Ganga Pharmaceuticals (539680) H2 21/22 earnings summary

Executive summary

• FY22 revenue from operations rose to ₹248.90 lakh from ₹237.44 lakh; profit after tax increased to ₹3.79 lakh from ₹2.04 lakh.

• Results came amid challenging post-COVID conditions, weaker macroeconomic conditions and slowing market growth; no dividend was recommended.

Financial highlights

• Revenue from operations was ₹248.90 lakh, up 4.83% YoY; total revenue including other income was ₹274.76 lakh vs ₹262.86 lakh.

• PBT increased 36.90% YoY to ₹5.12 lakh from ₹3.74 lakh; PAT was ₹3.79 lakh vs ₹2.04 lakh.

• Other income was ₹25.86 lakh vs ₹25.43 lakh; material costs fell to ₹128.43 lakh from ₹142.14 lakh.

Outlook and guidance

• Long-term strategy centers on scaling authentic Ayurveda, improving customer satisfaction, developing products for unmet medical needs and expanding product distribution.

• Plans include a domestic-market focus, new product and distribution investment, and leveraging human clinical trials conducted for some new formulations.

• AYUSH cluster development, government support for pluralistic healthcare and 100% FDI in the AYUSH sector were identified as industry opportunities.