• In H1FY25 Net Profit up 48% Y-o-Y to Rs. 15.88 crore
• In H1FY25 EBITDA up 16% Y-o-Y to Rs. 41.69 crore

Consolidated Financial Highlights

(Rs. Crore)

28 October 2024: Hester Biosciences Limited, one of India’s leading animal health company, manufacturing vaccines and health products has reported consolidated net profit of Rs. 8.39 crore in Q2FY25 ended September 2024 as against a net profit of Rs. 4.04 crore in Q2FY24, growth of 108%. Company reported revenue from operations of Rs. 83.69 crore for Q2FY25, growth of 19% Y-o-Y as compared to revenue from operations of Rs. 70.46 crore in Q2FY24. EBITDA during Q2FY25 ended September 2024 was reported at Rs. 21.96 crore, 15% growth Y-o-Y from Rs. 19.12 crore in Q2FY24. EPS for Q2FY25 was reported at Rs. 9.86 per share. 

Company remain focused on diversifying product portfolio by introducing new, innovative solutions across all segments. Alongside this, company continue to enhance our operational efficiency, driving profitability and growth. Company’s goal is to position Hester as a holistic animal health company, meeting the evolving needs of the industry through a comprehensive range of products and services.

The subsidiary in Nepal fulfilled export orders from government tenders and met domestic vaccine demand, showcasing its growth potential. Hester Nepal remains debt-free with strong cash flows from the quarter. Hester Africa is actively participating in international tenders and meeting trade demands across various African countries, with increasing awareness and demand for vaccines.

H1FY25 Results

Company has reported net profit of Rs. 15.88 crore in H1FY25 ended September 2024 as against net profit of Rs. 10.75 crore in H1FY24, growth of 48%. Company reported revenue from operations of Rs. 165.96 crore for the H1FY25, growth of 5% Y-o-Y. EBITDA during H1FY25 ended September 2024 was reported at Rs. 41.69 crore, 16% growth Y-o-Y from Rs. 36.00 crore in H1FY24. EPS for H1FY25 was reported at Rs. 18.66 per share.

Standalone Financial Highlights

Revenues                                                                   (? Crore)

* includes exports of other pharmaceutical products

The divisional product sales has demonstrated growth by 12% and 24% in Q2 and H1 FY25 respectively.

Animal Healthcare Division

In Q2 FY25, the Animal Healthcare Division maintained its upward trajectory with 4% growth in the quarter and 20% growth in H1, driven by the following factors:

Sustained Growth in the Dairy Sector and Product Introductions:

1. The strong domestic demand for milk and dairy products continued into Q2, further boosting sales within the dairy sector.
2. The feed supplements, dewormers and anti-infective to support herd health, continued to grow in Q2. The newly launched brand iSumovet MP, a pain relief product, and ProtinC Keto+, a line extension from one of our key brands, showed strong sales trend.

Supporting National Immunization Programs:

1. The Goat Pox vaccine continued to play a crucial role in preventive vaccination against Lumpy Skin Disease in cattle.
2. Supplies of the PPR vaccine for sheep and goats remained steady as part of the Government of India’s National Immunization Programs.

Poultry Healthcare Division

In Q2 & H1 FY25, the Poultry Healthcare Division achieved a commendable growth of 20% and 27% respectively:

1. Vaccine sales grew by 21% in Q2, supported by a significant 59% increase in exports, continuing the strong performance seen in Q1.
2. To enhance disease control measures in poultry farms, we introduced a new disinfectant, which is also contributing to the growth of our health products segment.

Petcare Division

In Q2 FY25, the Petcare Division achieved a growth of 12% and 20% in Q2 & H1 FY25 respectively.

During the quarter, Hester launched Diet Fortify, a range of pet food designed to address lifestyle-related health issues in pets. This new product, developed with inputs from veterinarians, strengthens Hester’s market position while offering science-based nutrition to improve pet health.

Standalone Profitability Analysis

(? Crore)

1. Although the gross profit margin remained stable in Q2 FY25 due to the product mix, it saw a 6% increase in H1 FY25, driven by a more optimal product mix.
2. Higher revenue from divisional product sales led to better absorption of fixed costs, improving the EBITDA margin by 2%.
3. Absolute PAT rose by 38%, aligning with sales growth, and the PAT% increased by 3%, highlighting enhanced operational efficiency.