Shares of Biocon extended losing streak for the third straight session on Monday, falling nearly 7 per cent in intraday trade on the Bombay Stock Exchange, after the biopharmaceutical company reported disappointing earnings for the September quarter. The stock has declined as much as 11 per cent in the last three sessions.
Biocon on Friday reported a 23.01 percent drop in its consolidated net profit at Rs 195.4 crore for September quarter of the current fiscal as compared to Rs 253.8 crore in the same period last year. Its consolidated total income increased to Rs 1,760.3 crore from Rs 1,605.7 crore in the year ago period.
Weighed down by Q2 results, shares of Biocon extended loss on Monday with the stock closing at Rs 402.50, down 3.52 per cent. On the volume front, there was surge in selling as 4.10 lakh shares changed hands over the counter as compared to two-week average volume of 1.11 lakh shares.
The R&D expense of the company for the quarter ended September 30, 2020, was at Rs 148 crore as against Rs 104 crore in the same period of the previous fiscal.
"Our profitability was impacted on account of higher R&D expenses, staff costs, other expenses and forex losses. However, our core EBITDA margins stood at a healthy 32 per cent, indicating sound operational performance," Biocon Executive Chairperson Kiran Mazumdar-Shaw said.
As a part of our commitment to address the novel coronavirus pandemic in India, the Biocon Group is working on a comprehensive portfolio of products for treating mild to severely ill COVID-19 patients.
Meanwhile, the BSE Sensex ended Monday's trade at 40,145.50, down 540 points, or 1.33 per cent.