Shares of a leading pharmaceutical firm rose by 5% to ₹693 per share on Thursday, following the company’s announcement of a 24% increase in net profit for the June quarter.
At 1:05 p,m., Lincoln Pharmaceuticals Ltd shares were trading at ₹680.65 per share, up 3.29 percent from the previous close price on the exchange. The company has a market capitalization of ₹1,378 crore.
Is Lincoln Pharmaceuticals a buy or sell? What is its Fair Value? What are the company's health parameters? What are the positive and negative factors driving the company -- ProTips? Know all the answers on the company's overview page here.
What Happened:
Lincoln Pharmaceuticals Ltd’s exchange filings revealed a robust financial performance for Q1 FY25, with a consolidated net profit of ₹23.5 crores, representing a 24% year-over-year increase. The company’s total revenue for the quarter amounted to ₹147 crores, a 9% rise from the same period last year.
On a quarter-on-quarter basis, the company’s net profit surged by 27%, while revenue grew by 3.5%. Additionally, on a standalone basis, the company’s EBITDA increased by 16.65% year-over-year.
Looking ahead, driven by its growth strategies and expansion into value-added products and new markets, the company aims to achieve a revenue target of ₹750 crores in FY26.
As of June 2024, Foreign Institutional Investors (FIIs) have incrementally increased their stake in the company to 3.95%, up from 1.74% in June 2023. Meanwhile, promoters hold a 49.78% stake, and retail investors possess 46.24% of the shares.
About the company:
Lincoln Pharmaceuticals Limited (LPL) specializes in the manufacturing, marketing, and distribution of pharmaceutical products. The company has developed over 600 formulations across 15 therapeutic areas and has 1,700 registered products, with an additional 700 in development.
Over the past five years, LPL has achieved a compound annual growth rate (CAGR) of more than 13% in profits and sustained single-digit sales growth. Profit margins have increased from approximately 13% in FY19 to over 16% in FY24. Notably, LPL is among a select few companies to have realized profit growth every year from FY13 to FY23.
LPL’s export market spans over 60 countries, including East and West Africa, Central and North America, Latin America, and Southeast Asia. The company recently expanded into the Canadian market.
In the last six months, LPL’s shares have risen by 2%, and over the past 12 months, they have increased by 48%.
Written by Omkar Chitnis
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