The share price of Piramal Pharma surged over 8 per cent on the Bombay Stock Exchange on Monday morning, after the company reported an 11 percent year-on-year increase in revenue.
During the September quarter, Piramal Pharma achieved a profit after tax of Rs 5 crore, a significant improvement compared to the loss of Rs 37 crore in the corresponding period last year and the loss of Rs 99 crore in the previous quarter.
At 02:30 pm, the shares of the company were trading in the green territory at Rs 95 price level, up by more than 3 per cent or 3 points, on the Bombay Stock Exchange.
In the quarter under review, the company's Earnings before interest, tax, depreciation, and amortization (EBITDA) amounted to Rs 315 crore, accompanied by an EBITDA margin of 16 per cent. Besides, Piramal Pharma successfully concluded a rights issue, raising Rs 1,050 crore with a robust subscription rate of 128 per cent.
“We expect a similar trend to play out this financial year, specifically in Q4. During the [second] quarter, we also successfully completed our rights issue and used the proceeds to reduce our debt. We hope to continue our momentum in the second half of FY24 and end the year with a robust performance," said Nandini Piramal, chairperson of Piramal Pharma Limited.
Piramal Pharma's Contract Development and Manufacturing (CDMO) segment experienced a revenue increase of 13.6 per cent, reaching Rs 1,068 crore, up from Rs 940 crore the previous year. In the complex hospital generics sector, revenue grew by 5 per cent to Rs 589 crore, compared to Rs 562 crore in the prior year.