Jubilant Life Sciences records net profit of 2% at Rs 152 cr in Q4

New Delhi: The Board of Jubilant Life Sciences Limited met recently to approve financial results for the quarter and year ended March 31, 2018. The company has reported 2.26 percent rise in consolidated net profit at Rs 152.40 crore for the quarter. The drug firm had posted a net profit of Rs 149.03 crore for January-March quarter of 2016-17.

Total revenue from operations stood at Rs 2,251.96 crore for the quarter under review. It was Rs 1,641.42 crore for the same period a year ago. For the entire 2017-18 financial year, the company posted a net profit of Rs 634.42 crore as against Rs 574.62 crore in 2016-17.

Commenting on the Company’s performance, Mr. Shyam S Bhartia, Chairman and Mr. Hari S Bhartia, Co-Chairman & Managing Director, Jubilant Life Sciences said in a joint statement: “The company has reported a record year in terms of sales and profitability, led by strong performance in Specialty Injectables and Life Science Ingredients businesses. We have a well-defined strategy of being closer to our customers with an integrated value chain, to have a de-risked business model with a diversified portfolio and strong manufacturing capabilities from fully compliant sites. We are focussed on driving business growth in Specialty Injectables and better utilization of our assets in all our businesses.”

Jubilant’s Drug Discovery Solutions Segment witnessed the revenue at Rs 47 Crore, contributing 2% to the revenues, up 5% QoQ FY18.

Company’s pipeline of Integrated Drug Discovery Projects, functional projects & FTE business continues to be strong. Increased effort & focus on in-house proprietary research for out-licensing molecules or onboarding new projects. It received phased milestone payments of US$ 0.14 Million in Q4’FY18 in one of its investments.

Outlook

To meet the increased demand in the businesses, the company plans to invest about Rs 550 crore in capital expenditure in 2018-19. In addition, it also plans to invest Rs 300 crore in research and development during the year, stated company’s statement.

The company expects growth from new products and execution of existing contracts in Radiopharma. “Full year impact of Triad business in our operations with break-even profitability. Healthy order book and new customer additions, supported by higher production and new capacities, to deliver better results in CMO. Higher sales of existing products and new capacities in Allergy Therapy Products,” it stated.

It expects higher volumes from new product launches and new markets in generics. Also, the company visualizes better demand for existing products, new capacities from ongoing investments and de-bottlenecking initiatives, and launch of new products to augment growth within life sciences ingredients business.

In a separate filing, Jubilant Life said its Board has recommended a dividend of Rs 3 per equity share of Re 1 each for 2017-18.