BIOCON Announces Quarterly Results (4QFY19); Net Profit Down 53.8%

Fri, 26 Apr

BIOCON has announced its results for the quarter ended March 2019. Here is a detailed performance review of the same:

BIOCON Quarterly Financials

No. of Mths Qtr. Ending		3 Mar-18*	3 Dec-18*	3 Mar-19*	QoQ Change	YoY Change
Net Sales	Rs m	11,695	15,408	7,639	-50.4%	-34.7%
Other income	Rs m	675	256	139	-45.7%	-79.4%
Turnover	Rs m	12,370	15,664	7,778	-50.3%	-37.1%
Expenses	Rs m	9,365	11,601	6,654	-42.6%	-28.9%
Gross profit	Rs m	2,381	3,865	985	-74.5%	-58.6%
Depreciation	Rs m	953	1,167	375	-67.9%	-60.7%
Interest	Rs m	169	186	6	-96.8%	-96.4%
Profit before tax	Rs m	1,934	2,768	743	-73.2%	-61.6%
Tax	Rs m	407	461	38	-91.8%	-90.7%
Profit after tax	Rs m	1,527	2,307	705	-69.4%	-53.8%
Gross profit margin	%	20.4	25.1	12.9
Effective tax rate	%	21.0	16.7	5.1
Net profit margin	%	12.3	14.7	9.1

Year-on-Year Performance:

• The company's operating income during the quarter fell 34.7% on a year-on-year (YoY) basis. The expenses were down by 28.9% YoY during the same period.
• The company's operating profit declined by 58.6% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 12.9% in 4QFY19 as against 20.4% in 4QFY18.
• Depreciation charges declined by 60.7% and finance costs declined by 96.4% YoY, respectively.
• Other income declined by 79.4% YoY during the quarter.
• Net profit for the quarter declined by 53.8% YoY. Net profit margins during the quarter declined from 12.3% in 4QFY18 to 9.1% in 4QFY19.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 50.4% on a quarter-on-quarter (QoQ) basis. The expenses were down by 42.6% QoQ during the same period.
• The company's operating profit declined by 74.5% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 12.9% in 4QFY19 as against 25.1% in 3QFY18.
• Net profit for the quarter declined by 69.4% QoQ, while net profit margins declined from 14.7% in 3QFY18 to 9.1% in 4QFY19.

To see how BIOCON has performed over the last eight quarters, please visit here.

BIOCON Share Price Performance

Over the last one year, BIOCON share price has moved up from Rs 663.3 to Rs 619.9, registering a Loss of Rs 43.4 or around 6.5%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 14,464.7 (up 0.2%). Over the last one year it has moved up from 13,930.8 to 14,464.7, a gain of 534 points (up 3.8%).

Overall, the S&P BSE SENSEX is up 13.2% over the year.

Current Valuations

At the current price of Rs 619.9, the price to earnings (P/E) ratio of BIOCON stands at 45.5 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 7.2 times.