Cadila Healthcare standalone Q2 net profit at ₹14 crore

Cadila Healthcare Ltd (Zydus Cadila) registered standalone net profit at ₹14 crore for the quarter ended on September 30, 2021 on total revenues from operations at ₹2,009 crore.

Company’s profits were impacted by provisioning for impairment in the value of investment in equity shares of wholly-owned subsidiary Zydus Noveltech INC, USA worth ₹319 crore for the quarter.

In the comparable quarter last year, Cadila Healthcare’s standalone net profit stood at ₹473 crore on revenues from operations at ₹2,057 crore.

On consolidated basis, net profit stood at ₹597 crore, up 6 per cent on a y-o-y basis, on revenues from operations at ₹3,785 crore, which increased by 3 per cent on a y-o-y basis. “The profits are adjusted for exceptional items and one-off gain on the account of sale of animal health established market undertaking,” the company informed.

The animal health business helped company pare its net debt to ₹401 crore as on September 30, 2021 as against ₹3,496 crore in March 31, 2021. Net debt to EBIDTA stood at 0.12 times as against 1.10 times as at end of the fiscal 2020-21.

Consolidated EBIDTA for the quarter stood at ₹861 crore, up 6 per cent y-o-y, while EBIDTA margins at 22.7 were slightly higher by 50 basis points on a y-o-y basis.

Company’s India business posted sales of ₹1,591 crore, which comprises human formulations and consumer wellness business and contributed 43 per cent to the consolidated revenues during the quarter with a growth of 12 per cent on year.

“Excluding the institutional sales of Covid products, the growth of human health formulations business was 17 per cent. The company’s business in the US posted sales of ₹1,498 crores, up 3 per cent on a sequential basis,” a company statement said.

Zydus had launched Enoxaparin Sodium injection in the US during the quarter making it the first generic launch of the product by an Indian player.

Covid vaccine update
Sharing an update on Covid-19 products, Zydus informed that it has received approval for the world’s first Plasmid DNA vaccine for Covid-19, ZyCoV-D. “Further, the company also received approval from the DCGI to conduct Phase III trials for the two dose regimen of the vaccine. Results of Phase I clinical trials of ZyCoV-D have been published in the E-Clinical Medicine Journal of Lancet,” it added.

The plug and play technology being offered by DNA-based platform will help in rapidly adapting the vaccine in case of any future mutations in the virus. ZyCov-D has been developed for Alpha, Beta, Kappa, Delta, Delta plus and Lambda variants which will provide flexibility to switch to newer vaccine candidates based on new variants, the company informed.

However, its three-dose vaccine, which has been approved for administration for 12 years and above, is waiting to be rolled out for commercial sales as the pricing is not yet finalised.

Cadila Healthcare shares traded at ₹508.50 on BSE up 3.4 per cent on Friday. The Hindu BusinessLine