Lincoln Pharmaceuticals reports standalone net profit of Rs 17.38 crores in Q1FY22

Lincoln Pharmaceuticals has reported a standalone net profit of Rs 17.38 crores for the Q1FY22 ended June 2021 as against the net profit of Rs 14.99 crores in the corresponding period last year, growth of 15.92 per cent. The net revenue from operations in Q1FY22 was reported at Rs 122.06 crores, higher by 18.49 per cent over previous fiscal’s same quarter net revenue of Rs 103.01 crores, the company said in a statement.

It also said that the EBITDA for Q1FY22 was reported at Rs 26.31 crores, a rise of 17.37 per cent as compared to EBITDA of Rs 22.42 crores in Q1FY21. In Q1FY22, EPS for Q1FY22 was at Rs 8.69 per share as compared to Rs 7.50 in the corresponding period last year.

Commenting on the results and performance, Mahendra Patel, Managing Director, Lincoln Pharmaceuticals, said, “We are confident to improve our growth numbers of revenue, margins and profitability in FY22. Our strategic growth initiatives, product and geographical expansion, operational efficiency and debt-free status are likely to maximise value for all stakeholders in the near-to-medium term. For the FY 21-22, the company is looking at a sales growth of 15-20 per cent while maintaining healthy EBITA and net profit margins. Expanding the product basket, the company plans to introduce six-to-seven new products in the domestic markets and expects 20-25 new dossiers’ approval for the exports market. Exports to EU markets are likely to commence from Q4FY22.”

Over the last five years, the company has delivered a robust 20 per cent plus CAGR in profits and higher single-digit growth in sales. The liquidity position of the company is on a strong foundation, supported by healthy cash accruals, no term debt and healthy return ratios. Backed by improvement in the company’s financial risk profile, steady growth in scale and margins, healthy profitability, rating agency ICRA has upgraded the company’s long-term and short-term bank facilities to A and A1 respectively, notified the statement.

It also said that during Q1FY22 ended June 2021, promoter group of Lincoln Pharmaceuticals increased holding in the company to 37.78 per cent – rise of 52 bps, from 37.26 per cent as of 31st March, 2021. Promoter group bought 1.04 lakh shares from the secondary market during the quarter. During FY21 also, promoter group, through creeping acquisition, raised stake in the company to 37.26 per cent – rise of 500 bps, from 32.36 per cent in FY20.

Exports for Q1FY22 was reported at Rs 69.76 crores. The export business of the company has shown remarkable growth in the last few years and had increased to 65 per cent of total sales in FY21 from 11 per cent of total sales in FY13. The company currently exports to 60 plus countries, including East and West Africa, Central and Latin America and Southeast Asia. For the FY21, exports grew 18.4 per cent to Rs 270 crores, it added.