Home / Markets / Stock Markets /  JB Chemicals declares 8.50 per share dividend, posts 32% revenue growth in Q3

A mid-size company with a market valuation of 15,748.86 Cr, J.B. Chemicals & Pharmaceuticals Ltd operates in the pharmaceutical industry. Its other two international markets, in addition to its substantial presence in India, which generates the majority of its revenue, are Russia and South Africa. Five of the company's brands are among the top 300 IPM brands in India. The firm sells its final products to more than 40 nations, including the United States. The firm, which is one of the top 5 makers of herbal and prescription lozenges worldwide, announced its third-quarter earnings today along with a 425% dividend for the fiscal year 2022–2023.

The company has said today in a stock exchange filing that the “Board of directors of the Company at its meeting held today has declared interim dividend of Rs. 8.50 per equity share of FV of Rs. 2 (425%) for financial year 2022-23. The dividend will be remitted/ dividend warrants will be dispatched on March 1, 2023." The Board of Directors of JB Chemicals further informed stock exchanges by saying that “the Company has fixed Saturday, February 18, 2023 as record date, to ascertain eligibility of the beneficial owners/shareholders of the Company to receive the interim dividend for FY 2022-2023."

For the quarter ended 31st December 2022, the company recorded revenue of INR 793 crores as compared to INR 601 crores in the year-ago quarter, representing a YoY growth of 32%. The operating EBITDA (Earnings Before Interest Depreciation and Taxes) of the company increased by 26% YoY to INR 193 crores in Q3FY23 compared to 153 crores in Q3FY22 whereas its net profit reached INR 106 crores in Q3FY23 against INR 84 crores in the year-ago quarter, representing a YoY growth of 26%.

The firm reported revenue of INR 2387 crores during the first nine months of the fiscal year 2022–23 as opposed to INR 1800 crores, representing a 33% growth. The operating EBITDA (Earnings Before Interest Depreciation and Taxes) of J.B. Chemicals & Pharmaceuticals climbed by 28% to INR 584 crores from INR 457 crores in 9MFY22 whereas its net profit reached INR 322 crores in 9M FY23 as compared to INR 301 crores in 9M FY22.

Commenting on financial results, Mr. Nikhil Chopra, CEO and Wholetime Director, JB Pharma said, “JB continues its growth journey delivering strong financial performance in the quarter. Our organic business outpaced the market, whereas our inorganic portfolio added to the upsides with better than anticipated momentum. Our inorganic strategy is built around growing the India business and increasing share in the chronic segment. During the quarter, we acquired the Razel franchise(Rosuvastatin and its combinations). This further strengthens our chronic presence, as we enter the ‘Statins’ category - the largest segment in cardiology. Our strong prescriber base and existing chronic teams will help in further growing the brand and drive operating leverage". 

He further added “The CMO business continued its revenue traction, while other parts of international business have also witnessed good growth. We are equally cautious about the inflationary environment and continue to build on productivity and cost optimization initiatives to enable us maintain our operating margins."

The shares of JB Chemicals & Pharmaceuticals closed today on the NSE at 2,036.00 apiece, up by 1.06% from the previous close of 2,014.65.

Vipul Das
Vipul Das is a Digital Business Content Producer at Livemint. He previously worked for Goodreturns.in (OneIndia News) and has over 5 years of expertise in the finance and business sector. Stocks, mutual funds, personal finance, tax, and banking are among his specialties, and he is a professional in industry research and business reporting. He received his bachelor's degree from Dr. CV Raman University and also have completed Diploma in Journalism and Mass Communication (DJMC).
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