Shares of Glenmark Pharma rallied 1% to Rs 593.55 apiece on NSE after the drug maker reported strong earnings performance for the fiscal fourth quarter to March 2021.
It reported 6.15% increase in its consolidated net profit to Rs 233.87 crore as compared to Rs 220.30 crore in the corresponding period of the previous fiscal.
Its consolidated revenue from operations stood at Rs 2,859.9 crore for the quarter under consideration. It was Rs 2,767.5 crore for the same period a year ago.
For the fiscal ended March this year, the company posted a net profit of Rs 970.1 crore as against Rs 776 crore in the previous fiscal.
The company’s revenue from operations stood at Rs 10,943.9 crore for the fiscal ended March 2021. It was Rs 10,641 crore in 2019-20.
The company has delivered consistent performance during the year despite operational challenges due to the COVID-19 pandemic.
It has in place strategic levers to grow its businesses sustainably, with a focus on strengthening its balance sheet.
The company’s board has recommended a dividend of Rs 2.50 per share for the financial year 2020-21.
The company expects to monetize its NCE pipeline in FY22, which should help release free cash flow. The base business should maintain low double-digit growth at 19-20% profitability.
The free cash flow prospects are looking brighter in FY22 with Rs 900-1,000 crore inflow likely from API IPO.
The US business will recover from FY21 lows, while India, Europe & API are to grow well.
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