Marksans Pharma's UK arm receives approval for Levonorgestrel 1.5mg tablets; Stock trades higher

The company reported that Levonorgestrel is a first-line oral emergency contraceptive pill. The pill is to be used within 72 hours of unprotected sexual intercourse or when a presumed contraceptive failure occurs. The company received the approval to market these tablets from the UK Medicines and Healthcare products Regulatory Agency (MHRA).

Last month, the company announced that its UK arm, Relonchem received marketing authorisation from the UK MHRA for Rasagiline Relonchem 1 mg tablets and Olmesartan 10 mg, 20 mg, and 40 mg Film-coated tablets.

In Q4FY24, Marksans Pharma reported a 6.1% year-on-year (YoY) decline in its net profit to ₹77.6 crore. The consolidated operating revenue for the quarter rose 15.2% YoY to ₹560 crore while the earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew marginally at 0.1% YoY to ₹109.6 crore.

The EBITDA margin for the quarter contracted by 296 basis points (bps) to 19.6% while the net profit margin contracted by 318 bps to 13.5%

For the financial year ended March 31, 2024, the company clocked in an 18.7% YoY growth in its net profit to ₹314.9 crore. The consolidated operating revenue in FY24 climbed 17.6% YoY to ₹2,177.4 crore while the EBITDA grew by 35.1% YoY to ₹458.6 crore.

The EBITDA margin for FY24 expanded by 274 bps to 21.1% while the net profit margin expanded by 25 bps to 14.1%.

The board of directors also approved a final dividend of ₹0.60 per equity share.

Shares of the company have risen by nearly 30% since the beginning of the year. The stock has gained over 88% in the past year.