Tuesday, May 6, 2014
AJANTA PHARMA LTD - RESULTS - FOR Q4 & FY 14 - REVENUE UP 25%; NET PROFIT UP 159% - FUTURE MORE PROMISING
AJANTA PHARMA LIMITED
RESULTS FOR Q4 FY 14 & FY 14
Revenue Growth 25%, Net Profit Growth 159%
FYl4 Revenue Growth 32%, Net Profit Growth 118%
Proposes dividend of Rs.10/Eq.Sh.of Rs.5 each, post bonus
Ajanta Pharma Limited, a specialty focused pharmaceutical formulation company, reported its financial results with a remarkable performance.
Highlights of Q4 FY14 standalone
Ø Revenue from operations at Rs. 311 Cr. (Rs. 249 Cr.), 25% growth over Q4 last year (Rs.301 cr in Q3FY 14)
Ø Profit from operations stands at Rs.96 cr; compared to Rs.59 cr in Q4 FY 13 and Rs.88 cr in Q3 FY 14.
Ø EBITDA at Rs. 112Cr. (Rs.69 Cr,), growth of 63%over Q4 last year
Ø Profit after Tax at Rs. 70 Cr. (Rs. 27 Cr.), growth of 159% over Q4 last year. The same was Rs.62 cr in Q3 FY 14.
Ø EPS (Diluted) was Rs.19.91 against Rs.17.72 in Q3 FY 14 and Rs.7.69 in Q4 FY 13.
Ø Exports contributed 66% of the total operating income for the quarter
Highlights of FY14 standalone
Ø Revenue from operations at Rs. 1,110 Cr. (Rs. 839 Cr.), growth of 32% over last year
Ø EBITDA at Rs. 346 Cr. (Rs. 210 Cr), growth of 65% over previous year
Ø Profit after Tax at Rs. 221 Cr. (Rs. '101 Cr.), growth of 118% over Last Year
Ø Exports contributed 63% of the total operating income for the year
Ø Proposes dividend of Rs. 10 per equity share of face value of Rs. 5 each, post bonus
Highlights of FY14 CONSOLIDATED
Ø Revenue from operations at Rs.1,208 Cr. (Rs.931 Cr.), growth of 30% over last year
Ø EBITDA at Rs. 369 Cr. (R5. 225 Cr), growth of &% over previous year
Ø Profit from Operations stands at Rs.325 Cr-against Rs.190 Cr in previous year.
Ø Profit after Tax at Rs.234Cr. (Rs. 112Cr.), growth of 109% over last year
Ø Paid up Equity stands at Rs.17.67 Cr., with Face Value at Rs.5.
Ø Reserves have grown to Rs.576 Cr, against Rs.382 cr last year.
Ø EPS (Diluted) stands at Rs.66.42 against Rs.31.84 last year. But, the Q4 EPS of 19.91 yields an annualized EPS of around Rs.80. At the current Market price of around Rs.1020, the Price Earnings Ratio is just 12.75. Thus, there is good scope for price appreciation in the medium / long term.
Mr. Yogesh Agrawal, MD, said "We are pleased with the execution of our strategy during the year which is reflected in healthy results, All our geographies have performed in tune with our expectations. Our India specialty business continues to post robust growth much above the industry growth. We continue to build branded generic business jn select overseas markets and lay foundation for sustained growth in coming years. "
India Business: Specialty Focus
Ø India formulations business was Rs. 95 Crore for the 4th quarter, up 33% over Q4 last year.
Ø FY'14 sales were at Rs, 385 Crore, against Rs, 292 Crore for same period last year.
Ø Ajanta’s overall ranking stood at 39th as per lMS MAT Mar'14, with growth of 32% for the year against 10% of industry.
Ø Twenty four (24) New products were launched during the financial year (5 in Q4)
Establishing strong presence
Ajanta has established strong presence across Africa (including anti-malaria), ClS, West Asia and South-East Asia. Formulation sales in these markets accounted for Rs. 206 Crores in Q4FY'14 registering a growth of 16% over last year Q4. Annual sales stood at Rs. 695 Crore, a growth of 29% over Last year, The company continued to improve its ranking in different emerging markets and its brands are gaining further grounds, The company has a basket of more than 1,400 brand registrations for these markets and another 1,400+ brands are under registration to ensure continued growth
R&D: Maintaining Pace Of filings
Company filed 1 more ANDA with US FDA during the quarter taking total tally to 23 ANDA5 (filed 9 in FY'14), with 2 approved and 2l awaiting approval. R&D expense for FY'14 was Rs.50 Crore or 4.50% of revenue, against Rs. 37 Crore or 4.41% of Revenue last year same period.
About Ajanta Pharma Limited
Ajanta Pharma - a specialty pharmaceutical formulation company has Leading brands in therapeutic segments of ophthalmology, Dermatology, cardiology and pain management.
Many of company's products are first in the market place and are leading in their sub therapeutic segments. Company has a well-established branded generic business in emerging markets.
It has recently entered the regulated markets of USA and is building a portfolio of ANDAs for this market.
Company's state of the art R&D centre for formulation development is located at Mumbai, having a team of 350+ people. Company has world class manufacturing facilities - 4 located in India and 1 at Mauritius, One of the manufacturing facilities in India is approved by US FDA , UK MHM, pre-qualification from World Health Organization (WHO), apart from having the approval from FDAS of many other countries. Company is setting up two more manufacturing facilities in India, one for regulated markets and another for domestic and emerging markets.
For last 10 years, company has been able to achieve outstanding performance with its consolidated revenue showing a CAGR of 22% and net profit 42%.
At this Rate of Growth, and continued successful R&D for new drugs which is likely to continue in coming quarters and years as well, Ajanta Pharma is a Very Good BUY for medium / long term Investors.
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