Despite the pressure of business in the US, pharma major Lupin Limited recorded a 5.2 per cent rise in revenues to Rs 16,369.4 crore in FY19, as compared to Rs 15,559.8 crore in the previous year. Annual net profit at Rs 606.6 crore shot up 141.4 per cent from Rs 251.3 crore in the previous year.
If Lupin had to earmark an impairment provision of Rs 1464.4 crore on certain intangible assets acquired as part of the highly paid Gavis group acquisition in FY 2018, this year, it had to make a provision of Rs 340 crore for a fine imposed by a court in Europe. The court in December 2018 had upheld a decision to impose a fine of Euro 40 million (over Rs 325 crore) on the company by the European Commission (EC) for striking deals with other companies to prevent entry of cheap versions of blood pressure lowering drug, Perindopril.
Lupin's North America business, hampered by market issues like wholesaler consolidation and a bad acquisition of Gavis, recorded a 5.1 per cent fall to Rs 5592.4 crore from the previous year's Rs 5893.9 crore. This was offset by a good growth in the domestic market. Sales in India grew 12.4 per cent during the year to Rs 4638.2 crore from the Rs 4125.3 crore in the earlier year. While the North America market contributed 34 percent of the sales, India's accounted for around 29 per cent. Lupin's active pharmaceutical ingredient sales also grew 23.2 per cent to Rs 1346.4 crore during the year. While Asia Pacific, European, Middle East and Africa business grew slightly during the year, its Latin American market business fell by 2.3 percent. Capital expenditure for FY2019 was Rs 685.1 crore.
Lupin, the third largest pharmaceutical player in the US by prescriptions, has 176 products in the US generics market and launched 31 products during the year. Revenue expenditure on R&D for the year amounted to Rs 1573.1 crore, which is 9.6 percent of sales. It was 11.9 percent in the previous year. The company said cumulative ANDA (marketing applications in the US) filings with the U.S. FDA stand at 422 as of March 31st 2019, with the company having received 265 approvals to date. The Company now has 40 First-to-Files (FTF) filings including 15 exclusive FTF opportunities.
Copyright©2021 Living Media India Limited. For reprint rights: Syndications Today