Biocon Ltd., an innovation-led global biopharmaceuticals company, Q1 FY22 revenue has grown by 6% in comparison to Q1 FY21.

Commenting on the results, Kiran Mazumdar-Shaw, Executive Chairperson, Biocon said, “Biocon has seen a strong 41% YoY growth in Research Services and a steady growth in its Biosimilars business, reporting revenue of Rs. 758 crore, up 10% over the same period last year, and 14% over the preceding quarter. Consolidated revenues, at Rs. 1,808 crore, saw a muted growth on account of COVID-related operational challenges at Biocon’s API facilities, both in Bengaluru and Hyderabad. Business sentiments are favorable for Biosimilars, Generics and Research Services. Globally, we see a strong demand for biosimilars and generic drugs, given the growing emphasis on affordable drug pricing. Net profit, excluding the share of loss from Bicara, was at Rs. 142 crore and reported Net profit was at Rs. 84 crore.”

“The outlook for the rest of the year is promising with several drug approvals on the anvil, contingent to timely U.S. FDA onsite inspections in India and Malaysia, whilst Research Services continue to see rising demand,” added Mazumdar-Shaw.

Q1 FY22 consolidated revenue grew 6% to Rs. 1,808 crore from Rs. 1,712 crore in Q1 FY21. Q1 FY22 Net Profit was Rs. 84 crore (vs. Rs. 149 crore in Q1 FY21).

Commenting on the Generics segment performance, Siddharth Mittal, CEO & Managing Director, Biocon Limited, said, “The Generics business delivered a subdued performance as the second wave of the pandemic resulted in operational and supply chain challenges that impacted our API manufacturing. With the number of COVID-19 cases starting to decline, we expect operational and supply chain challenges to normalise in the coming quarter. Additionally, the comparable period in the previous fiscal benefited from customers stockpiling APIs on account of Covid-related uncertainties.

“We also continued to face pricing pressures in our US formulations business. However, I am pleased to report the launch of two new formulations in the US during the quarter – Labetalol Hydrochloride tablets and Esomeprazole Magnesium Delayed-Release capsules, which will further expand our global presence.

“Increasing operational efficiencies through digitisation, cost optimisation and capacity enhancement, continue to remain a key focus area for us, as we bring high quality, affordable products to market. I welcome Dr Vijaya Kumar to the organisation and am confident that his appointment will bolster our efforts on these fronts.”

Commenting on the performance, Dr. Arun Chandavarkar, Managing Director, Biocon Biologics Ltd, said, “The real highlight of this quarter was our ability to pull out all stops to make available our Covid- care portfolio, anchored by Alzumab-L, our novel antibody Itolizumab, to many thousand patients in critical need.  Whilst we certainly hope that the surge in infections does not manifest as severely in future, we are now fully geared to address future patient demand.”

“We reported revenues of Rs 758 Crore, representing a YoY growth of 10%.  This was driven by strong growth in India, led by our Covid- care portfolio and continued growth in other markets for biosimilars. Core EBITDA margins were a healthy 36% and after accounting for R&D, our EBITDA was at Rs 215 Crore, representing a 28% margin. This translated to a Profit before Tax of Rs 101 Crore.”  he added.