Drug major Cipla on Tuesday posted a 7.6 percent increase in its consolidated net profit to Rs 712 crore for the second quarter ended September 30, 2021.

In the corresponding quarter last year, the company posted a net profit of Rs 661.8 crore. CNBC-TV18 Poll had predicted a profit of Rs 688.6 crore for the quarter under review.

Consolidated revenue from operations increased by 9.6 percent to Rs 5,519.8 crore from Rs 5,038.3 crore in the corresponding quarter of 2020-21.

Also Read:

Bajaj Finance Q2 results: Net profit rises 53.5% to Rs 1,481 crore, misses estimates

Earnings before Interest, Tax, Depreciation, and Amortisation (EBITDA) grew by 4.2 percent to Rs 1,226.2 crore as against Rs 1,176.7 crore in the corresponding period last year.

The company said the overall business grew by 16 percent YoY on a high FY21 base led by sustained volume traction across core therapies; covid portfolio contribution normalising in-line with expectations. US business reported $142 million revenue at multi-quarter high and steady momentum in core products offsetting price erosion in rest of the portfolio, it said.

"Continued healthy net cash positive position led by growth in operating profitability and prudent working capital management; Prepaid $137.5 million outstanding InvaGen acquisition debt during the quarter. The branded prescription business continued strong performance driven by sustained volume traction across therapies in core portfolio; covid portfolio contribution normalising in-line with expectations," Cipla said.

Also Read: Axis Bank logs its highest-ever quarterly profit at Rs 3,133 crore in Q2, up 86%; beats estimates

"I am pleased to see the strong momentum in core therapies across our branded markets and sustained cost control leading to 10 percent revenue growth and 22.2 percent EBITDA margin for the quarter, offsetting price erosion and normalising covid contribution. In India, we continue to drive strong performance led by sustained volume traction despite a high FY21 base," said Umang Vohra, MD and Global CEO, Cipla Ltd.

"Our collaboration with Eli Lily for their diabetes products helps us further strengthen our endeavour of creating access to innovative medicines in line with the One-India strategy. The US business also witnessed healthy run-rate driven by core portfolio and desired traction in respiratory franchise across Albuterol and Arformoterol," Vohra said.

The results came after the close of the market hours. Shares of Cipla ended at Rs 907.30 up by Rs 5.40, or 0.60 percent on the BSE.

Also Read: Kotak Mahindra Bank Q2 Results: Profit down 7% at Rs 2,032 crore but beats Street estimates

(Edited by : Jomy Jos Pullokaran)

First Published:Oct 26, 2021 6:50 PM IST