Granules India Q4 Review - Strong Growth; Headwinds On Supply Front To Affect Margins: KRChoksey

Granules India manufacturing facility. (image: Company website). 

Granules India Q4 Review - Strong Growth; Headwinds On Supply Front To Affect Margins: KRChoksey

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

KRChoksey Research Report

Granules India Ltd. reported revenue growth of 33.2% YoY (down 5.4% QoQ) to Rs 79,931 lakh in Q4 FY21.

QoQ decline was largely due to loss of Acetaminophen (paracetamol) active pharmaceutical ingredient sales in the quarter, owing to shortage of its key starting materials.

Consequently, Ebitda grew 102.1% YoY (down 4.5% QoQ) to Rs 20,201 lakh in Q4 FY21 while Ebitda margin expanded to 25.3% in Q4 FY21 (up 861 basis points YoY / 22 bps QoQ).

Net profit grew 38.2% YoY, however, declined 13.1% QoQ to Rs 12,757 lakh.

The products mix is rising towards high-margin finished drugs segment, leading to huge margin expansion YoY.

Click on the attachment to read the full report:

KRChoksey Granules India Q4FY21 Result Update.pdf

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