Drug maker Cadila Healthcare, on February 5, registered a 26.8 percent year-on-year fall in consolidated profit for October-December 2019 that was dented by disappointing operating performance, but was ahead of analyst estimates. The bottomline dropped to Rs 373.9 crore during the quarter, against Rs 510.7 crore in corresponding period last year.
Profit on sequential basis shot up 249 percent due to low base in Q2FY20, which was impacted by an impairment charge (exceptional item) related to Levorphanol drug.
“Net profit excluding exceptional items for the quarter was up 18 percent QoQ,” the company said in its BSE filing.
Consolidated revenue grew by 1.7 percent year-on-year (up 8 percent QoQ) to Rs 3,638.1 crore in the quarter that ended on December 2019, beating analyst estimates.
Profit was expected at Rs 335.4 crore on a revenue of Rs 3,389.6 crore for the quarter, according to the average of estimates of analysts polled by CNBC-TV18.
The company’s earnings before interest, tax, depreciation and amortisation (EBITDA) plunged 36.1 percent year-on-year to Rs 536.5 crore, and margins dropped 880bps YoY to 14.7 percent in Q3FY20, which missed analysts estimates that stood at Rs 641.6 crore and 18.9 percent respectively.
Finance cost in Q3 increased sharply to Rs 80.5 crore, up from Rs 45.5 crore seen during the year-ago period, while tax expenses fell to Rs 92.7 crore, down from Rs 158.6 crore YoY due to lower corporate tax rates.
During the quarter, the company launched 9 new products in the US which included a day one launch, and received 8 new product approvals (including 2 tentative approvals) from the USFDA during the quarter.
News Source: moneycontrol