Morepen Labs posts Rs 37.36 cr PAT in Q2FY22

The quarterly revenues of the company has been registered at Rs 398.17 crores Morepen Laboratories has reported 70 per cent in its consolidated Profits (before tax) at Rs 46.86 crores in Q2FY22. Profit after tax (PAT) for the quarter has jumped 38 per cent at Rs 37.36 crores. The quarterly revenues of the company at Rs 398.17 crores have recorded an impressive growth of 17 per cent during the current quarter as compared to quarterly revenues of Rs 340.13 crores in Q2’FY21 wherein it had registered a growth of 57 per cent. EBITDA for Q2’FY22 at Rs 44.88 crores is up by 26 per cent Y-o-Y basis whereas Cash Profit (Before Tax) at Rs 54.00 crores is up by 53 per cent in the same period. EBIDTA margin of the company has scaled up 302 bps from 8.26 per cent to 11.28 per cent in the last two years with an increased focus on high-value products and incredible growth of revenue. With consistent effort on scale and cost reduction and backward integration, profit margin before tax has leapt by 368 bps from 8.09 per cent to 11.77 per cent in Q2’FY22 as against Q2’FY21 with 70 per cent increase in the Profit before tax for the quarter. In the last two years, profit margins have gone up by almost three folds from 4.27 per cent to 11.77 per cent in the current quarter of Q2’FY22. Accordingly, in the last two years, quarterly profit has improved almost five folds from Rs 9.23 crores in Q2’FY20 to Rs 44.58 crores in Q2’FY’22. API business registered a revenue growth of 9 per cent in the Q2’FY22 on strength of an increase in sales revenues of Montelukast and Atorvastatin and new molecules. Atorvastatin and Fexofenadine exports for the quarter grew by 33 per cent and 88 per cent respectively. Montelukast domestic revenues have doubled during the current quarter, recording an increase of 109 per cent in its Q2 revenues. Sushil Suri, CMD, Morepen Laboratories stated, “With a massive increase in API demand globally and more particularly with frequent supply disruptions from China, we are putting our expansion plans for API on the fast track. We have planned to treble the API capacity from present 310 KL to 1000KL in the coming 24 months at the same site in Baddi (HP) within the same plant and at the additional land adjoining the site for which all approvals are in place. We are very bullish on this expansion to capture this large spurt in demand APIs globally. The new capacities are also required to serve the new generic market opening up in the next five to seven years.”