Morepen Labs’s annual FY22 revenue increases by 30 per cent

Morepen Laboratories has reported 30 per cent growth in its FY22 annual revenues at Rs 1,557.13 crores. Consolidated Profit Before Tax (PBT) at Rs 126.70 crores has risen by 29 per cent in FY22 and Profit After Tax (PAT) at Rs 101.68 crores is up by five per cent on y-o-y basis in FY22. Further, the Q4 FY22 revenues at Rs 371.46 crores have registered a growth of 28 per cent and marginally lower than the Q3 FY22, which stood at Rs 399.19 cores, a company statement informed.

It also noted that the revenue growth in Q4 was backed by substantial jump of 37 per cent in the API business at Rs 234.55 crores, followed by formulation and OTC business at Rs 38.57 crores and Rs 27 crores, which grew by 34 per cent and 20 per cent respectively. The Q4 FY22 diagnostic devices revenues at Rs 68.21 crores grew by nine per cent on quarterly basis, whereas a huge revenue growth of 56 per cent was recorded for nine months’ period ending 31st December, 2021, at Rs 350.71 crores.

The overall EBITDA growth of 13 per cent at Rs 146.98 crores for FY22 is lower as compared to the first three quarters of the year (9MFY22). Because of increased input costs and higher spend on marketing and sales activities, EBIDTA margins in Q4 FY22 have degrown to 5.88 per cent against 11.89 per cent in corresponding quarter last year, the statement added.

The annual FY22 PBT at Rs 126.70 crores is up by 29 per cent on yearly basis, whereas with Q4 FY22, PBT of Rs 14.18 crores, which is 49 per cent lower as compared to the same quarter last year. The annual FY22 PAT at Rs 101.68 crores is up by five per cent on y-o-y basis, whereas Q4 FY22 PAT at Rs 12.32 crores is down by 54 per cent on quarterly basis. The annual FY22 PAT margin is down at 6.53 per cent against 8.09 per cent recorded in preceding financial year FY21, mentioned the statement.

The annual FY22 revenues (consolidated), are up by 30 per cent at Rs 1,557.13 crores. The net PAT for the aforesaid period is up by five per cent at Rs 101.68 crores from Rs 97.09 crores in FY21, the statement added.

It also stated that the annual FY 22 API business at Rs 858.46 crores has grown up by 26 per cent on the strength of solid growth of 45 per cent in domestic API business. Q4 FY22 revenues at Rs 234.55 crores are up by 37 per cent. The share of export business in Q4 FY22 sales revenues is at 70 per cent, whereas on annual FY22 basis, it is at 64 per cent.

The company has leadership position in the two products Loratadine and Montelukast, and has 68 per cent and 49 per cent share in export out of India for these two products respectively. The US FDA approval for its anti-allergy drug Fexofenadine HCl during the current quarter has opened the gates for regulatory markets for the product and has started shipments in the US market, said the statement.

During the year, the company has added more than 200 new customers globally and has also filed five new international patents. The company has recently signed a strategic partnership with Azelis, Germany, for an exclusive marketing of its API portfolio in select European countries, according to the statement.

The statement also mentioned that the Point of Care (POC) medical devices business at Rs 418.92 crores for FY22 has registered a growth of 46 per cent. On strength of 10 per cent growth in blood Gluco business, Q4 FY22 revenues at Rs 68.21 crores has registered a growth of nine per cent. With annual FY22 blood Gluco business at Rs 278.64 crores and BP monitor revenue at Rs 84.01 crores, substantial revenue growth of 54 per cent and 33 per cent have been recorded during y-o-y basis.

Blood glucose monitor business registered has recorded a CAGR of 44 per cent in the last four years, while BP monitor grew by 47 per cent. On the strength of its leadership position, Blood glucose meter and Blood pressure meter market, the company is aggressively increasing its reach to the tier-II and tier-III cities. The company has slowly started investing in various marketing channels including advertisement in the electronic media for promotion and market expansion of blood Gluco monitors and blood pressure monitors. With new installation of 2.16 million glucometers during FY22, the company has installed 7.20 million glucometers till date. During FY22, 300 million blood Gluco strips have been sold, making total Gluco measuring strips supply of 900 million strips till date, the statement claimed.

The OTC and nutrition business promoted under umbrella brand Dr Morepen has registered an annual growth of 24 per cent on y-o-y basis with Q4 FY22 revenue growing at 20 per cent. OTC range of products with annual revenues of Rs 52.43 crores have recorded 13 per cent growth on y-o-y basis. The annual FY22 online revenues at Rs 16.53 crores are up by 273 per cent. The share of online sales, in FY22 revenues, have gone up to 15 per cent from five per cent in the corresponding period last year, concluded the statement.