Ranbaxy Laboratories shares gain as the pharma major narrows losses

Written by fe Bureau | New Delhi | Updated: Feb 5 2014, 19:36pm hrs
RanbaxyRanbaxy Laboratories posted a net loss of Rs 492.44 cr in the corresponding quarter of the last financial year. PTI
Ranbaxy Laboratories Ltd Q4CY13 loss narrowed to Rs 158.94 crore from Rs 492.45 crore, a year ago as it recorded a nearly 7% rise in sales year-on-year. Its consolidated sales for the quarter ended Dec 31 was Rs 2,858.96 crore. The share was up 6.54% at Rs 3421.40.

Sales of branded and over-the-counter (OTC) products constituted 52% of total sales for the quarter and contributed Rs 1,480 crore while generic sales posted revenue of Rs 1,380 crore. Q3 US sales were Rs 910 crore.

The company provided for a one-time stock write-off of Rs 270 crore following the inclusion of its Toansa plant under certain provisions of a consent decree by the USFDA. The plant had been inspected by the regulator in Jan 2014. Ranbaxy said that subsequent to an issuance of a Form 483 to Toansa, it had voluntarily and proactively suspended shipments of active pharmaceutical ingredients (API) to the US market from the facility out of abundant caution.

We are facing some major regulatory challenges and are disappointed with the developments. I would like to assure all our stakeholders that we will do whatever is necessary to address all concerns of the USFDA and are committed to resolve them as early as possible, Ranbaxy CEO Arun Sawhney said in a statement.