BXPHARMA: 2QFY23 Earnings Update

Beximco Pharmaceuticals Limited (BXPHAR BD) reported 24.8% negative profit growth in 2QFY23

·         Revenue grew by 16.4% YoY to BDT 9,892mn. However, gross profit margin fell by 325bps to 44.9% due to raw material price hike amid significant depreciation of local currency.

·         Total operating expenses also increased by 9.2%. Overall, EBIT margin fell from 21.6% in 2QFY22 to 19.9% in 2QFY23.

·         BXPHAR BD earned a net amount of BDT 619mn in 6MFY22 as Vaccine Distribution Fee from the distribution of Oxford/AstraZeneca COVID-19 vaccine under a tripartite agreement among the Serum Institute of India, Government of Bangladesh and BXPHAR BD. Income from vaccine distribution became zero since the contract came to an end. Hence, we saw significant fall in other income.  

·         Finance cost increased by 24.1% YoY to BDT 333mn. Effective tax rate also increased by 87bps YoY to 24.8% in 2QFY23. Overall, PAT fell by 24.8%.   

Revenue (BDT mn)8,5009,89216,96919,679
Gross profit (BDT mn)4,0934,4418,1708,866
EBIT (BDT mn)1,8341,9733,9344,085
NPAT (BDT mn)1,6561,2453,1322,658
EPS (BDT)3.842.777.126.02
BVPS (BDT)    86.65 93.52    86.65 93.52
Growth YoY    
Gross profit15.6%8.5%19.6%8.5%
Gross profit48.2%44.9%48.1%45.1%