Cipla Q1 Results: Profit Rises 21% On Strong Sales In India
Growth in sales for Cipla was led mainly by the generics segment that grew 46%.
Cipla Ltd.’s quarterly profit rose more than expected after the drugmaker reported strong sales in India and other emerging markets.
The drugmaker’s net profit rose 21% year-on-year to Rs 578 crore in the quarter ended June, according to an exchange filing. That compares with the Rs 318-crore consensus estimate of analysts tracked by Bloomberg.
Revenue rose 9% over the year-ago period to Rs 4,346 crore—higher than the estimated Rs 4,057 crore.
The company’s India sales rose 16% year-on-year to Rs 1,608 crore during the quarter. The overall pharmaceutical industry’s sales, according to market researcher IQVIA, declined 4.9% during the period. Growth in sales for Cipla was led mainly by the trade generics segment that grew 46% over last year.
Sales in emerging markets also rose 64% to Rs 457 crore while they were 19% higher in Europe.
Cipla's earnings before interest, tax, depreciation and amortisation rose 16% year-on-year to Rs 1,049 crore. Analysts had pegged the company’s operating income at Rs 709 crore. Ebitda margin to 24% from 23% earlier.
Shares of Cipla closed 0.42% lower ahead of the results announcement, compared with a near flat Nifty 50 Index.