Lupin Ltd Q4 Results 2022: Lupin reported a loss of Rs.5180 million for Q4FY22

On 18th May 2022,  Lupin Ltd. announced its quarterly results for the last quarter of FY2022.

Key Highlights:

Q4FY22:

- Lupin Ltd. reported a Profit Before Tax at a loss of Rs.852 million for Q4FY22 from a profit of Rs.5182 million in Q4FY21, with a drop of 116.4%

- The company's revenue from operations rose 2.8% to Rs.38645 million in the quarter under review from Rs.37593 million in the same quarter last fiscal.

- EBITDA stood at Rs.2823 million from Rs.7657 million in Q4FY21, saw a decline of 63.1%

- Lupin reported a net loss of Rs.5180 million for Q4FY22.

FY2022: 

- The company reported PBT at Rs.12135 million for FY2022 from Rs.16751 million in FY2021, with a decline of 27.6%

- The company's revenue from operations rose by 8.5% to Rs.161928 million for the year from Rs.149270 million in FY2022.

- EBITDA stood at Rs.23073 million from Rs.27032 million in FY2021, seeing a drop of 14.6%

- Lupin reported a Net loss of Rs.15280 million for FY2022.

Operational Highlights:

 NORTH AMERICA:

- North America sales for FY2022 were Rs. 57,556 million compared to Rs. 55,520 million in FY2021; accounting for 36% of Lupin’s global sales. Q4FY22 sales were Rs. 14,162 million, down 5.3% as compared to Rs. 14,952 million in Q4FY21; accounting for 37% of Lupin’s global sales. 

- U.S. FY2022 sales were $738 million compared to $720 million in FY2021. Q4FY22 sales were $181 million compared to $195 million in Q4FY21.

- The Company filed 10 ANDAs in the quarter, received 2 ANDA approvals from the U.S. FDA, and launched 2 products in the quarter in the U.S. The Company now has 166 generic products in the U.S. 

- Lupin continues to be the 3rd largest pharmaceutical player in both U.S. generic market and U.S. total market by prescriptions (IQVIA MAT March 2022). 

INDIA:

- India formulation sales for FY2022 were Rs.60,042 million, up 13.9% as compared to Rs. 52,712 million in FY2021; accounting for 38% of Lupin’s global sales. Q4FY22 sales were Rs.13,511 million, up 5.0% as compared to Rs.12,866 million in Q4 FY2021; accounting for 35% of Lupin’s global sales. 

- Formulations sales grew by 13.3% in the quarter as compared to Q4 FY2021. The company launched 1 brand in the Anti-Diabetic therapy, 1 brand in the Anti-Viral therapy, and 1 brand in the VMS therapy in the quarter. 

- Lupin is the 6th largest company in the Indian Pharmaceutical Market (IQVIA MAT March 2022). 

GROWTH MARKETS (LATAM & APAC):

- Growth Markets sales for FY2022 were Rs.14,019 million, up 17.2% as compared to Rs. 11,964 million in FY2021; accounting for 9% of Lupin’s global sales. Q4FY22 sales were Rs. 3,810 million, up 25.6% as compared to Rs. 3,033 million in Q4FY21; accounting for 10% of Lupin’s global sales. 

- Brazil's sales were BRL 224 million for FY2022, compared to sales of BRL 239 million for FY2021. Q4FY22 sales were BRL 64 million, compared to BRL 59 million for Q4 FY2021. 

- Mexico's sales were MXN 713 million for FY2022, compared to sales of MXN 621 million for FY2021. Q4FY22 sales were MXN 183 million, compared to MXN 154 million for Q4FY21. 

- Philippines' sales were PHP 1,881 million for FY2022, compared to sales of PHP 1,388 million for FY2021. Q4FY2022 sales were PHP 475 million, compared to PHP 402 million for Q4FY21. 

- Australia's sales were AUD 74 million for FY2022, compared to sales of AUD 57 million for FY2021. Q4FY2022 sales were AUD 20.8 million, compared to AUD 14.2 million for Q4FY21. 

EUROPE, MIDDLE EAST AND AFRICA (EMEA):

- EMEA sales for FY2022 were Rs. 13,592 million, up 6.3% as compared to Rs. 12,781 million in FY 2021; accounting for 9% of Lupin’s global sales. Q4FY22 sales were Rs. 4,072 million,up 8.6% compared to Rs. 3,749 million in Q4FY21; accounting for 10% of Lupin’s global sales.

- South Africa's sales were ZAR 1,375 million for FY2022, compared to sales of ZAR 1,295 million for FY2021. Q4FY22 sales were ZAR 426 million, compared to ZAR 431 million in Q4FY21. Lupin is the 6th largest player in South Africa in the total generics market (IQVIA February 2022). 

- Germany's sales were EUR 32.4 million for FY2022, compared to sales of EUR 29.2 million for FY2021. Q4FY22 sales were EUR 8.4 million, compared to EUR 5.4 million in Q4FY21.

Global API:

- Global API sales for FY2022 were Rs. 9,904 million, down 28.4% as compared to Rs. 13,823 million in FY2021; accounting for 6% of Lupin’s global sales.

- Q4FY22 sales were Rs. 2,203 million, down 14.1% as compared to Rs. 2,556 million in Q4FY21; accounting for 6% of Lupin’s global sales. 

Research and Development:

- Investment in R&D was Rs. 14,024 million (8.7% of sales) for FY2022 and Rs. 3,442 million (8.9% of sales) in Q4FY22. Lupin received approval for 2 ANDAs from the U.S. FDA in the quarter. Cumulative ANDA filings with the U.S. FDA stand at 457 as of March 31, 2022, with the company having received 297 approvals to date.

- The Company now has 53 First-to-File (FTF) filings including 21 exclusive FTF opportunities. 

- Cumulative U.S. DMF filings stand at 196 as of March 31, 2022.

Commenting on the results, Mr. Nilesh Gupta, Managing Director, Lupin Limited said, “The current quarter was challenging with headwinds in the U.S. on account of price erosion, and inflation in input materials and freight. Our other markets continue solid growth in revenues and profitability. We are focused on optimizing operating expenses and spend and ensuring the evolution of our complex generic platforms along with global portfolio maximization while doubling down on markets like India. We expect our efforts to yield a meaningful uptick in profitability, especially in the second half of this fiscal and beyond”.

The Board recommended a dividend of Rs.4/- per equity share of the face value of Rs.2/- each aggregating Rs.1,818.0 million.