Shares of Mankind Pharma, India’s fourth-largest pharmaceutical company, zoomed 10% during early trade on Thursday after the company posted robust numbers for the June quarter.
The company on Wednesday reported a 66% surge in its Q1 consolidated net profit at ₹494 crore. The company had reported a net profit of ₹298 crore in the year-ago quarter and ₹294 crore in Q4 FY23.
It reported an 18% surge in revenues to ₹2,579 crore from ₹2,180 crore in June 2022. The company's revenue from the domestic business, which contributes almost all of its revenue, jumped 14% YoY to ₹2,419 crore and maintained its No. 4 position with a market share of 4.4% in Q1FY24.
The volume growth for the industry's primary market rose to 4.3% during the quarter as compared to 1.4% in the same period of last year, according to the company's regulatory filing.
The consumer healthcare segment witnessed a growth of 8% YoY and 36% QoQ to ₹208 crore, while the revenue from the export segment came in at ₹160 crore, an increase of 214% YoY.
Further, the company's EBITDA improved by 43% YoY to ₹660 crore in Q1 FY24, while the EBITDA margin expanded by 450 basis points to 25.6%.
Commenting on the Q1 performance, Rajeev Juneja, Vice Chairman & Managing Director, said," We have started the year on a healthy note, with strong double-digit growth in sales and profitability. The Pharma segment outperformed the IPM by 1.5X, led by volume growth and highest ever chronic share."
"Our consumer healthcare segment maintained dominant brand leadership in respective categories. We have also seen positive results of our prior initiatives to improve profitability, with EBITDA growing 43% YoY."
"Our market disruptive "DMF Quality Products" campaign has seen an outstanding response, and we are rapidly expanding our product offerings in this important drive. Our strategic initiatives across the businesses are delivering positive results, and we are hopeful that we will continue to outperform industry growth, going ahead," he added.
Following the robust Q1 numbers, the stock got off to a strong start, opening at ₹1,900 as against the previous day's closing price of ₹1,739. It then climbed further, reaching an intraday high of ₹1,913.75 in early trade or 10% higher, marking the largest intraday gain since listing.
Mankind Pharma made a solid debut on the exchanges on May 09, 2023. The scrip was listed at a premium of 31.7%, around ₹1,422 per share, on the NSE, as against the issue price of ₹1,080 apiece. Less than 3 months after it debuted, the stock reached an all-time high of ₹1,949 on July 24.
The company develops and manufactures pharma formulations across various acute and chronic therapeutic areas and owns several consumer healthcare brands. MPL has around 36 brands, including Manforce, Prega News, Unwanted 72, Moxikind, and Nurokind, with several products ranking in the Top 10 in the covered markets.
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