Ranbaxy Q3 net profit at Rs 186 cr

Ranbaxy  Laboratories recorded a net profit of Rs 186.08 crore during the quarter ended September 30, 2009 as against a net loss of Rs 352.93 crore during the corresponding period last year.

Total Income of the pharmaceutical company rose 13.5 per cent from Rs 1202.21 crore in the third quarter of the last year to Rs 1365.19 crore during the same period this year.

“Revenue growth in some strategic geographical markets, and a sharp focus on cost efficiency have been the underlying themes this quarter. With good achievements on these fronts, we are confident that we are on the path to recovery,” said Ranbaxy CEO and Managing Director Atul Sobti.

Revenues in emerging markets stood at $220 million, at similar levels as third quarter of 2008, which contributed 62 per cent to the consolidated sales.

The company registered 3.75 per cent growth in net sales at Rs 1189.6 crore for the third quarter, driven by higher sales growth in emerging markets like South Africa and Brazil.

Meanwhile, the developed markets de-grew by 30 per cent primarily on account of loss of sales in USA, which reported a de-growth of 53 per cent over the corresponding quarter last year because of the Import Alert and Application Integrity Policy imposed by the USFDA.
 
“We are also seeing greater traction in realising synergies with Daiichi Sankyo, in building a stronger future for Ranbaxy,” said Sobti. The company had received Rs 3,584 crore consequent to the allotment of equity share and warrants on preferential basis to Daiichi Sankyo Company in October 2008 and has used the proceeds in line with the objects of preferential issue and repayment of borrowings of Rs 3,460 crore and strategic investment of Rs 124.87 crore.

At BSE the company’s shares were trading at Rs 381.80 up 2.57 per cent from its previous close at 11:22 am.