Biocon reported a disappointing performance for Q3FY21, with consolidated net profit coming in 18% (YoY) lower at Rs.187 crore.

Its revenue rose 7% at Rs.1879 crore, driven by 13% growth in Research Services, and 11% in Biosimilar business segments.

EBITDA for the quarter stood at Rs.427 crore, down 11% and Core EBITDA margins stood at 31% v/s 34%.

The company said, “The impact of COVID-19 on our business has been greater than anticipated, and it is restricting our revenue growth. We are experiencing delays in the award of tenders, and higher entry barriers are preventing opening of new markets. With fewer patients visiting hospitals due to uncertainty around COVID-19, we are witnessing an impact in product off-take in critical care segments such as oncology. We are working to mitigate these operational and commercial challenges and are confident of overcoming them by next fiscal.”

The market gave the performance a thumbs down, with the stock price slipping over 9.5% to Rs.399.45, not to far from its 10% LC of the day at Rs.397.80. It has recouped a bit and is now trading at Rs.404 levels.