Lupin, India's third largest drug maker on August 7 reported a net profit of Rs 303 crore in the June quarter, a jump of 49.5 percent year-on-year (YoY), helped by sales growth in key markets such as the US, India and Asia Pacific.
The company reported a net profit of Rs 202.7 crore in the same period of previous year.
Lupin revenues rose 15 percent YoY to Rs 4,418.4 crore in Q1FY20.
The earnings before interest, tax, depreciation and amortisation (EBITDA) margins stood at 21.4 percent in Q1FY20.
Lupin's revenue growth was modest on quarter-on-quarter (QoQ) basis with revenues rising 0.7 percent and net profit rising 4.7 percent.
The results were slightly below analyst estimates. Analysts polled by Reuters expected net income at Rs 325.3 crore and revenues at Rs 4,480.3 for the first quarter of FY20.
The investment in Research and Development (R&D) for the quarter was Rs 378.5 crore representing 8.7 percent of sales.
Lupin’s North America sales grew 30 percent to Rs 1,541.2 crore in Q1 FY20, compared to sales of Rs 1,185.8 crore previous year. On the QoQ basis, North America sales dropped 11.5 percent.
North America that largely consists of the US sales accounted for 35 percent of Lupin’s global sales.
The company launched five products in the US market during the quarter. The company now has 175 products in the US generics market.
Lupin’s India formulation sales rose 10 percent YoY to Rs 1,307 crore. India sales accounts for 30 percent of company's global sales.
The Asia-Pacific sales grew 11 percent YoY to Rs 671.7 crore during Q1 FY2020. Asia Pacific that predominantly comprises Japan sales accounts 15 percent of Lupin’s sales.
“We are pleased with the robust all-round performance in our key markets, marking a healthy start for the fiscal year," said Nilesh Gupta, Managing Director, Lupin.
"This year is critical as we are committed to delivering on our strategic growth drivers, including commercialization of Complex Generics, ramp-up of our Specialty business and delivering on operational and cost efficiencies," Gupta said.
Gupta said the company was making steady progress on regulatory compliance front.
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