Hyderabad: Hyderabad-based Laurus Labs has reported a net profit of Rs 172 crore for the quarter ended June 2020. The company’s revenues went up 77 per cent to Rs 974 crore year-on-year while its EBITDA stood at Rs 285 crore, up 228 per cent year-on-year.
Commenting on the results, Dr Satyanarayana Chava, founder & CEO said, “Despite the challenges posed by COVID-19, we have clocked revenue growth of 77 per cent in the quarter. Our EBITDA has grown over two times and our profitability also improved significantly to Rs 172 crores. Our formulations business continues to grow at a higher rate mainly led by higher LMIC business, the revenue contribution from formulations division has now grown to 36 per cent.”
“Custom Synthesis business has maintained its growth trajectory with a strong contribution from all the divisional segments. Our anti-viral active pharmaceutical ingredient (API) portfolio has showcased a strong revenue growth of 19 per cent on the back of higher volumes and offtake in EFV & TDF along with the launch of DTG to third Parties. The other API business segments continue to post healthy growth with improved volumes,” he added.
V V Ravi Kumar, ED & CFO, Laurus Labs said, “Our total revenues from operations came in at Rs 974 crores. With improved operating leverage and change in product mix, our gross margin showcased improvement to 54 per cent. Our EBITDA margins showed improvement at 29 per cent on the back of higher gross margins and improved operating leverage. With better operational performance our return on capital employed (ROCE) on annualised basis has improved to 32 per cent. Given the improvement in business environment we continue to undertake brownfield Capex programme for all our divisions. We are confident that the new Capex will have shorter payback period and will be ROCE accretive in coming years.”
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