Manforce condoms maker Mankind Pharma posts Q2 profit rise on higher sales

BENGALURU (Reuters) – India’s Mankind Pharma posted an over 19% rise in second-quarter profit on Tuesday, propelled by strong domestic sales and steady growth in the company’s chronic drugs segment.

The country’s fourth-largest pharmaceutical company by domestic sales said its consolidated profit rose to 5.01 billion rupees ($60.2 million) for the three months ended Sept. 30 from a profit of 4.20 billion rupees a year earlier.

Analysts, on average, estimated the company to earn a profit of 5.10 billion rupees, as per LSEG data.

The company’s revenue from operations rose nearly 12% to 27.08 billion rupees, led by a 7% rise in its domestic business revenue, which accounts for most of the total, to 25.29 billion rupees.

The chronic drugs segment’s share of domestic sales rose to 34% from 32% a year earlier, the Delhi-based company said.

Revenue from its popular consumer healthcare business segment, comprising brands such as Manforce male condoms and Prega News pregnancy test kits and which accounted for 14% of the total, also rose 2% to 1.93 billion rupees.

The company’s margins on earnings before interest, taxes, depreciation and amortization (EBITDA) also improved to 25.3% from 24.5% a year earlier

The Manforce condom brand competes with Reckitt Benckiser Group’s Durex and TTK Group’s Skore.

Shares of Mankind Pharma settled 0.6% lower on Tuesday, ahead of results. They rose 5.2% during the quarter.

($1 = 83.2434 Indian rupees)

(Reporting by Kashish Tandon in Bengaluru; Editing by Sohini Goswami)