Strides Pharma Science Ltd reported that its revenues in the third quarter of the current fiscal saw revenues grow by 8 per cent compared to the previous quarter to ₹796.8 crore even as net losses mounted to ₹87 crore compared to a net loss of ₹ 84.7 crore in the previous quarter.
For the first nine months of the current fiscal, Strides recorded a revenue of ₹ 2,224.7 crore, which was 8 per cent lower than the same nine-month period of the previous fiscal.
Commenting on the performance, R Ananthanarayanan, Managing Director & CEO, however, claimed that the company’s performance was improving.
The CEO in a statement said, “In Q3FY22, while we have delivered an 8 per cent sequential revenue growth for our business, operating leverage continues to be subdued. Our US business has returned to growth after two quarters of decline, growing 13 per cent QoQ to $38 million in Q3FY22. We completed the acquisition of Chestnut ridge site in the US during the quarter and the integration is on track. We expect the growth momentum in the US to pick up in coming quarters driven by new product launches from the combined portfolio.”
Healthy traction across key markets
Stating that Strides performance in the other regulated markets continues to be steady and is seeing healthy traction across key markets, Ananthanarayanan said: “We continue to focus on expanding our product offering in these markets to drive the next leg of growth. The emerging markets performance during the quarter was driven by our institutional business with healthy procurement from our partners. Our cost initiatives have started yielding results and we have witnessed improvements in our base cost structures QoQ. As we further scale our businesses across regions, we expect improvement in operating leverage in coming quarters.”
The company’s shares ended the day one per cent lower at ₹390.80. In the last one year, the company’s share prices have swung from a high of ₹947 to a low of ₹367.1, losing more than 60 per cent of its value.