For a brief moment of time, Wockhardt notched the spot at the top gainer on the BSE, following its turnaround performance for Q3FY20.
The stock opened today with a gain of 2.7% at Rs.362.40, rising up to an intraday high at Rs373.70, a jump of 6%. Its 52-week high is at Rs.481.25. cost
For the first time in the past 3 years, the company bounced back into the black with a consolidated net profit of Rs.9 crore, mainly on the back of cost rationalization – total expense were down over 25% (YoY).
Revenue from operation was lower by 17% at Rs.869 crore.
EBITDA jumped up almost 6 times to Rs. 109 crore and margins rose from 1.9% to 12.5%.
R&D, as a percentage of sales dropped from 7.6% to 5.2%.
In January 2020, Drug Controller General of India (DCGI) approved Wockhardt's 2 new antibiotics, EMROK (IV) and EMROK 0 (Oral), for acute bacterial skin and skin structure Infections including diabetic foot infections and concurrent bacteraemia based on the Phase 3 study involving 500 patients in 40 centres across India.
Emerging Market business of the company showed a growth of 10% contributing about 16% of the Global Revenue. Its Irish business grew 7%; US showed a degrowth of 12%, contributing 25% to total global revenue. UK business too showed a degrowth of 12%.
India business fell 35%, mainly on account of lower sales in Quality Generics division and in some of the therapeutic areas. It contributed 27% of the global revenue.
There is also unconfirmed news that Cipla and PAG are in a race to acquire the formulations’ business of the company, valued to at around Rs.2100 to Rs.2800 crore.