Oxygenta Pharmaceutical (524636) Q4 15/16 earnings summary

Executive summary

• FY2015-16 revenue rose to Rs. 12.43 crore from Rs. 6.25 crore, while net loss narrowed to Rs. 5.50 crore from Rs. 6.11 crore.

• Production resumed in July 2015 after the January 2015 fire; management focused on stabilizing operations and expanding contract and own-production work.

Financial highlights

• Total revenue was Rs. 12.43 crore in FY2015-16 versus Rs. 6.25 crore in FY2014-15; operating revenue was Rs. 12.43 crore versus Rs. 6.24 crore.

• Net loss was Rs. 5.50 crore versus Rs. 6.11 crore; PBT loss was Rs. 5.50 crore versus Rs. 6.85 crore.

• Total expenses rose to Rs. 17.93 crore from Rs. 13.11 crore; material costs were Rs. 8.31 crore versus Rs. 2.79 crore.

Outlook and guidance

• Management expected operations to stabilize by the end of the next financial year and expressed confidence in reaching break-even during the year and adding revenue by year-end.

• Plans included additional job-work contracts and expansion of own production; contract manufacturing for Aurobindo Pharma Limited was expected to support operating expenses pending bank working-capital limits.