Matrix Laboratories, a subsidiary of Mylan of US, has suffered a setback and its net profit during the first quarter ended June 2009 declined sharply by 48.8 per cent to Rs 16.56 crore from Rs 32.37 crore. This is because of lower domestic sales, significant higher expenditure on R&D as well as employees. Its sales increased by 27.9 per cent to Rs 405.55 crore from Rs 317.06 crore as its exports went up by 51.2 per cent to Rs 358.84 crore from Rs 237.32 crore. However, its domestic sales declined by 41.4 per cent to Rs 46.71 crore from Rs 79.74 crore.
The R&D expenditure increased by 36.2 per cent to Rs 62.98 crore from Rs 46.23 crore and its employees cost moved up by 47.9 per cent to Rs 35.95 crore from Rs 24.31 crore.
For the full year ended March 2009, Matrix recorded net sales of Rs 1479 crore and earned a net profit of Rs 188.95 crore. Mylan is now holding 92.6 per cent of its total equity capital of Rs 31.27 crore.