Our unflinching focus on regulatory compliance and ensuring adherenceto the best global practices in quality and safety further strengthen our valueproposition.
As we prepare this year's annual letter the world is facing anunprecedented situation with the COVID-19 crisis having a far-reaching socioeconomicimpact. At Alkem our thoughts have been with the frontline health and essential servicesworkers who are most at risk as they battle it out to control the outbreak. In thisunusually changed landscape we renew our commitment to serve healthcare needs andcollaborate for the benefit of all our stakeholders and for our great nation. Together wewill emerge stronger from this crisis. Meanwhile we urge you to follow the proactive andpreemptive guidelines to stay safe and stem the spread of COVID-19.
Every organisation's journey is defined by milestones and leadershipthat makes those milestones possible. Our Late Founder and Chairman Mr. Samprada Singhwas a true visionary who through his foresight and brilliance pioneered several landmarkachievements to enable Alkem's evolution into a globally reputed Indian pharmaceuticalcompany. Leading by example and exemplifying the values of commitment determination andintegrity our Late Founder will continue to be an inspiration as we live his dream andwork hard together to take Alkem to greater heights.
As we review the year gone by I take great satisfaction in reportingthat the Company has delivered robust performance. More importantly this performance hasbeen broad-based with all our key markets recording healthy revenue growth. We alsodelivered significant improvement in our profitability. These results indicate that theefforts towards cost optimisation better business mix and productivity improvements areyielding the desired outcomes. Lower effective tax rates on account of investments made inmanufacturing facilities that are entitled to fiscal benefits have also worked to theCompany's advantage. We continue to drive strong cash flows and healthy balance sheet withour leaner operating model and enhanced commercial excellence.
Our diversified market presence is key to our ability to deliversustained value. In India we feature amongst the top pharmaceutical players with marketleadership in the acute therapeutic segments. We are also taking impressive strides in thefast-expanding chronic segment through focussed investments in select therapy areas. Inthe US which is the world's largest pharmaceutical market we have been making stronginroads despite a relatively late entry compared to other Indian players. While thecompetition is intense in this market resulting in pricing pressure we are confident ofmaintaining our growth momentum led by our robust ANDA filings and timely launches. We arealso tending towards complex generics in the US where the competition is relatively lowerand market opportunity is higher.
Alkem was founded over four decades ago on the principle to developmanufacture and deliver affordable and effective drugs to make a difference in the livesof patients. Throughout our history led by our dedicated and experienced R&D teamwhich has enabled us to strengthen our product portfolio and pipeline we have maintainedthat patient-centric approach. During the year we made R&D investments amounting toRs 4726 million which is about 5.7% of our total revenues. Our unflinching focus onregulatory compliance and ensuring adherence to the best global practices in quality andsafety further strengthen our value proposition.
It gives me great pleasure to acknowledge the continued hard workexpertise and dedication of our employees. Without their efforts we would not haveachieved so much. We remain committed to invest in our people for their ongoing learningand growth. We are also investing significantly in latest technologies to empower ourpeople and enhance our operational excellence.
At Alkem we understand the importance of giving back to ourcommunities. During the year we continued carrying out structured interventions in areasof health education and rural infrastructure in the communities in which we live andwork. Through our corporate social responsibility endeavours we aim to promote social andeconomic benefits for the financially vulnerable sections of the society and bring about atransformative change. In the tough times following the coronavirus crisis we reached outto medical teams and patients at hospitals to provide protective equipment for theirwellbeing. We also extended support to local communities by providing food essentials.
In closing I would like to warmly thank our employees customerspartners the medical fraternity government agencies and shareholders for their supportthroughout the year. I would also like to extend my sincere appreciation to my fellowBoard members and to the senior management for their leadership and guidance. We lookforward to continuing working together and driving greater momentum to build a strongercompany and a more robust industry for the many people who depend on our solutions.
Basudeo N. Singh