Lupin’s net profit (before extraordinary items) for the year ended March 2004 has taken quantum jump of 100 per cent and reached at Rs 145.98 crore from Rs 73.07 crore in the previous year on account of strong growth in exports and reduction in interest cost.
However, after providing Rs 50.89 crore for extraordinary items during the year under review, its net profit worked out to Rs 95.09 crore as against Rs 73.07 crore in the previous year, representing a rise of 30.1 per cent. The company’s profit before interest, depreciation, taxes and extraordinary items increased by 51.1 per cent to Rs 280.17 crore from Rs 185.42 crore. The board of directors recommended equity dividend of Rs 6.50 per share.
The gross sales increased by 22.2 per cent to Rs 1233 crore from Rs 1008 crore in the previous year. Sales from the advanced markets of North America and Europe went up smartly to Rs 228.90 crore from Rs 108.80 crore. Thus, export sales represents 19 per cent of its total sales. The company launched its first branded product Suprax in the US market and received a positive market response from the medical fraternity.
The company’s export sales of active pharmaceutical ingredients (API) from advanced market increased by 43 per cent to Rs 155.60 crore during the year ended March 2004 from Rs 108.80 crore. Similarly, sales of finished products to advanced markets touched to Rs 73.30 crore as against nil in the previous year. The company received approvals for five ANDAs which includes two approvals for injectibles. It launched first generic – Cefuroxime Axetil - in the US market and it has entered into agreement to promote Allergan’s Zymar. Lupin has filed DMF for benazepril and Lovastatin with the USFDA. The company’s facility at Tarapur for the manufacturing Statins went on stream and the oral non-ceph finished dosage facility at Goa was also commissioned during the last quarter of 2003-04. The commissioning of this facility is expected to facilitate the filings of ANDAs for the advanced markets.
Though the sales of APIs from advanced market improved during the year ended March 2004, sales from developing market including India were declined to Rs 442.20 crore from 461.90 crore in the previous year. The drop in the domestic and export revenues was mainly because of certain facilities being utilized for internal consumption to meet the requirements for value added finished dosages. Sharp appreciation in the Indian rupee during the latter part of the year saw lower revenues from this business.
The company’s sales of finished products from developing markets improved by 27 per cent to Rs 469.80 crore from Rs 371.20 crore. Revenue from finished products in India improved by 21 per cent to Rs 430.80 crore from Rs 356.60 crore. The company launched more than 25 products, which had amongst them herbals products, new generation cephalosporins and in the lifestyle segments like anti diabetes, cardiovasculars, etc. The company has filed 32 patents and it received approvals for 6 patents.