Morepen Labs’ home diagnostics sales revenue grows by 98% in Q2’FY2020-21

Thermometers’ sales (including non-contact infrared thermometers) increased by 311 per cent and that of blood pressure monitors by 185 per cent during the quarter

API major Morepen Labs reported a six-fold rise in net profit in Q2 FY2020-21, led by a 60 per cent growth in its API business to Rs. 185.69 crore and a 98 per cent growth in its home diagnostics sales revenue to Rs. 90.35 crore. Thermometers’ sales (including non-contact infrared thermometers) increased by 311 per cent and that of blood pressure monitors by 185 per cent during the quarter.

The 36-year old, Rs. 900 crore company which manufactures and markets pharmaceutical and healthcare products reported a sharp rise of 566 per cent in its Net Profit after Tax (consolidated) at Rs. 27.17 crore in the second quarter ended September 30th, 2020.

This significant improvement in bottom line has been reportedly achieved on account of better margin realisation and despite a onetime hit of Rs. 12.84 crore taken by it towards the dues of fixed deposit holders paid during the quarter.

Net Profit After Tax for Q2’FY2020-21 grew 566 per cent at Rs. 27.17 crore while Net Profit Before Tax jumped up by 198 per cent on account of better margin realisation during the quarter.

Net Revenue for Q2’FY2020-21 stood at Rs.340.13 crore as against Rs. 216.24 crore for Q2’FY2019-20, registering a rise of 57 per cent. This rise was mainly on account of a consistent growth in sales of bulk drugs (APIs), diagnostic devices and OTC products during the quarter.

The API business remained the lead growth driver in Q2 FY 2020-21 with a 60 per cent growth at Rs. 185.69 crore, contributing 56 per cent to the company’s top line during the quarter.

EBIDTA and cash profit for Q2’FY2020-21 went up by 99 percent and 101 per cent at Rs. 35.49 crore and Rs. 35.20 crore, respectively.

Revenues (consolidated) for six months ended 30 September 2020, rose by 43 per cent at Rs. 599.10 crore. Net profit after tax (PAT) for this period stood at Rs. 46.53 crore, registering a rise of 296 per cent against the corresponding period of the previous financial year.