According to the company, during the quarter the small molecules portfolio had delivered a strong performance, led by Immunosuppressants and specialty molecules like Fidaxomicin and Orlistat. The statins portfolio has remained stable, despite the changing market dynamics, the company added.

The biosimilars portfolio too delivered a healthy growth this quarter, as the company enhanced its geographical footprint in generic rh-insulin to over 45 countries. The Insulin manufacturing plant recently underwent a capacity enhancement drive, which was initiated in late Q4 FY13. The plant is now back on-stream, and it is expected to provide the necessary fillip to sustain the growth momentum going forward.

On the results, Kiran Mazumdar-Shaw, Chairman and Managing Director, said, "Biocon's insulins business continues to do well, riding on the back of an increased geographical footprint in the emerging markets. The India-focused branded formulations vertical as well as our research services continue to grow at a steady pace. Our research programmes are making good progress."  

The company is gung-ho about the upcoming launch of Alzumab, its second novel biologic. The molecule for the treatment of psoriasis is set to hit the Indian market.

"The present fiscal will see us consolidate our various initiatives whilst we continue our investments in our biosimilars and novel molecules, to deliver a sustainable growth platform," Mazumdar-Shaw added.

Analysts have attributed this to the improving base business of the company and a progress in its bio-similar platform. They had also given favourable reports citing the good growth in business from its CRO and the biopharma divisions.