FDC Limited reported Q1 FY23 operating revenue growth of 10% to reach Rs. 495 crore whereas profit was down 27.88% to reach Rs. 70.66 crore for the first quarter ended 30th June 2022.

The company has registered good growth for the quarter across all our business segments and will strive to do the same for the year. The domestic business has registered a single-digit growth on the huge base of last year and this was driven by robust demand across established therapies and brands.

The company has registered good QoQ and YoY growth in the Export Formulation and API business. However, there are impacts on the margin and profits because of the continuous increase in RM and PM prices across products, and this rise is on the higher side compared to the FG price increase that we have taken.

The sale of branded formulations in India for Q1 FY23 was Rs. 421.03 crore, with a growth of 8% on YoY and 52% on QoQ. Overall sales in the Indian market accounted for 85% of total consolidated sales for the quarter.

As per secondary sales data by IQVIA for the quarter ended June 30, 2022, the company delivered strong YoY growth of 21.6% compared to the Indian Pharmaceutical Market (IPM) growth of 17.2% YoY.

This growth was mainly driven by Big brands like Ziti, Electral and Enerzal which witnessed a good volume growth. Electral has moved up to 34th in IPM in MAT June 2022 as compared to 37th in the same period last year.

Formulation sales in the export market were Rs. 54.56 crore in Q1 FY23, up by 26.5% over YoY and up by 15% over QoQ and accounted for 11% of total consolidated sales. The main contributor is the USA market, accounting for 52% of total Export Formulations Sales. ANDA is filed for Olopatadine Hydrochloride Ophthalmic Solution USP, 0.2%.

API sales in the export market were Rs. 17.37 crore in Q1 FY23, up by 25% over YoY and up by 21% over QoQ and accounted for 4% of total consolidated sales.