Ranbaxy Laboratories Ltd January-March net loss at Rs 74 crore
Ranbaxy Laboratories Ltd, which is being acquired by Sun Pharmaceuticals for $3.2 billion, on Friday reported a consolidated net loss of about Rs 74 crore for the fourth quarter ended March 31, 2014 against a net profit of Rs 126 crore in the year-ago quarter due to a rise in finance costs and write-offs related to regulatory sanctions.
Total income fell 1.7% to Rs 2,491 crore during the quarter.
The company has changed its financial year from January -December to April-March effective April 1 2014. The current financial year is for a period of 15 months — January 1, 2013 to March 31, 2014 and, accordingly, the figures for the fifteen months ended March 31, 2014 are not comparable with the figures for the year ended December 31, 2012.
The Daiichi Sankyo-owned firm made a provision of Rs 63 crore during the quarter for inventory write-offs and other costs related to the ban. It also made a provision of Rs 70 crore for impairment of goodwill in subsidiaries and reduction in the value of an investment in an associate.
The company said cost of foreign currency borrowing rose to Rs 114 crore during the quarter from Rs 53 crore a year ago.
"Despite multiple challenges, Ranbaxy met its sales guidance and continued to build on its strengths. At the same time we continue to work closely with the regulatory agencies to address their concerns," said Arun Sawhney, CEO & managing director, Ranbaxy Laboratories.
"Ranbaxy posted numbers below expectations. However, the company met its annual sales guidance of Rs 13,000 crore for 2013-14," said Sarabjit Kour Nangra, pharma analyst, Angel Broking.
(with agency inputs)