Biocon Q4 profit falls 42% to ₹123 crore due to Covid-19 impact

PTI New Delhi | Updated on May 15, 2020 Published on May 15, 2020

Signage for Biocon Ltd,   -  Bloomberg

Biotechnology major Biocon has reported a 42 per cent decline in its consolidated net profit to ₹123 crore for the quarter ended March 2020, mainly on account of one-time coronavirus-related impact on its biologics business.

The company had posted a net profit of ₹214 crore for the corresponding period of the previous fiscal, Biocon said in a statement.

Consolidated total income of the company rose up by 6 per cent to ₹1,644 crore as against ₹1,557 crore for the same period year ago, it added.

“Q4FY20 witnessed a muted growth of 6 per cent with revenues at ₹1,644 crore due to operational challenges including one-time Covid-19 related impact on our biologics business,” Biocon Executive Chairperson Kiran Mazumdar-Shaw said.

Small molecules and research services businesses, however, delivered robust growth of 15 per cent and 14 per cent, respectively, she added.

Consolidated net profit for the fiscal year ended March this year stood at ₹748 crore. It was ₹905 crore for the same period year ago, Biocon said.

Total income of the company rose to ₹6,529 crore for the fiscal year ended March 2020 as against ₹5,659 crore for the same period year ago, it added.

“On a full-year basis, we reported a revenue growth of 15 per cent led by a strong performance by biologics, which grew by 29 per cent, small molecules by 18 per cent and research services by 10 per cent. We believe that the Biologics business will recover in Q1FY21 and fully normalise from Q2FY21,” Mazumdar-Shaw said.

Net profit, before the exceptional item, was at ₹760 crore, a growth of 4 per cent, she added.

“We are dealing with unprecedented challenges related to Covid-19 and as a science-led company we are engaged in several initiatives spanning diagnostic tests, vaccines and therapies towards combating Covid-19,” Mazumdar-Shaw said.

Shares of Biocon were trading at ₹323.50 per scrip on BSE, down 3.52 per cent from their previous close.

Published on May 15, 2020

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