Aarti Drugs Limited announces 6% YoY revenue growth in Q1 FY24
For the quarter ending 30th June 2023, Mumbai-based pharmaceutical company, Aarti Drugs Limited, announced its audited financial results, reporting a 6% year-on-year (YoY) growth in revenue, which amounted to Rs. 661.7 crores, up from Rs. 622.2 crores the previous year.
The company’s EBITDA for the quarter stood at Rs. 84.7 crores, an increase from Rs. 67.4 crores YoY, resulting in an EBITDA margin of 12.8%. The PAT (Profit After Tax) was Rs. 48.0 crores, a rise from Rs. 34.8 crores YoY, with a PAT margin of 7.3%.
The standalone business contributed ~86% to the consolidated revenue for the quarter, with its Q1 FY24 revenue standing at Rs. 591.6 crores, up from Rs. 551.2 crores, marking a 7.3% YoY growth. API volumes saw an approximate growth of 18%, propelled by secular growth across both acute and chronic therapies.
The Board of Directors of Aarti Drugs Limited has approved a buyback of 6,65,000 fully paid-up equity shares, representing 0.72% of the total number of outstanding equity shares of the company at a price of Rs. 900/- per equity share, making the aggregate amount up to Rs. 59.85 crores.
Adhish Patil, CFO & COO of Aarti Drugs Limited, commented, “The company posted revenue growth of ~6.3% YoY in Q1FY24, which was primarily driven by good volume growth getting partially set off by the downward rate variance…Formulation segment revenue stood at Rs. 90 crores for the quarter, a growth of 6% YoY.
“The formulation segment contributed ~14% to the consolidated revenue for the quarter. Exports continued to remain a key focus area for the formulation segment. ~67% of the formulation revenue came from exports during the quarter led by new business gains…Looking beyond the short-term challenges, we remain positive about the opportunities both in API and non-API business.”