Strides Pharma's Net Loss At Rs 82 Cr In Q3FY23

Bangalore-based pharma company Strides Pharma Science on Tuesday announced its consolidated financial results for the quarter (Q3FY23) and nine months (9MFY23) that ended on December 31, 2022.

The pharma company posted a consolidated revenue of Rs 868.6 crore, up by 9 per cent year on year with Rs 796.8 crore recorded in the corresponding quarter of the previous year, whereas the company recorded a 3 per cent dip in its consolidated sales quarter on quarter. 

Strides Pharma reported a net loss of Rs 82 crores in the third quarter, the company said the reported PAT of the company was impacted by loss from JV and associates on account of inventory write-off related to the Covid portfolio. 

The company's consolidated EBITDA was recorded at Rs 120 crores, up by over 100 per cent against the corresponding quarter of last year where the company's EBITDA was recorded at Rs 4 crore.

The company said in a statement said that the company saw strong performance in regulated markets business driven by growth across all key markets, regulated markets business crossed the USD 100 million mark for the first time in quarterly revenues and US Business reported its quarterly performance at USD 63 million whereas other regulated markets recorded revenues at USD 39 million. 

Arun Kumar, Founder, Managing Director, and Executive Chairperson, commented on the performance and said, “We are pleased to report continued momentum in our performance led by strong growth in the regulated markets. Our US operations delivered a strong quarterly performance driven by improved volume for the base products and healthy traction for recently launched products. We have launched ten new products so far during the financial year and expect the new launch velocity to continue in the near term. 

He further said that the company will continue to focus on a profitable outcome for the business and have, by design, let go of several low‐margin businesses. The other regulated markets business has bounced back strongly during the quarter, with growth across all markets. We continue to expand our footprint across key regulated markets outside the US through new customer acquisition and expansion of our product offering. The business continues to have strong order book visibility, and we are confident of the growth trajectory continuing for the Other Regulated Markets.  

"We have received the Arrow transaction-related deferred consideration towards the end of the quarter. The proceeds will be used to deleverage the balance sheet. We are focused on getting our Net Debt to EBITDA below 3x in the near term," he added.