Caplin Point Laboratories Ltd. (NSE: CAPLIPOINT): Q3FY23 Results Out; Total Income rise 15% YoY

Caplin Point Laboratories Ltd. (NSE: CAPLIPOINT) is a pharmaceutical company based in India. It is engaged in the development, manufacture, and marketing of a wide range of generic formulations and active pharmaceutical ingredients (APIs) across various therapeutic segments. The company has a global presence and exports its products to over 80 countries.

Caplin Point Laboratories Ltd. has reported its Q3 FY23 and 9MFY23 financial results. The company’s Q3FY23 revenue was INR 386 crore, up by 15% YoY, compared to INR 336 crore in Q3FY22. The profit after tax (PAT) for the quarter was INR 97 crore, up 22.8% from INR 79 crore in Q3FY22. The 9MFY23 PAT increased by 21.1% to INR 276 crore, compared to INR 228 crore in 9MFY22. Cash flow from operations for 9MFY23 was INR 176 crore. The basic EPS grew by 24% to INR 36.17 in 9MFY23, compared to INR 29.18 in 9MFY22 (not annualized).

Caplin Point Laboratories has also reported that its exchange gain in 9MFY23 was INR 13.16 crore, compared to INR 8.24 crore in 9MFY22. The enhanced deployment of cash yielded an interest income of INR 26 crore in 9MFY23, compared to INR 16 crore in 9MFY22. The company’s inventory level is likely to continue in Q4, considering the extended transit time and a focus on the need to keep inventory closer to customers.

The company’s revenue for 9MFY23 grew by 17.2% YoY to INR 1,122 crore. The gross margins for 9MFY23 were at 54.8%, and EBITDA for 9MFY23 was INR 362 crore, with an EBITDA margin at 32.2%. Capex for 9MFY23 was INR 154 crore, and the free cash flow for the period was INR 22 crore. The receivable stood stable around 100 days as of 9MFY23.

Overall, Caplin Point Laboratories’ financial results indicate a steady growth trajectory with a strong focus on cash management and prudent inventory management. The company’s enhanced deployment of cash has resulted in increased interest income, and its geographic sales mix seems to be well-diversified.