Biocon Q3 results: Net profit at Rs 25 cr, revenue at Rs 3,821 crore

Bengaluru-based biopharma firm Biocon on Thursday reported a consolidated net profit of Rs 25.1 crore in the third quarter of the financial year 2024-25 (Q3FY25). During the same period in the previous financial year, the company reported a loss of Rs 16 crore.

 

It also reported a profit before tax (PBT) of Rs 155.9 crore, down 80.8 per cent in Q3FY25.

 

The group reported Q3FY25 operating revenue of Rs 3,821 crore, driven by sustained double-digit growth of 14 per cent in biosimilars on a like-for-like basis and an 11 per cent rebound in research services.

 

Biocon’s earnings before interest and taxes (EBIT) amounted to Rs 787 crore, reflecting a 20 per cent margin.

 

“The strengthening of operational building blocks has improved growth visibility across all three businesses, reinforcing our confidence in continued growth for the rest of this financial year and beyond,” said Peter Bains, group chief executive officer, Biocon, commenting on the earnings.

 

Bains further highlighted that the biosimilars business maintained its growth momentum this quarter and is on track for multiple new product launches starting in Q4FY25. He also noted that Syngene’s growth rebound this quarter positions the company for a strong trajectory for the rest of the year. Additionally, he indicated that the recovery of the generics business in the fourth quarter would be driven by the introduction of its first GLP-1 generic in the UK and EU, along with new specialty product launches in the US.

 

Siddharth Mittal, chief executive officer and managing director, Biocon, noted, “The 10 per cent sequential revenue growth in the generics business was primarily driven by API sales, supported by an improved performance from generic formulations. We expect to see an improved performance in the quarters ahead.”

 

Jonathan Hunt, chief executive officer and managing director, Syngene International, noted that Discovery Services' initial “China+1” pilot projects with large and mid-size pharma firms are evolving into long-term contracts, reflecting Syngene’s strong partnerships, scientific excellence, and high standards. The contract development and manufacturing organisation (CDMO), driven by biologics, saw positive momentum, indicating stabilising US biotech market dynamics, though later than expected.

 

Biocon Biologics reported revenue from operations of Rs 2,289 crore, reflecting a 14 per cent yearly increase on a like-for-like basis. This growth accounts for adjustments to Q3FY24 revenue, excluding contributions from branded formulations India (BFI) and income from the partial divestment of the BFI business.

 

In the APIs and generic formulations segment, Q3 revenue from operations stood at Rs 686 crore, reflecting a 2 per cent year-on-year (Y-o-Y) decline but a 10 per cent quarter-on-quarter (Q-o-Q) increase. Ebitda for the quarter was Rs 39 crore.

 

Additionally, Syngene’s quarterly revenue from operations reached Rs 944 crore, marking an 11 per cent annual and 6 per cent quarterly growth. Ebitda for the quarter stood at Rs 302 crore, reflecting a 16 per cent yearly increase, with a margin of 31 per cent.

 

Biocon reported a steady performance in development and manufacturing services, driven by repeat biologics orders from existing customers and new integrated project collaborations spanning drug development to clinical-stage manufacturing. Moreover, its Discovery Services successfully transitioned pilot projects into full-scale contracts, positioning the segment for growth next year.

 

Commenting on the outlook, Kiran Mazumdar-Shaw, chairperson, Biocon, said, “Syngene’s return to growth, combined with global approvals for biosimilar ustekinumab and European approval for generic liraglutide, will pave the way for launches and drive growth in Q4 and beyond. These developments will strategically position the Biocon group for enhanced long-term growth.”