Piramal Pharma Limited (NSE: PPLPHARMA) (BSE: 543635), a leading global pharmaceuticals company, today announced its consolidated results for the Second Quarter (Q2) and Half Year (H1) ended 30th September 2022
MUMBAI, India, Nov. 9, 2022 /PRNewswire/ -- Piramal Pharma Limited (NSE: PPLPHARMA) (BSE: 543635), a leading global pharmaceuticals company, today announced its consolidated results for the Second Quarter (Q2) and Half Year (H1) ended 30th September 2022.
Consolidated Financial Highlights
Sponsored
India Consumer Healthcare
Note: The previous year (FY22) financials do not include non-common control
transactions and hence YoY financials are not strictly comparable. Also, Q1FY23
includes one-time, non-recurring impact of inventory margin, hence QoQ
financials are also not strictly comparable. Please refer to pages 3 and 4 for
detailed explanation and comparable financials.
Key Highlights for H1FY23
CDMO business grew by 12% YoY
Complex Hospital Generic business grew by 11% YoY
India Consumer Healthcare business grew by 12% YoY
Normalized EBITDA in H1FY23 was INR 376 Cr. with EBITDA margin of 12%
Capital Expenditure for H1FY23 was INR 427 Cr.
Successfully cleared 22 regulatory inspections and 111 customer audits in H1FY23
Released Piramal Pharma Sustainability Report FY 2021-22
Nandini Piramal, Chairperson, Piramal Pharma Limited said, "We announce our first results post demerger as an independent and focused pharma company. Over the last 10 years, we have made several strategic choices that have helped nurture and scale our business and establish Piramal Pharma (PPL) as a leading global pharmaceuticals player.
For the quarter and half year ended September 2022, our business has delivered a resilient performance despite multiple internal and external challenges. We expect to deliver a much improved performance in second half of the current financial year. Historically we have had a greater skew of sales and profits in the second half of the year and this year is no different.
We have a vision to grow all our businesses to significant scale over the medium term and have strong growth levers in place for each of them. We continue to make investments to drive growth in these businesses."
Key Business Highlights for Q2 and H1 FY2023
Contract Development and Manufacturing Organization (CDMO):
Witnessing continued strong inflows of Request for Proposal (RFP) and increase in customer audits, however experiencing slower decision making by the customers due to macro-economic pressures
Undertaking judicious price increases, cost optimization and operational excellence measures to offset inflationary pressures
Maintaining our best-in-class quality track record – successfully cleared over 20 regulatory inspections and over 100 customer audits in H1FY23
Executing growth CAPEX as per plan – have already announced growth CAPEX of $157mn to be completed over the next 18-24 months
Developing alternate vendors and building resilient supply chain to counter supply chain disruptions
Integration of recent acquisitions on track
Complex Hospital Generics (CHG):
Launched 3 products during H1FY23 including a Pre-Filled Syringe (PFS) in Germany. 8 SKUs expected to be launched in various targeted markets in Q3FY23 based on tender calendar
India Consumer Healthcare (ICH):
Consolidated Profit and Loss Statement
Share of net profit of associates
Net Profit after Tax after exceptional item
Note: Q2FY23 financials are strictly not comparable to Q2FY22 and Q1FY23. Similarly, H1FY23 financials are also not strictly comparable to H1FY22
The Hon'ble NCLT, on 12th Aug'22, approved the composite scheme of demerger of the Pharma business from Piramal Enterprises Ltd (PEL) into Piramal Pharma Ltd. and amalgamation of PPL's wholly owned subsidiaries Hemmo Pharmaceuticals Pvt Ltd (HPPL) and Convergence Chemical Pvt Ltd (CCPL) into itself with an appointed date of 1st Apr'22.
Accordingly, the financial statements of PPL have been prepared giving effect to the scheme from 1st Apr'2022.
Financial statements of CCPL and HPPL, wholly owned subsidiaries have been combined as if the amalgamation had occurred on 1st April, 2021 or from the date on which the Company acquired control over these subsidiaries, whichever is later.
Prior to the demerger, PPL had entered into an arrangement with PEL for continued onward sale by PEL, of products under Government tenders, that were obtained in the name of PEL, till obligations under these tenders were fully met. The agreement also included sale of PPL's Consumer products (OTC) through PEL's CFA network till all requisite licenses, registrations, permits were fully transferred in the name of PPL.
In accordance with the scheme the demerger of pharma undertaking has been considered as non-common control transaction and accounted as Business combination as per Ind-AS 103 in the financial statements of PPL w.e.f 1st Apr'22. Accordingly, the financial results for the Quarter and six months ended Sep'22 are not comparable with corresponding previous periods. Comparable financials are available on slide no 32 of the Investor presentation for the period.
All the closing inventory as on 31st Mar'22 at PEL, in respect of such transactions included the margin element charged by PPL to PEL on arm's length basis. Since the demerger is effective 1st Apr'22, the opening inventory transferred to PPL at fair value (provisional) as per IND-AS included the margin element and the same has been charged to the P&L in Q1FY23 of PPL financial statements, on sale of such products in PPL.
The one-time, non-recurring impact on EBITDA of this inventory margin in Q1FY23 financial statements is INR 68Cr.
Consolidated Balance Sheet
Intangible Assets including goodwill
# Other Assets include Investments and Deferred Tax Assets (Net)
About Piramal Pharma Ltd:
Piramal Pharma Limited (PPL, NSE: PPLPHARMA) (BSE: 543635), a leading global pharmaceuticals company, offers a portfolio of differentiated products and services through end-to-end manufacturing capabilities across 15 global facilities and a distribution network in over 100 countries. PPL includes Piramal Pharma Solutions (PPS), an integrated Contract Development and Manufacturing Organization; Piramal Critical Care (PCC), a Complex Hospital Generics business, and the India Consumer Healthcare business selling over-the-counter products. PPS offers end-to-end development and manufacturing solutions through a globally integrated network of facilities across the drug life cycle to innovators and generic companies. PCC's complex hospital product portfolio includes inhalation anesthetics, intrathecal therapies for spasticity and pain management, injectable pain and anesthetics, injectable anti-infectives, and other therapies. The Indian Consumer Healthcare business is among the leading players in India in the self-care space, with established brands in the Indian consumer healthcare market. In addition, PPL has a joint venture with Allergan, a leader in ophthalmology in the Indian formulations market. In October 2020, the company received a growth equity investment from the Carlyle Group.
SOURCE Piramal Pharma Limited
Sponsored
