Kopran foresees no material financial impact due to Covid-19; stock up ~1%

All the manufacturing units of the company were kept in functioning mode during the lockdown since pharmaceuticals are in the category of essential commodities.

Jun 02, 2020 09:06 IST India Infoline News Service

Kopran Limited informed the exchanges on Monday that it does not foresee any material financial impact of Covid-19 for the first quarter 2020-21.

All the manufacturing units of the company were kept in functioning mode during the lockdown since pharmaceuticals are in the category of essential commodities.

The company further informed that due to lower employee attendance during the month of March and April 2020, there were material  logistics and manpower impact on the company’s operations for the duration of the initial phase of lockdown.

Disturbance in supply chain and delay in the handling of material at the JNPT Port led to disruption in execution of export orders. The raw material prices of both formulations and APIs increased and the supplies from China were erratic.

The company was able to run the plant at 60 to 65% capacity only in April and part of May.

“The situation is now improving and we foresee normal operations by end of this quarter. The company has taken all precautionary measures as prescribed by the government to ensure safety of all its employees.”

Kopran Ltd is currently trading at Rs27.45, up by Rs0.25 or 0.92% from its previous closing of Rs27.20 on the BSE.

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