Novartis net up 57%

Our Corporate Bureau

Mumbai, Oct 30: Novartis India has registered a 56.6 per cent increase in net profit to Rs 21.55 crore for the quarter ended September 2001, as against Rs 13.76 crore for the corresponding quarter last year. Net sales (inclusive of excise duty) went up by 3.94 per cent to Rs 123.29 crore from Rs 118.69 crore last year, a Novartis release said.

The company’s operating margin improved to 29.9 per cent from 21.2 per cent in the corressponding quarter last year. The improvement is attributed largely to better price realisations, lower input costs and positive impact owing to closure of Ciba Vision’s loss-making operations, the release said.

Subsequent to the completion of the demerger of its agri-business undertaking and amalgamation of Ciba CKD Biochem Ltd, Novartis has recasted its results for the previous year thus making the review comparable, the release said.

The interest cost went down to Rs 43 lakh from Rs 2.91 crore in the corresponding quarter primarily due to retirement of its debt of around Rs 98 crore, which had apppeared in its books following the amalgamation of Ciba CKD Biochem Ltd with it.

For the half year ended September 2001, the company recorded a 28 per cent growth in net profit to Rs 28.6 on a sales of Rs 235.6 crore. Pharma sales accounted for Rs 196.9 crore at growth rate of 2.7 per cent, while consumer and animal health grew at 24.4 per cent and 40.9 per cent respectively to Rs 19.9 crore and Rs 18.6 crore, the release said.

The board of Novartis India will also undergo a change in composition effective November 1 2001 wherein present chairman, Mr Curmally will retire and will be succeeded by Dr E Schillinger. Novartis India, Managing Director, Dr R Thomson will now be designated as vice-chairman of the board.