By: ICN Bureau
Last updated : May 08, 2021 11:10 am
Pharmaceutical sales were up by 32% to Rs. 298 crores as compared to Q4 FY20 whereas Crop Protection sales was up by 54% at Rs. 235 crores as compared to Q4 FY20
Hikal, a preferred long-term partner for leading global life sciences companies, has announced Q4 FY21 revenue of Rs. 532 crores showing YoY growth of 40% and PAT of Rs. 51 crores showing YoY growth of 108%.
The company recorded FY21 revenue of Rs. 1,720 crores showing YoY growth of 14% and PAT of Rs. 133 crore showing YoY growth of 58%.
Pharmaceutical sales were up by 32% to Rs. 298 crores as compared to Q4 FY20 whereas Crop Protection sales was up by 54% at Rs. 235 crores as compared to Q4 FY20.
The Pharmaceutical division has shown strong growth in volumes of its own API’s and CDMO products. The business excellence initiatives have resulted in cost and capacity improvement enabling the company to meet increased market demand and better margins.
Crop Protection sales were up as orders deferred in H1 due to pandemic were executed in H2, new capacities have come on stream through the capex incurred over the last 12 months.
The company commercialized a new fungicide for a Japanese customer for the CDMO business and significant scale-up of this product is expected in FY 2021-22. A new long-term contract for supply of a fungicide is in final stages of discussion with a leading US-based Crop Protection company.
Commenting on the results, Jai Hiremath, Chairman & Managing Director, Hikal Ltd. said, “I am happy to report that we have achieved a record performance for Q4 as well as for the full financial year. Despite the disruption in H1 on account of the Covid-19 pandemic, we have substantially recovered during H2. On an annual basis, we registered a revenue growth of 14% whereas our EBITDA grew by 18% as compared to the previous year."
On a full year basis, the Crop Protection business delivered a growth of 7%, which was enabled by a strong recovery in H2 after a challenging H1. We expect this positive momentum to accelerate in FY 2021-22 based on a healthy pipeline of projects at various stages.
Our Pharmaceutical business has performed well, registering a YoY growth of 32% for the quarter. For FY 2020-21, the business delivered a strong growth of 19% based on increased volumes of existing API Generics and CDMO products.
"Our profitability has been on an uptrend during the year which is a result of our focused business excellence initiatives, and we are confident of further improvement in the bottom line in the coming years. We have been able to generate strong cash flows from our operations and focused efforts have brought down our borrowing costs. On the capex front, we have recently completed the construction of an additional plant to our new development and launch facility at Bangalore. Capacity addition under our capex program has been completed and the commissioning of these units will be done in phases over the next 2 quarters," commented Hiremath.
We see significant tailwinds in both our businesses and with completion of the past capex program we are confident of maintaining our growth trajectory over the next 2-3 years, added Hiremath.