Companies

Morepen Labs Q3 profits grow by 120% to ₹23.8 crore

Our Bureau New Delhi | Updated on February 12, 2021

Firm sets eyes on multi-billion dollar global API (Active Pharmaceutical Ingredients) market with the addition of new molecules

Morepen Laboratories Ltd has set its eyes on multi-billion dollar global API (Active Pharmaceutical Ingredients) market with the addition of new molecules, whose global patents are expiring over next few years, in its bulk drugs portfolio, the firm said here on Friday.

The bulk drug molecules would be in chronic and lifestyle diseases such as anti-diabetic, anti-hypertensive, cholesterol reducers and neuro-psychiatric. These new molecules are currently under development and would come into play in phases over the next 24 to 36 months, Morepen said.

Quarter results

The company also announced a net profit of ₹23.8 crore in the third quarter ended on December 31, which was 120 per cent more than that in the corresponding quarter in the previous financial year. The net revenues of the company in Q3 were ₹310.26 crore, 32 per cent more than ₹234.66 crore reported in the same quarter in 2019-20.

The company is gearing fast to strengthen its portfolio with a strong pipeline of products in all the focus areas, to be launched over the next three to four years in both domestic as well as international markets.

“The company is investing heavily in its R&D and in building new product blocks while simultaneously creating additional capacities to facilitate production of these new molecules,” said Sushil Suri, Chairman and Managing Director, Morepen Laboratories.

Growth in API business

API business maintained its lead contributing 54 per cent to the company’s topline in Q3. API sales revenue during the quarter grew by 25 per cent to ₹165.03 crore. Within the API segment, four key products Loratadine, Montelukast, Atorvastatin and Rosuvastatin contributed ₹143.72 crores to the company’s topline and registered a growth of 25 per cent over corresponding quarter in the previous fiscal.

Morepen’s API exports recorded an impressive 23 per cent growth to ₹110.39 crore in Q3, while domestic API business recorded a growth of 28 per cent at ₹54.64 crore.

The sales of home diagnostics grew by 104 per cent in Q3 to ₹87.58 crore with sales of BP monitors growing by around 210 per cent and blood glucose monitors by 99 per cent. Revenue from OTC sales grew by 4 per cent to ₹18.40 crore.

The company’s Board has recently approved a mega expansion plan involving an outlay of ₹178 crore, which has already been cleared by the Himachal government through a single window clearance scheme.

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Published on February 12, 2021
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