Cipla Q3 PAT rises 47% to ₹1,574.59 cr; revenue up 7%

Pharmaceutical giant Cipla reported a consolidated net profit of ₹1,574.59 crore for the quarter ended December 31, up 47.39% from ₹1,068.41 crore reported in Q3 of the previous financial year. As profits beat market estimates, following the Q3 results announcement, shares of Cipla rose as much as 6% to ₹1,473 on Tuesday on the NSE, up from the previous close of ₹1,396.10. The stock closed at ₹ 1,427, up 2.21% from the prior day.

Despite the rally, the stock remains 15% below its recent peak of ₹1,702. After touching an intraday low of ₹1,367, Cipla shares rebounded sharply to trade at ₹1,470 (over 5% higher) by 2:16 pm on January 28.

Consolidated income increased 7.45% to ₹7,294.58 crore from ₹6,788.44 crore in the same quarter last year, while revenue from operations grew 7.01% to ₹6,961.60 crore compared to ₹6,505.66 crore.

Total expenses rose 5.05% to ₹5,378.49 crore from ₹5,119.81 crore, despite a sharp dip in inventory changes and finance costs. The company's basic earnings per equity share (EPS) for the quarter stood at ₹19.45.

Earnings before interest, tax, depreciation, and amortisation (EBITDA) grew 14% year-on-year to ₹1,989 crore.

Segment-wise, the company reported a stronger growth in new ventures, including Cipla’s joint venture in the US with Kemwell Biopharma and Manipal Group for global development and the commercialisation of innovative cell therapy products announced earlier in January last year. New ventures revenue grew 21.67% to Rs. 341.30 crore in the third quarter, from last year’s Rs. 280.51 crore. Pharmaceuticals segment grew to Rs. 6777.84 crore, up 6.49% from last year’s Rs. 6365.06 crore in the same quarter.