Laurus Laboratories posted 39 percent rise in net profit to Rs 74 crore in the fourth quarter ended March on account of reduced finance costs.
Total revenues of the company rose 3.4 percent to Rs 466.6 crore during the quarter while EBITDA grew 5 percent to Rs 127.4 crore.
Laurus, a major supplier of active pharmaceutical ingredients for anti-retroviral and hepatitis-C drugs for nine out of 10 world’s largest generic companies, is presenting its second ever quarterly results since the company went public in December.
Laurus raised about Rs 300 crore to repay term loans and for general corporate purposes.
The company said it has repaid Rs.226.3 crore debt – halving the finance cost to Rs 15 crore on sequential basis.
For the full year, the company net profit grew 40 percent to Rs.202.6 crore, and revenues rose 6.6 percent to Rs 1892 crore.
"In the near term we expect performance to augment due to volume gains in APIs where better manufacturing efficiencies will set the stage for margin expansions," said Satyanarayana Chava, Chief Executive Officer of Laurus.
"As our integration linkages are further strengthened across Formulations and Synthesis businesses, we expect a commensurate transformation in our run rate of both topline and profitability in the coming few quarters," Chava added.
The company said it had launched hepatitis-C medication Velpatasivir in India in partnership with Natco this month. Besides, Laurus said it has filed 3 Abbreviated New Drug Applications and in addition completed six product validations. The company said it is expecting US FDA inspection scheduled during May 2017 for its API unit.
The company said it has spent Rs 315.5 crore on capital expansion in FY17. The company said Unit IV expansion is in progress and the facility will add capacity to Generics API, Synthesis and Ingredients business.
Shares of Laurus Labs dropped 2.20 percent to close at Rs.562.80 on BSE, while the benchmark Sensex declined 0.73 percent to end 30,434.79.
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