Lincoln Pharmaceuticals Ltd Reports 16.70% Rise in Profit at Rs. 35.19 Crore
Exports sales (FOB) in Q2FY21 increased 9.65 % to Rs. 68.85 crore and is expected to get further boost once we start exports to Europe. Strategic growth initiatives, strong performance in the domestic and international markets, EU approval, new product approvals, better margin products along with operational efficiency are likely to contribute healthy growth and maximize value for all stakeholders in the near to medium term.
Lincoln Pharmaceuticals Limited, one of India’s leading healthcare companies has reported net profit of Rs. 35.19 crore for the H1 FY21 ended September 2020 as against net profit of Rs. 30.15 crore in the corresponding period last year, growth of 16.70%. Net revenue for the half-year ended September 2020 reported at Rs. 226.52 crore, higher by 8.05% over previous fiscal’s same period net revenue of Rs. 209.64 crore. EBITDA for the half-year ended September 2020 was reported at Rs. 51.43 crore as compared to Rs. 44.53 crore in the corresponding period last year. EPS was at Rs. 17.59 per share for H1 FY21 as compared to Rs. 15.08 in the corresponding period last year. Lincoln Pharma has become a zero net-debt company by paying all its outstanding debt.
Commenting on the results and performance, Mr. Mahendra Patel, Managing Director, Lincoln Pharmaceuticals Limited, said, “Company has delivered a robust operational and financial performance during the quarter maintaining healthy growth in revenue, profitability and expects to continue the growth momentum. Exports sales (FOB) in Q2FY21 increased by 9.65 % to Rs. 68.85 crore and is expected to get a further boost once we start exports to Europe. Strategic growth initiatives, strong performance in the domestic and international markets, EU approval, new product approvals, better margin products along with operational efficiency are likely to contribute healthy growth and maximize value for all stakeholders in the near to medium term. ”
Export business of the company has shown remarkable growth in the last few years. Exports have increased to 56% of total sales in FY20 from 11% of total sales in FY13. Company currently exports to 60 plus countries including East & West Africa, Central & Latin America and Southeast Asia and has got many product registrations in these countries and is also awarded a number of global tenders. With the EU certification, the company will expand its business network to 90 plus countries.
During the quarter, the company launched Chewable Vitamin C + Zinc Tablet for Indian market. The tablet is an evidence-based bio-active for natural immunity in a combination of zinc that boosts antiviral activity and protection against COVID 19. Market size for Vitamin C and Zinc tablets is estimated at around Rs. 150 crore in India and growing at 15% per annum.
Company has received European Union (EU) GMP certification from Germany FDA for its manufacturing facility located at Khatraj in Gujarat. The certification will allow the company to market its products in all the 27 member countries of EU and also give access to the European Economic Area (EEA) countries. The company looks to enter the EU markets during the current financial year with its dermatology, gastro and pain management products and gradually expand product portfolio.
Lincoln Pharma has a state-of-the-art manufacturing facility unit at Khatraj in Ahmedabad, Gujarat, complying with stringent international quality and compliance norms and certified by EUGMP, WHO-GMP and ISO-9001: 2015. Company has developed 600 plus formulations in 15 therapeutic areas and has a strong product/brand portfolio in anti-infective, respiratory system, gynaecology, cardio & CNS, anti-bacterial, anti-diabetic, anti-malaria among others. Company has filled 25 plus patent applications and is awarded seven patents. Company has a strong presence in the domestic market with good strength of own field force and also exports to more than 60 countries.