Profit before tax (PBT) slipped 17.45% to Rs 150.24 crore in the quarter ended 30 June 2024 as compared with Rs 182 crore in the quarter ended 30 June 2023.

EBITDA stood at Rs 165 crore in Q1 FY25, registering the de-growth of 15.38% as compared with Rs 195 crore posted in corresponding quarter last year. In Q1 FY25, EBITDA margin reduced to 28% as against 33.7% in Q1 FY24.

Generic API Business stood at Rs 535.40 crore in Q1 FY25, up 6.18% YoY and 10.5% QoQ, was driven by strong growth in regulated markets and steady growth in emerging markets. Whereas CDMO business declined 8.40% to Rs 42.50 crore in Q1 FY25 as compared with Rs 46.40 crore in Q1 FY24.

DMF / CEPs filing continue across major markets, taking the total cumulative filings to 532 as on 30 June 2024.

In Q1FY25, Addition of 5 new products to the development grid, of which 3 products are High potent API (HP API) / Oncology class of drugs and 2 are synthetic small molecules.

Revenue from GPL business marginally fell to Rs 196.30 crore in Q1 FY25 as compared with Rs 196.40 crore in Q1 FY24. GPL business contributes 33% of the total revenue from operations.

Regulated market contributed 84% in Q1 FY25 as against 78% in Q1 FY24, regulated market growth was driven by growth in Non-GPL business and CDMO business

During Q1FY25, company generated strong free cash flow of Rs 121.30 crore leading to cash and cash equivalents of Rs 426.30 crore as of 30 June 2024.

On the Capex front, the company said that Dahej facility's 18 KL pharma capacity is under validation and will be operational in Q2 FY25.

Construction of remaining 208 KL capacity out of 400 KL of intermediate block at the Ankleshwar site is completed and will be operational in Q2 FY25. In Solapur, construction work has started for 200 KL in phase I, further capacity expansion will be calibrated as per the volume demand.

Dr. Yasir Rawjee, MD & CEO, Glenmark Life Sciences said, “We are pleased to report broad-based revenue growth for the quarter, where, as anticipated, growth has picked up sequentially. Our Generic API business experienced a robust 10.5% QoQ and 6.2% YoY growth. YoY growth was led by Europe, LATAM and RoW. The GPL business saw a significant recovery this quarter. With the key drivers of our business - GPL, Non-GPL and CDMO performing well, we anticipate delivering steady growth with stable margins throughout FY25.”

Tushar Mistry, CFO, Glenmark Life Sciences said, “Q1FY25 has been marked by a recovery in growth. While gross margins were impacted by the discontinuation of the PLI benefit to GLS as well as product mix, employee costs have normalized, leading to stable EBITDA margins of 28% for Q1FY25. We are optimistic about maintaining the growth momentum for the rest of the year. GLS generated strong cash flow of Rs 121 crore during the quarter, further strengthening our debt-free balance sheet.”

Meanwhile, the company’s board has approved the re-appointment of Dr. Yasir Rawjee as managing director (MD) and CEO of the company for a term of 5 years with effect from 13 August 2024 to 12 August 2029.

Glenmark Life Sciences, a subsidiary of Glenmark Pharmaceuticals, is a developer and manufacturer of select high-value, non-commoditised active pharmaceutical ingredients (APIs) in chronic therapeutic areas, including cardiovascular disease, central nervous system disease, pain management, and diabetes.