On consolidated basis
Quarter ended September 2024 compared with Quarter ended September 2023.
Net sales (including other operating income) of Alkem Laboratories has declined 0.74% to Rs 3414.67 crore. Operating profit margin has jumped from 21.71% to 22.05%, leading to 0.82% rise in operating profit to Rs 752.83 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 24.47% to 26.03%. Purchase of finished goods cost fell from 12.82% to 10.21%. Employee cost increased from 16.48% to 17.61%. Other expenses rose from 24.07% to 24.43%. Other income rose 112.82% to Rs 134.48 crore. PBIDT rose 9.56% to Rs 887.31 crore. Provision for interest fell 7.19% to Rs 28.14 crore. Loan funds rose to Rs 1,477.90 crore as of 30 September 2024 from Rs 1,441.33 crore as of 30 September 2023. Inventories rose to Rs 2,912.18 crore as of 30 September 2024 from Rs 2,541.46 crore as of 30 September 2023. Sundry debtors were higher at Rs 2,498.11 crore as of 30 September 2024 compared to Rs 2,447.82 crore as of 30 September 2023. Cash and bank balance declined from Rs 3,300.68 crore as of 30 September 2023 to Rs 1,952.25 crore as of 30 September 2024. Investments rose to Rs 1,160.06 crore as of 30 September 2024 from Rs 625.54 crore as of 30 September 2023 . PBDT rose 10.21% to Rs 859.17 crore. Provision for depreciation rose 6.78% to Rs 78.91 crore. Fixed assets increased to Rs 2,679.32 crore as of 30 September 2024 from Rs 2,584.45 crore as of 30 September 2023. Intangible assets declined from Rs 501.41 crore to Rs 419.20 crore. Profit before tax grew 10.57% to Rs 780.26 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 78.3 crore, compared to Rs 33.15 crore. Effective tax rate was 10.04% compared to 5.12%. Net profit attributable to owners of the company increased 10.98% to Rs 688.64 crore. Equity capital stood at Rs 23.91 crore as of 30 September 2024 to Rs 23.91 crore as of 30 September 2023. Per share face Value remained same at Rs 2.00. Promoters’ stake was 55.66% as of 30 September 2024 ,compared to 56.74% as of 30 September 2023 .
For year-to-date (YTD) results analysis.
Net sales (including other operating income) of Alkem Laboratories has increased 0.60% to Rs 6446.49 crore. Operating profit margin has jumped from 17.73% to 21.12%, leading to 19.86% rise in operating profit to Rs 1,361.47 crore. Purchase of finished goods cost fell from 12.44% to 11.09%. Employee cost increased from 17.75% to 18.26%. Other expenses fell from 25.66% to 23.96%. Other income rose 97.47% to Rs 254.79 crore. PBIDT rose 27.77% to Rs 1616.26 crore. Provision for interest fell 4.73% to Rs 57.25 crore. Loan funds rose to Rs 1,477.90 crore as of 30 September 2024 from Rs 1,441.33 crore as of 30 September 2023. Inventories rose to Rs 2,912.18 crore as of 30 September 2024 from Rs 2,541.46 crore as of 30 September 2023. Sundry debtors were higher at Rs 2,498.11 crore as of 30 September 2024 compared to Rs 2,447.82 crore as of 30 September 2023. Cash and bank balance declined from Rs 3,300.68 crore as of 30 September 2023 to Rs 1,952.25 crore as of 30 September 2024. Investments rose to Rs 1,160.06 crore as of 30 September 2024 from Rs 625.54 crore as of 30 September 2023 . PBDT rose 29.39% to Rs 1559.01 crore. Provision for depreciation rose 8.94% to Rs 159.39 crore. Fixed assets increased to Rs 2,679.32 crore as of 30 September 2024 from Rs 2,584.45 crore as of 30 September 2023. Intangible assets declined from Rs 501.41 crore to Rs 419.20 crore. Profit before tax grew 32.22% to Rs 1,399.62 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 147.42 crore, compared to Rs 98.19 crore. Effective tax rate was 10.53% compared to 9.81%.Net profit attributable to owners of the company increased 35.99% to Rs 1,233.80 crore. Equity capital stood at Rs 23.91 crore as of 30 September 2024 to Rs 23.91 crore as of 30 September 2023. Per share face Value remained same at Rs 2.00. Promoters’ stake was 55.66% as of 30 September 2024 ,compared to 56.74% as of 30 September 2023 .
Full year results analysis.
Net sales (including other operating income) of Alkem Laboratories has increased 9.21% to Rs 12667.58 crore. Operating profit margin has jumped from 13.88% to 17.73%, leading to 39.52% rise in operating profit to Rs 2,245.49 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 27.45% to 26.04%. Purchase of finished goods cost rose from 12.46% to 12.87%. Employee cost decreased from 19.14% to 17.39%. Other expenses fell from 26.50% to 25.95%. Other income rose 43.85% to Rs 310.84 crore. PBIDT rose 40.03% to Rs 2556.33 crore. Provision for interest rose 4.70% to Rs 112.41 crore. Loan funds declined from Rs 1,492.36 crore as of 31 March 2023 to Rs 1,418.41 crore as of 31 March 2024. Inventories rose to Rs 2,661.18 crore as of 31 March 2024 from Rs 2,607.53 crore as of 31 March 2023. Sundry debtors were higher at Rs 2,252.81 crore as of 31 March 2024 compared to Rs 2,132.18 crore as of 31 March 2023. Cash and bank balance declined from Rs 2,616.89 crore as of 31 March 2023 to Rs 1,579.35 crore as of 31 March 2024. Investments declined from Rs 621.82 crore as of 31 March 2023 to Rs 483.78 crore as of 31 March 2024. PBDT rose 42.24% to Rs 2443.92 crore. Provision for depreciation fell 3.58% to Rs 299.3 crore. Fixed assets increased to Rs 2,614.61 crore as of 31 March 2024 from Rs 2,513.53 crore as of 31 March 2023. Intangible assets declined from Rs 492.56 crore to Rs 416.74 crore. Profit before tax grew 52.34% to Rs 2,144.62 crore. Share of profit/loss were nil in both the periods. Extraordinary items were decreased to Rs -121.49 crore. Provision for tax was expense of Rs 211.67 crore, compared to Rs 297.96 crore. Effective tax rate was 10.46% compared to 22.84%. Minority interest decreased 30.70% to Rs 15.69 crore. Net profit attributable to owners of the company increased 82.47% to Rs 1,795.77 crore. Equity capital stood at Rs 23.91 crore as of 31 March 2024 to Rs 23.91 crore as of 31 March 2023. Per share face Value remained same at Rs 2.00. Promoters’ stake was 56.74% as of 31 March 2024 ,compared to 57.16% as of 31 March 2023 . Cash flow from operating activities increased to Rs 1,948.07 crore for year ended March 2024 from Rs 1,682.50 crore for year ended March 2023. Cash flow used in acquiring fixed assets during the year ended March 2024 stood at Rs 259.29 crore, compared to Rs 232.91 crore during the year ended March 2023. Other Highlights
In
Q2 FY25, India sales increased 5.7% YoY and International sales decreased 12.9%
YoY.
In
H1 FY25, India sales increased 6% YoY and International sales decreased 8.8%
YoY.
The contribution of domestic sales to total
sales in Q2 FY25 was 72.8%.
During the quarter, the Company launched
one product in the US and received five approvals from the USFDA, including one
tentative approval.
In terms of key therapy segment
performance, the anti-diabetic segment grew by 11.9% YoY in Q2 FY25,
anti-infectives by 2.5%, cardiac by 2.4%, derma by 12.7%, gastrointestinal by
8.4%, gynecology by 2.4%, neuro/CNS by 18.2%, pain/analgesics by 4.8%,
respiratory by 3.6%, urology by 14.6%, and VMN by 12.8%.
R&D
expenses for H1 FY25 was Rs 272.2 crore representing 4.2% of total revenue from
operations.
As of September 30, 2024, the Company had
filed 178 ANDAs and 2 new drug applications (NDAs) with the USFDA. Of these, it
had received approvals for 152 ANDAs (including 14 tentative approvals) and 2
NDAs.
Management Comments :
Dr
Vikas Gupta, CEO, Alkem said, “We are pleased to share that the outcomes of our
strategic initiatives designed to enhance profitability have proven effective.
We are prioritising a high-margin product mix, aligning more effectively with
market demands, and implementing cost-control measures to mitigate
inefficiencies, which are supporting EBITDA margin growth. In the domestic
market, our focus remains on augmenting the growth of our large brands and
making strategic portfolio additions. We also see significant opportunities for
growth in our emerging markets business.”
| Alkem Laboratories : Consolidated Results | | | Quarter ended | Year to Date | Year ended |
|---|
| Particulars | 202409 | 202309 | Var.(%) | 202409 | 202309 | Var.(%) | 202403 | 202303 | Var.(%) |
|---|
| Net Sales (including other operating income) | 3,414.67 | 3,440.17 | -0.74 | 6,446.49 | 6,407.89 | 0.60 | 12,667.58 | 11,599.26 | 9.21 | | OPM (%) | 22.05 | 21.71 | 34 bps | 21.12 | 17.73 | 339 bps | 17.73 | 13.88 | 385 bps | | OP | 752.83 | 746.73 | 0.82 | 1,361.47 | 1,135.92 | 19.86 | 2,245.49 | 1,609.45 | 39.52 | | Other Inc. | 134.48 | 63.19 | 112.82 | 254.79 | 129.03 | 97.47 | 310.84 | 216.08 | 43.85 | | PBIDT | 887.31 | 809.92 | 9.56 | 1,616.26 | 1,264.95 | 27.77 | 2,556.33 | 1,825.53 | 40.03 | | Interest | 28.14 | 30.32 | -7.19 | 57.25 | 60.09 | -4.73 | 112.41 | 107.36 | 4.70 | | PBDT | 859.17 | 779.60 | 10.21 | 1,559.01 | 1,204.86 | 29.39 | 2,443.92 | 1,718.17 | 42.24 | | Depreciation | 78.91 | 73.9 | 6.78 | 159.39 | 146.31 | 8.94 | 299.3 | 310.42 | -3.58 | | PBT | 780.26 | 705.70 | 10.57 | 1399.62 | 1058.55 | 32.22 | 2144.62 | 1407.75 | 52.34 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 780.26 | 705.7 | 10.57 | 1399.62 | 1058.55 | 32.22 | 2144.62 | 1407.75 | 52.34 | | EO Income | 0 | -57.66 | - | 0 | -57.66 | - | -121.49 | -102.98 | -17.97 | | PBT after EO | 780.26 | 648.04 | 20.40 | 1399.62 | 1000.89 | 39.84 | 2023.13 | 1304.77 | 55.06 | | Taxation | 78.3 | 33.15 | 136.20 | 147.42 | 98.19 | 50.14 | 211.67 | 297.96 | -28.96 | | PAT | 701.96 | 614.89 | 14.16 | 1252.2 | 902.7 | 38.72 | 1811.46 | 1006.81 | 79.92 | | Minority Interest (MI) | 13.32 | -5.63 | PL | 18.4 | -4.55 | PL | 15.69 | 22.64 | -30.70 | | Net profit | 688.64 | 620.52 | 10.98 | 1233.8 | 907.25 | 35.99 | 1795.77 | 984.17 | 82.47 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 688.64 | 620.52 | 10.98 | 1233.8 | 907.25 | 35.99 | 1795.77 | 984.17 | 82.47 | | EPS (Rs)* | 57.60 | 56.52 | 1.91 | 103.19 | 80.25 | 28.59 | 159.21 | 88.81 | 79.27 | | | * EPS is on current equity of Rs 23.91 crore, Face value of Rs 2, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
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