Latest news with #KrishnaPrasadChigurupati
The Hindu
3 days ago
- Business
- The Hindu
Granules Q1 net dips 16% to ₹112 crore, revenue up 3% as North America drives sales
Granules India's consolidated net profit for the quarter ended June declined more than 16% to ₹112.6 crore from the ₹134.6 crore a year earlier. The lower net profit came on a nearly 3% increase in total revenue to ₹1,210.1 crore (₹1,179.8 crore). Sales growth was largely driven by North America. The decline in net profit was on account of exceptional items mainly expenses related to ongoing litigation settlements, the company said. On a sequential basis, the net profit was 26% lower and total revenue 1% higher. Granules shares on Tuesday closed 3.17% higher at ₹455 apiece on the BSE. Region wise revenue split showed sales in the all important North America market increased 7% to ₹929.7 crore (₹870 crore), while it was 12% higher in Europe at ₹167.3 crore (₹149.3 crore). In the Rest of World market, sales slumped 30% at ₹113.1 crore (₹160.6 crore), which the company said was primarily because of pharmaceutical formulation intermediate (PFI) supply backlog from the Gagillapur manufacturing facility, near Hyderabad, to LATAM market. According to revenue split segment wise, contribution of active pharmaceutical ingredients segment for the paracetamol maker was 14% lower at ₹162.7 crore (₹189 crore); finished dosage marginally higher at ₹898.9 crore (₹891.2 crore); and PFI 20% more at ₹119.4 crore (₹99.7 crore). 'We delivered healthy cash flow from operations of Rs.280.6 crore this quarter and made good progress on the Gagillapur remediation programme. With our near-term formulations growth trajectory set to resume and the integration of Senn Chemicals through the Ascelis platform in the fast-growing CDMO sector, we are well-positioned for sustainable long-term growth,'CMD Krishna Prasad Chigurupati said.
Yahoo
29-05-2025
- Business
- Yahoo
Granules India Ltd (BOM:532482) Q4 2025 Earnings Call Highlights: Strategic Expansions and ...
Release Date: May 28, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Granules India Ltd (BOM:532482) reported a 2% revenue growth in Q4 FY25 compared to the same quarter last year, with a 5% increase from Q3 FY25. The company achieved a gross margin improvement, with Q4 FY25 gross margin at 63.4%, up by 333 basis points from Q4 FY24. Granules India Ltd (BOM:532482) has made significant progress in its R&D efforts, with a 20% increase in R&D investment, leading to a robust pipeline of 127 dossiers filed across various regions. The company is strategically expanding into high-growth areas such as oncology and peptide therapeutics, with the acquisition of Sen Chemicals marking a formal entry into complex peptide therapeutics. Granules India Ltd (BOM:532482) has received a core rating from Ecovi, placing it in the top 5% of pharmaceutical companies globally in its first corporate-level assessment, highlighting its commitment to sustainability. The FDA issued a warning letter to Granules India Ltd (BOM:532482) for its Gagillapur facility, which may temporarily impact the FDA's review of pending product submissions. Ongoing remediation measures at the Gagillapur facility have resulted in a slowdown of operations, impacting Q4 output and expected to continue for another quarter or two. Professional expenses have increased due to consultancy fees for remediation of US FDA observations, impacting EBITDA margins. The company's European sales have declined, primarily due to reduced demand for paracetamol API, which was a significant driver in the region. Granules India Ltd (BOM:532482) faces challenges in diversifying its geographical revenue mix, with North America accounting for a significant portion of total revenues. Warning! GuruFocus has detected 2 Warning Sign with BOM:532482. Q: What are the future investment plans for Sen Chemicals following its acquisition by Granules India? A: Dr. Krishna Prasad Chigurupati, Chairman and Managing Director, stated that there will be significant capital expenditure in Switzerland and a peptide R&D facility in Hyderabad. The integration and scale-up of capabilities will require further investments, with a clearer picture expected in the coming quarters. Q: Can you provide guidance on revenue and EBITDA for FY26? A: Dr. Krishna Prasad Chigurupati mentioned that while they cannot provide specific guidance, they expect performance to be better than the previous year despite ongoing operational slowdowns at the Gagillapur facility. Q: What is the strategy for the GLP-1 opportunity with Sen Chemicals? A: Dr. Krishna Prasad Chigurupati explained that the relationship with Sen Chemicals began with GLP-1 product development. Granules India plans to work on APIs for GLP-1s and develop formulations in India, targeting both innovators and generic markets. Q: How is Granules India addressing the decline in European sales? A: Dr. Krishna Prasad Chigurupati noted that the decline was primarily due to reduced paracetamol API sales. The company is shifting focus to formulations with higher margins and expects European sales to improve with new product launches. Q: What are the plans for diversifying geographical revenue beyond North America? A: Ms. Priyanka Chigurupati, Executive Director, stated that while North America remains a key market, Granules India is increasing filings in Europe and other regions to boost revenue from these markets. The company aims to expand its finished dosage and API business globally. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
28-05-2025
- Business
- Time of India
Granules FY25 PAT up 24% despite Gagillapur plant productivity woes
Granules FY25 PAT up 24% despite Gagillapur plant productivity woes HYDERABAD: Granules India Ltd posted a 17 per cent rise in consolidated profit after tax (PAT) for the fourth quarter ended March 31, 2025, at Rs 152 crore compared to Rs 130 crore in the same period of the last financial year. This was on a marginal 2 per-cent increase in consolidated revenue from operations at Rs 1197 crore in Q4FY25 from Rs 1176 crore in Q4FY24. However, for the financial year 2024-25, the company recorded a 24 per-cent jump in consolidated PAT at Rs 501.5 crore compared to Rs 405 crore, despite a 1 per-cent decline in revenue from operations at Rs 4482 crore from Rs 4506 crore in FY24. The company said it witnessed a sustained increase in formulations share despite the slowdown in productivity of its Gagillapur facility, where currently US FDA remediation activities are ongoing after inspectors flagged major violations of good manufacturing practices. Granules stated that while the share of revenues from the North American market rose to 79 per-cent in Q4FY25 from 70 per-cent in Q4FY24, the total share of finished dosages in revenues stood at 77 per-cent, and that of active pharmaceutical ingredients (API) and pharmaceutical formulation intermediates (PFI) was at 12 per-cent and 10 per-cent, respectively. Granules India Ltd Chairman & Managing Director Dr Krishna Prasad Chigurupati said that although the company paused production at Gagillapur in September 2024 for over a month to reassess the risks and undertake the necessary USFDA remediation activities, the company achieved a formulations growth of 18 per-cent. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Artificial Intelligence and Machine Learning For Working Professionals. BITS Pilani WILP Apply Now Undo 'The productivity of the Gagillapur facility was lower in H2 FY25 with ongoing remediation activities. Our strong financial performance reflects the success of our strategic initiatives, particularly our focus on enhancing our product mix by prioritising high-margin offerings and expanding our portfolio of non-legacy molecules. This reflects the strength and adaptability of our business model,' he said. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
