1QFY21 results of Lupin Ltd - Angel Broking

Mr. Yash Gupta, Equity Research Associate, Angel Broking Ltd.

"Lupin Ltd consolidated revenue from operations for Q1FY21 stood at ₹3,468 crores down by 9.1% YoY from ₹3815 crores in Q1FY20. Revenue from India Business down by 1.7% yoy due to Covid related disruptions while revenue from North America business down by 21.1% yoy due to high base effect. However the API business posted a strong set of numbers for the quarter and was up by 17.2% yoy to ₹409 Crore in Q1FY21. Gross margins stood at 62.9% in Q1FY21 down by 240 bps yoy. EBITDA was down by 34.6% YoY to ₹531.4 Crores as compared to ₹813.4 Crores in Q1FY20 due to increase in employee cost by 400 bps to 22.9%. Profit after tax for the quarter stood at ₹108.2 Crore down by 59% as compared to ₹263.4 Crore in Q1FY20. Lupin has posted a relatively weak set of numbers compared to other large cap companies like Dr Reddys and Cadilla, and we believe that it will continue to face execution challenges in the near future. Therefore we continue our preference for Dr. Reddy's in the large-cap pharma space."

Shares of LUPIN LTD. was last trading in BSE at Rs.879.4 as compared to the previous close of Rs. 936.25. The total number of shares traded during the day was 310984 in over 12565 trades.

The stock hit an intraday high of Rs. 915.8 and intraday low of 874.9. The net turnover during the day was Rs. 275253382.

Source : Equity Bulls

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