APIs and Formulations Manufacturing pioneers, Granules India (BSE: 532482 | NSE: GRANULES) today announced its earnings for the Quarter ended September 30, 2020.
In this Quarter, revenue from operations in Q2FY21 grew by 22.7% YoY as a result of new launches and increase in market share of existing products across the three verticals. The EBITDA grew at 79% with a 9.35% margin expansion YoY, with margin improvement owing to improved product mix and increased operational efficiencies.
Granules posts robust Q2 earnings; EBITDA at 30% up 79% YOY and PAT at 19%, up 71% YOY
PAT for the quarter stood at INR 1,636 Mn up 71% and Net Debt was down by 26% YoY with a Net debt to EBITDA stood at 0.7x, reiterating the company’s increased focus on profitability and cash generation.
Commenting on the results, Krishna Prasad Chigurupati, Chairman and Managing Director of Granules India said: “I am pleased to announce the second consecutive robust performance this year by all our business segments that fuelled the 22.7% growth in Q2FY21 Revenue to INR 8,581 Mn. Our second quarter performance which were much better than committed guidance gives us confidence that we are on track to end the year’s performance as envisaged, and we expect to maintain our path on delivering superior shareholder value”
Detailing the results further he stated, “our long-term investments in backward and forward integration from APIs to FDs helped us in delivering expected results as demonstrated by the 22% growth in our FDs revenue at INR 4,301 Mn this quarter, led by the new product launches and increase in market share of our existing products.”
Discussing the growth in API Revenue at INR 2,547 Mn up 17% YoY, Krishna Prasad added, “it is driven by acquisition of new customers. The consolidated EBITDA for Q2 stood at INR 2,564 Mn, up by 79 % and Net Profit at INR 1,636 Mn grew by 71%. We have received approvals for 4 finished dosage products.”
