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Biocon Q4 Net Increases 26%

Bangalore-based biotech major, Biocon reported better-than-expected results for the fourth quarter of 2006-07. The net profit for the quarter was up 26 per cent at Rs 61 crore and the turnover was up 30 per cent at Rs 279 crore compared with the corresponding quarter of the previous year.

The company has attributed its performance to a focus on operational efficiencies, entry into branded formulations and aggressively defending its market position. The severe price competition in statins, which had affected the company’s performance during the earlier part of the year, also eased in the latter half.

The company’s revenues from biopharmaceuticals grew by 29 per cent to touch Rs 204 crore and the enzymes business was up 9 per cent at Rs 27 crore. The research services (delivered by subsidiary Syngene) and licensing delivered an exceptional performance, growing by 54 per cent to touch Rs 47 crore compared with the corresponding quarter. The EBITDA of the company for Q4 was up 26 per cent at Rs 61 crore, compared with Rs 48 crore clocked in Q4 FY06. The EPS was up at Rs 6.1 during Q4 FY07 as against Rs 4.8 registered in Q4 FY06.

In FY07, Biocon’s net profit was up 15 per cent at Rs 200 crore and revenues rose 25 per cent at Rs 986 crore. According to Biocon COO Dr Arun Chandavarkar, the company benefited from the tax concessions on SEZs, paying less tax at Rs 17 crore in FY07 compared with Rs 31 crore in FY06.

Source : Business Standard