DRL Q3 Net Dips 42%

Hyderabad, January 28: | Updated: Jan 29 2003, 05:30am hrs
Vindicating market fears, Dr Reddys Laboratories Ltd on Tuesday reported a 42.32 per cent fall in the net profit to Rs 93.16 crore for the third quarter ended December 31, 2002 as against a net profit of Rs 161.53 crore during the same period of previous year. The reason for the fall, according to a company spokeswoman, is due to extraordinary windfall enjoyed by the company in the previous year on account of the 180-day exclusivity for Fluoxetine 40 mg and one-time research and development licence fee, which is not figured in the quarter under review.

"The third quarter of the previous fiscal includes revenues of Rs 99.3 crore for Fluoxetine 40 mg capsules and Rs 10.8 crore R&D licence fee," she said adding "excluding the same, the net sales have registered a growth of 31 per cent as per the Indian GAAP. During the quarter under review, the company registered a sales income of Rs 36.31 crore from Fluoxetine 40 mg. While the income from R&D is nil for the quarter.

During the quarter under review, the company has posted a net sale of Rs 396.43 crore (Rs 411.91 crore). While the API and formulation business has reported a growth of Rs 168.51 crore and Rs 171.95 crore respectively during the Q3 2002-03, as against Rs 152.13 crore and Rs 155.12 crore respectively for the same period in the previous year. However, the generic business has reported a fall from Rs 115.38 crore in the Q3 of 2001-02 to Rs 78.55 crore for the quarter under review.

Under APIs, the company has filed five DMFs during the quarter taking the total to 36. Further it has filed three ANDAs with Para IV certification taking the total ANDA filings to 30. While the total filings pending approval with the USFDA is at 19, the company stated. In the Russian market the branded formulations such as Omez, Enam, Cipro and Nise have grown by 31 per cent, as against 21 per cent growth in Indian market. The company board has approved a further investment of Rs 50 crore in the equity of Aurigene Discovery Technologies Ltd, a wholly-owned subsidiary promoted to enter the research services market.