Strides Arcolab, a Bangalore based pharma company, has suffered setback during the first quarter ended March 2007 and its consolidated net profit declined sharply by 34.3 per cent to Rs 6.1 crore from Rs 10.50 crore mainly due to higher provisions for tax, depreciation and interest cost. Its consolidated sales increased by 21.8 per cent to Rs 161.52 crore from Rs 132.66 crore in the corresponding period of last year, a growth of 21.8 per cent. Its EBDIT margins moved up to 20.65 per cent from 18.54 per cent in the last period.
Commenting on the results, Arun Kumar, vice chairman and Group CEO, said, "The financial performance for first quarter of 2007 shows a satisfactory increase in overall EBITDA growth while challenges from the US operations continue to be addressed."
The company's sterile products facility in Bangalore received approval from MHRA, UK. It received US FDA approval for three NDA and its total approvals reached at 8. The company is investing US$ 40 million in oncology and sterile products site in Bangalore. It has 14 manufacturing plants spread across the US, Brazil, Mexico, Italy, Poland, Singapore and India. Strides employ approximately 1,700 people across the globe and it has marketing presence in over 50 countries.
Strides standalone net sales for the first quarter declined by 1.7 per cent to Rs 106 crore from Rs 108 crore in the similar period of last year.