Aurobindo Pharma has reported a 13.6 per cent fall in net profit at Rs 108 crore for the fourth quarter ended March 31, 2012 because of a sharp drop in income from contract manufacturing and US sales.
During Q4 of 2010-11, it had reported a net profit of Rs 125 crore, the company said in a statement.
Income grew 2.5 per cent to Rs 1,170 crore in the January-March quarter of 2011-12 fiscal from Rs 1,142 crore in the previous fiscal.
Dossier income or sales from contract manufacturing dropped 89 per cent to Rs 3 crore from Rs 27 crore.
The pharma major suffered a net loss of Rs 123.5 crore for the financial year 2011-12 against a net profit of Rs 563 crore in FY’11.
Net sales
Consolidated net sales for the 2011-12 fiscal grew 10.7 per cent to Rs 4,568 crore from Rs 4,126 crore in FY’11.
The profitability has been impacted mainly due to a sharp decline in dossier income by Rs 195.8 crore which is non-recurring and subject to periodic variability, Aurobindo Pharma said in a statement.
USFDA alert
The company also lost revenues to the extent of $36 million (about Rs 201 crore) due to the impact of USFDA alert on Unit VI in Hyderabad.
Aurobindo Pharma CEO, Mr N. Govindarajan, said the year has been challenging and the company is trying to improve the situation by new product launches.
“We have concluded a challenging year highlighted by full impact of the USFDA alert on our Unit VI Cephalosporin manufacturing facility, high cost of materials, inflation and notional loss on restatement of foreign currency borrowings,” he said.
“We are looking at improving trends in our business and expect improving financials through planned launches of new products and increasing the market share of existing commercialised basket supported by our growing business of high value APIs on the regulated market thereby augmenting the capacities,” he added.
The company said, meanwhile, that Mr K. Nithyananda Reddy will relinquish his responsibilities as Managing Director of Aurobindo Pharma and has been appointed as Wholetime Director designated as Vice-Chairman from June 1.
Besides, Mr Govindarajan has been appointed as a Director and Managing Director.