Zydus Lifesciences (ZYDUSLIFE) Q4 00/01 earnings summary

Executive summary

• FY2000-01 sales and other income rose to Rs 5,238.16m; audited net profit increased 63.37% to Rs 653.13m.

• Export revenue reached Rs 601.26m, up 56.69%; pharmaceutical operations represented over 93% of sales.

• Strategic expansion included German Remedies and Recon acquisitions, new therapeutic divisions, research partnerships and a larger R&D platform.

Financial highlights

• Sales and other income was Rs 5,238.16m versus Rs 4,805.33m in FY1999-00; product sales were Rs 5,087.93m versus Rs 4,777.52m.

• Operating profit before depreciation, interest and tax rose to Rs 881.69m from Rs 717.70m; PBT reached Rs 708.14m from Rs 452.29m.

• Net profit was Rs 653.13m versus Rs 399.79m, up 63.37%; EPS was Rs 10.93 versus Rs 6.67.

• Exports increased to Rs 601.26m from Rs 383.72m, a reported 56.69% increase.

• Proposed dividends: 60% on equity shares and 12% on redeemable preference shares.

Outlook and guidance

• Priorities for FY2001-02 included growth, market leadership, revenue generation and improved profitability across operations.

• Growth plans centered on high-growth therapy areas, therapy management, R&D, strategic partnerships and broader operational scale.

• Research plans included commercialising recombinant-DNA therapeutics and vaccines, advancing drug processes and pursuing new chemical entities.

• Long-term ambition was to become a leading Asian healthcare player by 2010 and a global player by 2020.