Lasa Supergenerics revenue from operations grew 35% yoy to Rs54.7cr in Q2FY21, and 38% yoy to Rs109.3cr in H1FY21. The company after declaring their quarterly results on Tuesday said that growth in top-line was led by the strong traction in the company’s major veterinary APIs ‘Albendazole & Fenbendazole’. Positive operating leverage and favourable product mix led to disproportionate growth in operating profitability, it said.
The company’s EBITDA in Q2FY21 grew by 71% yoy to Rs12.8cr, and H1FY21 EBITDA nearly doubled to Rs25cr. EBITDA Margins improved by 482 bps and 706 bps in Q2FY21 and H1FY21 respectively. Higher EBITDA coupled with lower finance costs and depreciation contributed to a strong bottom-line performance.
Net profit in Q2FY21 stood at Rs7.1cr against loss of Rs0.5cr in Q2FY20. Similarly, in H1FY21, Net profit stood at Rs12.4cr vis-à-vis a loss of Rs1.5cr in H1FY20.
“Our company delivered a solid all-round performance during the first half of FY21 led by robust top-line growth and improved profitability. Strong growth in revenue was primarily led by the improved traction seen in our benzimidazole derivates portfolio.
A combination of stable raw material prices, favourable product mix, and better operational efficiency helped us to achieve a robust operating profit of ₹ 25 crore in H1 FY21 (higher by 99% YoY) with the EBITDA Margins expanding by 706 bps to 22.9%,”Omkar Herlekar, Chairman & Managing Director, said.
Looking ahead, the company expects its competitive positioning in benzimidazole derivates market to improve post the ex parte interim relief granted by the Bombay High Court on October 12, 2020, restraining one of our competitors from selling Albendazole using the proprietary confidential information exclusively owned by Lasa. Overall, the company is confident of achieving our twin objectives of driving sustainable growth in our revenue and cash flows in the medium-term.