Cipla Q2 consolidated net profit jumps 41%

Cipla Q2 consolidated net profit jumps 41%

Shares of Cipla slumped more than 3.5%, Monday morning, to trade at Rs 761.70 apiece on NSE even after the drug maker reported strong earnings performance during the fiscal second quarter. The concerns of impending US drug regulatory continue to weigh on investor psyche.
The Mumbai-based drug maker clocked 41.18% increase in consolidated net profit for the quarter ended September to Rs 665.43 crore. It had reported a net profit of Rs 471.35 crore in the same quarter a year ago.
Cipla’s total revenue from operations rose to Rs 5,038.29 crore, up 14.62% from Rs 4,395.78 crore a year ago.
India business grew by 17% YoY with strong growth across the three businesses and continued servicing of patients with Covid-19 portfolio.
Continued momentum across private and tender businesses drove its South Africa growth to 14% on a YoY basis in local currency. US business reported a revenue of $141 million led by continued traction in new launches.
The performance reflects strong demand backed by resilient operations management. The quarter also saw sustained focus on cost optimization which helped deliver an EBITDA margin of over 23%.
Its cash and cash equivalents rose to Rs 3,623 crore at the end of September from Rs 3,256 crore at the end of June.
Meanwhile, Cipla was working with USFDA to comprehensively address observations received in Goa.\

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