Revenue from operations fell by 29% YoY to Rs 785 crore during the quarter. The decline in revenue was on account of a production line shut down in Q4FY23 in Pashamylaram Penems facility due to line upgradation and reduced business from domestic B2C division during the year as compared to previous year.

Core markets of US, Europe, Canada, Australia, and New Zealand accounted for 70% of revenue during Q4 FY23. Rest of the World markets, accounted for 22% of Q4FY23 revenue for the quarter.

Sale to US market is comprising of products sold to both US customers and Indian customers for US markets. For Q4 FY23 direct sale to US customers Rs 423.3 crore and to Indian customers for US markets was Rs 57.8 million, totalling Rs 480.8 million.

India market accounts for 8% in Q4 FY23 revenue. It witnessed decline in business due to higher base of COVID related sales in previous year and less Insulin business.

EBITDA was down 52% to Rs 168.4 crore in Q4 FY23 from Rs 348.4 crore in Q4 FY22. EBITDA margin in Q4 FY23 was 21% as against 32% in Q4 FY22.

Employee cost has increased by 19% as compared to previous year largely due to additional headcount to support the new production lines in Pashamylaram plant and the Bio CDMO facility in Shamirpet.

Other Expenses increased by 11% as compared to previous year due to various professional fees paid for M&A related activities.

The total R&D expense for Q4 FY23 was Rs 67.8 crroe, which was 8.6% of revenue.

Total Capex incurred during the quarter was Rs 97.7 crore. The company is adding new capabilities of combi-line for microsphere, additional bag line and lyos for the penem block in Pashamylaram facility in Hyderabad. The company said that it would be earmarking capital for further building on its bio-CDMO business.

During Q4FY23, the company has filed 9 ANDAs, and received 7 ANDA approvals. As on 31 March2023, the company along with our partners has 334 ANDA filings in the United States, of which 263 were approved and 71 pending approvals.

The company recorded an exceptional expenditure of Rs 56.5 crore in the fourth quarter.

Gland Pharma said that a customer of the Company has filed voluntary proceedings under Chapter 11 of the United States Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas. Based on the information available as on date, on a prudent basis, the outstanding balance of Rs 56.46 crore has been recorded as a provision for credit impaired financial assets during the quarter ended 31 March 2023. This, being a one-off instance in the company's historical collection trend of financial assets, has been disclosed as an exceptional item.

Consequently, profit before tax in Q4 FY23 stood at Rs 111.2 crore, down by 71% from Rs 380.5 crore in Q4 FY22.

The generic injectable maker has recorded 36% fall in net profit to Rs 781 crore on a 18% decline in revenue from operations to Rs 3,624.6 crore in FY23 as compared with FY22.

Srinivas Sadu, MD & CEO of Gland Pharma said: “We have formally closed the acquisition of Cenexi and welcome it to be a part of the Gland-Fosun family. This is our first overseas acquisition and our move into the next phase of growth and expansion.

We made progress on our path to building a Bio-CDMO and signed our first contract for Plasma Protein at our Shamirpet facility.

As an important milestone we received our first China approval and have also initiated launch of our first product. Our progress on the complex portfolio is in-line with plan and this year we filed a total of 3 complex products during the year.

Gland Pharma is one of the largest and fastest growing injectable-focused companies, with a global footprint across 60 countries, including the United States, Europe, Canada, Australia, India, and other markets. It has a wide range of injectables, including vials, ampoules, pre-filled syringes, lyophilized vials, dry powders, infusions, oncology, and ophthalmic solutions. The company also pioneered Heparin technology in India.