Torrent Pharma net profit declines 16 per cent

The Torrent Pharmaceuticals company had a 16 per cent decline in its consolidated net profit for October-December quarter at Rs 249 crore, the company's US business had a 20 per cent decline in revenue.

The company's total revenue increased 6 per cent to Rs 2,108 crore during the quarter, while earnings before interest, tax, depreciation and amortisation EBITDA fell 5 per cent to Rs 585 crore.

Research and development spend of the pharma company increased by 9 per cent to Rs 123 crore during the quarter.

The India revenue grew 15 per cent to 1,072 crore as a result of the strong performance of top brands in all focus therapies. Revenue in Brazil went up 5 per cent to 183 crore, aided by market growth and performance of top brands and new launches.

The US business was affected by price erosion in the base business and lack of new approvals pending the re-inspection of facilities. The US revenue fell 20 per cent to Rs 235 crore, while the revenue in Germany fell 10 per cent to Rs 237 crore due to reduced market growth and increasing competition in the Tender segment.

As soon as the facilities are inspected, Torrent Pharma Chairman Samir Mehta said we remain hopeful of our prospects in the US market.

He said India business continues to be on a strong footing and delivered significantly higher than market growth during the quarter.

Mehta said that we initiated cost optimisation measures which should help us get back on track in the upcoming quarters with respect to margins.

The interim dividend of Rs 25 per share was approved by the company's board during its meeting on Tuesday. The company's shares closed 1.79 per cent higher at Rs 3,160. On Tuesday, the BSE was 55.