PFIZER Announces Quarterly Results (1QFY20); Net Profit Up 22.8%

Tue, 13 Aug

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

PFIZER Quarterly Financials

No. of Mths Qtr. Ending		3 Jun-18*	3 Mar-19*	3 Jun-19*	QoQ Change	YoY Change
Net Sales	Rs m	5,123	5,357	5,444	1.6%	6.3%
Other income	Rs m	305	355	358	1.1%	17.4%
Turnover	Rs m	5,428	5,711	5,802	1.6%	6.9%
Expenses	Rs m	3,822	3,847	3,782	-1.7%	-1.1%
Gross profit	Rs m	1,301	1,510	1,662	10.1%	27.8%
Depreciation	Rs m	183	176	250	42.0%	36.8%
Interest	Rs m	2	6	22	252.5%	1164.7%
Profit before tax	Rs m	1,422	1,682	1,749	4.0%	23.0%
Tax	Rs m	504	588	621	5.7%	23.3%
Profit after tax	Rs m	918	1,095	1,128	3.1%	22.8%
Gross profit margin	%	25.4	28.2	30.5
Effective tax rate	%	35.4	34.9	35.5
Net profit margin	%	16.9	19.2	19.4

Year-on-Year Performance:

• The company's operating income during the quarter grew 6.3% on a year-on-year (YoY) basis. The expenses were down by 1.1% YoY during the same period.
• The company's operating profit increased by 27.8% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 30.5% in 1QFY20 as against 25.4% in 1QFY19.
• Depreciation charges increased by 36.8% and finance costs increased by 1164.7% YoY, respectively.
• Other income increased by 17.4% YoY during the quarter.
• Net profit for the quarter increased by 22.8% YoY. Net profit margins during the quarter increased from 16.9% in 1QFY19 to 19.4% in 1QFY20.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 1.6% on a quarter-on-quarter (QoQ) basis. The expenses were down by 1.7% QoQ during the same period.
• The company's operating profit increased by 10.1% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 30.5% in 1QFY20 as against 28.2% in 4QFY19.
• Net profit for the quarter increased by 3.1% QoQ, while net profit margins increased from 19.2% in 4QFY19 to 19.4% in 1QFY20.

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

PFIZER Share Price Performance

Over the last one year,PFIZER share price has moved up from Rs 2,836.1 to Rs 3,065.4, registering a Gain of Rs 229.4 or around 8.1%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 12,759.5 (up 0.5%). Over the last one year it has moved down from 14,332.1 to 12,759.5, a gain of 1,573 points (down 11.0%).

Overall, the S&P BSE SENSEX is down 1.2% over the year.

Current Valuations

At the current price of Rs 3,065.4, the price to earnings (P/E) ratio of PFIZER stands at 31.2 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 5.2 times.