What is your quick take on the solid results posted by Divi’s Laboratories?
Answer
Answer
For the fourth quarter ended March 2022, Divi's Laboratories reported 40.8% higher sales revenues at Rs2,518 crore. FY22 full year revenues were up 28.6% at Rs8,960 crore. Divi’s Labs reported solid growth across its principal active pharma ingredients (API) and nutraceutical business. During the full year FY22, Divi’s Labs capitalized assets worth Rs935 crore while the Capital work in progress stood at Rs470 crore.
Divi's Laboratories
Rs in Crore
Mar-22
Mar-21
YOY
Dec-21
QOQ
Total Income (Rs cr)
₹ 2,518.44
₹ 1,788.19
40.84%
₹ 2,493.24
1.01%
Net Profit (Rs cr)
₹ 894.64
₹ 502.02
78.21%
₹ 902.24
-0.84%
Diluted EPS (Rs)
₹ 33.70
₹ 18.91
₹ 33.99
Net Margins
35.52%
28.07%
36.19%
Let us now turn to profitability. PAT was up 78.2% at Rs895 crore, largely led by a sharp improvement in the EBIT performance across active pharma ingredients (APIs) and nutraceuticals. Net margins stood at 35.52% in Q4FY22 quarter compared to 28.07% in Q4FY21 and 36.19% in Q3FY22. The board of Divi has declared 1500% dividend, which translates into Rs30 per share. However, this is subject to shareholder approval.