Biocon Q1 results: Net profit zooms nearly 550% to ₹659.7 crore, revenues up 8.3%

Biocon Q1 results: Biocon Limited announced a 550.5 per cent increase in its net profit at ₹659.7 crore for the April to June quarter results for the financial year 2024-25, compared to ₹101.4 crore in the same quarter the previous year, according to the company's consolidated statements filed in the Bombay Stock Exchange (BSE) website on Thursday, August 8.

The Kiran Mazumdar Shaw-led biopharmaceutical company recorded an 8.3 per cent rise in the company's revenue from operations at ₹2,613.4 crore for the first quarter of the financial year 2024-25, compared to ₹2,411.2 crore in the same period the previous year.

Biocon's shares closed 2.25 per cent lower at ₹339.20 after Thursday's market session, compared to ₹347 in the previous market close. The company released its results after market operating hours.

Biocon's Biologics business entered into a deal with Eris Lifesciences for the sale of its business in the year ended of March 2024. The company business of Branded generic immunotherapy and nephrology small molecule formulations being manufactured by third-party under manufacturing arrangements, and the in-licensed product in India for a sum of ₹366 crore, as per the company's earnings statement.

The company witnessed a ₹1057.3 crore gain through a transaction in its Biologics business, which has propelled the net profit for the quarter to shoot more than the 550 per cent mark.

"In March 2024, the BBL (Biocon Biologics Limited) had entered into a long-term commercial collaboration agreement with Eris Lifesciences for the sale of its business in relation to Metabolics, Oncology, and Critical Care products in India for a consideration of Rs. 12,420 million. Further, BBL has signed a 10-year supply agreement with Eris Lifesciences. The transaction has come into effect on April 1, 2024. The gain of Rs. 10,573 million is accounted after taking into account working capital and expenses incurred towards commercial collaboration and the same is disclosed under "Other income" in the consolidated financial results," said the company in the earnings release.

Biocon's board of directors recommended a final dividend of ₹0.5 per equity share of ₹5 each, which is still subject to the approval of shareholders in the upcoming Annual General Meeting of the biopharma company, as per the statement.