While the core biopharmaceutical business did well, licensing fees from its alliance with Mylan Inc. also contributed to growth. Contract research revenues rose by 38%, partly due to an increase in work being done for Bristol-Myers Squibb Co.

Biocon is evidently on a steady track. But whether it makes it to the big league will depend on success in research in the next year or two. While its current performance is, no doubt, good, investors are perhaps now eyeing the big pay-offs.

The company trades at around 19 times annualized earnings for the first-half period, which reflects investors’ expectation that growth rates would continue to be high.

Write to us at marktomarket@livemint.com