Pharmaceutical company Dr Reddy’s Laboratories reported a consolidated net profit of Rs 166.7 crore for the fourth quarter ended March 31, compared with a net loss of Rs 977.7 crore during the same time last year.
Revenues during the quarter, however, declined 17.3 per cent to Rs 1,642.4 crore from Rs 1,985.1 crore in the corresponding period last year.
“The profitability is on the back of growth in base business and not on upsides,” said G V Prasad, vice-chairman and chief executive officer.
For the full year 2009-10, the company registered a net profit of Rs 106.8 crore as compared with a net loss of Rs 516.8 crore last year. Revenues increased 1.2 per cent to Rs 7,027.7 crore from Rs 6,944.1 crore.
During the year, it took a write-down of intangible assets to the tune of Rs 345.6 crore as against Rs 316.7 crore in 2008-09. In terms of goodwill, it took a hit of Rs 514.7 crore this year, as compared with Rs 1,085.6 crore.
Addressing the media, Prasad said the company saw flat growth in revenues during the year, as there were no upsides from Sumatriptan, used for treating migraine. In 2008-09, the drug contributed Rs 718.8 crore — 10 per cent of total revenues.
Global revenues from generics decreased 2.4 per cent to Rs 4,860.5 crore from Rs 4,979 crore last year. Revenues from North America and Europe declined by 15 and 19 per cent, respectively, in 2009-10.
