Biocon Q2 Net Profit Jumps Threefold To Rs 306 Crore On Syngene Share Sale

Biocon, India's largest biopharma firm has reported a threefold increase in its second-quarter profit, boosted by a one-time gain of Rs 203 crore from selling shares in its research services unit Syngene to the public.

Biocon revenue for the second-quarter increased 11 per cent to Rs 828 crore on higher growth of research services from global pharma makers. The Biopharma business grew slower by four per cent due to slow offtake of some of the active pharmaceutical ingredientd (APIs) and capacity constraints. While Indian branded formulation business rose by three per cent to Rs 119 crore.

Biocon spent 63 per cent more on Y-o-Y of Rs 57 crore on research and development in the quarter against Rs 35 crore a year earlier. The company is spending money on clinical advancement of several biosimilars and novel programmes.

"It has been a stable performance for Biocon this quarter with several growth triggers on the horizon focusing on Biosimilars in emerging markets. The clinical advancement of five of our Biosimilars programs has put us on track for regulatory filings for some of these in the US and Europe in FY17," said Kiran Mazumdar Shaw, chairperson and managing director of Biocon.

The company said long-acting insulin glargine has completed phase-3 trials in the first quarter. The recruitment of patients for phase-3 trials of white blood cell booster drug pegfilgrastim and breast cancer drug Trastuzumab have also been completed and cancer drugs Adalimumab and Bevacizumab are also progressing well, it said.

Biocon said its insulin facility in Malaysia is progressing in its efforts to get regulatory approvals for exports and emerging market filings to launch its products in FY17, and the expansion of its biosimilars facility in Bengaluru is also on track for regulatory clearances in FY18.