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Ranbaxy trades flat after Q4 earnings

Capital Market / 15:27 , Feb 23, 2012

Ranbaxy Laboratories was flat at Rs 439.10 at 15:18 IST on BSE after the company reported a net loss of Rs 2982.76 crore in Q4 December 2011 as against a net loss of Rs 97.48 crore in Q4 December 2010.

The result was announced during trading hours today, 23 February 2012.

Meanwhile, the BSE Sensex was down 61.66 points, or 0.34%, to 18,083.59.

On BSE, 3.97 lakh shares were traded in the counter as against an average daily volume of 1.46 lakh shares in the past one quarter.

The stock hit a high of Rs 446 and a low of Rs 429.25 so far during the day. The stock had hit a 52-week low of Rs 366.50 on 19 December 2011. The stock had hit a 52-week high of Rs 570 on 2 August 2011.

The stock had underperformed the market over the past one month until 22 February 2012, falling 6.24% compared with the Sensex's 8.40% rise. The scrip had also underperformed the market in past one quarter, sliding 1.58% as against 12.95% rise in the Sensex.

The large-cap drug maker has an equity capital of Rs 211.02 crore. Face value per share is Rs 5.

Ranbaxy Laboratories' total Income jumped 77.95% to Rs 3955.47 crore in Q4 December 2011 over in Q4 December 2010.

Consolidated sales rose 79.04% to Rs 3743.30 crore in Q4 December 2011 over in Q4 December 2010. Earnings before interest, tax, depreciation and amortization (EBITDA) was 25% of sales at Rs 954.80 crore in Q4 December 2011.

Ranbaxy said the consolidated results were impacted on account of forex losses, provision of $500 million in connection with the investigation by the US Department of Justice and an exceptional impact of Rs 135.70 crore towards impairment and inventory provisions.

Commenting on the business results, Arun Sawhney, Chief Executive Officer & Managing Director, Ranbaxy, said, I am delighted to share with you that Ranbaxy is the first pharma company of Indian origin to have surpassed sales of $2 billion. We successfully launched our Atorvastatin, generic Lipitor in the US. I am satisfied with the progress we are making in resolving the long standing issues with the US regulators. The settlement with the US FDA and provision for eventual penalties that the DOJ may levy, brings greater predictability to our business in the US, one of our largest markets.

During the year, we laid emphasis on strengthening our processes, focusing R&D efforts on our chosen therapies, working towards improving manufacturing efficiencies and costs, re-evaluating our brand marketing strategy and directing our energies at markets of greater importance.

The company said its Indian pharma business recorded sales of Rs 1951.30 crore, a growth of 7% for the year. Of this, consumer healthcare or the over-the-counter business recorded sales of Rs 311 crore, a growth of over 20% for the year. In the India market, Ranbaxy is working on consolidating its branded presence both in acute and chronic segments.

In its outlook for 2012, the company said it expects to achieve base case sales of $2.2 billion not taking into account any upside from first-to-file (FTF) exclusivity launched during the year.

Ranbaxy Laboratories is an integrated, research based, international pharmaceutical company producing a wide range of quality, affordable generic medicines. The company serves its customers in over 125 countries and has an expanding international portfolio of affiliates, joint ventures and alliances, ground operations in 46 countries and manufacturing operations in 7 countries.

 



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