Orchid Chemicals and Pharmaceuticals has incurred a net loss of Rs 6.30 crore during the third quarter ended December 2008 on account of foreign exchange losses, heavy interest burden and lower sales. The company reported a net profit of Rs 54.12 crore in the same period of 2007-08. The net sales also declined by 8 per cent to Rs 295.28 crore from Rs 320.92 crore in the corresponding period of last year. The other operating income moved up by 52 per cent to Rs 14.94 crore from Rs 9.84 crore. Its API business posted a sale of Rs 119.23 crore compared to Rs 124.88 crore.
The company's interest burden increased by 95 per cent to Rs 37.98 crore from Rs 19.51 crore. Its foreign exchange loss mounted to RS 31.15 crore as compared to a gain of Rs 6.43 crore. Its depreciation provision also increased by 36.1 per cent to Rs 32.10 crore from Rs 23.58 crore.
For the nine months period ended December 2008, Orchid's net sales improved by 9.9 per cent to Rs 916.97 crore from Rs 834.19 crore and its other operating income increased by 81.6 per cent to Rs 48.01 crore from Rs 26.43 crore. The net loss for the period, after interest, depreciation, taxation and exceptional items, reached at Rs 78.62 crore from a net profit of Rs 168.69 crore in the similar period of last year. The company provided Rs 171.53 crore for the foreign exchange loss as against Rs 79.04 crore gains in the last period. Its interest burden went up by 75 per cent to Rs 99.45 crore.
K Raghavendra Rao, managing director, said, "Orchid's overall business segments have witnessed a steady revenue pattern during the third quarter of this fiscal. We are confident that our strong product pipeline spanning key therapeutic segments of cephalosporins, Penicillin injectiables and non-antibiotics will power the overall growth and profitability in the ensuring quarters."
During the quarter ended December 2008, Orchid filed 4 ANDA for the US market taking the cumulative count of ANDA filings to 57. Its cumulative count of ANDA approvals by the US FDA has moved to 29, out of which 26 are in cephalosporin segment and 3 are in the NPNC segment. The company increased its cumulative US DMF filing count to 70 and in the European market space the cumulative filings of CoS at 20.