Morepen Labs zooms 18% on USFDA nod with NIL observations for HP facility

Earlier this month, the company had incorporated a wholly-owned subsidiary, Morepen RX.

Shares of this smallcap pharma zoomed up to 18 per cent in intra-day trades on Monday after the company Morepen Laboratories informed BSE that its facility at Baddi in Himachal Pradesh was cleared by the USFDA without any adverse observation (NIL 483).

According to a release issued by the company to the BSE, the United States Food and Drug Administration (USFDA) had conducted an inspection of the API manufacturing facility, at Baddi, Himachal Pradesh, of the company.

That apart, on March 17, 2023, the company incorporated a new wholly-owned subsidairy - 'Morepen RX' with an objective to scale its business.

 

Morepen RX plans to work on healthcare related requirements both in India and overseas. The said subsidairy will also work in the research and development facilities and run health portals among others, the release stated.

Meanwhile, for the quarter ended December 2022, Morepen reported a 41.4 per cent drop in net profit at Rs 1.26 crore as against Rs 2.15 crore in the corresponding quarter a year ago. Total income was down 7.8 per cent at Rs 34.58 crore.

On Monday so far, Healthcare as a sector was one of the top performer. At 12:05 AM, the BSE Healthcare index was up 1.2 per cent. The stock was up 15.6 per cent at Rs 28.25 on trades of around 31.87 lakh shares on the BSE. Meanwhile, the S&P BSE Sensex was up 0.4 per cent at 57,787.

However, the stock so far this calendar year has declined over 25 per cent. In comparision, the S&P BSE Sensex and the BSE Healthcare indices were down around 6 per cent each.