Glenmark Pharmaceuticals is trading higher by 4% at Rs 401 after reporting a 20% year-on-year (yoy) growth in its consolidated revenues at Rs 1,040 crore for the quarter ended June 2012, on back of strong growth registered by its generic business. Revenue from the generics business grew 58% at Rs 530 crore on y-o-y basis.
Net profit however, declined by 63% to Rs 78 crore in June 2012 quarter, from Rs 209 crore in previous year quarter.
“The net profit for the quarter is not comparable due to out-licensing income of Rs 111 crore received in the previous corresponding quarter and also due to mark-to-market (MTM) losses to the extent of Rs 55 crore recorded in the first quarter of current fiscal,” Glenmark Pharmaceutical said in a filing.
The management is confident of maintaining this trajectory in the coming quarters.
“The US business did exceptionally well, recording a growth in excess of 55% on the back of product launches in niche competition categories while the India business performed well and gained market share in focus segments,” said Glenn Saldanha, chairman & managing director, Glenmark.
The stock opened at Rs 385 and touched high of Rs 402 on the NSE. As many as a combined around one million shares have already changed hands on the counter so far, against an average around 500,000 shares that were traded daily in past two weeks.