Riding on strong US performance, Cipla Limited (BSE: 500087, NSE: CIPLA) today announced its unaudited consolidated financial results for the quarter ended December 31, 2018.

Highlights of the Performance

â–ª R&D investments at ~INR 299cr / ~7.5% of sales
â–ª Continued growth momentum: Secondary growth in private market [non-tender] segments continues strong across India, South Africa and key Emerging Markets
â–ª US business sales growth momentum continues 18% YoY and 10% QoQ growth driven by contribution from new launches.
â–ª Challenges in the tender business with CGA business declining 48% YoY in Q3
â–ª Quality Focus: USFDA inspection at Kurkumbh and Invagen ended with minor and procedural observations; Invagen EIR received already. The company received observations from the recent PAI inspection at Goa and responses will be submitted within the stipulated time .

Cipla continued its outperformance growing by 12% vs market growth of 10%; market share increased to 5.41%

- Efforts on the prescription generation and therapy focus have resulted in strong market performance across our key therapies o

- The chronic segment is increasingly becoming the growth driver; gained a rank to become No 2 in Chronic Segment, growing ~19% vs 13% market growth o Market shares improved across all key therapeutic areas such as Respiratory
Inhalation, Urology and CNS o Award-winning Respiratory campaign ‘BerokZindagi’ has become a benchmark
initiative to build public awareness

SAGA - SOUTH AFRICA, SUB-SAHARAN AFRICA AND GLOBAL ACCESS
➢ As per IQVIA (IMS) MAT Dec’18, South Africa business grew at more than four times the market at 9.1% in the private market ➢ Mirren portfolio successfully integrated with the business; working towards driving synergies in fast-growing OTC space

NORTH America /AMERICA
➢ Delivered strong growth of 18% on a year on year basis and 10% on a sequential basis; A second consecutive quarter of sequential growth

➢ Post R&D EBITDA positive as ramp-up across key Direct-to-Market launches drives continued quarterly growth

➢ Limited competition approvals continue ahead of guidance with
Medroxyprogesterone Injectable approved; On track for 20+ filings in FY19 Europe

EUROPE & Emerging & EMERGING Markets

➢ Biosimilars franchise in the Emerging Markets: Bevacizumab and Trastuzumab deals
signed for multiple Emerging market territories ➢ Europe:
The business continues to operate with strong profitability profile o Respiratory franchise expansion continues across key European markets