Jubilant Life Sciences Ltd today reported a 2.63 per cent decline in consolidated net profit at Rs 119.78 crore for the third quarter ended December 31, 2016.
The company had posted a consolidated net profit of Rs 123.01 crore in the same period last fiscal, Jubilant Life Sciences said in a BSE filing.
Net sales during the quarter under review stood at Rs 1,472.23 crore as against Rs 1,358.18 crore in the year-ago period, up 8.39 per cent, it added.
Pharmaceuticals segment revenue was at Rs 785 crore, up 15 per cent from the same period last fiscal, while the life science ingredients vertical clocked Rs 663 crore, down 3 per cent, the company said.
Drug Discovery solutions business had a revenue of Rs 44 crore, up 28 per cent from the same quarter last fiscal.
Jubilant Life Sciences said its international revenues were at Rs 1,062 crore in the third quarter.
Commenting on the performance, Shyam S Bhartia, Chairman and Hari S Bhartia, Co-Chairman & Managing Director, Jubilant Life Sciences said the continued strong results were led by revenue growth in specialty pharmaceuticals business where revenues grew 26 per cent.
"Recent initiatives, including the signing of long term contracts in our radiopharma business and price increases announced in our Vitamin portfolio improve the visibility of earnings going forward," they added.
The proceeds from recent successful issuance of domestic non-convertible debentures will be mainly used for refinancing of existing high cost debt, they said, adding "We expect to continue our robust financial and operational performance going ahead".
On the outlook, the company said: "The revenue and profitability is expected to be robust, led by better revenue quality in our specialty pharmaceuticals (sterile products) business."
Going forward, the growth will be driven by growth in radiopharmaceuticals and allergy therapy products and ramp up of operations in CMO of sterile injectables; new product launches and capacity expansions in generics segment.
Besides, the life science ingredients will also be a growth driver following additional capacity due to retrofitting and new product introductions.
On-boarding of new customers in the drug discovery solutions vertical will also contribute, it added.
Shares of Jubilant Life Sciences were trading at Rs 708 apiece in the afternoon trade, down 5.33 per cent from the previous close on the BSE.
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