Drugmaker Cipla posted robust numbers for the three months ended September 30, 2023, on the back of its performance in India and the US, even as top management sought to differentiate between company operations and reported promoter plans.
The company posted revenues of ₹6,678 crore for the second quarter (Q2), up 14.6 per cent over last year’s performance in the same period. It’s profit after tax for the period under review stood at ₹1,131 crore, up 43 per cent. The performance comes even as reports said Cipla promoters were looking to offload equity in the company – something the company top management have labelled as “speculation”.
Responding to queries on repeated reports on deal street, Cipla Managing Director and Global Chief Executive Officer Umang Vohra made a distinction between the company and promoter, adding that they had “not heard of anything, either way.” There was anxiety as many things depend on this decision, Vohra told mediapersons, adding that the Cipla’s philosophy has always been to invest in the future, and the reports were becoming a “distraction” of sorts.
Q2 performance
On the operation’s front, Cipla saw a 10 per cent growth in its “One India” branded prescriptions and trade generics businesses, at ₹2,817 crore. “Branded Prescription continues to outpace market growth while seasonal trends impacted the consumer business for the quarter,” the company said.
It’s North America segment saw quarterly revenue at $229 million, up 28 per cent over the same period last year. The South Africa private market grew at 12 per cent in local currency terms, in the period under review, the company said. Crediting the “exceptional set of results” to the core businesses across India, North America and South Africa, Vohra said, “We reported our highest ever quarterly revenue with EBITDA margins scaling up to 26 per cent.” The company sits on net cash of ₹5,850 crore.