Cadila Healthcare Q2 profit zooms over 6-fold to Rs 3,002 crore on one-time gain

Drug firm Cadila Healthcare on Monday reported an over six-fold jump in its consolidated net profit to Rs 3,002.3 crore for the quarter ended September 30, 2021, mainly on account of one-time gain of sale of its animal health established market undertaking.

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The company had posted a net profit of Rs 473.4 crore for the corresponding period of the previous fiscal, Cadila Healthcare said in a regulatory filing.

Consolidated total revenue from operations of the company stood at Rs 3,784.8 crore for the quarter under consideration. It was Rs 3,658.9 crore for the corresponding period of the previous fiscal, it added.

Adjusted for exceptional items and one-off gain on the account of sale of animal health established market undertaking, profit after tax stood at Rs 597 crore, up 6 per cent on a year-on-year basis, Cadila Healthcare said.

On May 12, Zydus Animal Health and Investment Ltd, a wholly owned subsidiary, entered into a Business Transfer Agreement and other ancillary agreements for sale of its Animal Healthcare Established Markets Undertaking, comprising animal healthcare business In India and certain other countries to Zenex Animal Health India Pvt Ltd, by way of a slump sale, it added.

"The company's India business which comprises human formulations and consumer wellness business contributed 43 percent of the consolidated revenues during the quarter, witnessed a growth of 12 per cent on a year-on-year basis, posting sales of Rs 1,591 crore during the quarter," the filing said.

The company's business in the US posted sales of Rs 1,498 crore. The company launched generic Enoxaparin Sodium injection in the US during the quarter, it added.

"During the quarter the company received approval for the world's first Plasmid DNA vaccine for COVID-19, ZyCoV-D. Further, the company also received approval from the DCGI to conduct Phase III trials for the two dose regimen of the vaccine," Cadila Healthcare said.

Making progress with its lead molecule Saroglitazar Mg, the company recently randomised the first patient into the Phase 2(b) clinical trial to evaluate efficacy and safety of Saroglitazar Magnesium in subjects with non-alcoholic steatohepatitis (NASH) and Fibrosis, it added.

Shares of Cadila Healthcare were trading at Rs 504.95 per scrip on BSE, up 2.67 percent from its previous close.