Daiichi profit down, but Ranbaxy sales boost revenue

Written by Press Trust of India | Tokyo, New Delhi | Updated: Oct 31 2009, 05:38am hrs
Japanese drug maker Daiichi Sankyo, which holds 64% stake in Ranbaxy Laboratories, on Friday reported a 45% drop in net income for April- September this year.

The company has a net income of 18.69 billion yen for six months ended September, compared with 33.97 billion yen in the same period last year, Daiichi Sankyo said in a statement.

Despite the appreciated Japanese yen compared with the same period last year, the Groups revenue increased by a contribution of 66.1 billion yen from the net sales of Ranbaxy Laboratories Ltd, which was consolidated as a subsidiary in October 2008, Daiichi Sankyo said.

The company said its net sales in India amounted to 27.9 billion yen due in part to the net sales of Ranbaxy. Net sales in other regions amounted to 23 billion yen, up 108.4% due in part to the increase in net sales of the Asian region.

For April-September, the pharma groups net sales rose to 470.56 billion yen from 406.32 billion yen in the same period last year. While overseas sales contributed to 49.4% of overall sales of the company. The company said its sales in European regions grew by 39.5% from the year earlier to 46.9 billion yen in the six months ended September 30, 2009, while sales in North America were 108.7 billion yen, up 13.3% year on year. Daiichi is expecting a net income of 40 billion yen and a growth of 12 per cent in net sales to 960 billion yen for April 1, 2009 to March 31, 2010.