Aurobindo Pharma’s consolidated net profit declined 32.4 percent at ₹520 crore in the first quarter ended June 30, 2022 compared with ₹770 crore in the corresponding quarter of the previous financial year.
The company’s revenue, however, increased 9.4 percent to ₹6,236 crore compared with ₹5,702 crore in the same period last year, according to a release.
“We delivered a good performance amidst a challenging environment while reinforcing our growth pillars. Investments in the product portfolio continued at a healthy pace as is reflected in the filings and launches in the quarter,” K Nithyananda Reddy, Vice-Chairman and Managing Director, Aurobindo Pharma said.
The company’s focus on the development of specialty products pipeline would establish new avenues to grow the business in the future, Reddy said.
Revenue from the US formulations increased by 10.8 percent year-on-year to ₹2,971 crore while Europe formulation revenue stood at ₹1,548 crore with a fall of 2.2 per cent mainly due to depreciation of Euro, the company said.
During the quarter, Aurobindo received final approval for 10 Abbreviated New Drug Applications (ANDAs) including 4 injectable products from the US FDA. The Research & Development (R&D) expenditure stood at ₹310 crore (5 percent of revenues).
The board of directors has decided not to proceed with the restructuring of Eugia Pharma Specialties Ltd which is focused on sterile/injectables, oncology and hormonal products, keeping in mind the maximisation of shareholder wealth in the current volatile economic situation.
“The Board will evaluate this option at an appropriate future time when the sentiments are more conducive towards maximisation of shareholder wealth,’‘ the BSE was informed.