PAT up 39%, Operating Revenue up ¬20% (1st Quarter FY 2017 Consolidated Results)

MUMBAI, India - July 26, 2016 - PRLog -- Ajanta Pharma Ltd. a specialty focused pharmaceutical formulation company reported today its performance for the 1^st quarter ended 30^th June 2016.

Q1 FY 2017 performance highlights (Consolidated, as per Ind AS)

·         Revenue from operations grew 20% at Rs. 476 cr. against Rs. 395 cr.

·         EBITDA growth of 36% at Rs. 167 cr. against Rs. 123 cr., EBITDA at 35% of revenue.

·         Profit before tax grew 33% at Rs. 158 cr. against Rs. 119 cr.

·         Profit after tax grew 39% at Rs. 120 cr. against Rs. 86 cr., PAT at 25% of revenue.

Commenting on the results, Mr. Rajesh Agrawal, Jt. Managing Director said:

"We have started the year well with 1st quarter posting healthy set of numbers.

We continue the momentum in India business with healthy growth of 19% for our branded generic business (excluding institution business) as against market growth of 13%.

Branded generic business in emerging markets showed resilience and held its ground despite extremely challenging external environment of currency devaluations and scarcity.

During the quarter, we have received 2 ANDA approvals - some of which have been commercialized in US and others will be commercialized shortly.  We are excited with the prospect of building the US business with our select ANDA portfolio in coming years.

As per the plans, our R&D spend has increased to 7% of the revenue for the quarter towards developing the identified products for sustained growth in future."

India

For Q1 FY 2017, India branded business (excluding institution) was Rs. 157 cr. posting healthy growth of 19%.

In the therapeutic segments where company operates, as per IMS MAT June '16, we have posted healthy growth of 29% in Cardiology (segment growth of 13%), 20% in Ophthalmology (segment growth of 13%), 10% in Dermatology (segment growth of 17%) and 20% in Pain Management (segment growth of 10%).

Total India Revenue (including institution) was Rs. 162 cr., up 9% over Q1 FY 2016.

Emerging Markets

During this quarter, Emerging Markets business grew 20% with sale of Rs. 287 cr. Africa contributed Rs. 194 cr. (growth of 32%) and Asia contributed Rs. 93 cr. (growth of 4%).

Currency devaluations and forex scarcity in select geographies continue to pose challenges and limit our growth potential.

USA

We have received 2 ANDA approvals during the quarter and totally we have commercialized 8 products in US (till date). Total revenue during the quarter for US was Rs. 10 cr. against Rs. 3 cr. last year.

Company has 11 final ANDA approvals, 1 tentative approval and another 14 awaiting approval with US FDA.  We target to file 8-12 ANDAs per year with US FDA.

R&D

Company has significantly increased its R&D spend during the quarter.  For Q1, R&D spend (excluding capex) was Rs. 32 cr., about 7% of sales (Q1 FY 2016 Rs. 18 cr., about 5% of sales).

Manufacturing

The solid dosage formulation facility at Dahej, Gujarat is taking regulatory filing batches and will be commercialised from April 2017.

The construction of new formulation facility at Guwahati, Assam is on course to be operationalized by March 2017.

About Ajanta Pharma Limited

Ajanta Pharma is a speciality pharmaceutical formulation company having branded generic business in India and emerging markets, generic business in US and institution business in Africa & India.  Many of company's products are 1^st to market and are leading in their sub-therapeutic segments.

Company's state of the art R&D centres for formulation development and API are located at Mumbai, having a team of 750+ scientists. Company has world class manufacturing facilities - 5 located in India and 1 at Mauritius. One of the manufacturing facilities in India is approved by US FDA, pre-qualification from WHO, along with approvals from FDAs of many other countries.

For last 5 years, company has posted healthy performance with its consolidated revenue growing at 26% CAGR of and net profit at 51% CAGR.

For more details visit www.ajantapharma.com

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For specific queries, contact:

Rajeev Agarwal Tel: +91 22 66061377 Email:rajeev.agarwal@ajantapharma.com

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