Biocon came out with the financial results for the quarter ended December’08 and held a tele conference call on 21st January’09 to discuss the performance as well as future course of actions. The following are the key takeaways from the meet are as follows.
- The consolidated total income from operation for the quarter ended December’08 registered a growth of 83% to Rs 438.09 and net profit declined by 90% to Rs 28.20 crore.
- For the nine months ended December’08, the total income from operating increased by 46% to Rs 789.14 crore and net profit of Rs 68.24 crore, a degrowth of 83% on yoy basis.
- Retail sales for the nine months ended December’08 are around Rs 80 crore.
- Synegene registered a net sales of Rs 56 crore (growth of 16% QoQ basis) and net profit of Rs 16 crore for the quarter ended December’08.
- Syngene and Clinigene delivered 21% sales growth to Rs 157 crore in the nine months of FY’09.
- On consolidated basis, for the quarter under review, Pharmaceuticals segment revenues improved by 93% to Rs 375.44 crore, contributed 85% to total sales and Contract Research business revenues went up by 43% to Rs 63.83 crore and contributed 15% to total sales.
- Tax rate for the year would around 7-8%.
- Licensing income for the quarter was stood at Rs 2.8 crore, an increase of 21% on yoy basis.
- Increase in inventory is due to cutting the supply of drugs to the payment pending distributors.
- Balance sheet position as 31st December’08): Cash and bank balance – Rs 43.7 crore and loans and advances- Rs 8.49 crore.
- Company incurred forex loss of Rs 45.80 crore due to Mark to Market loss and cancellation charges for the Cancelled forward contracts.
- Mark to Market loss for the quarter is around Rs 33 crore and cancelled forward contracts loss is around 13 crore.
- Expects to book forex loss of around Rs 30 crore for Q4 FY’09 if rupee stay at Rs 49 Vs Dollar.
- Company spends around Rs 200 crore on Capex plans for the YTD.
- Capex for FY’10 would be around 100 crore.
- AxiCrop has been selected as the AOK tender supplier for a key generic drug in Germany. The contract is planned to be awarded for the entire German territory over the next 2 years which would give revenues of around Euro 20 to 50 million for the next two years.
- The company completed non-inferiority Phase III Clinical trial for Glargine a basal Insulin analog.
- Expects to start Phase III Clinical trails of IN105 in Type II Diabetics.