Novartis India Q2 net up 16% at Rs 45.55 cr

Drug firm Novartis India today reported 15.78% rise in net profit to Rs 45.55 crore for the quarter ended September 30, on the back of a favourable ruling in a dispute that resulted in higher tax credit.

The company had posted a net profit of Rs 39.34 crore for the corresponding period of the previous fiscal, Novartis India said in a statement.

Total income from operations of the company, however, declined to Rs 213.92 crore as against Rs 237.43 crore for the same period year ago, it added.

Tax credit for the quarter and half year ended September 30, 2013 includes write back of provision for current tax for the assessment year 1995-1996 amounting to Rs 36.69 crore after adjusting for additional current tax charge of Rs 2.1 crore on account of various matters in prior years, the company said.

The aforesaid write back is on account if favourable order of the Income Tax Appellate Tribunal, received during the quarter, for non-taxablity of consideration from the sale of an undertaking, it added.

Shares of Novartis India today closed at Rs 412.20 apiece on the BSE, down 0.04 per cent from the previous close.