Drug-maker Sun Pharma took a hit on its bottom-line for the three months ended June 2013, following its recent $550-million settlement with Wyeth on Protonix, used to treat gastrointestinal ulcers and hyperacidity.
Sun posted a net loss of Rs 1,276 crore for the period under review, on account of a provision of Rs 2,517 crore towards the settlement of a patent-infringement litigation related to generic versions of Protonix, the company said. Sun had posted a net profit of Rs 795 crore in the corresponding period in the previous year. The company had already provided Rs 584 crore mid last year towards the settlement.
Sun clocked a total income of Rs 3,577 crore for the quarter (Rs 2,656 crore). Revenues from the sale of branded drugs in India stood at Rs 849 crore, up 44 per cent from the previous year period and accounting for 24 per cent of total sales.
US sales
The company also completed the transfer of its domestic formulations business to Sun Pharma Laboratories Ltd, a wholly-owned subsidiary, it added. Its US sales stood at $364 million, up 28 per cent and accounting for 58 per cent of total sales. Taro, another of Sun’s subsidiaries, recently reported sales of $153 million for Q1 FY-14, a decline of four per cent.
Excluding the one-time charge related to price adjustments on contractual obligations, sales would have been higher by 10 per cent, it added. Taro’s net profit for Q1 was $59 million.
Sun’s revenues from finished medicines in the rest of the world markets (outside India and US) were $81 million, the company said. Its consolidated research spend for the quarter was Rs 205 crore, at six per cent of sales, it added.