Biocon PAT up 13 pc, to issue 1:1 bonus shares

Bangalore, Apr 22 (UNI) Pharma major Biocon Ltd has maintained its profits at consolidated level by posting a 13 per cent increase in PAT at Rs 225 crore and announced issuance of 1:1 bonus shares, reflecting on its strong financial base.

Announcing the results for the fiscal 2007-08, Company Chairman and Managing Director Kiran Mazumdar-Shaw said despite Rupee appreciation, increased depreciation and divestment of enzymes business, the company had achieved a total revenue Rs 1,090 crore for the fiscal, up 10 per cent when compared to last year's Rs 990 crore.

For the fourth quarter ending March 31, 2008, Biocon's net profit had increased by 31.19 per cent to Rs 62.03 crore. The total income, however, decreased two per cent to Rs 236.7 crore during the same period, she said.

The company announced a special dividend of 40 per cent to take the total dividend to 100 per cent at Rs five per share.

''We have delivered the highest profit in the company's history and a good overall performance. For the present fiscal, we expect better returns on the investments, especially from our subsidiaries -- Syngene and Clinigene,'' she said.

Ms Mazumdar-Shaw said the strong balance sheet would be used judiciously for strategic acquisitions and investments which was ''well within the reach of the company.'' The company was close to acquiring 70 per cent stake in German pharma company AxiCorp, she said.

Biocon's revenue from research services had risen 29 per cent to Rs 176 crore contributing 16 per cent of the consolidated revenues.

''We are issuing bonus shares to improve the market liquidity to support our growing profile,'' she said.

Company COO Arun Chandavarkar said the focus continued to be on deriving operational efficiencies as reflected in the improved EBITDA margins which stood at Rs 335 crore, a 17 per cent increase from the previous year.

''We want to strike an optimum balance between short term profit growth and longer term R and D investments,'' he said.

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