Aurobindo Q4FY23 PAT down -12.2% at Rs506 crore due to 40.2% spike in raw material costs on supply chain constraints

Aurobindo reported 11.4% growth in net sales revenues for the March 2023 quarter on consolidated basis at Rs6,473 crore. Revenues were up 1.03% on sequential basis. US formulations revenues were up 11.6% in Q4FY23 while Europe formulations grew 7.7% yoy. Growth markets showed 51% higher sales, albeit on a very small base. On the positive side, API revenues were up 11.4% in the quarter. For the quarter, Aurobindo spent around Rs411 crore on R&D representing 6.3% of its revenues.

The pressure on profits came from the sharply higher raw material costs by 40% amidst supply chain constraints. Also, the tax burden spiked more than 10-fold on a yoy basis and that also led the net profits lower. That is why net profits were down -12.2% although operating profits were marginally higher. In the quarter, it received final approval for 26 ANDAs including 4 injectable products from the US FDA.

Financial highlights for Mar-23 compared yoy and sequentially

 Aurobindo Pharma    

Rs in Crore

Mar-23

Mar-22

YOY

Dec-22

QOQ

Total Income (Rs cr)

₹ 6,473

₹ 5,809

11.42%

₹ 6,407

1.03%

Operating Profit (Rs cr)

₹ 1,002

₹ 974

2.85%

₹ 954

5.01%

Net Profit (Rs cr)

₹ 506

₹ 576

-12.18%

₹ 491

3.06%

 

 

 

 

 

 

Diluted EPS (Rs)

₹ 8.64

₹ 9.84

 

₹ 8.38

 

OPM

15.48%

16.77%

 

14.90%

 

Net Margins

7.82%

9.92%

 

7.67%

 

 

The operating margins tapered yoy from 16.77% to 15.48% due to pressure on raw material costs. Net margins were lower at 7.82% compared to 9.92% in year ago period. Net cash flows from operations in FY23 more than halved to Rs2,387 crore on the back of a spike in inventories in the quarter. 

Related Blogs
blog-logo

Share Market

blog-logo

8 mins read . 19 Jul 2024

Stock Market Trading Time in India

  • 0 people read
blog-logo

Share Market

blog-logo

11 mins read . 19 Jul 2024

How To Trade in T2T Stocks

  • 0 people read
Kickstart your equities journey today You've got this
By submitting this I agree to the terms & conditions