Biocon net up 23 percent in Q1

Biotechnology major Biocon Ltd on Thursday reported net profit of Rs.126 crore for the first quarter of 2015-16, posting 23 percent year-on-year (YoY) growth from Rs.103 crore in the same period last year

Consolidated revenue for Q1 under review grew 15 percent YoY to Rs.857 crore from Rs.742 crore.

Earnings before interest, tax, depreciation and ammortisation (Ebitda) increased 24 percent YoY to Rs.236 crore from Rs.191 crore year ago, taking its operating margin to 28 percent from 26 percent in the same period.

"Strong performance in the quarter reflects overall growth of our business backed by a combination of product sales and monetisation of research and development assets through licensing," Biocon chairperson Kiran Mazumdar Shaw said in a statement here.

The R&D expenses shot up 60 percent to Rs.50 crore from Rs.31 crore while total spend on research was Rs.93 crore as against Rs.63 crore last year.

"Our biosimilars strategy is playing out well with five programms in phase three clinical development. We licensed biosimilar Trastuzumab in key emerging markets," Shaw said.

The company launched its insulin Glargine business in Mexico and Colombia during the quarter.

Its biopharmaceuticals segment benefitted from its insulins and biosimilars business in the emerging markets.

"Our partner in Denmark, Veloxis, received approval for its proprietary Envarus XR n formulation for prophylactic use in kidney transplant patients," Shaw added.

The city-based company also floated Biocon Pharma Ltd as a new entity to support its finished dosage generics business.