Supply glitch pulls down GSK Pharma profit 8%
BS 200 SCORECARD
| The decline in Q3 profit this year was owing to temporory shortage of product supply from third-party manufacturers. |
| The drug major's total sales during the quarter slipped 2.54 per cent to Rs 432.79 from Rs 443.15 crore last year. |
| The pharma company, which logged over 13 per cent growth in sales for the first six months of 2006-07, saw only 9 per cent sales growth in the third quarter owing to supply problems. |
| During the third quarter, one of its third-party manufacturers had to shift its base because of fire and other technical reasons, which caused delay in product delivery. |
| However, the supply has been restored fully now, and the sales in the last quarter are expected to see good growth, said sources. |
| GSK Pharma also divested its animal health business in the third quarter of the year. |
| It sold the division as a going concern to Virbac Animal Health India for a total consideration of Rs 207.10 crore. Accordingly, the figures for the prior period are not comparable. Animal health business formed part of the company's other businesses segment. |