Biocon - Outlook

Biocon Ltd has announced the following Outlook: Commenting on the results, Kiran Mazumdar-Shaw, Chairman and Managing Director, Biocon Ltd, said: "We are pleased with our overall performance and have delivered the highest profits to date. We have increased our capital expenditure to support the business expansion that we anticipate across the Group. We expect the year ahead to realize a good return on these investments especially at Syngene and Clinigene. We have a strong Balance Sheet which we will use for strategic acquisitions and investments. The recent AxiCorp acquisition is a significant move that provides us key access to the European market. We wish to make similar inroads into other markets to expand our global footprint. We have delivered a 13% increase in PAT despite a Rs 27 crore increase in depreciation. The strong financial base enables us to recommend a 1:1 Bonus issue that we believe will improve market liquidity to support Biocon's growing profile as a bellwether stock in the Life Science sector." Dr. Arun Chandavarkar, Chief Operating Officer, Biocon Ltd added : "Biocon's focus continues to be on deriving operational efficiencies as reflected in the improved EBITDA margins and in progressing its R&D pipeline of novel and bio-similar products through the complex stages of pre-clinical and clinical development. Divesting the enzyme business has enabled management to sharply focus on our bio / pharmaceutical business. We are pleased with the beach heads we have established in various countries either through direct investments or through strategic marketing partnerships; we are confident that these relationships will deliver as and when our development programs reach the launch stage. We recognize the challenges that lie ahead in terms of broadening and deepening our skill base to deliver on these development programs but are confident of attracting and retaining the right talent. We are also conscious of the need to strike an optimum balance between short term profit growth and longer term R&D investments which will deliver reliable shareholder value."