HomeNewsBusinessEarningsTorrent Pharma Q2 profit seen down 52% on low operational income

Torrent Pharma Q2 profit seen down 52% on low operational income

Torrent Pharma's second quarter earnings are expected to decline due to high base in year-ago period. Profit is likely to sink 51.8 percent year-on-year to Rs 273.7 crore and revenue may fall 8.9 percent to Rs 1,540.7 crore in Q2, according to analysts polled by CNBC-TV18.

October 25, 2016 / 18:07 IST
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Torrent Pharma's second quarter earnings are expected to decline due to high base in year-ago period. Profit is likely to sink 51.8 percent year-on-year to Rs 273.7 crore and revenue may fall 8.9 percent to Rs 1,540.7 crore in Q2, according to analysts polled by CNBC-TV18.

Sales from mental health drug Abilify generic benefited earnings in FY16. In Q2FY16, sales were up 38.9 percent to Rs 1,691 crore, EBITDA grew by 162 percent with margin at 42.2 percent (against 22.4 percent YoY) and profit up 187 percent.

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Hence, revenue fell 20 percent in Q1FY17 that is likely to continue in Q2 as well.

Operating profit is seen falling 39.2 percent year-on-year to Rs 434.3 crore and margin may shrink 1,400 basis points to 28.2 percent in Q2.