On Friday, Biocon’s shares will attract attention because the company just shared its third-quarter results for the financial year 2025. Here’s a quick look at what happened:
Biocon’s Q3 Results: Big Dip in Profits
Biocon’s net profit fell sharply by 96% compared to last year, dropping to just ₹25 crore. This is a big change from last year when the profit was ₹660 crore, thanks to some special one-time income. Despite this, the company’s revenue from operations grew by 10% to ₹3,821 crore in Q3FY25.
Biocon’s earnings before interest, tax, depreciation, and amortization (EBITDA) also increased by 16% to ₹787 crore, with a profit margin of 20%. However, the core EBITDA grew only by 4% to ₹1,007 crore, and the margin for core EBITDA decreased by 4% to 26%.
The company’s main business selling biosimilars (like copies of other medicines) did well, earning ₹2,289 crore, which is a 14% increase compared to last year. This growth was mainly due to increased sales of popular products like Ogivri (used for cancer), Fulphila (also for cancer), and Semglee (which is insulin). However, revenue from generics and active pharmaceutical ingredients (API) fell by 2% to ₹686 crore. Income from research services through Syngene increased by 11% to ₹944 crore.
New Investment in Biocon Biologics
Biocon also announced that it will buy an extra 1.5% ownership in its subsidiary, Biocon Biologics, for ₹550 crore. This deal is in cash and comes from one of its current investors who wanted to sell part of their stake. After this purchase, Biocon will own 90.2% of Biocon Biologics. The deal should be wrapped up by February 1, 2025, after all the necessary steps are completed.
On Thursday, Biocon’s shares stayed the same, closing at ₹357.15 on the BSE.
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