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Pharma stocks in focus; Ajanta Pharma, Alembic Pharma hit 52-week highs

Divis Lab hit a new high of Rs 2,080 after the company said it has commenced commercial operations effective from February 5, 2020 from a part of the DC-SEZ Unit in Telangana.

SI Reporter  |  Mumbai 

drug makers, pharma, pharma sector, pharma industry
Illustration: Ajay Mohanty

Shares of pharmaceutical companies were in focus on Thursday with Granules India, Divis Laboratories, JB Pharmaceuticals and Chemicals, Ajanta Pharma, and Alembic Pharmaceuticals from the BSE Healthcare index hitting 52-week highs on the BSE after reporting good set of numbers for the quarter ended December 2019 (Q3FY20) and positive corporate announcements.

Among individual stocks, Ajanta Pharma soared 11 per cent to Rs 1,323 after the company reported 61 per cent year-on-year (YoY) jump in its net profit at Rs 108 crore for Q3FY20. The specialty pharmaceutical formulation company had posted profit of Rs 67 crore in the year-ago period.

Revenue from operation stood at Rs 651 crore, up 34 per cent YoY while earnings before interest, tax, depreciation, and amortisation (Ebitda) grew 73 per cent YoY to Rs 186 crore. Ebitda margin improved to 29 per cent from 22 per cent in the year-ago quarter.

JB Pharma was trading higher for the third straight session today and rallied 6 per cent to Rs 556. The stock has surged 13 per cent during the period. The company’s Ebitda margin expanded 42 basis points to 21.33 per cent in Q3FY20, due to cost optimization.

Granules India, too, gained 6 per cent to Rs 163 after the company announced that its foreign arm had received approval from the US health regulator for Valganciclovir hydrochloride oral solution, an antiviral medication.

“The US Food & Drug Administration (US FDA) has approved the abbreviated new drug application (ANDA) filed by its foreign subsidiary for Colchicine tablets USP, 0.6 mg. Colchicine tablets are used for treatment of familial mediterranean fever (FME),” the company said in a regulatory filing.

Divis Laboratories hit a new high of Rs 2,080, up 6 per cent after the company said it has commenced commercial operations effective from Wednesday, February 5, 2020 from a part of the DC-SEZ Unit in Telangana.

First Published: Thu, February 06 2020. 14:07 IST
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