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FOR WEB & PRINT
Torrent Pharmaceuticals Ltd on Wednesday announced the issue of bonus shares in the ratio of 1: 1 to its shareholders to commemorate the completion of 50 years of its incorporation this year.
The board of directors of the company has also approved a final dividend of ₹23 or 460 per cent per equity share of ₹5 each including the special dividend of ₹15 per equity share.
Consolidated net loss in Q4
On Wednesday, the company registered consolidated net loss of ₹118 crore for the quarter ended March 31, 2022, after provisioning for exceptional item of ₹485 crore. The company had posted consolidated net profit of ₹324 crore in the corresponding quarter last year.
“Exceptional item of ₹485 crore relates to impairment provision and costs related to discontinuation of liquid business in the US,” the company informed in a statement.
Consolidated revenues from operations for the quarter stood at ₹2,131 crore as against ₹1,937 crore in the same quarter last year indicating a growth of 10 per cent. Total expenses stood at ₹1,789 crore (₹1,593 crore) for the quarter.
For the full year, the company posted consolidated net profit of ₹777 crore, as against net profit of ₹1,252 crore in the previous year, indicating a dip of about 38 per cent year-on-year.
Consolidated revenues from operations for the year were ₹8,508 crore (₹8,005 crore). Total expenses stood at ₹6,994 crore (₹6,536 crore) for the fiscal.
Discontinuing US liquids business
The company’s chairman, Samir Mehta, said, “The branded businesses contributed to 70 per cent of total revenues in Q4 and grew 15 per cent, with India and Brazil continuing on a strong footing. The US business registered sequential growth aided mainly by launch of a new product. While our EU business faced some headwinds, we remain optimistic that the cost efficiency measures being taken will bring us back to growth in this market in the coming quarters.”
Mehta also added, “We have taken a difficult decision of discontinuing our liquids business in the US. We believe the incremental investments required will exceed the potential economic benefits in this segment due to changing market conditions, as economics and competitive intensity have turned unfavourable compared to the time of conceptualisation.”
Torrent Pharma shares gained 1.62 per cent on Wednesday to close at ₹2,634.55 on the BSE.
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