Broking house, ICICI Securities estimates that Aventis Pharma’s net profit is expected to be at Rs 43.3 crore (Rs 433 million) in Q4CY06 versus Rs 42 crore (Rs 420 million) in the same period of last year, up 3.1% and revenues at Rs 212.6 crore (Rs 2.12 billion) compared to Rs 192.9 crore (Rs 1.92 billion), up 10.2% YoY.

It is bullish on Aventis Pharma and has recommended buy rating on the stock.

The ICICI Securities report on Aventis Pharma:

The report says, “After having declined in the past four quarters, exports would likely rise 8% YoY to Rs 552 million. They expect domestic dosage form sales to grow 9% YoY to Rs 1.7 billion driven by strong growth in core brands.”

“EBITDA margin likely to decline 228bps to 26.1% mainly due to lower contribution from high-margin exports and rising staff costs on account of higher field force.”

“Aventis continues to be one of the most profitable pharma MNCs operating in India and is well positioned to leverage opportunities arising post the IPR implementation.”