Lauras Labs’ Q2 net up 1% on higher capex
, ET Bureau|
Nov 10, 2017, 09.49 PM IST
Hyderabad-based Lauras labs on Friday reported a marginal 1% increase in net profit for the second quarter of fiscal 2018 at Rs 48.8 crore from Rs 48.3 crore in the corresponding quarter last year mainly due to higher capex undertaken from the start of this year, informed a senior company official.
For the quarter ended September 2017, the company posted a 4.3% growth in its revenues to Rs 538.6 crore as against Rs 516.5 crore in the corresponding quarter previous year.
Dr Satyanarayana Chava, chief executive officer, Lauras Labs said, "We had undertaken a capital expenditure of Rs 150 crore in setting up two new facilities in Vizag which have been accounted as an expense but have not started yielding revenues. Hence, we saw the impact on profit growth".
The company registered an increase in revenues on the back of higher antiretroviral (ARV) medicine volumes due to higher demand from the customers.
"We expect to maintain the momentum for the ARV business for the remaining half of the year. While Hepatitis-C is still growing by volume, it hasn't shown value growth due to the pricing. Meanwhile, our performance of synthesis business also showed a healthy growth during the quarter," said Chava.
The company also incorporated Laurus Holdings Limited, a 100% subsidiary, in United Kingdom and Laurus Generics Inc, in USA in July and August respectively.
For the quarter ended September 2017, the company posted a 4.3% growth in its revenues to Rs 538.6 crore as against Rs 516.5 crore in the corresponding quarter previous year.
Dr Satyanarayana Chava, chief executive officer, Lauras Labs said, "We had undertaken a capital expenditure of Rs 150 crore in setting up two new facilities in Vizag which have been accounted as an expense but have not started yielding revenues. Hence, we saw the impact on profit growth".
The company registered an increase in revenues on the back of higher antiretroviral (ARV) medicine volumes due to higher demand from the customers.
"We expect to maintain the momentum for the ARV business for the remaining half of the year. While Hepatitis-C is still growing by volume, it hasn't shown value growth due to the pricing. Meanwhile, our performance of synthesis business also showed a healthy growth during the quarter," said Chava.
The company also incorporated Laurus Holdings Limited, a 100% subsidiary, in United Kingdom and Laurus Generics Inc, in USA in July and August respectively.
