Cipla Announces Q1 FY17 Results Performance Reflects Continued Momentum In Key Markets And Improvement In Base EBITDA Margins
Mumbai, India, August 12, 2016: Cipla Limited (BSE: 500087, NSE: CIPLA) today announced
its unaudited financial results for the quarter ended June 30, 2016. The growth momentum in key
markets – India, South Africa and the US with focused cost containment measures have resulted
in enhanced profitability in the base business. The recent acquisitions of InvaGen Pharmaceuticals
Inc. and Exelan Pharmaceuticals Inc. are EBITDA margin-accretive at a consolidated level with
the integration plans progressing smoothly. The company is preparing itself for the future with
focused investments in R&D as well as portfolio build-up through strategic inorganic moves. The
quarter also saw an improvement in cash flows on account of operational efficiencies.
Key Financial Highlights
(Current year figures include the relevant results of Cipla’s subsidiaries from the date they became a subsidiary of the company and therefore the corresponding figures for the previous period are not comparable).
Q1 FY1617 (As per IND-AS):
• Income from operations at Rs. 3,594 cr
• EBITDA at Rs. 611 cr
• Profit after tax at Rs. 365 cr
• R&D investment at Rs. 239 cr
• Cash generated from operations Rs. 622 cr
Commenting on the results, Subhanu Saxena, MD and Global CEO, Cipla Ltd said, “We have had a satisfactory quarter. Our base business has shown improvement in profitability, reflecting our emphasis on product mix and implementation of cost control measures. We are committed to maintaining our growth momentum and focus on our key markets - India, South Africa and the US. We will continue to invest in R&D and streamline our operations as we focus on driving profitability and simplifying the way we do business.”
Performance Highlights
• Improvement of ~200 basis points in base business EBITDA margin
• Strong base business growth in the US, excluding the impact of Esomeprazole sales and acquisition of InvaGen Pharmaceuticals Inc. and Exelan Pharmaceuticals Inc.
• The acquired US businesses are EBITDA margin accretive- integration on track with processes streamlined across key functions
• Continued focus on R&D with ~40% increase in R&D spend vs. last year
• R&D impetus through acquisition of rights to a high-value product with limited competition that is under development
• Ramp-up in US filings with 4 filings this quarter, as compared to 5 filings during the whole of FY16
To read full press release, please click here.
Key Financial Highlights
(Current year figures include the relevant results of Cipla’s subsidiaries from the date they became a subsidiary of the company and therefore the corresponding figures for the previous period are not comparable).
Q1 FY1617 (As per IND-AS):
• Income from operations at Rs. 3,594 cr
• EBITDA at Rs. 611 cr
• Profit after tax at Rs. 365 cr
• R&D investment at Rs. 239 cr
• Cash generated from operations Rs. 622 cr
Commenting on the results, Subhanu Saxena, MD and Global CEO, Cipla Ltd said, “We have had a satisfactory quarter. Our base business has shown improvement in profitability, reflecting our emphasis on product mix and implementation of cost control measures. We are committed to maintaining our growth momentum and focus on our key markets - India, South Africa and the US. We will continue to invest in R&D and streamline our operations as we focus on driving profitability and simplifying the way we do business.”
Performance Highlights
• Improvement of ~200 basis points in base business EBITDA margin
• Strong base business growth in the US, excluding the impact of Esomeprazole sales and acquisition of InvaGen Pharmaceuticals Inc. and Exelan Pharmaceuticals Inc.
• The acquired US businesses are EBITDA margin accretive- integration on track with processes streamlined across key functions
• Continued focus on R&D with ~40% increase in R&D spend vs. last year
• R&D impetus through acquisition of rights to a high-value product with limited competition that is under development
• Ramp-up in US filings with 4 filings this quarter, as compared to 5 filings during the whole of FY16
To read full press release, please click here.