Gland Pharma (GLAND) Q4 18/19 earnings summary

Executive summary

• FY19 gross income rose 27.4% YoY to ₹21,297.67 mn; profit after tax increased to ₹4,519.07 mn from ₹3,211.14 mn.

• Exports generated ~84% of revenue; sales reached almost 50 countries across six continents.

Financial highlights

• Revenue from operations was ₹20,442.03 mn vs ₹16,228.93 mn; FY19 comparability is affected by GST presentation changes.

• PBDIT was ₹7,918.76 mn vs ₹5,838.94 mn; profit before exceptional items and tax was ₹7,063.57 mn vs ₹5,015.61 mn.

• PBT was ₹6,863.57 mn vs ₹5,015.61 mn; PAT was ₹4,519.07 mn vs ₹3,211.14 mn.

• Basic and diluted EPS were ₹291.65 vs ₹207.24.

• Adjusted for ₹200 mn employee separation compensation, FY19 profit before exceptional items and tax was ₹7,063.57 mn.

Outlook and guidance

• FY19 capital contracts remaining to be executed, not provided for, totaled ₹1,504.31 mn vs ₹312.30 mn in FY18.

• R&D priorities include developing processes for newer products and intermediates; process and cost efficiencies were achieved on existing products.

• Ind AS 116 adoption from FY20 was under evaluation; management expected no significant financial statement impact.