Classifieds | Archives | Jobs | About TGT | Contact | Subscribe
 | 
Last updated 56 minutes ago
Printer Friendly Version | TGT@Twitter | RSS Feed |
HOME LOCAL MIDEAST ASIA WORLD BUSINESS SPORT OPINION WRITERS
Ranbaxy Labs surprises with loss in 4th quarter
February 28, 2013
 Print    Send to Friend

MUMBAI: Ranbaxy Laboratories, India’s top drugmaker by sales, said its base business would grow a modest 10 per cent in 2013 after reporting a surprise quarterly loss on product recall charges, sending its shares down more than 4 per cent.

Controlled by Japan’s Daiichi Sankyo Co, Ranbaxy reported a quarterly net loss of 4.92 billion rupees ($91.30 million) after setting aside 1.86 billion rupees towards recall costs. Analysts on average had estimated consolidated net profit at 1.44 billion rupees on net sales of 26.96 billion rupees, according to Thomson Reuters.

The drugmaker in November voluntarily recalled its cholesterol lowering generic of Lipitor from the US market after it discovered contamination with tiny glass particles in certain lots of 10mg, 20mg and 40mg doses of the drug.

“This is really bad. This raises serious questions about transparency,” said Daljeet Kohli, head of research at brokerage IndiaNivesh. “The company has been saying that this recall was voluntary and now it has made a huge provision for costs, which is not a good thing for any company to do.”

After the product recall, Ranbaxy’s market share of generic Lipitor fell to less than 3 per cent, according to industry estimates. The drugmaker has now resumed supplying the United States.

Ranbaxy launched the first generic version of Pfizer’s Lipitor in 2011 and during its first six months on the market the company generated sales of nearly $600 million, according to analysts estimates.

The company said it expects to achieve sales of over 120 billion rupees in the current fiscal year ending December, compared to 124.6 billion rupees reported in 2012.

Reuters

 

Add this page to your favorite Social Bookmarking websites
Comments
 
Post a comment
 
Name:
Country:
City:
Email:
Comment:
 
    
    
Related Stories
HCL Tech posts 59% increase in Q1 net profit
NEW DELHI: IT services exporter HCL Technologies posted 59 per cent increase in net profit in the quarter ended March 31, a company statement said here Thursday. The n..
Sensex breaks 3-day losing string
MUMBAI: Hectic short-coverings ahead of the long weekend holidays and expiry of April contract next week-end, the benchmark S&P BSE Sensex on Thursday broke its three ses..
Indian rupee at three-week closing low, Sensex down
MUMBAI: The Indian rupee continued its downslide for the third straight session in line with weakness in local equities and dropped by 14 paise to record its fresh three-..
RComm to increase pre-paid call rates by up to 20%
NEW DELHI: Reliance Communications (RComm) will raise tariffs by up to 20 per cent for all its pre-paid customers across the country from April 25, the company said here ..
Sensex, Nifty close at record highs
MUMBAI: The Bombay Stock Exchange benchmark Sensex on Wednesday surged by over 358 points to settle the day at all-time closing high of 22,702 after the International Mon..
 
FRONTPAGE
 
GALLERY
 
PANORAMA
 
TIME OUT
 
SPORT
 
 
Advertise | Copyright