Claris Life hits record high on strong Q4 results

The stock rallied 18% to Rs 293 on BSE in early morning trade.

Claris Lifesciences has rallied 18% to Rs 293, also its record high on BSE in early morning deal after reporting an over five-fold jump in its consolidated net profit at Rs 89.85 crore for the quarter ended December 31, 2014 (Q4) on back of strong operational performance and onetime gain due to tax credit.

The company said net profit includes a onetime reversal of different tax liability of Rs 51.80 crore due to slump sale to Claris Injectables.

The pharmaceutical company had profit of Rs 17.75 crore in a year ago quarter.

Net operational income during the quarter under review increased 25% at Rs 209 crore against Rs 168 crore in the corresponding quarter of previous fiscal. EBITDA or operating profit margin expanded to 35% from 22%.

Meanwhile, on Thursday, the stock closed 20% higher on reports that on reports that big pharmaceutical companies eyes the company’s injectables business.

However, in clarification on news report the company said on Thursday it was not in talks to sell its stake in injectable drugs business, and has not considered such an action.

“For the growth of the business, Company continues to explore and evaluate inorganic and strategic opportunities in various forms from time to time, however nothing definitive in this regard has happened. We will duly notify the exchanges upon the occurrence of any definitive developments in this regard,” the company said.

The counter has seen huge trading volumes with around 448,000 shares changed hands till 0932 hours as against an average 221,000 shares were traded daily in past two weeks on BSE.