Can I have your quick take on the quarterly results of Gland Pharma?

The recently listed Hyderabad pharma company, Gland Pharma, saw Q3 PAT up 32.5% at Rs.204.11 crore on the strength of sales expansion. Sales did expand by 33.05% in the Dec-20 quarter to Rs.859.42 crore. This top line boost was driven by new product launches, geographical expansion and volume growth. It also filed 12 ANDAs with 6 ANDA approvals.

Operating profits for the Dec-20 quarter were up 27.6% at Rs.239 crore as revenues jumped much more than costs, despite supply chain disruptions. Despite that, due to a higher base, the OPM contracted from 29.03% in the Dec-19 quarter to 27.84% in Dec-20 quarter. During the same period, the PAT margins fell marginally from 23.86% to 23.75%.

There was growth across the board for Gland Pharma. India revenues were up 25% while revenues from rest of the world were up 3-fold on a smaller base. The largest markets of the US and Europe also grew 24%. Till date in FY21, Gland Pharma has filed 19 ANDAs, 5 DMFs and has secured a total of 24 ANDA approvals. Gland invested Rs.91.5 crore on R&D which is nearly 4% of sales.