 "Lupin declines on disappointing Q4 results")
Shares of Lupin dipped 2.5% to Rs 1,704, declining 6% from intra-day highs on the NSE, after reporting a 1% year-on-year (yoy) decline in consolidated net profit at Rs 547 crore for the quarter ended March 2015 (Q4), due flat growth in sales. The drug maker had reported a profit of Rs 553 crore in the year-ago quarter.
Net sales grew marginally 0.07% to Rs 3,054 crore against Rs 3,052 crore in the corresponding quarter of the previous fiscal. The EBITDA or operating profit declined by 8.5% to Rs 807 crore against Rs 882 crore in previous year's quarter.
Analysts on an average had expected profit of Rs 605 crore on net sales of Rs 3,302 crore.
“Higher price erosion in the US as well as a slowdown in product approvals impacted growth in the quarter, but overall the Company has done well to improve gross margins and enhance profitability for the year,” said Nilesh Gupta, Managing Director, Lupin.
The stock had touched a high of Rs 1,805 in early morning trades after MSCI included the company in its MSCI India Index. The changes are effective from the close of trading on May 29, the index provider's website says.
At 1451 hours, the stock was down 1.4% at Rs 1,724 on the NSE. A combined 3.7 million shares changed hands on the counter on the NSE and BSE so far.
Net sales grew marginally 0.07% to Rs 3,054 crore against Rs 3,052 crore in the corresponding quarter of the previous fiscal. The EBITDA or operating profit declined by 8.5% to Rs 807 crore against Rs 882 crore in previous year's quarter.
Analysts on an average had expected profit of Rs 605 crore on net sales of Rs 3,302 crore.
“Higher price erosion in the US as well as a slowdown in product approvals impacted growth in the quarter, but overall the Company has done well to improve gross margins and enhance profitability for the year,” said Nilesh Gupta, Managing Director, Lupin.
The stock had touched a high of Rs 1,805 in early morning trades after MSCI included the company in its MSCI India Index. The changes are effective from the close of trading on May 29, the index provider's website says.
At 1451 hours, the stock was down 1.4% at Rs 1,724 on the NSE. A combined 3.7 million shares changed hands on the counter on the NSE and BSE so far.