Jubilant Organosys Ltd, an integrated pharmaceutical industry player, on Tuesday reported a net profit of Rs 120.4 crore before exceptional item in the first quarter ended June 2008 as compared to Rs 55 crore in the corresponding period of the previous year.
However, after adjusting an unrealised exchange loss of Rs 107.7 crore on restatement of foreign currency borrowings in first quarter ended June 2008, the net profit was Rs 12.8 crore. In the corresponding period of the previous year, the exchange gain for the company was Rs 88 crore, resulting into a net profit of Rs 143 crore.
The company announced the results after of close trading. Jubilant shares fell 0.9 percent to Rs 302.25 rupees in Tuesday's trading on the Bombay Stock Exchange.
Driven by growth in its contract research and manufacturing services and drug discovery services and consolidation of Hollister-Stier, the company said, its revenues grew by 53 per cent to Rs 826.6 crore in the quarter ended June 2008 as against Rs 540 crore in the same period of the previous year.
Hollister is a U.S.-based injectibles maker that Jubilant acquired in 2007. In May, Jubilant also concluded the acquisition of Canadian biotechnology firm Draxis for $253 million, which it financed through a combination of a foreign currency convertible bond issue and debt of $160 million.
Commenting on the company’s performance, Mr. Shyam S. Bhartia, Chairman and Managing Director and Mr. Hari S. Bhartia, Co-Chairman and Managing Director, Jubilant Organosys Ltd, said: “Our outlook for the future is extremely positive and is guided by the strong demand of our products and services offerings.”
We have delivered consistently on a year-on-year basis on the Pharma and Life Sciences outsourcing platform by creating a stable and consistent model for growth. Growth was across segments of business –as we benefited from strong demand for outsourcing in CRAMS (custom research and manufacturing services) and DDDS (drug discovery and development services).”
The company expects a more-than-50-percent revenue growth for 2008-09, citing expanded capacities, larger product profile and expanding global presence. Jubilant Organosys manufactures of organic chemicals such as polymers, adhesives, acetice acid, acetic anhydride, vinyl acetate monomer and speciality chemicals.